Agenda 10/27/2015 Item #12A 10/27/2015 12.A.
EXECUTIVE SUMMARY
Recommendation that the Board take no action to amend the Vehicle for Hire Ordinance.
OBJECTIVE: In keeping with Board direction arising from a Public Petition, I am bringing
back for the Board's consideration alternative changes to the Vehicle for Hire Ordinance in light
of Uber and other transportation network companies.
CONSIDERATIONS: At its July 7th regular meeting, the Board heard a Public Petition from
Mr. Peternal Francois requesting that the Board regulate Uber and other transportation network
companies, who do business from remote locations through apps on mobile phones and like
devices, rather than the traditional taxi cab business model. Following the Petition, the Board
directed the County Attorney to bring back recommendations as to options with respect to this
matter. I have since worked closely with Staff in order to present the Board with these options.
The following discussion is premised on the fact that Staff has advised me that at no point in
time have we had a single complaint from the public about Uber or any other transportation
network company; this is an industry issue, not a public one.
Our current Vehicle for Hire Ordinance provides in relevant part as follows:
"Motor Vehicle for Hire" means any motor vehicle operated by a third party driver engaged in
the transportation of persons upon the streets of the county with the intent to receive
compensation for providing such transportation. (Ord. No. 2009-27, §1) Staff interprets "third
party drivers" to include local taxi company drivers as well as drivers for Uber and other
transportation network companies.
Section 5 of the Ordinance contains the following requirements for drivers of vehicles for hire:
1. That the driver has a Florida drivers license.
2. That the driver go through a criminal background check.
3. That the vehicle for hire has minimum insurance.
4. That the vehicle for hire is demonstrated to be mechanically safe.
These requirements are imposed on our local taxi company drivers, as well as drivers for Uber
and other transportation network companies. Staff has advised me that they have fined Uber
drivers for violations of this section, which Uber has in turn paid. Please note that this Ordinance
does not regulate drivers of personal vehicles conducting their own private car service.
Accordingly,the County's Vehicle for Hire Ordinance, which at Board direction was amended in
2009 to minimize regulation of the industry, encompasses both our local taxi companies as well
as the drivers for Uber and similar transportation network companies.
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The issue then is whether the Board wishes to maintain the status quo, amend the ordinance to
specifically regulate Uber and other transportation network companies, or deregulate the industry
entirely.
OPTIONS
Option 1. Maintain the Status Quo. The current Ordinance has led to a local industry that is
well received by the public.
Option 2. Update existing regulations: Existing regulations were not drafted with Uber in
mind. Any update would be to specifically define transportation network companies and would
impose specific requirements on them. This would require amendment of both the Vehicle for
Hire Ordinance and the related Administrative Procedures Manual. It should be noted that most
counties have not attempted to regulate this industry. This may be due in part to various
proposed bills which would regulate this industry that have been circulating in the State
Legislature. Those counties that have enacted local ordinances tend to have large airports which
allow certain local taxis to service the airport in exchange for a fee. Uber, which operates
globally, has a history of leaving localities that have attempted to regulate their business.
Option 3. Complete deregulation: The County could completely deregulate the County's
vehicle for hire industry. As with any deregulation effort, public safety should be considered.
FISCAL IMPACT: None at this time.
GROWTH MANAGEMENT IMPACT: There is no Growth Management Impact associated
with this Executive Summary.
RECOMMENDATION: That the Board take no action to amend the Vehicle for Hire
Ordinance.
Prepared by: Jeffrey A. Klatzkow, County Attorney
Attachments: Transcript of Public Petition; Ord.No. 2009-27 (vehicle for hire)
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COLLIER COUNTY
Board of County Commissioners
Item Number: 12.12.A.
Item Summary: Recommendation that the Board take no action to amend the Vehicle for
Hire Ordinance.
Meeting Date: 10/13/2015
Prepared By
Name:NeetVirginia
Title: Legal Assistant/Paralegal, CAO Office Administration
10/7/2015 8:38:25 AM
Submitted by
Title: County Attorney,
Name: KlatzkowJeff
10/7/2015 8:38:26 AM
Approved By
Name: KlatzkowJeff
Title: County Attorney,
Date: 10/7/2015 8:59:21 AM
Name: KlatzkowJeff
Title: County Attorney,
Date: 10/7/2015 9:25:31 AM
Name: IsacksonMark
Title: Division Director-Corp Fin &Mgmt Svc, Office of Management&Budget
Date: 10/7/2015 9:5 7:32 AM
Name: OchsLeo
Title: County Manager, County Managers Office
Date: 10/7/2015 11:58:24 AM
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July 7, 2015
Collier County Business of the Month for July, 2015 to Stock
Development. To be accepted by Brian Stock, CEO of Stock
Development, Keith Gelder, Director of Land Development, and John
Cox, President and CEO of the Greater Naples Chamber of
Commerce.
