Morgan Hill Municipal Code Ch. 5.54 Taxicab Service

This chapter is to further the public convenience and necessity of transportation services by taxicabs and protect the general public health, safety and welfare by establishing an orderly method of regulating the licensing and operation of such vehicles within the city.

(Ord. 1461 N.S. § 1 (part), 1999)

For purposes of this chapter, certain words and phrases are defined and shall be construed as set forth herein unless it is apparent from the context that a different meaning is intended:

"Chief of police" means the chief of the Morgan Hill police department, or his or her duly authorized agents and representatives.

"City manager" means the city manager, or his or her duly authorized agents and representatives.

"For hire" means a vehicle is "for-hire" if any fare, fee, charge or other consideration is payable for the transportation service of the vehicle, whether paid or not.

"Owner" means the person, firm, association or corporation who is registered with the Department of Motor Vehicles of the state of California ("DMV") as the owner of a vehicle or vehicles used in the transportation of persons for compensation, or who has a legal right to possession of such vehicle pursuant to a lease or rental agreement. The act or omission of any owner's officer, agent, employee or independent contractor, or of any driver whose services are engaged or allowed by any of the above, is for all purposes the act or omission of the owner operating the for-hire transportation services regulated by this chapter.

"Taxicab" means a passenger vehicle having a seating capacity of no more than eight persons, excluding the driver, used in the transportation of passengers within the jurisdictional limits of this city, irrespective of whether such operations extend beyond the city, the compensation for which is determined by a taximeter or other device which determines a charge for distance traveled and/or time expended.

"Taxicab driver permit" means a permit issued to each driver of a taxicab or public transportation vehicle.

"Taxicab license" means a license issued by the city to operate a taxicab business within the city, irrespective of where such business is located.

"Taximeter" means any instrument or device approved for use under the applicable laws of the state, which mechanically or electronically calculates the charge for the use of a taxicab.

(Ord. 1461 N.S. § 1 (part), 1999)

No owner of a taxicab business shall operate or permit the operation of a taxicab on the streets of the city without having obtained from the chief of police a taxicab license pursuant to the provisions of this chapter.

(Ord. 1461 N.S. § 1 (part), 1999)

Every applicant for a taxicab license shall execute and file with the chief of police a verified application upon forms furnished by the police department. In addition, each applicant shall supply:

A. Evidence that applicant has paid all applicable city charges, fees, or assessments.

B. Satisfactory proof that the location of the proposed business is properly zoned and is in compliance with any required land use permits for the conduct of the proposed business.

C. Evidence that the applicant is the registered owner of each vehicle used in the proposed business.

D. Duplicate copies of insurance policies which comply with the requirements of Section 16500 of the California Vehicle Code for each vehicle used by the proposed business.

E. A sworn statement that each vehicle is in safe operating condition, made by either the proprietor of a public garage engaged in auto repair who is licensed by the state of California, or by a mechanic licensed by the state of California and employed by the applicant, who has inspected and examined such vehicles.

F. A certification that the holder maintains a mandatory controlled substance and alcohol testing certification program conforming to Part 40 of Title 49 and Part 382 of Title 49 of the Code of Federal Regulations and California Government Code Section 53075.5 for all drivers of vehicles operated by the licensee and/or owner.

(Ord. 1461 N.S. § 1 (part), 1999)

The renewal of a taxicab license shall be made every two years. The renewal procedure shall include the review and updating of the owner's taxicab license application information and may be subject to applicable fees. If there are substantial changes in the owner's application information, the chief of police may require that the owner submit a new application for review and approval.

(Ord. 1461 N.S. § 1 (part), 1999)

The applicant for a taxicab license shall submit with the application a fee as set forth in the schedule of fees established by resolution of the city council.

(Ord. 1461 N.S. § 1 (part), 1999)

The chief of police may deny an application for, suspend, or revoke a taxicab license on any of the following grounds:

A. Public convenience and necessity do not require the proposed service;

B. The application fails to contain all of the required information as set forth in this chapter:

C. Any of the information contained in the application is false or misleading;

D. Any vehicle proposed for operation is not safe, and the applicant has failed to remove such vehicle from service or to substitute a safe vehicle in its place;

E. The applicant has failed to comply with any term, condition or requirement in a taxicab license previously issued by any agency, or the terms, conditions or requirements of this chapter;

F. The applicant, within five years prior to the date of application, was convicted of a crime, and the crime is substantially related to the qualifications, functions or duties of the taxicab business;

G. The applicant, within five years prior to the date of application, has done an act involving violence, dishonesty or fraud with the intent to injure another, or benefit the applicant or another;

H. The applicant has had a taxicab license issued under the provisions of this chapter revoked within three years prior to the date of filing of the application; or

I. The applicant has failed to pay when due, any applicable taxes imposed by the city;

J. Cancellation or suspension of any insurance policy or coverage required to be maintained by the chapter;

K. Overcharge of, or attempt to overcharge, taxicab fares which have been registered as required by this chapter;

L. The applicant committed any act or omission which, if it existed at the time the application was filed, would have resulted in the denial of the application.

