imageCITY OF

imagePORTLAND, OREGON

BUREAU OF LICENSES

An Equal Opportunity Employer

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Jim Francesconi, Commissioner

James R. Wadsworth, Director

1900 S.W. 4th Ave., Rm. 40

Portland, OR 97201

(503)  823-5157

Fax: (503) 823-5192

TDD: (503) 823-6868

 

 

 

Report to Council

 

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Date:      November 6, 2002

 

Staff Contact:    John Hamilton, Private For-Hire Transportation Supervisor

 

Subject:  Transfer Broadway Cab’s Taxicab Company Permit from Yellow Transportation of Denver LLC to TSB Acquisition LCC

 

Issue: Should Council approve the request to transfer Broadway Cab Company’s Operating Permit from Yellow Transportation of Denver LLC to TSB Acquisition LLC?

 

Recommendation: Favorable.

 

Discussion: PCC 16.40.210 states that when considering whether to allow the transfer of a taxicab company permit to a new entity the City shall inquire into the transferee’s capacity to meet the following standards.

 

(1)  Possess the technical ability to comply with all regulations governing taxicab operations:

 

Comment: Broadway’s dispatching, billing, marketing, management, and office staff will maintain company operations without interruption. Broadway General Manager Raye Miles will continue in that capacity. As Chief Financial Officer for Yellow Transportation of Denver and a principal of TSB Acquisition, Brad Whittle will lend his professional expertise helping to coordinate a smooth transition for the transfer of ownership of Broadway Cab, Inc.

 

(2) Ensure that the interests of the city will be met with regard to factors listed in PCC 216.40.215-C, as follows:

 

A. The current status of the public transportation system in the City, including, the ability of the public transportation system to provide the timely and effective movement of persons and the ratio of population to the number of taxicabs currently in operation.

 

Comment: The supply of Broadway vehicles and drivers will remain constant following the transfer; the ratio of population to vehicles will not change. Paratransit services that Broadway provides for the Tri-Met LIFT and the Medical Transportation Programs will continue uninterrupted.

 

B. The demonstrated need for additional taxicab service in the City that is not accomplished by existing companies, as shown by the applicant.

 

Comment: Broadway is not requesting permission to increase the size of its fleet.

 

Broadway Cab, Inc.

Permit Transfer

November 6, 2002

Page 2 of 2

 

C. The present utilization patterns of taxicabs currently in operation.

 

Comment: This transfer would have no direct, immediate affect on Broadway’s vehicle utilization patterns or the utilization patterns of the other permitted taxicab companies.

 

D. The interests of the applicant in establishing a local business to legitimately serve the citizens of this City.

 

Comment: TSB Acquisition, an Oregon corporation, will replace Yellow Transportation of Denver, as Broadway Cab’s financial backer. Broadway General Manager Raye Miles believes that local control will improve Broadway’s competitive stance in the marketplace and enhance its administrative efficiency.

 

E. The extent to which granting the application will serve the purposes of this Chapter, as set out in Section 16.40.001.

 

Comment: The purpose for regulation stated in PCC 16.40.001 is to ensure that the public safety is protected, the public need provided, and the public convenience promoted. Under the city’s supervision the industry is to regulate itself, promote innovation and competition, and adapt to changing needs and economic forces of the marketplace. With local control, TSB Acquisition would enhance Broadway’s ability to prosper while operating according to these principles.

 

(3) Have financial resources to be able to meet the minimum operating standards established by PCC 16.40.510.

 

Comment: The attached report by Terri Williams (Exhibit 1) illustrates that TSB Acquisition has sufficient financial resources to meet the minimum standards regarding administrative staff and equipment, dispatch system, number of cabs permitted to operate, liability insurance, drivers’ logs and compliance with regulations forbidding service refusal.

 

Findings / Conclusions: Based on review of the financial statements and other documents by Audit Manager Terri Williams and other Bureau staff, I find that all technical, legal and financial concerns of the city have been satisfactorily answered. Therefore I conclude that TSB Acquisition LLC has established its fitness to comply with the requirements of the Code, that it has sufficient financial resources to meet the minimum operating standards and that the interests of the city will be served by the approval of this request for permit transfer.

 

Recommendation: I recommend that Council approve the transfer of Broadway Cab’s Taxicab Company permit to TSB Acquisition LLC.