Gentlemen, if you'd please step forward.
(Applause.)
COMMISSIONER TAYLOR: Mr. Cox?
COMMISSIONER FIALA: Did Christy Bartlett have her baby?
COMMISSIONER HILLER: Yes, she absolutely did. And it's
adorable. Or the baby's adorable.
COMMISSIONER TAYLOR: Congratulations, Christy.
Item #6A
PUBLIC PETITION FROM MR. PETERNAL FRANCOIS
REQUESTING THAT THE BOARD OF COUNTY
COMMISSIONERS INCREASE THE PENALTIES FOR TAXI
LICENSE VIOLATIONS - MOTION FOR THE COUNTY
ATTORNEY TO BRING BACK INFORMATION TO THE
BOARD IN SEPTEMBER — APPROVED
MR. OCHS: Item 6.A is a public petition request from Mr.
Peternal Francois requesting that the Board of County Commissioners
increase the penalties for taxi license violations.
COMMISSIONER HENNING: Mr. Chairman?
CHAIRMAN NANCE: Yes, sir.
COMMISSIONER HENNING: This is an ongoing code
enforcement case.
CHAIRMAN NANCE: Yes.
COMMISSIONER HENNING: So under our rules the Board
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shall not have any discussion after the presentation.
COMMISSIONER TAYLOR: Okay.
CHAIRMAN NANCE: Sir.
MR. FRANCOIS: Good morning. Thank you.
I want to start by explaining the process -- well, not the process,
what Uber Technology and the new industry called Network
Transportation is.
Essentially Network Transportation Company generally enters
into the local market without seeking prior approval from regulators,
because Network Transportation companies wants to play by its own
rules. Avoiding fees and driver for hire that are required to pay like
property -- I mean proper licenses, decal, permits to conduct ground
transportation on the streets of Collier and the airport. Sometimes
price gouging customers by using search pricing.
Network Transportation companies are more than just an
application on your smart phone for arranging transportation service,
for compensation, using an on-line enabled base application such as a
smart phone app. to connect drivers and using their personal vehicle
for passengers.
It's a company using an app. to dispatch to independent
contractors. Essentially they are not performing the same function --
essentially they are performing the same function as a livery or
dispatch office does, and charge -- and does not change the underlying
nature of the transportation service being offered.
The app. is served as a taxi meter because it calculates the
distance in a fair which Uber takes a percentage of which is similar to a
taxi lease. As some of you may already know, Uber and Lyft drivers
are not using commercial insurance policies, they're using their
personal automobile insurance policy, meaning the passengers are not
covered in the event of an accident.
Because the drivers are -- because the driver was using their
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personal automobile policy for hire, the insurance company can and
will deny any claim in the event of an accident, leaving the passenger
or the public at risk, where they will face -- at risk with unpaid medical
bills and injuries. The driver's insurance policy will cancel.
And on the company's website it says it carries a $1 million
policy. The policy only covers the passenger for the duration of the
ride. When the drivers make side arrangement with passengers
without using the app., that will leave a coverage gap in insurance
where the rider will not be covered, because the app. will -- I mean the
insurance will cover you only when the app. is on. If the app. is not on
-- where most of the time you will find passengers that will make
personal arrangement with the driver, if they like the person, they'll be
like I want this person to pick me up again. But if the app. is not on
where the driver is going around Uber, then that passenger is not
covered.
We need to assure that the necessary steps and measures have
been taken to provide the most orderly, efficient and safe taxi and
livery service to all citizens and visitors who use these service within
the city streets, we need to protect the safety and well-being of the
resident and visitors of our city streets who use the service of vehicle
for hire to meet their transportation need.
The prevent-- the prevention of unfair, deceptive and predatory
practice we urge your support for stronger regulation on illegal taxi
operation here in the streets of Collier County. We need the County
Attorney Office to prepare a motion for injunction to be filed. They
must cease operation in Collier County until their drivers fall in line
with county taxi laws and transportation regulation. We need to make
illegal operation more expensive to operate so that the driver and the
company could be motivated to follow the regulation, strict penalty to
allow the city and the county staff to better serve as the code
enforcement department says, they are limited to what they can and
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July 7, 2015
cannot do as far as the regulations go. But if we do make it a
misdemeanor, that will deter the drivers from driving without the
proper licensing.
