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Earlier editions: 2026-09

Title 5 — BUSINESS LICENSE AND REGULATIONS

Sebastopol Municipal Code Ch. 5.18 Operation of Motor Vehicles for Hire

Sebastopol Municipal Code · 2026-10 edition · updated 2026-10-05 · Sebastopol

Cite as: Sebastopol Municipal Code Chapter 5.18 · Text as of 2026-10-05

5.18.010 Definitions.

The following words and phrases when used in this chapter shall have the meanings set forth in this section:

“Owner” means any and/or every person who in any manner has the proprietary use, ownership, or control of any passenger carrying motor propelled vehicle.

“Person” includes any person, firm or corporation.

“Public transportation vehicles” means every motor propelled vehicle not otherwise defined in this section used in the business of transporting passengers over the streets of the City of Sebastopol irrespective of whether or not any fee, compensation, or consideration is paid for such transportation, excepting any transportation system operating over a fixed route under a certification of public convenience and necessity issued by the Public Utilities Commission.

“Taxicab” means any motor propelled vehicle used for the transportation of passengers who direct the route to be traveled over the streets and not operated over a fixed route for compensation including vehicles commonly known as limousines and sightseeing buses.

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5.18.020 Certificate of public convenience and necessity.

A. It shall be unlawful for any person to engage in the business of operating or causing to be operated any taxicab or public transportation vehicle for hire in the City of Sebastopol without first having obtained from the City Council a certificate of public convenience and necessity.

B. All persons applying for such certificate shall file with the Council a certified application which should contain the following information:

  1. Name and address of persons making application.

  2. Number of vehicles proposed to be operated under the permit requested.

  3. Number of vehicles presently being operated, if any.

  4. The make, type, year of manufacture, and passenger seating capacity for each vehicle proposed to be operated for which a permit will be requested.

  5. The description of the proposed color scheme, insignia, or other distinguishable characteristics of the taxicab to be used.

  6. Any further information which the applicant believes tend to prove that public convenience and necessity require the granting of a permit.

  7. Proposed rates to be charged.

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5.18.030 Public hearing.

Upon receipt of any application referred to hereinabove, the City Clerk shall set a time not less than 10 nor more than 30 days thereafter for the hearing of said application before the City Council and notice shall be given to the applicant by mail of the time so set at least five days before the date of such hearing. A notice shall be published once in a newspaper of general circulation in the City of Sebastopol at least 10 days prior to the hearing. The applicant shall pay to the City Clerk the required filing fee as listed in the City adopted fee schedule.

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5.18.040 Hearing.

No certificate of public convenience and necessity shall be granted until the Council shall, after the hearing, declare by resolution that the public convenience and necessity require the proposed service and that the following conditions exist:

A. That the applicant is financially responsible, and that the applicant is of good moral character, or that the officers of said applicant are of good moral character.

B. That the persons holding permits or licenses for the operation of motor vehicles for hire are under the experienced and efficient management and earning a fair and reasonable return of their capital devoted to such service.

C. That the applicant has complied with the provisions of all City, State and Federal laws applicable to the proposed operation.

D. That the additional service will not result in a greater hazard to the public, and will not create traffic congestion or parking problems.

E. If the Council finds from its investigation and hearing that the public convenience and necessity justify the creating of an additional certificate and the granting of permits requested thereunder, it shall notify the applicant of its findings. Within 60 days thereafter the applicant shall furnish to the City Manager any and all additional information which may be required, and if the City Manager then finds the vehicles proposed to be used by the applicant meet the requirements of this chapter, he shall thereupon issue to the applicant a certificate of public convenience and necessity.

F. If the City Council finds from such investigation and hearing the public convenience and necessity does not justify the granting of an additional certificate, it shall forthwith notify the applicant of said finding.

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5.18.050 Existing taxicab and public transportation service.

Every owner operating a licensed taxicab or taxicabs or public transportation vehicle for hire prior to the effective date of the ordinance codified in this chapter shall be presumed, in the absence of any contrary evidence presented to the Council, to have provided prima facie evidence of public convenience and necessity for the licensing of the taxicab or public transportation vehicles for hire in operation, and the City Council, upon application received not later than 15 days after the effective date of the ordinance codified in this chapter, shall grant a certificate of public convenience and necessity to such owners for the number of taxicabs or public transportation vehicles held by such owner on the effective date of the ordinance codified in this chapter.

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5.18.060 Insurance.

