Stay informed with the LNN Daily Newsletter

Taxi rate increases, regulatory changes endorsed by cab companies, city

Dec 1, 2016 | 10:15 AM

LETHBRIDGE – City Council gave the go ahead for several amendments to Lethbridge’s Licence Bylaw, allowing taxi companies to get on par with other Alberta cities.

Back on October 3, 2016, Mark Lencucha made a presentation to council, on behalf of Royal Taxi, A-Plus Taxi and Fifth Avenue/Lethbridge Cabs, requesting the fare increases listed in the photo above, since they haven’t been raised since late 2008. He explained that it will help cab companies compensate for rising operating costs and minimum wage, and bring them in line with cities like Red Deer and Medicine Hat.

He also asked for the following regulatory changes required for all taxis, including Transportation Network Companies (TNC) like Uber in the future:

– display a top light, company name and unit number;
– seatbelt provisions that put the onus on individual drivers to ensure seatbelt use;
– hold a valid taxi licence;
– proof of valid liveryman or taxi insurance annually;
– 24 hour dispatch service;
– establish rates as both a maximum and minimum.
 
Since then, all 14 taxi companies in Lethbridge were contacted to provide input, ensuring fair representation.
 
That review found all of the companies rejected the implementation of a minimum rate per distance and 24 hour dispatch. Smaller, independent companies stated a minimum would restrict their ability to offer competitive pricing.
 
In regard to dispatch, they said it would be cost prohibitive, and would rather be contacted directly by police, if need be. Many have also begun using third party communication through apps or text messaging.

However, both industry and the City’s Regulatory Services showed support for increasing maximum rates, having taxis easily identifiable, a seatbelt provision that addresses individual operator licences and mandatory licencing.
 
“They needed this to pay the bills,” said Duane Ens, Regulatory Services Manager. “However, a number of smaller independents have indicated they want to compete on cost, and they’re going to keep their rates at the same amount.”

Council members, aside from Joe Mauro, agreed with the updated recommendations, and approved a resolution at Monday’s (Nov. 28) meeting to amend Bylaw 5658.

Ens explained that some work still needs to be done after the new regulations are passed. “It’s going to take about three weeks for officers to go to the various cab companies that want to raise their rates so that we can check the meters. You’re probably looking at late-January, early-February by the time this actually gets into place.”

Other talks are still underway with TNC drivers to work out more in-depth policy and bylaw revisions at the municipal level for services like Uber and Lyft. Ens did note that while those companies are hesitant at this point to launch in smaller cities due to provincial regulation concerns, they have already expressed some interest in Lethbridge.