(Ord. 1461 N.S. § 1 (part), 1999)

A. The chief of police may either deny the application, or issue a taxicab license to the applicant within thirty days of the receipt of the completed license application.

B. The chief of police may impose such terms, conditions or restrictions on the taxicab license as the chief deems necessary to protect the public health, safety and welfare including provision of adequate and dependable service to the public, and protection of the use of public streets and facilities.

C. The taxicab license issued pursuant to this chapter, and all interests, rights and obligations pertaining thereto, are personal to the owner, and are not transferable or assignable, by operation of law or otherwise.

(Ord. 1461 N.S. § 1 (part), 1999)

A. It is unlawful for any person to drive or operate any of the vehicles regulated by this chapter or allow any vehicle under his or her ownership or management and regulated by this chapter to be driven or operated without first obtaining a taxicab driver permit ("permit") to do so.

B. Permits will entitle the driver to work for only that owner whose name appears on the permit. A new permit will be required for each subsequent employment.

(Ord. 1461 N.S. § 1 (part), 1999)

A. Applicants for permits shall file applications with the chief of police upon forms provided by the police department. Applicants shall provide a certificate that the applicant has tested negative for listed controlled substances and alcohol pursuant to the requirements of California Government Code Section 53075.5 and Part 40 of Title 49 and Part 382 of Title 49 of the Code of Federal Regulations.

B. No permit shall be issued to any of the following persons:

1. Any person under the age of twenty-one years.

2. Any person convicted of a felony or a crime involving moral turpitude or narcotics, or who, within five years prior to the filing date of the application, was convicted of any offense involving conduct which requires registration under California Penal Code Section 290.

3. Any person convicted of recklessly driving a vehicle within the two years immediately preceding the filing date of the application for a permit.

4. Any person convicted of driving a vehicle while under the influence of alcohol and/or a controlled substance within the five years immediately preceding the filing date of the application for a permit.

5. Any person not possessing a valid, permanent California driver's license at the time of the filing date of the application or thereafter.

6. Any person who fails to test negative for listed controlled substances and alcohol pursuant to the requirements of California Government Code Section 53075.5 and Part 40 of Title 49 and Part 382 of Title 49 of the Code of Federal Regulations.

7. Any person who has knowingly made a false statement, or concealed a material fact, or otherwise committed any fraud in the application.

8. Any person who has had a taxicab driver's permit issued by any agency revoked within three years prior to the date of application.

C. Applicants for permits shall pay to the chief of police a nonrefundable fee which shall be established by resolution of the city council.

(Ord. 1461 N.S. § 1 (part), 1999)

A. The taxi driver permit shall be in the form of a card which shall bear the signature, photograph and fingerprints of the applicant and the name of the applicant's employer, who shall be the owner of a taxicab license. Such permits are valid for two years from the date of issuance. Such cards shall be issued in duplicate, and one copy with fingerprints, photograph and signature of the applicant shall be kept on file with the chief of police, and the other card shall be conspicuously displayed in the taxicab of the permit holder at all times such taxicab is operated.

B. Upon termination of employment from the owner whose name appears on the permit, the taxicab driver permit shall be automatically revoked and the permit holder shall immediately surrender the taxicab driver permit card to the chief of police.

(Ord. 1461 N.S. § 1 (part), 1999)

The chief of police may deny renewal of, suspend or revoke a taxicab driver permit if the holder has, since granting of the permit:

A. Been convicted of a felony or a crime of moral turpitude including but not limited to pandering; using, possessing, selling or transporting narcotics, or imparting information for obtaining narcotics; or has been convicted of a offense involving conduct which requires registration under California Penal Code Section 290.

B. Been convicted of driving recklessly or while under the influence of alcohol and/or controlled substances, or consumed drugs or alcohol or is under the influence of drugs or alcohol while on duty.

C. Had his or her California driver's license expired, revoked or suspended.

D. Had two or more convictions of any of the offenses set forth in Sections 22350 through 22352 of the California Vehicle Code and amendments thereto, or any such combination of offenses occurring during any continuous period not exceeding twelve months.

E. Failed to test negative for listed controlled substances and alcohol pursuant to the requirements of California Government Code Section 53075.5 and Part 40 of Title 49 and Part 382 of Title 49 of the Code of Federal Regulations.

F. Has knowingly made a false statement, or concealed a material fact, or otherwise committed any fraud in the application for a permit.

G. Violated any provision of this chapter or other requirements as imposed by the chief of police.

H. Committed any act or omission, which if it existed at the time the application was filed, would have resulted in the denial of the application.

