(taxi - new)...2016/04/06  · • kehar s. pannu • paul bains • sukdave sundher • sukhwinder...

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Page 1 Passenger Transportation Board Decision Licence Application Decision (Taxi - New) Application # 210-15 Applicant Uptown Taxi Ltd. Principals HARI, Mandip Singh JEYAPAL, Paul Sanjeevan Address 4214 Bernard Place, Victoria BC V8X 5G1 Current Licence None Application Summary Special Authorization: Passenger Directed Vehicles New taxi service in the lower Vancouver Island area with 8 vehicles. 6 vehicles will be conventional taxis. All others will be accessible taxis. Rates The rates are set by the “Board Rule for Taxicab Rates for the CRD”. Date Published in Weekly Bulletin July 8, 2015 Submitters (and representatives) Victoria Taxi Transportation Ltd., Westwind Cabs Ltd. (Owen Bird, Barristers & Solicitors, Harley Harris) Bluebird Cabs Ltd. (Owen Bird, Barristers & Solicitors, Harley Harris) City & Country Taxi Service Ltd., Esquimalt Saanich Taxi Ltd., Peninsula Taxi (2008) Ltd. – (Owen Bird, Barristers & Solicitors, Harley Harris) Kehar S. PANNU Paul BAINS Sukdave SUNDHER Sukhwinder S. KAHLON Sooke Harbour Transport Inc. Hardeep SANDHU Westshore Taxi 2007 Ltd. B.C. Taxi Association Ranjit SANDHU Gulzar BANGARH Board Decision The special authorization is approved. Terms and conditions of licence are approved as set out in this decision. Rates are as per the Board Rule Respecting CRD Taxicab Rates, effective March 31, 2013 Decision Date April 4, 2016 Panel Chair William H. Bell Panel Member Roger Leclerc

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Page 1: (Taxi - New)...2016/04/06  · • Kehar S. PANNU • Paul BAINS • Sukdave SUNDHER • Sukhwinder S. KAHLON • Sooke Harbour Transport Inc. • Hardeep SANDHU • Westshore Taxi

Page 1 Passenger Transportation Board Decision

Licence Application Decision (Taxi - New)

Application # 210-15 Applicant Uptown Taxi Ltd. Principals HARI, Mandip Singh JEYAPAL, Paul Sanjeevan Address 4214 Bernard Place, Victoria BC V8X 5G1 Current Licence None Application Summary

Special Authorization: Passenger Directed Vehicles

New taxi service in the lower Vancouver Island area with 8 vehicles. 6 vehicles will be conventional taxis. All others will be accessible taxis.

Rates The rates are set by the “Board Rule for Taxicab Rates for the CRD”.

Date Published in Weekly Bulletin

July 8, 2015

Submitters (and representatives)

• Victoria Taxi Transportation Ltd., Westwind Cabs Ltd. (Owen Bird, Barristers & Solicitors, Harley Harris)

• Bluebird Cabs Ltd. (Owen Bird, Barristers & Solicitors, Harley Harris) • City & Country Taxi Service Ltd., Esquimalt Saanich Taxi Ltd.,

Peninsula Taxi (2008) Ltd. – (Owen Bird, Barristers & Solicitors, Harley Harris)

• Kehar S. PANNU • Paul BAINS • Sukdave SUNDHER • Sukhwinder S. KAHLON • Sooke Harbour Transport Inc.

• Hardeep SANDHU • Westshore Taxi 2007 Ltd. • B.C. Taxi Association • Ranjit SANDHU • Gulzar BANGARH

Board Decision

The special authorization is approved.

Terms and conditions of licence are approved as set out in this decision.

Rates are as per the Board Rule Respecting CRD Taxicab Rates, effective March 31, 2013

Decision Date April 4, 2016 Panel Chair William H. Bell Panel Member Roger Leclerc

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Taxi Decision

Passenger Transportation Board

I. Introduction

This is an application for a new passenger transportation licence with a Special Authorization: Passenger Directed Vehicles. The applicant proposes to operate 8 vehicles: 6 van taxis and 2 wheelchair accessible taxis with flip seats. In its PDV vehicle proposal, the applicant stated: We are requesting a vehicle capacity banding of “a driver and not less than 6 and not more than 7 passengers” for all our vehicles. As Uptown Taxi Ltd. (Uptown Taxi) was applying for only larger capacity vehicles, the seating capacity was published as 6-11 passengers rather than the normal taxi band of 2-7 passengers plus a driver. The taxi service would operate on southern Vancouver Island, including the Capital Regional District (CRD), east to Jordan River and south of the intersection of Highway 1 and the southern turnoff to Shawnigan (Highway 1 and Shawnigan Lake Road). Uptown Taxi is also requesting return trips authority.

II. Background

Uptown Taxi was incorporated on September 11, 2014. The Board received this application in June 2015. The company has 2 directors: HARI, Mandip Singh and JEYAPAL, Paul Sanjeevan. If this application is approved, the company intends to establish itself in Victoria, B.C.

The applicant proposes to operate a year round, full time taxi service with a fleet of 8 high occupancy or wheelchair vehicles. Uptown Taxi plans to use a dual priority dispatch system that prioritizes wheelchair accessible trips for customers requiring accessible services as well as 7 passenger taxi vans for those customers wanting to travel in groups of 5-7 passengers. Dispatch calls for accessible services will always be given priority ahead of the regular customer calls. The priority of the wheelchair accessible vans will be to service all wheelchair trips before servicing any other trip. A GPS dispatch system (DDS) will assign priority dispatch trips to the closest qualified vehicle. Material submitted in support of the application included the following:

• PDV Vehicle Proposal • PDV Proposed Terms and

Conditions of Licence • Proposed Rates And Rules • Business Plan

• Financial Information • Flip Seat Request • Public Need Indicators • Disclosures of Unlawful

Activity and Bankruptcy

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• Disclosures of Passenger Transportation Ownership.

• Municipal Notices

• Accessible Service Plan • Priority Dispatch Plan

III. Procedural Matters

A. Board Investigations

We conducted two investigations as part of our review of this application. We directed Board staff to ask specific questions of the following submitters:

• City & Country Taxi Service Ltd., Esquimalt Saanich Taxi Ltd., Peninsula Taxi (2008) Ltd (the “Yellow Cab of Victoria Group of Companies”);

• Bluebird Cabs Ltd. and • Victoria Taxi Transportation Ltd. & Westwind Cabs Ltd.

Pursuant to Board policy, submitters’ trip data was supplied to the applicant with information relating to the number of trips redacted. The applicant was advised of this policy and given an opportunity to respond. We also directed Board staff to telephone some supporters of the applicant and ask questions related to their support. The applicant was provided with the results of this survey and given an opportunity to respond. We also advised the Registrar of a comment made on one of the support letters that raised a concern regarding rates. The Registrar investigated this matter and it was addressed to our satisfaction. We discuss the results of this investigation in our reasons below.

B. Request for Public Hearing Counsel representing the Yellow Cab of Victoria Group of Companies; Bluebird Cabs Ltd.; and Victoria Taxi Ltd. and Westwind Cabs Ltd. submitted that the application, if not refused in its entirety, should be referred to a public hearing where oral and documentary evidence could be adduced and tested and representatives of Uptown Taxi cross-examined so that

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Passenger Transportation Board

fitness, public need and sound economic conditions could be fully assessed and determined by the Board. In response to our investigation regarding data from these submitters, counsel noted in its submissions on behalf of the various submitters that “since some of the information is not available, in order to obtain the evidence it may be appropriate for witnesses from affected taxi companies to be called at a PTB hearing into the application of Uptown Taxi. A public hearing may be the only way to ensure fairness to all affected.” Section 17 of the Passenger Transportation Act states:

Despite any other provision of this Act, in any circumstance in which, under this Act, a hearing may or must be held, the board may conduct a written, electronic or oral hearing, or any combination of them, as the board, in its sole discretion, considers appropriate.