No certificate of public convenience and necessity shall be issued or continued in operation unless there is in full force and effect and covering each vehicle classified hereunder a policy of insurance in such form as the Council of the City of Sebastopol shall deem proper, executed by an insurance company approved by said Council, which policy shall be in the form that meets all current City insurance limits and requirements as set forth by the City’s insurance provider and City policy.

A. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of the City, either the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its officers, officials, employees and volunteers, or the owner shall provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration and defense expenses.

B. Other Insurance Provisions.

  1. All required general liability and automobile liability policies are to contain, or be endorsed to contain, the following provisions:

a. The named additional insured with respect to this permit shall include the following: the City of Sebastopol, its officers, officials, employees and volunteers.

b. The named additional insured are to be covered as insureds with respect to liability arising out of automobiles owned, leased, hired or borrowed by or on behalf of the owner, and with respect to liability arising out of work or operations performed by or on behalf of the owner including materials, parts or equipment furnished in connection with such work or operations. General liability coverage can be provided in the form of an endorsement to the owner’s insurance, or as a separate owner’s policy.

c. For any claims related to this project, the owner’s insurance coverage shall be primary insurance as respects the named additional insured. Any insurance or self-insurance maintained by the named additional insured shall be excess of the owner’s insurance and shall not contribute with it.

d. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled by either party, except after 30 days’ prior written notice by certified mail, return receipt requested, has been given to the City.

  1. Workers’ compensation insurance as required by the State of California and employer’s liability is to be provided. A waiver of subrogation endorsement is required on workers’ compensation insurance.

C. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best’s rating of no less than A:VII.

D. Verification of Coverage. The owner shall furnish the City with original certificates and amendatory endorsements affecting the coverage required by this clause. The endorsements should be on forms provided by the City or on other than the City’s forms or a separate owner’s policy, provided those forms or policies are approved by the City and amended to conform to the City’s requirements. All certificates and endorsements are to be received and approved by the City before the permit is executed by the City. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements affecting the coverage required by these specifications at any time.

All certificates and endorsements shall reference the appropriate policy number, names of insured, and shall be signed by an authorized representative of the insurer.

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5.18.070 Sale or transfer of business.

If an owner to whom a certificate of convenience and necessity has been issued desires to sell or transfer his business the intended buyer must make application to the City for a certificate of convenience and necessity as required by this chapter. The seller and holder of the certificate must file an affidavit of intention to surrender and cancel the existing certificates and licenses conditionally upon and concurrently with consummation of sale and issuance of new certificates and licenses in the name of the buyer. If the buyer applicant meets the requirements as set forth in this chapter for the issuance of a certificate of convenience and necessity, the City shall issue a new certificate to the buyer and concurrently therewith shall cancel the seller’s certificate.

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5.18.080 Transfer of vehicle.

In the event an owner sells or transfers title to a taxicab or vehicle for which a license has been issued, or in the event said vehicle has been destroyed, said owner is entitled as a matter of right to have a new license issued for the taxicab or vehicle replacing the one so sold or transferred upon proper application to the City Clerk within 45 days after such sale, transfer or destruction. If a vehicle is withdrawn from service for a period of 45 days without written permission being first secured from the City Manager, the license for such vehicle shall be automatically canceled and the certificate shall be reduced by one or more, as the case may be.

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5.18.090 Cancellation and suspension of certificate.

A certificate issued under the provisions of this chapter may be revoked or suspended by the City Council if the holder thereof has:

A. Violated any of the provisions of this chapter.

B. Discontinued operations for a period of five days, or more.

C. Has violated any ordinances of the City of Sebastopol or of the State of California, or of the United States, the violations of which reflect unfavorably on the fitness of the holder to offer public transportation.

Before suspension or revocation the holder of the certificate shall be given reasonable notice of the proposed action to be taken, and shall have an opportunity to be heard by the City Council.

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5.18.100 Business license.

No person shall be entitled to receive a business license to operate a vehicle of the class herein defined without first having received a certificate of public convenience and necessity as set forth herein.

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5.18.110 Inspection and maintenance of vehicles.

All vehicles for which a certificate of public convenience and necessity has been issued hereunder shall be under the supervision and control of the Chief of Police and no owner or driver shall operate, or permit to be operated, any vehicle in the City while said equipment used therein is defective, unsafe, or in any unsanitary condition, and every such vehicle shall be at all times subject to the inspection of any police officer of the City.