So what I'm asking today is for -- is that you consider making it a
misdemeanor so that drivers could think twice before they get behind
the wheel with the Uber app. on.
I have some headlines where a driver who had three previous DUI
got approved by Uber to drive passengers. And on the way to a
passenger he got pulled over where he got a fourth DUI. I'm sure
some of you have seen the news.
And on top of that, Broward County -- yesterday around 5:00
Uber announced that they would leave Broward County because
Broward County stand behind their ordinance, and they ask that Uber
Technology either follow it or pack up and go, which is exactly what
the headlines said.
And I've been in touch with a few other counties, and I talked to
code enforcement. Hillsborough County already have their cease and
desist petition already done, ready to file. And I have a copy of it right
here in case the Commissioners want to go over it.
Furthermore, I have a copy of the ordinance here which states:
Providing for Collier County vehicle for hire license requirement,
establishing penalty, providing for inclusion in the code of law and
ordinance.
So technically -- well, basically what we're asking as the cab
industry is for that ordinances be updated or somehow enhanced to fit
the -- for the same rules to apply to both Uber and Lyft, or any other
ride-sharing company that's functioning here in Collier County.
Because we have to have put the safety of our residents, because we
don't want these to start happening more often.
If you look at the news, all you got to do is type Uber, you will
find everything such as passenger getting raped -- this is the headline
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for Broward County where the Uber Technology announced they
would leave starting the 31st of this month.
I don't know if you have any questions.
CHAIRMAN NANCE: Thank you, sir.
Commissioner Henning, then Commissioner Hiller.
COMMISSIONER HENNING: That was from before, my light.
CHAIRMAN NANCE: Oh, I'm sorry, sir.
Commissioner Hiller.
COMMISSIONER HILLER: I just wanted to know who all the
gentlemen were sitting in the back of the room.
MR. FRANCOIS: We have some of the taxi drivers and owners
here today to support the request.
COMMISSIONER HILLER: And the record should reflect how
many people are in the back that are taxi drivers.
MR. MILLER: Mr. Chairman, I did have one gentleman
registered to speaker. I explained to him that we do not accept
speakers on public petitions.
CHAIRMAN NANCE: We do not take speakers on public
petitions. I'm sorry.
As Commissioner Henning indicated, this is an active code
enforcement case, Commissioner; is that correct? So we're going to
limit comments.
Commissioner Taylor, any questions?
COMMISSIONER TAYLOR: How much -- we can't discuss
specifically the concept of Uber and where we stand as a county in
terms of regulation?
MR. KLATZKOW: You can talk about that if you'd like.
COMMISSIONER TAYLOR: Okay, I'll keep my remarks
specifically to that area.
MR. OCHS: Sorry for the interruption, Commissioner.
I'm told by our Code Enforcement Director that we do not -- this
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is not an active code case at this time.
COMMISSIONER TAYLOR: Oh, good.
So Mr. County Attorney, where do we stand with regulation
according -- regarding Uber? It's my understanding that the country of
France has just outlawed Uber. So where are we on this list?
MR. KLATZKOW: Well, we deregulated this industry a couple
of years ago. If you want to bring action against Uber, and Uber's
based well outside of Collier County, as you know. If you want to
bring action against them, you're going to have to amend your
ordinance to specifically provide that they fall within the ambient of
the ordinance. At that point in time we can take action against Uber
itself. Right now at this point in time really you're just left going after
the drivers.
COMMISSIONER TAYLOR: Okay. I would support that. I
/ know about my colleagues.
CHAIRMAN NANCE: I'll make a motion that we just have the
County Attorney look into it and come back to the Board in September
■ with some recommendations as to our options.
COMMISSIONER FIALA: That's a good idea I'll --
COMMISSIONER TAYLOR: Second.
COMMISSIONER FIALA: -- second that.
CHAIRMAN NANCE: Discussion?
(No response.)
CHAIRMAN NANCE: Hearing none, all those in favor, signify
by saying aye.
COMMISSIONER FIALA: Aye.
CHAIRMAN NANCE: Aye.
COMMISSIONER HILLER: Aye.
COMMISSIONER TAYLOR: Aye.
CHAIRMAN NANCE: Any opposed?
COMMISSIONER HENNING: Aye.
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CHAIRMAN NANCE: Approved 4-1 with Commissioner
Henning in dissent.
COMMISSIONER TAYLOR: And Mr. Francois; is that correct?
MR. FRANCOIS: Yes.
COMMISSIONER TAYLOR: Thank you for coming here today.
English is not your native language.
MR. FRANCOIS: No.