The above major companies were given opportunities to convey further information in their initial submission and through a follow up investigation. The operational data we requested is derived from taxi companies’ dispatch systems. These submitters also indicated that some or all of the data requested by the Board was not available as it was purged or not kept. Given that the data is not available, we do not find that there is a compelling reason for a public hearing. Submitters have had an opportunity to provide comment through their initial submissions and their response to our investigation questions.

IV. Relevant Legislation

Division 3 of the Passenger Transportation Act (the “Act”) applies to this application. The Act requires the Registrar of Passenger Transportation to forward applications for Special Authorization licences to the Passenger Transportation Board (Board). Section 28(1) of the Act says that the Board may approve the application, if the Board considers that:

(a) there is a public need for the service the applicant proposed to provide under any special authorization.

(b) the applicant is a fit and proper person to provide that service and is capable of providing that service, and

(c) the application, if granted, would promote sound economic conditions in the passenger transportation business in British Columbia.

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We will consider each of these points in making our decision.

V. Rationale, Submissions & Reply

A. Applicant’s Rationale

The applicant is applying specifically to operate vans or “high occupancy vehicles” which can carry more than 5 passengers as well as wheelchair accessible taxis (WATs). The applicant claims customers in the CRD are not receiving adequate service when requesting high occupancy vehicles or WATs. These customers must wait for extended periods of time (45 min- 1 hour) for these specialty vehicles. Generally, the existing taxi companies do not have an adequate number of high occupancy taxis or WATS in their fleets to properly service the region. This issue has been compounded due to population, economic and tourism growth in the region. Existing companies are forcing customers to order multiple 4 passenger sedan taxis. There is a market demand for high occupancy taxis and WATS that exceeds the available inventory in the region. The goal is to provide any group of 5-7 passengers or WAT customers with service within a 10- 15 minute time frame.

B. Submissions There were 16 submitters: 8 taxi companies, 1 association and 7 individuals, some of whom indicated that they were owner/operators or drivers. All appeared to be involved in the taxi industry in some form and all opposed the application.

1. General Information Generally, the submitters claim there is sufficient taxi capacity to serve the area for which the applicant is applying. They further submit the taxi business is struggling, and the economy is down and approving the application will create destructive competition. Many of the submitters indicate that the demand for vans and larger capacity vehicle trips represent a small percentage of total trips and that any increase in demand for these larger capacity vehicles can be met from their existing fleets. They argue that until all vehicles in

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the fleets are operating 24 hours a day, at or near capacity, there is no need for new taxis in the service area proposed by the applicant. Submitters indicated that factors that have diminished the public need for taxis include the following:

• The economic downturn in the city has seen the taxi industry fall into decline. • Competition from other providers, including:

o BC Transit, which has extended their schedule to 2 a.m., added direct routes from BC Ferries to Butchart Gardens and entered into a partnership with a private transportation company to extend services to Ogden Point Cruise ship terminals

o Private tour buses, which have increased by an estimated 20% o The addition of weekend taxis, which has brought about shorter weekend

hours and longer wait periods for fares after bar rush is over. The company drivers that used to end their shifts at 4 – 5 a.m. are now booking off at 2 – 2:30 a.m.

o Rental vehicles o Hotel, sea plane, Helijet and cruise ship shuttles o The proliferation of designated driver vehicle services for bars, pubs and

restaurants o The use and preference by the public for transportation by private vehicles

2. Operational Data

With their submissions, the Yellow Cab of Victoria Group of Companies, Bluebird Cabs Ltd., Victoria Taxi Ltd. & Westwind Cabs Ltd. provided operational data. We undertook a follow up board investigation regarding their initial submissions and requested additional trip data relating specifically to van taxis within their fleets. Each was asked to:

• confirm fleet vehicle make-up • submit dispatch data for the January–July 2015 period concerning trip volumes,

vehicles-on-shift, trips per vehicle, wait times and cancelled/no-show trips (dispatch data), and

• provide comparative statistics for the same months in 2015 and 2014 regarding requests for a taxi van and average response time for van requests.

We discuss these below.

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We did not consider an undated submission from the Vancouver Island Livery Association that was attached to the Bluebird Cabs response to the Board investigation. This submission did not meet the timeframe for filing submissions and we did not consider it relevant to the proposed application.

(i) Victoria Taxi Transportation Ltd. & Westwind Cabs Ltd. ( Victoria Taxi) Victoria Taxi Transportation Ltd. and Westwind Cabs Ltd. are dispatched by Victoria Taxi Ltd. along with a number of independent operators. Dispatch data was provided for 59 vehicles. For the period March to June 2015, on average:

• 5.4% of the trips were cancelled • 84% of all the trips that were not cancelled were serviced in 10 minutes or less.

The dispatch system operated by Victoria Taxi does not have a category for trips serviced in 10-15 minutes, but its dispatch staff advises that the vast majority of the 16% of dispatched trips serviced in over 10 minutes are serviced in this timeframe. Overall for 2015, Victoria Taxi has seen a decline of approximately 16% in business during the day. Victoria Taxi indicates it is studying the feasibility of operating with a reduction in fleet on a 24/7 basis to enable its drivers to earn a living wage. With respect to our follow-up requests, Victoria Taxi confirmed vehicles tracked by its dispatch are as follows1:

Vehicles

Victoria Taxi Ltd.(VTL)

dba Victoria Taxi

Westwind Cabs

Ltd.(WCL)

Victoria Taxi Fleet

Sedans 34 17 6 57 (97%) Taxi Vans (5-7 pax) 0 0 0 0 WATs with flip seats 0 0 0 0 WATs without flip seats 2 0 0 2 (3%)

Fleet 36 17 6 59

1 3 taxis operating under Victoria Taxi Transportation Ltd. are peak period taxis, operating on weekend and holiday evenings.

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Passenger Transportation Board

It reported it could not provide dispatch data outside of that initially presented from April to June 2015. Comparative statistics for these months in 2014 were also not available, Victoria Taxi data is set to purge every 6 months. Some data for the period between June and November 2015 was provided concerning requests for a taxi van (that excludes requests specifically for a WAT). The data indicates an average response time at 7 minutes for such a service. Victoria Taxi explains:

We have two zones that are exclusive to Van trips: Zone 141- Van Specific for Unit 41 Zone 171- Van Specific for Unit 71 These zones are used when the caller specifically request a van for either large number, excess baggage, wheelchair (Non Folding) or cargo. … You will notice that there are not many van specific trips in our system and this I believe is partly due to the fact that other than van specific requests the vans are just running as regular cabs. As we only have 2 cabs on the fleet we try to work with customers to provide vehicles that in most cases do NOT require vans. Since the Prius V came into service we find that we can cover most van trips with these larger vehicles.

(ii) City & Country Taxi Service Ltd., Esquimalt Saanich Taxi Ltd., Peninsula Taxi

(2008) Ltd. (Yellow Cab Group of Victoria) Dispatch records for the Yellow Cab Group of Victoria for the period January to June 2015 indicate on average:

• 8.8% of total dispatched trips were cancelled. • 86% of total dispatched trips that were not cancelled were serviced in 10

minutes or less • 12% of total dispatched trips were serviced in 20 minutes or less

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• 1% of total dispatched trips that were not cancelled were serviced in under 30 minutes or less.