The Chief of Police is hereby authorized and directed to suspend, without previous notice, any vehicle operating pursuant to this chapter whenever an owner or driver violates any of the herein sections. Any owner may appeal such decision in writing to the City Council who shall, after due notice to the owner, conduct a hearing and determine the matter and their decision therein shall become final. The City Council may order a continued suspension of such license until such time as the vehicle shall be restored to a safe or sanitary condition.

An owner or driver knowingly permitting any condition prohibited by this section shall be subject to the penalty provided herein for violation of this chapter.

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5.18.120 Operating regulations.

Any driver employed to transport passengers to a definite point shall take the most direct route that will take the passengers to their destination safely and expeditiously. If requested, every driver shall give a receipt upon payment of the correct fare.

It shall be unlawful for any person except where credit is extended to refuse to pay the lawful fare affixed herein for the use of any vehicle covered by this chapter.

It shall be unlawful for any driver to refuse when the vehicle is in service and not otherwise engaged to transport any person who presents himself, or is presented for carriage, in a sober and orderly manner and for a lawful purpose.

It shall be a ground for the revocation of a driver’s permit issued, pursuant to this chapter, for any driver to charge a passenger a fare greater than that to which he is entitled under the provisions of this chapter. It shall be unlawful for the owner or driver of any vehicle under this chapter to conduct his business from any place other than the established place of business set forth in the certificate of convenience and necessity.

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5.18.130 Driver’s qualifications.

It shall be unlawful for any person to operate or drive a vehicle for hire in the City of Sebastopol without first having obtained a written permit or license to do so from the Chief of Police. A reasonable fee shall be required to cover the cost of a photograph and badge to be issued and conspicuously worn by the permittee during all working hours. Such badge will not be transferable.

The Chief of Police may refuse to issue a driver’s permit, or may revoke a permit for any of the following reasons:

A. If the applicant is under 21 years or not a citizen of the United States.

B. If the applicant has not resided in the County of Sonoma for 30 days prior to filing the application.

C. If the applicant does not possess a valid chauffeur’s license issued by the State of California.

D. If the applicant is convicted or has been convicted of reckless driving or a crime involving moral turpitude, or of driving while under the influence of intoxicating liquors or narcotics.

E. If the applicant violates any of the provisions of this chapter.

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5.18.140 Stands.

Council may by resolution locate and designate taxicab or vehicle for hire stands, and said stands shall be appropriately designated. The Chief of Police shall recommend, in writing, to the Council for their approval, the location of such stands.

Before any designation of private stands is made, the written consent thereto must be obtained of the tenant of the ground floor fronting space where such stand is to be located, or in the event said ground floor is not occupied, the written consent thereto of the owner of the building or land must first be obtained.

Open stands may be authorized and designated by action of the City Council to be open to any vehicle for hire for which a certificate has been duly issued. The City Council may designate stands for specific vehicles for hire and shall state which vehicles and which owners are entitled to use those stands. It shall be unlawful for the owner or operator of any other vehicle for hire, other than the permittee, to use a stand designated specifically to such individual.

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5.18.150 Purpose and intent of this chapter.

The full and sole purpose of this chapter is one of regulation for the public good and under no circumstances whatsoever shall any certificate of convenience and necessity, license or permit provided for herein constitute or be deemed to be a property right or right of livelihood vested in the holder of any such certificate, permit or license.

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5.18.160 Penalty.

Except as otherwise specified, violation of the City Municipal Code is punishable as:

A. First offense is considered an infraction, with a fine set by bail schedule.

B. Second offense, of the same violation, is considered an infraction, with fine set by bail schedule.

C. Third and subsequent violations of the same offense are considered a misdemeanor and are punishable by a fine of not more than $500.00, imprisonment not more than six months, or both. Misdemeanor violations require a mandatory appearance in the appropriate court.

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5.18.170 Rates.

Each owner and driver operating in the City of Sebastopol shall have posted in each vehicle the rates to be charged for carrying passengers from point to point, or on a time basis. The City Council of the City of Sebastopol may from time to time adopt rates by resolution after conducting a hearing thereon, and said resolution shall become of the same force and effect as though incorporated in this chapter.

Each owner and driver operating in the City of Sebastopol shall charge according to the schedule of rates as provided in such resolutions, and it shall be unlawful to charge at any rate other than those set forth therein.

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5.18.180 Conflicting ordinances.

All ordinances, or provisions thereof in conflict with the provisions hereof, are herewith and hereby repealed.

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