COMMISSIONER TAYLOR: You are to be commended for
taking the courage to come and speak to us on your presentation.
Thank you.
MR. FRANCOIS: Thank you.
CHAIRMAN NANCE: All right, sir.
Mr. Ochs, I think that takes us, as the Board indicated, to Item
11.H?
Item #11H
FIRST AMENDMENT TO THE AGREEMENT BETWEEN THE
SOUTHWEST FLORIDA ECONOMIC DEVELOPMENT
ALLIANCE, INC. AND THE BOARD OF COUNTY
COMMISSIONERS — APPROVED
MR. OCHS: Yes, sir, that was previously Item 16.F.4, moved to
the regular agenda at Commissioner Henning's request. It's a
recommendation to approve the first amendment to the agreement
between the Southwest Florida Economic Development Alliance,
Incorporated and the Board of County Commissioners.
CHAIRMAN NANCE: Commissioner Henning?
COMMISSIONER HENNING: Yeah, I don't know why the
Alliance can't bear the cost of this item instead of the county. It's their
request. Is there a reason? Alliance is what, the Chamber of
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Collier County, FL Code of Ordinances 10/27/2015 12.A.
Chapter 142 -VEHICLES FOR HIRE')
Footnotes:
---(1)---
Cross reference—Businesses,ch.26;traffic and vehicles,ch. 130.
State Law reference—Authority to act in the common interest of the people of the county and exercise all powers and privileges not specifically
prohibited(all in a manner not inconsistent with law),F.S.§125.01(1)(w).
ARTICLE I. - IN GENERAL
Secs. 142-1-142-25. - Reserved.
ARTICLE II. - PUBLIC VEHICLES FOR HIRER]
Footnotes:
---(2)---
Editor's note—Ord.No.2009-27,§§1-8,adopted May 26,2009,amended art.Il in its entirety to read as herein set out.Former art.II,entitled
"Taxicabs and Charter Services",§§142.26-142-60,pertained to similar subject matter,and derived from Ord.No.95-66,§1;Ord.No.01.75,§
1,adopted Dec. 11,2001;and Ord.No.2006-59,§1,adopted Dec. 12,2006.
Sec. 142-26. - Definitions.
The following words, terms and phrases,when used in this article, shall have the meanings
ascribed to them in this section, except where the context clearly indicates a different meaning:
"Charter Service Vehicle"means any motorized chauffer-driven vehicle that is engaged in
prearranged transportation and the rates for which transportation are based upon predetermined
hourly, daily, weekly, monthly or door-to-door price.
"Motor Vehicle for Hire"means any motor vehicle operated by a third party driver engaged in the
transportation of persons upon the streets of the county with the intent to receive compensation for
providing such transportation.
"Taxicab" means a motor vehicle equipped with a top light, designed to accommodate not more
than eight passengers, excluding the driver, which is operated for compensation based upon rates
reflected on a taximeter.
"Public Vehicle Board"means the Collier County Board of County Commissioners sitting as the
Public Vehicle Board.
(Ord. No. 2009-27, § 1)
Sec. 142-27. -Applicability.
The provisions of this article shall be applicable to and effective in all now existing or future
incorporated areas and in all unincorporated areas of the county.This article is intended, and shall be
construed, as a direct regulatory measure uniform in application throughout the county. No license or
permit issued pursuant to this article shall be construed as a grant to authorize the license or permit
holder to engage in any business at any airport on any county or municipal property or operated by
the county or by any municipality. Nothing in this article shall affect any ordinance of any municipality.
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(Ord. No. 2009-27, § 2)
Sec. 142-28. - Regulation.
The Board of County Commissioners shall have the right to license and regulate taxis,jitneys and
limousines for hire. These regulations shall be implemented via Resolution of the Board of County
Commissioners. An administrative manual shall be created and approved via Resolution of the Board
of County Commissioners for the licensing and regulation of motor vehicles for hire in Collier County.
The administrative manual is to be incorporated herein by reference and is made a part hereof.
Changes may be made to the manual by resolutions adopted by the Board of County Commissioners.
The manual shall be utilized by County staff in the issuance of Collier County licenses.
(Ord. No. 2009-27, § 3)
Sec. 142-29. - Consumer advisory board.
(a) A Consumer Advisory Board (CAB) is hereby established for the purpose of hearing any appeals
from adverse administrative decisions regarding a public vehicle license permit.The CAB is
established for the purpose of hearing all public consumer issues.
(b) The CAB shall adopt a vehicle safety standard form for all motor vehicles for hire.