I. Overcharged, or attempted to overcharge taxicab fares as registered with the police department.

(Ord. 1461 N.S. § 1 (part), 1999)

A. Every owner who holds a taxicab license must register a current schedule of rates and fares with the chief of police at the time of application or renewal of the license and within fifteen days of any change in the rate or fare schedule.

B. No driver shall operate a taxicab unless the schedule of rates and fares for the use of the taxicab are posted in a conspicuous, permanent and secure manner in the passenger compartment of the taxicab.

(Ord. 1461 N.S. § 1 (part), 1999)

A. Any person who hires a taxicab shall have the exclusive right to use the entire taxicab. There shall not be additional charges for any of the person's companions or personal belongings.

B. No owner or driver shall carry or solicit, or permit to be carried or solicited, any additional passenger unless the person first hiring the taxicab consents to the acceptance of such additional passenger.

(Ord. 1461 N.S. § 1 (part), 1999)

A. No owner or driver of any taxicab shall refuse to provide taxicab service to a person who requests to be taken to a destination within the city unless the person requesting such service does not appear to be in a sober or orderly manner, the service is requested for an unlawful purpose, or the taxicab has already been hired.

B. Unless otherwise directed by the passenger hiring the taxicab, the driver of such taxicab shall take the most direct, expeditious and safe route from the starting point to the destination point.

C. No driver shall accept, take into the vehicle, or transport any larger number of passengers than the rated seating capacity of the vehicle.

D. No driver shall leave the side of the vehicle to solicit passengers.

E. No driver shall charge a rate or fare greater than the rates and fares registered with the city and posted in the taxicab.

F. Every driver shall, if requested, give a correct receipt upon payment of the correct fare.

G. Every driver and owner shall comply with orders issued by the chief of police including but not limited to equipment, minimum hours of operation, identification, safety inspections, accident reporting, insurance, and records of maintenance.

(Ord. 1461 N.S. § 1 (part), 1999)

Revocations and suspensions of taxicab licenses and taxicab driver permits shall be administered as follows:

A. Except as provided in Section 5.54.170 of this chapter, a taxicab license or a taxicab driver permit issued pursuant to this chapter shall be revoked or suspended only after the owner or driver has been given reasonable notice and opportunity to be heard.

B. Whenever the chief of police has reasonable cause to believe that grounds for the suspension or revocation of a license or permit exists, he or she shall give the holder of the taxicab license or taxicab driver permit written notice stating the alleged grounds for the suspension or revocation, the effective date of the suspension or revocation, and information on the appeal process. This notice will be by certified mail, return receipt requested, sent to the address shown on the last application or renewal, or by personal service.

C. The decision of the chief of police to revoke or suspend a taxicab license or taxicab driver permit may be appealed to the city manager or designate. Upon receipt of a request for an appeal hearing, the city manager, or designate, shall conduct a hearing within forty-five days of the request. The city manager, or designate, shall conduct a hearing within forty-five days of the request. The city manager, or designate, shall notify the permit holder in writing of the date, time, and place of the hearing. The hearing shall not be less than ten days after the service of the notice of hearing by postage of the notice by certified mail, return receipt requested, or by personal service.

D. At the hearing, both the holder of the taxicab license or taxicab driver permit and the chief of police shall have the right to appear and be represented by counsel and to present evidence and arguments which are relevant to the grounds for the appeal. Within ten working days of the conclusion of the hearing, the city manager or designate shall issue a written decision which states whether the decision of the chief of police is upheld, modified, or reversed; the length of any suspension, and the effective date of the suspension or revocation. The decision of the city manager or designate shall be served on the holder of the permit by certified mail, return receipt requested, or by personal service.

E. The decision of the city manager or designate shall be final and binding.

F. Unless otherwise specifically prohibited by law, the burden of proof is on the license or permit holder in any hearing or other matter under this chapter.

G. Upon a written decision of the city manager or designate which suspends or revokes a taxicab license or taxicab driver permit, the holder of the taxicab license or taxicab driver permit shall surrender the license and/or permit to the chief of police immediately after service of the notice of the decision.

(Ord. 1461 N.S. § 1 (part), 1999)

A. The chief of police may issue an order suspending a taxicab license or a taxicab driver permit for a period not exceeding ten days without having conducted a hearing therefor, if the chief determines that the continued use of the license or permit will cause immediate hazard to the public safety, health or welfare.

B. Within ten days of the effective date of the order, the chief of police shall hold a hearing for the owner or driver to show cause why the license or permit should not be suspended or revoked.

C. The order issued by the chief of police under Subsection A of this section shall also contain a notice of the hearing setting forth the date, time and place of the hearing.

(Ord. 1461 N.S. § 1 (part), 1999)

A para-transit provider, who provides para-transit services to eligible individuals with disabilities in order to effectuate the Americans with Disabilities Act of 1990 under contract with any government agency while in the performance of providing para-transit services under such government contract controls shall be exempt from the regulatory requirements of this chapter.

(Ord. 1461 N.S. § 1 (part), 1999)