The Yellow Cab Group of Victoria submits that data demonstrates that, despite the broad service area covered by the taxi fleets, customers are served in a very timely manner – even at times when one-quarter of the fleets are off shift. Dispatch records for the period April-June 2015 indicate that on average:

• WAT trips represented approximately 1.3% of total dispatched trips. • 5-6 passenger trips represented approximately 0.6% of total dispatched trips. • Both WAT and 5-6 passenger trips represented approximately 1.94% of total

dispatched trips. Yellow Cab Group of Victoria indicates that it divides its fleets into 4 groups that have approximately 25-29 taxis in each group and for six, 12 hour shifts (over 5 days per week) one of the Groups (25% of the fleets) is off shift during the week due to lack of demand. Yellow Cab Group of Victoria identified that the approval of Sidney Taxi Ltd. which added 4 additional vehicles to their service area, has had a significant detrimental effect on their business. Yellow Cab Group of Victoria dispatched trip data, submitted as evidence in a past decision, showed an overall loss of 22% in dispatched trips when comparing the period August –December for 2013 and 20142. With respect to our follow up requests, the Yellow Cab Group confirmed vehicles dispatched under its fleet are as follows3:

Vehicles City & Country

Esquimalt Peninsula

Yellow Group

Sedans 93 11 4 108 (91%)

Taxi Vans (5-7 pax) 0 1 1 2 (2%) WATs with flip seats 8 0 0 8 (7%) WATs without flip seats 0 0 0 0 (0%)

Fleet 101 12 5 118

2 See Application AV366-15 (Sidney Taxi Ltd.), published December 9, 2015 3 5 taxis operating under City & Country Taxi Service Ltd. are peak period taxis, operating on weekend and holiday evenings

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The Yellow Cab Group of Victoria provided dispatch for the January – June period for both 2014 and 2015. The vehicles-on-shift data indicates an average of 77% in 2014 as compared to 85% in 2015 which indicates some growth in taxi demand. The company also stated: “it does not have any of the data sought by the Board for taxi van requests or average response times for van requests for 2015 including any comparison statistics from 2014, as Yellow Cab of Victoria Group of Companies only keeps track of data when a wheelchair accessible vehicle is requested….”.

(iii) Bluebird Cabs Ltd. (Bluebird Cabs) Bluebird Cabs Ltd. operates 56 vehicles under its own licence and provides dispatch services to another 36 cabs, for a total of 92 cabs4. Dispatch records for the period March to June 2015 indicate on average:

• Approximately 8% of total dispatched trips were cancelled • 95% of all the dispatched trips that were not cancelled were serviced in 15 minutes

or less

Dispatch records included for the period March-June 2015 indicates that all van jobs including van, cargo and 5 or 6 passenger jobs comprised the following:

• WAT trips represented approximately 1% of total dispatched trips • 5-6 passenger trips represented approximately 0.5% of total dispatched trips • Cargo trips represented approximately 0.3% of total dispatched trips • Both WAT and 5-6 passenger trips represented approximately 1.5% of total

dispatched trips Other than on Friday and Saturday nights, Bluebird Cabs does not have enough demand to operate all its taxis in Victoria and the surrounding areas.

4 5 taxis operating under Bluebird Cabs Ltd. are peak period taxis, operating on weekend and holiday evenings.

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Passenger Transportation Board

In response to our request for more information, Bluebird Cabs Ltd. confirmed vehicles dispatched under its fleet are as set out in the table below. Vehicles Bluebird Cabs Ltd. Dba Bluebird Bluebird Fleet

Sedans 47 36 83 (90%) Taxi Vans (5-7 pax) 1 0 1 (1%) WATs with flip seats 8 0 8(9%)

WATs without flip seats 0 0 0 (0%) Fleet 56 36 92

Bluebird Cabs was unable to provide data prior to March 2015 or comparison statistics for the same months in 2014 as a result of their purging practices. Bluebird Cabs provided dispatch data for the January to July 2015 period, noting that January and February data were estimates as data older than 6 months is purged. In this revised version, Bluebird Cabs used total trips, dispatch and flags. It also provided wait times for June and July 2015, based on completed dispatched trips, for van trips requested for WAT, cargo or 5-6 person trips. This indicates 87% of the trips were completed within 30 minutes and that van trips represented approximately 1% of total trips for this period.

(iv) Sooke Harbour Taxi Ltd. (Sooke Harbour Taxi)

Sooke Harbour Taxi operates a fleet of two 6 passenger vans and 1 WAT in the Sooke area. It says that it operates at full capacity only on weekends and holiday nights. Dispatch records were included for accessible taxi trips 2013-2014 to show these remain a small percentage of total trips in Sooke.

(v) Westshore Taxi Ltd. (Westshore Taxi)

Westshore Taxi operates 6 taxis in the Western Communities. It submits that business does not warrant use of its full fleet except on Friday and Saturday nights. It also receives approximately 3 calls per year for WAT service that they refer to Bluebird Cabs. A Canada Post Corporation restructure on April 15, 2014 reduced its business by approximately 50%.

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Some submitters also noted that further raw dispatch data could be made available if the Board required it.

C. Applicant’s Response The applicant indicates that there is a need for a local taxi company servicing high occupancy and wheel chair accessible trips in Victoria. This is a niche market that the applicant intends to serve. Victoria Taxi does not have any vehicles that are capable of carrying more than 4 passengers within their fleet and does not service high occupancy trips at all. Yellow Cab and Bluebird Cabs only have 1 vehicle each that is non-accessible and able to carry more than 4 passengers and is not part of the priority dispatch system. The servicing of high occupancy calls can only be made when they are not serving wheelchair trips which usually have lots of pre-booked trips where wait times can often exceed over 45 minutes. The data provided by submitters suggests in some cases they are able to accommodate their conventional taxi customers with timely service, but provides no evidence that high occupancy vehicle and WAT customers are being similarly treated. The applicant made comments on the responses of Victoria Taxi, Yellow Cab Group of Victoria and Bluebird Cabs to the Board requests for additional data. The applicant observed:

• That much of the additional trip data requested by the Board was not provided. • The selected trip data that the companies chose to provide is limited in scope

and did not provide meaningful trip data and growth trends. • Priority dispatch plays a conflicting role as WATs must answer to WAT trips

before any other trip and the van inventory of the Yellow Cab Group of Victoria is limited.

• The van trip data of Bluebird Cabs does not provide insight into all channels of van taxi demand including multiple car orders, flags and rejected trips (i.e. van requests where a customer is denied van service within a reasonable amount of time or when a customer is not willing to take multiple cars in lieu of a van).

• The conversion of van taxi requests into multiple sedan trips is not reflected in the data and only a fraction of the van taxi demand is reflected.