(c) The CAB shall consist of five (5) members appointed by the Board of County Commissioners.
Terms of office shall be for four years and shall be staggered. Meeting attendance shall comply
with the provisions of Ordinance 2001-55, as amended. No member of the CAB shall be a current
motor vehicle for hire owner or operator, nor shall they be a family member of the same
household of a current motor vehicle for hire owner or operator. A Chairman and a Vice-Chairman
shall be elected by the CAB annually. Adverse decisions of the CAB may be appealed,within thirty
(30) days, to the Board of County Commissioners.
(Ord. No. 2009-27, § 4)
Sec. 142-30. - Collier county license requirements.
(a) Each driver of a motor vehicle for hire must hold a current and valid driver's license issued by the
State of Florida. The Florida Driver's License must authorize all types of driving being conducted
by the driver.All motor vehicles for hire in Collier County must have a Collier County license. All
motor vehicle for hire operators must also have a Collier County license to operate.
(b) All applicants for either or both Collier County licenses must list all felony and misdemeanor
convictions within the past ten (10)years. A murder conviction in the past twenty(20)years is a
basis for denial of a county license.Any previous driver's license suspension is a basis for denial of
a Collier County license.
(c) County staff is responsible for requesting criminal history record checks on all applicants. The
information supplied to staff in response to a criminal history record check shall assist in
determining the applicant's eligibility to operate a vehicle for hire under this article. Criminal
history record checks shall be performed on all persons with an interest in the application. The
minimum fee charged for a criminal background check shall be adopted by the Public Vehicle
Board via resolution. In the event that the background check fee charged to the county exceeds
the minimum fee established by the county, the applicant(s) shall be responsible for the actual
cost of the search.
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If, as a result of either the criminal history record check or the applicant's disclosure, one or more
of the following are discovered,the applicant shall be denied a permit:
(1) Conviction in the past five years of a felony;
(2) Conviction within the past three years of any crime involving the sale or possession of
controlled substances as defined by F.S. § 893.03, or the RICO Act, F.S. ch. 895;
(3) Conviction in the past three years of driving a motor vehicle while under the influence of
drugs, alcohol, or with an unlawful blood alcohol level;
(4) A finding of guilt or plea of guilty or a plea of nolo contendere to a felony, misdemeanor or
ordinance, any of which involve moral turpitude, or to any offenses listed in subsections(1),
(2), or(3) of this section,within the past three years, or five years if a felony. Moral turpitude
shall be defined in statutes, case law, or ordinance. This subsection applies notwithstanding
suspension of sentence or withholding of adjudication or sentencing.
(e) All motor vehicles for hire must be insured against loss sustained by reason of death, injury to
persons and damage to property in the following amounts:
(1) $125,000.00 for bodily injury to any one person;
(2) $300,000.00 for bodily injuries to more than one person which are sustained in the same
accident;
(3) $100,000.00 for property damage sustained in any one accident.
(f) A copy of a valid and current insurance certificate for all motor vehicles for hire in Collier County
must be on file with county staff at all times.
(g) The license holder shall verify that each vehicle for hire is in a mechanically safe and sound
condition and state all known defects to the vehicle using the CAB approved vehicle safety
standard form.
(Ord. No. 2009-27, § 5)
Sec. 142-31. - Renewal of licenses.
All Collier County licenses for a vehicle for hire are valid for one (1)year.A criminal background
history check along with the corresponding fees shall be a part of the annual renewal.
(Ord. No. 2009-27, § 6)
Sec. 142-32. - Maximum rates.
The Public Vehicle Board shall have the ability to establish via Resolution maximum rates that may
be charged by Taxicabs and Charter Service Vehicles. The public vehicle board's establishment of any
maximum rate shall not prevent any licensee from charging a rate below the maximum.
(Ord. No. 2009-27, § 7)
•
Sec. 142-33. - Penalties.
(a) Each complaint of a violation of this article may be referred to the Collier County Code
Enforcement Board, Special Magistrate, or the proper court if administrative staff deems the
complaint having raised a reasonable suspicion that a violation has occurred or is occurring.The
Code Enforcement Board may utilize the services of a Special Master.
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(b) A $1,000.00 fine shall apply to each insurance violation.
(c) A $1,000.00 fine shall apply when a vehicle for hire is operated without a Collier County license to
operate.
(d) An individual who operates a vehicle for hire without a then effective Collier County driver's ID or
State of Florida Driver's License shall be fined $500.00 for a first violation and be fined $1,000.00
for a second time violation. The penalty for a third such violation shall be a $2,000.00 fine.
(Ord. No. 2009-27, § 8)
•
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