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The principals of Uptown Taxi Ltd. have both worked for Bluebird Cabs Ltd. and one has worked for Yellow Cabs. They state that both companies have been scheduling cars off duty for at least 13 years. This is not something new. The companies have divided their fleet into 4 groups and rotate a down shift based on six, 12 hour shifts 5 days per week to provide adequate downtime for drivers and vehicles. This is not an adequate indicator of need and the scheduling is not a factor in overall demand. Also, despite this scheduling over the period of time, all of the major companies have continued to expand their fleet or acquire and absorb other fleets or independent operators. This refutes their arguments about too many taxis in Victoria. Also, the focus of the business of these companies is on the downtown Victoria core. Bluebird’s claim that business is down and cannot support new licences in the region is refuted by one of the applicant’s principals, who worked with Bluebird’s management. He states that Bluebird’s call volumes have steadily increased year over year. The applicant states that deleted trips are different from cancelled trips. When a dispatcher cancels a trip the driver has actually arrived at the pick-up location and has put in “no show” into the dispatch system to indicate the customer has cancelled the requested service. Some trips end up waiting on the trip board for over one hour and these trips are often no shows where customers have already left because they are tired of waiting for the taxi. A dispatcher may delete a trip out of the system if taxi companies get back logged with calls. All three major companies made submissions against the first application, for one peak period taxi in Victoria. They stated that: “The economics of the industry in Victoria will suffer as the income for full time drivers will decrease as part time drivers reduce the number of fares available to the fulltime drivers who rely on them to stabilize their weekly incomes at appropriate levels”. Shortly after this application was approved, the three major companies applied for the same peak period licences that they originally said would hurt the economics of the taxi industry in Victoria. Regarding transportation options, the applicants noted:

• Shuttles do not compete with taxis but are a courtesy service and limousines service with a completely separate target clientele and offer a limited service.

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A family of four with extra luggage will find a taxi to be cheaper and more convenient for getting to and from the airport rather than the airport shuttle. The airport shuttle charges $25 per person or a group of 4 for $78 where a taxi cost would be about $55.

• Designated Driver Services have nothing to do with the proposed high occupancy and wheelchair taxi services. Designated Driver clients are usually individuals who decided to drink after driving their vehicle to an establishment and need someone to get their vehicle home.

• Car Sharing is not a threat to the taxi industry. Most car sharing customers are looking to rent a day-to-day vehicle to use instead of purchasing a car and only want to use a car on a fractional basis and are not looking at being chauffeured.

• Car rentals are not direct competition to high occupancy and wheelchair taxi services.

• Private vehicles do not have a negative effect on the taxi business; many house calls for taxis are from homes whose residents have their own vehicles.

VI. Reasons for the Board’s Decision

A. Is there a public need for the service that the applicant proposes to provide under special authorization?

Applicants should supply information that is factual and objective to demonstrate public need. They should demonstrate that there are people who would use the service. Applicants should explain why they are applying for a specific number of vehicles. The Board wants to be satisfied that there is a reasonable connection between the number and types of vehicles requested and public need.

1. Applicant Information to Demonstrate Public Need To demonstrate public need, the applicant provided a Business Plan, a “Demand Data” document, letters of support, a hotel survey and a petition. The applicant also submitted a USB flash drive that included videos, pictures and other information. We summarize the applicant’s evidence below.

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(i) Shortages of High Occupancy Vehicles and WATS

The applicant uses the term “high occupancy” taxi and taxi van interchangeably. These refer to vehicles that can seat 5-7 passengers plus a driver. They may include WATs if the vehicles have flip seats. The applicant claims that:

• CRD taxi customers requesting a taxi van that seats more than 4 passengers must wait for 45 minutes to 1 hour or take multiple taxis as an alternative. This increases costs the shortage of taxi vans also affects people needing to travel with extra luggage or large items.

• Local taxi companies have not made use of the Board’s vehicle banding policy that would permit them the opportunity to introduce higher capacity vehicles. The predominance of sedan taxis has caused a lopsided inventory where the demand for van taxis exceeds their supply.

• The lack of higher occupancy taxis is worse on weekends and holidays. Trips from Victoria to outlying areas in the CRD can be very costly and this can double if people need to take 2 or more taxis. Also, since 2010 when new drinking and driving laws were introduced, no high occupancy or WATS have been added to the CRD.

• CRD customers with mobility challenges requiring WATS are currently told by taxi companies to pre-book well in advance, up to 1.5 weeks, or be prepared to wait up to 2 hours for one to arrive. There is a high demand for WATS. Yellow Cab alludes to this on its website by stating “we do recommend that for these vehicles (accessible vans) you call us in advance as they tend to get booked up ahead of time, especially for special occasions and holidays.” http://www.yellowcabvictoria.com/wheelchair-accessible-vans.html

• HandyDART asks passengers to pre-book a minimum of 2 days in advance. HandyDART passengers also are told to reserve time (up to 2 hours) before and after a scheduled pickup which is an inconvenience. This does not provide “on demand” service for residents. The exit of Pacific Companion Enterprises from the market has reduced availability of accessible service.

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(ii) Taxi Ratios

• The applicant claims that, based on 2011 census data for the CRD, taxi vans in

the CRD represent 2.4% of all taxis in the region (or 1 per 49,270 residents) and WATS represent 7.2% (or 1 per 16, 423 residents)5.

• In Greater Victoria 18.4% of the population is over age 65, above the national average of 14.5%, with 7.2% of the total taxi fleet made up of WATS. Comparatively, the City of Vancouver has 13.6% of its population over age 65 with 18.8% of the total taxi fleet made up of WATS.

• The applicant included a chart that breaks down total taxis by taxi type for taxi companies operating in the CRD. This data shows that only 21 WATS and 7 non-accessible 5-7 passenger vehicles are available to service the CRD, and only 3 of the 7 non-accessible taxi vans are available in the most densely populated municipalities of Esquimalt, Saanich, Oak Bay and Victoria.

• The applicant reports that the Westshore communities experience some of the worst taxi service in the CRD due to the lack of readily available taxi inventory. According to its research only 1 high occupancy vehicle is available to serve a population of 77,000 residents. This translates into customers waiting between 40 minutes and 2 hours for a 5-7 passenger vehicle. Local taxi companies tell residents to consider 2 taxis to avoid a long wait time.

• The Yellow Cab Group of Victoria, Bluebird Cabs and Victoria Taxi control 90% of all taxi licences within the CRD. These companies are working to absorb all independent companies to control even more market share. The acquisitions by these companies’ conflicts with their arguments and claims that “there is not enough business to go around”.

(iii) Hotels

The applicant reports hotels are heavy users of taxi services within the CRD, and in the last few years, hotel occupancy rates have increased due to massive tourism growth. Many hotels note that the demographics of their guests have changed to that of more families and large groups. Hotels also host conferences, sports teams, and weddings. This trending tourist profile will effect transportations needs and require more high occupancy vehicles to accommodate the new guest demographics. Hotels report there are not enough 5-7 passenger taxis to meet requests for large groups in a reasonable time frame. Hotels report 5 CRD data excludes Salt Spring Island and the Gulf Islands

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having to pre-book van taxis a day in advance and even with these pre-bookings, at times, taxis are late or do not show up.

To support these claims the applicant provided the following:

(a) Support Letters from Hotels

Nine support letters were received from various hotels in the CRD with 5 of these coming from hotels in downtown Victoria, 1 in the Gorge Road area outside downtown Victoria, 2 from Langford and 1 from Oak Bay. The letters expressed the following common concerns:

• Van taxi and accessible service is extremely poor and wait times are unreasonable.

• Conference and business groups, travelling teams and large groups in general are being alienated by poor service. They have to be split into multiple cabs and find the experience expensive, especially if travelling some distance such as the airport.

• Families and groups decide not to visit local tourist attractions because of the expensive taxi costs involved.

• Small groups of 3-4 passengers with large amounts of luggage cannot travel comfortably using a 4 passenger sedan taxi.

• The tourist industry will benefit when guests with accessibility issues have an easier time getting around; taxis can accommodate luggage, and allow families to travel together as planned.

• When nightclubs and drinking establishments close, taxi vans would help clear out patrons in the downtown area in a much more efficient manner than at present.

• The new service proposed will meet a demand not met and complement and improve transportation options for both visitors and residents.

(b) Hotel Survey

The applicant left a 2-page survey with front desk staff of various hotels throughout the CRD. The survey included 7 questions and a comment/concern section that the applicant’s asked to be filled out by front desk staff /managers. The survey was completed by 14 hotels primarily in the City of Victoria. The major findings of the survey were:

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• All of the hotels confirmed that guests use taxis as one of the most commonly

used transportation sources. • A strong majority of the respondents (93%) said guests use taxis often or very

often. • 50% of the respondents found local bus service “average” while 25% found it

“excellent”. • 93% of the respondents indicated “yes” to the question “Do your hotel guests

ever need a van taxi service for large groups or extra luggage?” • All of the survey participants confirmed that local van taxi service could be

improved in the City. • 93% of respondents indicated “yes” to the question “Do guests normally

experience long wait time for a van taxi to arrive?” • All of the respondents agreed that local taxi companies try to offer multiple cabs

instead of providing one van taxi. • With regard to suggestions for improving transportation services in Victoria, the

respondents in general agreed that more van taxi were needed to serve the requests of their guests. Several indicated that wait times for these were very long (45-60 min) and with extra costs. One indicated only 2 or 3 were available in the City.

The applicant indicates this feedback from hotel staff “solidifies the demographic data, tourism data and taxi inventory issues that have all compounded to cause this problem of long wait times for van taxis within the CRD.” The applicant also observes that many of the hotels which participated in the survey have exclusive taxi contracts with existing providers, but are unhappy with current van service and want improvements. In support letters they stated that they would work with new vendors.

(c) Van Taxi Questionnaires-Hotels & Pubs

Four large Victoria hotels completed a questionnaire regarding van taxis. Results indicate a regular need of van taxis for groups of 5-7 people and those with mobility restrictions or excess luggage/cargo. The busiest periods for van taxis is in the spring and summer from approximately May to September/mid-October. Other times include inclement weather. Each respondent indicates that van taxis must generally be pre-booked and that it is common to have taxi companies offer multiple taxis as an alternative to a van taxi.

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Van taxi questionnaires were also completed by 4 local restaurants/pubs. These indicate a regular daily and monthly use of van taxis. Several indicated a shortage of van taxis a couple times a week and wait times of up to 45 minutes and longer at peak times. Further, when calling for a van taxi, companies regularly offer multiple taxis as an alternative to a van taxi.

(iv) Other Letters of Support

The applicant, outside of the 9 support letters from hotels, included 31 support letters from businesses, organizations and individuals primarily in the City of Victoria area. Almost all of the letters provided detailed experiences and concerns. A letter from the former Mayor of Victoria provided general support regarding the need that will continue to increase, for accessible transportation options. One letter from an advocacy group, “The Action Committee of People with Disabilities”, wrote about the ongoing problems with the handyDART system and the advance notice required and that the taxi saver program can prove challenging at times. It noted a particular incident of a taxi driver refusing to take a passenger with a folding wheelchair because it “might damage” his car and the requirement to request another vehicle. Another letter from an assisted living complex spoke of senior citizens’ need for increased accessible services and the long wait times for WATS. A letter from the Manager, Victoria Regional handyDART, reports it is challenged meeting the growing demand for accessible transportation. The letter states: “Because of the difficulty getting WATs, if the client is in a wheelchair, we often have to change many trips to get this client onto another bus and send an ambulatory client in the taxi instead. This is outside of the many clients we were not able to provide a trip for due to a high demand for our services.”

One letter from a nurse with Island Health notes the shortage of WATS and described an experience where a wait took 2.5 hours after calling 3 taxi companies.

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The Chairperson for the Accessible Transit Advisory Committee, BC Transit, notes the low ratio of WATS relative to the percentage of seniors living in the CRD. He describes the difficulties for individuals to get WATS, the often poor training associated with drivers and the long wait times and coordination difficulties using HandyDART. Three (3) letters came from neighborhood/resident associations in the Victoria area. One gave general support for a dedicated van service that provides more transportation options and fills a gap in the current market. Other expressed the need for more WATS for the elderly or higher occupancy vehicles for families that fits their demographic. In the James Bay area, an added issue was noted regarding the use of older diesel buses to transfer cruise ship passengers and the associated noise and pollution which higher occupancy van taxis could help ameliorate. A letter from the Chief Operating Officer, Greater Victoria Harbour Authority (GVHA) observes that the application for higher occupancy vans will address several issues: reduce wait times for cruise ship tourists, reduce the amount of taxis through residential neighborhoods, allow large families or groups to travel together and provide a new and friendlier mode of transportation. Six (6) letters came from businesses (5 in Victoria; 1 in Langford) including a major tourist attraction. The tourist business observes that many of its visitors are family groups that do not like splitting up in multiple taxis and the industry should be accommodating visitor expectations. It is a common occurrence that families seeking a van taxi are required to use several taxis as the wait time is too long. Others in Victoria included a nightclub and saloon that wants additional high occupancy cabs to help with shuttling larger groups home in a timely manner and reduce the likelihood of negative behaviour. High occupancy cabs would address the needs of clients who want to travel in large groups together as well as staff who rideshare. A Victoria restaurant notes the issue of getting a massive inflow of clients from the cruise lines in high season to its establishment and another restaurant in Langford reports a regular challenge getting much needed van taxis for large groups and families. Waits can be up to 1 hour for a van. One letter from a local technology company finds large gaps in taxi service especially for large groups of people. Two (2) letters came from university and college student associations. One from the University of Victoria observes there is one 5-7 passenger van to serve the needs of a high percentage of their student population who rely on taxis as a means of transportation to

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and from the campus. Many of these students have less disposable income and need high occupancy cabs that reduce their costs. Accessibility issues are also present due to a shortage of accessible vehicles. Another from Camosun College: many students engage in group activities and need a dedicated van type transport. Almost no vans hold more than 4 passengers as most are configured to be accessible vehicles. Eleven (11) of the letters came from individuals (9 represented the City of Victoria and 2 came from Langford). These letters spoke mostly about the consistent difficulty in getting van service for large groups of people and being forced to order multiple taxis, being charged an additional service fee of up to $15.00 for van service and waiting up to 1 hour for the service. Service was even more challenging in the Langford area and on some occasions was not available at all. One letter from a wheelchair user described the need for more WATS, particularly since the demise of Pacific Companion Services. Two (2) letters came from current taxi drivers, one of which states that its company does not offer any vehicles with a capacity of over 4 passengers and the frustration of customers who have to order several taxis to go to one address. The other described an experience operating a wheelchair van with flip seats. Many van specific trips for 5 or more passengers or for customers that had large cargo or luggage had wait times of up to 2 hours due to the priority of serving wheelchair trips. The Board undertook an investigation to verify some of the reports of unsatisfactory van taxi and wheelchair accessible taxi (WATs) service. Seven hotels, the Manager, Victoria Regional HandyDART and that of an assisted living complex were contacted and asked a set of questions by Board staff. The responses corroborated that:

• there are service issues with the unavailability of van taxis. • a shortage exists for the service especially in the spring to fall tourist period for

families and other larger groups, and for a year round taxi van service catering to the local student population, bar closings, and sports/recreational groups, who wish not to travel in multiple taxis.

• wait times for van taxis can take up to 2 hours but generally represent a 1 hour wait and multiple taxis are often offered as an alternative.

• lack of sufficient and available on-demand WAT service, where shortages of WATS occur on a regular basis and pre-booking is necessary most of the time.

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(v) Population/Demographics

The applicant provided data and other information to show growth, real and expected, in the CRD in the areas of population, tourism, including cruise ships, senior care homes, and industry. This information included:

• Statistics Canada data indicating that between 2009 and 2014 the population of the CRD and the Victoria Census Metropolitan Area (CMA) grew respectively by 4.3 % and 4.4% from 2011 -2014. The Greater Victoria Development Agency predicts that the population of Greater Victoria will grow4.9% in the next 5 years from 2015-2020.

• In the Westshore communities, such as Langford, Colwood and View Royal, population growth increased by 15.9% between 2008 and 2011.

• There are over 140 of senior care facilities in the CRD. • Since 2009 UVIC has grown by 15.1 %, with over 70% of its students coming

from outside the Greater Victoria area. • The current population (approximately 110,747 residents) of students and

seniors is represents almost 31% of Greater Victoria’s population. • The GVHA expected cruise ship passengers to reach 513,000 in 2015 surpassing

a 2012 record of 503,000 passengers. Increases are also expected for 2016. • A survey by the GVHA counted taxis, highway coaches and downtown shuttle

buses for each of the days in 2014 that a cruise ship pulled in at the Victoria port facility. In 2014, on the days when 3 cruise ships arrived after 6 p.m., there was an average of 601 taxi trips.

• International overnight visitation to B.C. was up 7.6% in 2015 over 2014. • Victoria International Airport (YYJ) had a 4% increase in traffic in the first

quarter of 2015. Other statistics show a 6% increase in YYJ passenger traffic between 2013 and 2014.

• In May 2015, the Conference Board of Canada forecasted that the Greater Victoria economy will grow by 2.3% into 2016 and by 2.5% in 2017.

• Demand for new homes will grow supported by modest employment and population growth combined with low mortgage interest rates.

• Over 69% of all Victoria technology companies expect to hire more staff between 2014 and 2016. The direct economic impact of the technology sector on the CRD has grown from $1.95 billion in 2009 to over $3.15 billion in 2014.

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The applicant submits that these statistics indicate that there is a high demand for taxi vans and WATS, especially among students and seniors. Also, taxi vans will be used by people at the cruise ships, with larger groups, who prefer one vehicle to two.

(vi) Petition

The applicant undertook a petition. The petition stated: “We the undersigned are more than willing to support a much needed locally run professional taxi service that services customers within the Capitol Regional District seeking high occupancy taxis and wheelchair accessible vans. Also, I understand that this information will be provided to the Passenger Transportation Board for consideration of a new taxi service within the CRD.” Respondents could tick a column that was titled “5-7 pass” or another with a wheelchair user symbol. Approximately 1,780 responded. The applicant states about 75% of the signatures were from individuals who represent its target market of students. Seniors, accessible needs residents and the general public make up the remaining 25% of the signatures.

(vii) Other Evidence

The applicant supplied a variety of digital evidence in a USB Flash Drive that its principals collected in their work as taxi drivers over the course of Taxi/Request Calls and Tourist Incidents.

2. Taxis in the CRD

In November 2015, we asked Board staff to obtain information from the Passenger Transportation Branch on the number and type of taxis operating in the CRD. As part of our application, we asked the Yellow Cab of Victoria Group, Bluebird Cabs and Victoria Taxi to confirm their vehicles. On February 26, 2016 the Board approved application 428-15 (HORSFIELD, William John and DEBABE, Abdelhak) to allow 2 taxis to operate in Sooke, one of which is a WAT. The WAT may also serve the Westshore.

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The vehicle configuration of taxis in the CRD is outlined in the chart below.6 Total # of Vehicles

WATS No flip seats

% WATs and Flip

Seats

% Taxi Vans (non-

WATs)

% Sedans %

296 3 1 19 6.4 11 3.7 262 88.5

3. Board Findings and Analysis

The applicant has submitted an application for a very specific service: a specialized van taxi service with 6 vehicles that will cater to 5-7 passenger trips. In addition, the applicant has applied for 2 wheelchair accessible taxis (WATs) with flip seat authority. In examining the public need, we have separated our analysis and findings for each as outlined below:

(a) Van Taxis

Currently, van taxis represent only about 3.7% of all taxis in the CRD region. In reviewing the evidence provided, we find that there is a public need for additional van taxis. Current taxi companies have not addressed this need, other than installing flip seats in WATs. We assigned considerable weight to the letters of support in demonstrating a public need for van taxis. A common theme of the letters was the lack of van taxis or long wait times for existing van taxis. A van taxi service would reduce wait times for larger groups, such as families seeking to travel together, and also help to reduce the costs of trips. The letters, which came from a cross-section of individuals, business and agencies, report serious service issues, difficulty in scheduling van taxis and the tendency to have taxi companies encourage multiple taxi sedan car orders as an alternative. These demonstrate that a public need exists for an additional taxi van service in the CRD. The letters strongly suggest a niche customer base exists for such as service. The taxi questionnaires help to corroborate this finding as well.

6 The Board approves vehicles with a specified carrying capacity. The common taxi band is a driver and not less than 2 and not more than 7 passengers. Licensees may operate vehicles – vans or sedans – that are within this band and generally may change vehicle type, except for approved WATs, without Board approval. Therefore, it is difficult to say with 100% accuracy that vehicles are of a certain type. However, we have a high level of confidence in the above table.

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Other evidence concerning the rate of tourism and economic growth and related forecasts was also assigned some weight respecting to the demand for van taxis. The survey was completed by a small sample size of hotel staff and provided information on the usage of taxi service in a very general sense and affirmed, to some degree, that hotel guests who require a van taxi experience long wait times for such a service, and that taxi companies offer multiple taxis instead of providing a van taxi. Although we note some issues with the survey, such as a relatively small sample size and lack of information to indicate how often the responders would use the van taxi service, we accorded it some weight as it also it provided some quantification of public need for additional capacity for van taxis when viewed together with other evidence. We accorded the petition little weight. It provides no indication of actual use or experience of the respondent’s needs or how often they would use either service. The digital material provided was anecdotal and observational rather than objective and verifiable evidence of public need. We have also considered the submitters’ arguments about the lack of public need for additional van taxis. The data provided by them regarding taxi van service was absent or very limited and lacked multi-year comparisons to demonstrate volumes or trends concerning demand and wait times for the existing taxi van service provided. The data that was provided was not compelling in validating that the existing capacity of van taxis is sufficient to meet the public need. The absence or limitation of key data on van trips, when viewed in conjunction with the overall low inventory (capacity) of van taxis (excluding WATs) and the high inventory (capacity) of conventional 4 passenger sedan taxis, persuades us that vital and relevant van trip data is missing due, in part, to its likely conversion into regular dispatch data as multiple car orders for sedan taxis. We also note the evidence of multiple car orders presented in the support letters. As a result, we have placed more weight on other evidence which demonstrates a critical supply shortage of van taxis in the CRD, the demand for van taxi service and the current unavailability or excessive wait times for such a service. We find that the applicant has sufficiently demonstrated that there is a public need for additional van taxi capacity to serve the CRD market. The panel, however, is not convinced

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that the applicant has demonstrated a sufficient public need for the 6 van taxi vehicles proposed. The panel is granting the applicant 4 van taxis.

(b) Wheelchair Accessible Vehicles (WATs)

The Board’s Operational Policy IV.1 on accessible taxi states in part: When making decisions about terms and conditions for accessible taxis, the Board will consider the characteristics of the community. Such considerations may include matters such as age and population demographics, the total number of conventional and wheelchair accessible taxis in the community, and proximity of the community to other transportation markets. The goal is to have wheelchair accessible taxis integrated with taxi fleets in communities across British Columbia that have 8 or more taxis in operation. The Board may consider the need for wheelchair accessible taxis in communities with less than 8 taxis. It may do this in communities that have a high proportion of people 65 years of age or older or are known to have a high disability rate.

The panel found the letters of support that focused on WAT service of probative value in showing that current WAT supply and services are unavailable and/or unresponsive in a timely manner. Particularly, these include letters from organizations that deal directly with the need for accessible transportation such as the Action Committee of People with Disabilities and that of Victoria Regional handyDART, which is the largest wheelchair accessible transportation service provider in the region. The population-to-taxi ratios by themselves do not indicate public need. Many factors can explain the differences among communities. However, the use of taxi to population ratios may be helpful in supporting other data that are indices of public need. Appendix I sets out WAT to Population (65 + years of age) in various communities in the CRD. Currently, the CRD ratio is at 7.8%. This is lower than some jurisdictions with even less senior population ratios such as such as the City of Vancouver, Greater Vancouver, Abbotsford and Kamloops. Despite the data provided by submitters concerning low WAT trip volumes, the evidence of the regular and almost compulsory need for pre-booking WAT service suggests that WAT service is lower than that provided to non-accessible customers. This pattern of service suggests a consistent unavailability of WATs being at the right place and at the right time and that in the CRD a need exists for better and more available WAT service. We find the WAT to Population data, when viewed in light of other evidence of public need corroborates that there is currently a need for additional WATs capacity.

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After considering the evidence and in light of the Board policy, the panel finds that the applicant has demonstrated a sufficient public need for 2 wheelchair accessible vehicles (WATs).

B. Is the applicant a fit and proper person to provide that service and is the applicant capable of providing that service?

The Board looks at fitness in two parts: (i) is the applicant a “fit and proper person” to provide the proposed service; and (ii) is the applicant capable of providing that service? The fit and proper test relates to such matters as the conduct and character of an applicant and whether the applicant’s proposed operations are structured or organized in such a way that the applicant will be able to meet its obligations as set out in the Passenger Transportation Act and Regulations. It also includes the requirement to keep care and control over the operations conducted under the licence and to ensure that vehicles are operated properly by the drivers with respect to the regulations. The second part of the fitness test involves information and evidence that demonstrates the applicant has the capability to manage the proposed service. Business plans and financial statements are often a main source of this information. Indicators that may guide the Board in making its decision include whether the applicant has the experience and transferable skills to manage the proposed service, whether the applicant shows understanding of what is needed to manage the proposed service, and whether the applicant has the resources to sustain operations throughout the implementation phase and to continue after becoming fully operational. Uptown Taxi was incorporated on September 11, 2014. It has two directors: Mr. Mandip Hari and Mr. Paul Jeyapal. Mr. Hari is a graduate with a Bachelor of Commerce degree in Entrepreneurial Management from Royal Roads University. He will assume the position of Vice President – Finance and Operations. Mr. Hari has worked as a taxi driver since 2009 and has other experience in management and customer relations.

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Mr. Jeyapal has college training in marketing, business analysis, economics and advertising and has successfully launched various businesses. He also has experience in business consulting in crafting marketing and growth plans for small business. Mr. Jeyapal has worked as a taxi driver since 2011. Mr. Jeyapal also served as the business development and marketing director for Bluebird Cabs and helped the company with its business development and marketing initiatives. He will assume the position of Vice President- Business Development and Marketing. The Unlawful Activity & Bankruptcy form and Passenger Transportation Ownership forms signed by the applicants indicate no discrepancies. Uptown Taxi’s current NSC safety rating is “Satisfactory-Unaudited”. The application included a comprehensive business plan with detailed information on organizational structure, an Accessible Service Plan, marketing information, business partnerships and alliances, other demographic research and analyses and taxi vehicle data as well as operational and financial plans. The business plan reflects a focused study of the regulatory requirements to set up and operate the proposed business. The applicant provided an outline respecting its policies for driver hiring, training, development and on-going monitoring including related compensation, lease rates and driving hours. All drivers will be required to complete a company training program. Company policies and procedures concerning customer service and treatment were also summarized. The panel was satisfied with the applicant’s responses to ongoing vehicle maintenance and related contingency plans. Of special note is the applicant’s plan to provide additional training to drivers for the transporting of special needs customers. Uptown will routinely bring in individuals from care facilities, hospitals, and other service providers to speak with drivers regarding best practices when dealing with special needs clients. It also aims to be the first taxi company that will require all drivers to have first aid training. The applicant will have in place a dual priority dispatch system for distributing both 5 to 7 passenger taxi van trips and for WAT trips. The robust dispatch system that the applicant is going to utilize is from Digital Dispatch Systems (DDS) will serve the entire CRD. The applicant plans to station its vehicles geographically within the CRD and wants the system to allow it to effectively distribute both types of trips. The dual priority dispatch system will prioritize trips based on needs for wheelchair accessible vans and 7 passenger taxi

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vans. Priority dispatch calls will be given consideration ahead of regular customer calls. The applicant indicates it will be the first taxi company within the CRD to deploy a priority dispatch protocol for all customers requiring seating capacity for more than 4 people. The applicant has provided financial information with start-up costs, projected cash flows and personal net worth statements. The projected cash flow revenues are based on an estimated average number of trips each vehicle would undertake in a 24-hour period. The assumptions that the projections are based on appear realistic and attainable. The business plan further outlines key marketing strategies and business development initiatives that will form as part of its launch of the proposed service. As a management team the applicants bring over 10 years of combined taxi industry experience within the CRD and appear to have a strong understanding, commitment and ability to provide the proposed service that is safe and operated in accordance with the Passenger Transportation Act. The information provided indicates that the applicant is able to finance the initial and on-going operation of the business contemplated by the application. The material demonstrates knowledge and understanding of the requirements to operate the business proposed. We find the applicant to be a fit and proper person to provide the service applied for and to be capable of providing that service.

C. Would the application, if granted, promote sound economic conditions in the passenger transportation business in British Columbia?

The Board looks at the “economic conditions” issue from a wide-ranging view. The economic conditions of the “transportation business in British Columbia” are considered ahead of the economic and financial interests of an individual applicant or operator. The Board supports healthy competition. The Board discourages competition that could unduly harm existing service providers. We have found that the applicant has demonstrated evidence of public need for additional van taxi and WAT capacity in the CRD. The granting of 4 van taxis and 2 WATs represents an approximate 2% increase in the overall taxi fleet capacity of the CRD. The 6 vehicles approved may initially cause slight

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disruption in the market place; it should not cause undue hardship over the longer term on other taxi providers in the CRD given the various demographic and economic growth indicators. The applicant has identified a market that the submitters have not addressed. On balance, the panel finds that the public in a region the size of the CRD will be well served and will benefit with greater service choice, convenience, timeliness and reliability by having some reasonable level of competition presented with a new specialized van taxi service together with an added WAT capacity that offers greater on-demand services for those individuals requiring accessible service. The entire premise of the applicant’s business plan is based on providing a specialized high occupancy taxi and WAT service. Based on this premise, the panel is specifying that the fleet of Uptown Taxi must be 7 passenger van taxis in addition to 2 WAT vehicles, with flip seats. The taxi vans must meet the Board’s eco-friendly taxi requirements. The new taxi van service will provide improved transportation alternatives. Although the applicant intends to service on a priority basis the public need for high occupancy taxis as well as WATs , there may be, at times, fewer than 5-7 passengers for the taxi van service. To ensure there is a well-established focus and delivery on its proposed service, the applicant, in addition to distinct marketing plans, will use a dual-priority dispatch system that will prioritize calls for both taxi vans and WATs to address the calls for these trips more effectively and to reduce wait times. We are establishing as a term and condition of licence that Uptown Taxi must at all times use a dispatch system with a “dual priority”. In addition, the terms and conditions of licence will reflect that the applicant must activate an identifier for an accessible taxi before it activates its final identifiers for a van taxi. This will support the establishment of a business that meets the needs of persons with disabilities or mobility challenged people in the community as a priority. We note the applicant’s comments about some smaller taxi companies being absorbed, through transfers, into the fleets of the larger taxi companies as well as its characterization of its service as a “niche market” alternative to other taxi companies. Further to this premise and to ensure stability and continuity of the specialized van service by the applicant in the community, the panel is directing that for 5 years from the date of this decision, no sale or transfer of shares may take place without the approval of the Passenger Transportation Board.

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We find the competition of a specialized taxi van service and the added capacity of WAT service will have a healthy, positive and complementary effect on taxi service levels in general in the CRD. We find that the granting of the application would promote sound economic conditions in the transportation business in British Columbia VII. Rates The rates set by the “Board Rule for Taxicab Rates for the CRD” effective March 31, 2013 and as amended from time to time apply to vehicles operated under this authorization. VIII. Conclusion For the reasons above, this application is approved in part as set out in this decision. I establish the activation requirements and the terms and conditions of licence that are attached to this decision as Appendix II. These form an integral part of the decision.

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Appendix I Uptown Taxi Ltd.

Wheelchair Accessible Taxis in Selected BC Cities and Towns (Population Data: Statistics Canada 2011. Board Vehicle Data: as of March 1, 2016)

Location

Total Taxi Fleet Size*

Wheelchair Accessible Taxis

(% of Total)

Population

(% aged 65+)

Parksville 8 2 (25%) 11,977 (37%)

City of Vancouver 608 133 (21.9%) 603,502 (13.6%)

Greater Vancouver (excluding City of Vancouver)

1072 182 (17.0%) 1,709,826 (13.5%)

Penticton 29 4 (13.8%) 32,877 (25.8%)

Chilliwack 31 4 (12.9%) 77,936 (16.1%)

Abbotsford 78 10 (12.8%) 133,497 (14.8%)

Whistler 58 6 (10.34%) 1 9,824 (5%)

Kelowna 100 9 (9%) 117,312 (19.1%)

Kamloops 74 5 (6.8%) 85,678 (15.6%)

Greater Victoria (CRD) 282 22 (7.8%) 360,900 (18.4%)

Nanaimo 65 4 (6.2%) 83,810 (19.7%)

Fort St. John 21 1 (4.8%) 18,609 (6.5%)

Prince George 91 2 (2.2%) 71,974 (11.6%)

Haida Gwaii 7 0 (0%) 4,370 (13.1%)

Terrace 19 0 (0%) 11,486 (13.1%)

Nelson 9 0 (0%) 10,230 (15.4%)

Cranbrook 30 0 (0%) 19,319 (17.9%)

Prince Rupert 47 0 (0%) 12,508 (11.9%)

TOTALS 2629 384

*Peak period taxis are not included 1 3 of 6 are seasonal

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Appendix II Uptown Taxi Ltd. Licence Required to Operate Vehicles

The Registrar of Passenger Transportation must issue the applicant a licence before the applicant can operate any vehicles approved in this decision.

Approval of application may expire

1. The applicant must activate at least 50% of the vehicles within 6

months of the date of this decision. 2. If the applicant does not meet the requirements set out in 1 above,

this Special Authorization expires. 3. The Passenger Transportation Board may vary the requirements

set out in 1 above, if circumstances warrant it. 4. If an applicant needs more time to activate its vehicles, then the

applicant must make a request to the Board before the end of the 6 month activation period.

(Note: “activate” means that the applicant has submitted the documents required to obtain a Special Authorization Vehicle Identifier to the Registrar of Passenger Transportation.)

Notice to Registrar

1. The Registrar must not, without direction from the Board, issue the

applicant a licence or any Special Authorization Vehicle Identifiers if the applicant has not activated at least 50% of the vehicles within 6 months of the date of this decision. (Note: activated means that the applicant has submitted to the Registrar of Passenger Transportation the documents required to obtain a Special Authorization Vehicle Identifier.)

2. The Registrar must not issue an identifier for a fourth conventional

taxi UNLESS the licensee has been issued an identifier for an accessible taxi.

3. The must not issue a licence or any Special Authorization Vehicle

Identifiers UNLESS the applicant has provided a letter from its dispatch service provider certifying that the dispatch system installed in each taxi has a “dual priority” that prioritizes trips based on needs for (a) wheelchair accessible taxis and (b) groups of 5 or more passengers.

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Special Authorization

Passenger Directed Vehicle (PDV)

Terms & Conditions of Licence

Vehicles

Maximum Fleet Size:

6 vehicles of which a maximum of 4 only may be taxi vans. All other vehicles are accessible taxis with flip seats

Vehicle Capacity (Taxi vans):

Vehicles accommodate a driver and not less than 6 and not more than 7 passengers.

Specialty Vehicles: The accessible taxis must be operated in accordance with the Motor Vehicle Act Regulations including Division 10 (motor carriers) and Division 44 (mobility aid accessible taxi standards), as amended from time to time, and in accordance with any other applicable equipment regulations and standards.

Flip Seat Authorization:

Passengers may be seated in moveable “flip seats” or “let down seats” that are installed behind the driver in accordance with Division 10.07(5) of the Motor Vehicle Act Regulations.

Eco-Friendly Taxis

All conventional van taxis must be operated as `eco-friendly taxis' as defined by Board Policy Guidelines in effect at the time the vehicle is issued a passenger transportation identifier.

Services

Service 1:

Originating Area: Transportation of passengers may only originate from points on the Saanich Peninsula and any other point on Vancouver Island that is east of Jordan River (including Jordan River) and south of the intersection of Highway 1 and the southern turnoff to Shawnigan Lake (i.e. Highway 1 and Shawnigan Lake Road).

Destination Area: Transportation of passengers may terminate at any point in British Columbia.

Return Trips: The same passengers may only be returned from where their trip terminates in the destination area to any point in the originating area if the return trip is arranged by the time the originating trip terminates.

Service Priority Requirements:

(1) Persons with mobility aids who require an accessible taxi for transportation purposes are priority clients for the dispatch of accessible taxis. The licensee must at all times use a dispatch and reservation system that dispatches accessible taxis on a priority basis to clients who have a need for accessible vehicles.

(2) The applicant must at all times use a dispatch system with a “dual priority” that prioritizes trips based on needs for (a) wheelchair accessible taxis as outlined in 1 above and (b) groups of 5 or more passengers.

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Other Express

authorizations:

(i) Vehicles must be equipped with a meter that calculates fares on a time and distance basis.

(ii) Vehicles may be equipped with a top light.

(iii) Vehicles may, from within the originating areas only, pick up passengers who hail or flag the motor vehicle from the street.

Taxi Cameras: Taxi camera equipment may only be installed and operated in vehicles when the licensee is in compliance with applicable taxi camera rules, standards and orders of the Passenger Transportation Board.

Share Restriction: 1. For a period of five years following the initial licence issuance, no share or shares of Uptown Taxi Ltd. can be transferred without the prior written consent of the Passenger Transportation Board.

2. For a period of four years following the initial licence issuance Uptown Taxi Ltd. must, at the time of licence renewal, submit a notarized list of all its current shareholders and officers to the Registrar of Passenger Transportation

Transfer of a licence:

This special authorization may not be assigned or transferred except with the approval of the Board pursuant to section 30 of the Passenger Transportation Act.