Agenda Index City of Vancouver

POLICY REPORT
LICENSING

TO:

Standing Committee on City Services and Budgets

FROM:

Chief License Inspector in consultation with the Director of Legal Services

SUBJECT:

Amendment to Vehicles for Hire By-Law No. 6066: School Shuttle Van Classification

 

RECOMMENDATION

GENERAL MANAGER COMMENTS

COUNCIL POLICY

The Vancouver Transportation Plan (1997): supports small community buses offering services around neighbourhoods and as a feeder service to the main TransLink services.

The Transportation Plan also identifies the need for a substantial increase in transit services to accommodate the growing demand for trips around the city.

Council, by way of the Vehicles for Hire By-Law, Number 6066, licenses and regulates owners and drivers for hire in the City of Vancouver.

On June 16, 1998, Council passed By-Law 7903 which amended the Vehicles for Hire By-Law No. 6066 to identify shared-ride vans as a new classification of carrier. This classification was included to prohibit the operation of a shared-ride service in the City until appropriate regulations for granting licenses and the operation of such a service carrier were established.

On July 7, 1998, Council reviewed a staff report presenting the legal, commercial and transportation issues pertaining to shared-ride van services. The report concluded that a shared-ride service could provide a valuable additional transportation service in Vancouver. Council directed staff to evaluate the opportunities and potential problems with a city-wide shared-ride service, review the same with the Motor Carrier Commission (MCC), BC Transit, the taxi industry and other interested associations and groups and report back on appropriate operational and licensing regulations.

On October 19, 1999, Council considered an administrative staff report summarizing the findings of a Technical Report on Shared-Ride Van Services. Subsequently, Council unanimously passed a motion approving in principle the concept of licensing a shared-ride van service or services and requested that the Chief License Inspector report back with recommended arrangements and regulations for granting licenses and operation of shared-ride van services after consulting with the Motor Carrier Commission, TransLINK, industry representatives and other interested parties.

In response to Council's motion of October 19, 1999, a "City of Vancouver Shared-Ride Service Model" has been developed providing operational, licensing and vehicle and driver regulations fora shared-ride service(s) based in the City of Vancouver. Operators seeking licensing under the provisions of the Model must obtain prior approval from the Motor Carrier Commission and comply with all regulations contained therein. The Model is ready to proceed to Council for consideration.

PURPOSE

The purpose of this report is to propose an amendment to the Vehicles for Hire By-Law No. 6606 to include a School Shuttle Van as a new Vehicle for Hire classification. This amendment will allow the operation of a school shuttle van service(s) transporting children, from preschoolers up to grade 12 exclusively, to and from schools within the City of Vancouver.

BACKGROUND

Status of Shared-Ride Services in the City

A Shared-Ride Service Model providing operational, licensing and vehicle and driver regulations for a shared-ride service(s) in the City of Vancouver has been developed through consultation with the Motor Carrier Commission (MCC), TransLINK and taxi industry representatives. The Model establishes set parameters and criteria under which all shared-ride operations are to be evaluated. Operators seeking licensing under the provisions of the Model will be required to obtain prior approval from the MCC and comply with all regulations contained therein.

Since February 2001, the City has been monitoring the progress of an application for shared-ride services before the Motor Carrier Commission. The application was refused in June 2001, however, a reconsideration is scheduled for March, 2002. With Council's support, it is staff's intention to present the Shared-Ride Service Model to the MCC prior to its ruling so that should the application be approved, the City's regulations can be considered when the MCC develops its own terms and conditions of licensing.

Reports concerning the Shared-Ride Service Model and the proposed school shuttle van service are being presented to Council at the same meeting since the latter is a service similar to shared-ride, but exclusive to children.

DISCUSSION

School Shuttle Van Service

Last year, the City received a request for the licensing of a school shuttle van service which staff believe would be a valuable transportation provider in the City of Vancouver. The proposed operation plans to serve as a single-purpose shared-ride service catering to school
children only. The business would operate as a franchise, with vehicles transporting children to and from schools within Vancouver city limits.

Currently, there is demand in the City of Vancouver for a school shuttle van service as many parents, due to work and other commitments, are unable to transport their children to and from school five days a week. Although taxi services are available to provide such a service, staff believes that many parents are uncomfortable with placing their children in the hands of an unknown driver and therefore, would prefer not to use taxis.

Licensing a school shuttle van service would require the creation of a new vehicle for hire classification as such a service differs from regular shared-ride services by catering exclusively to children. A school shuttle van cannot be considered a school cab as this form

of transport is defined in the Vehicle for Hire By-Law as "means a motor vehicle used for the conveyance of children to or from school and operated by or under contract with the owner or person in charge of the school." Staff understands that the proposed school shuttle operation will not have a contract with the Vancouver School District, arranging its services directly with parents. This would likely be the case for similar services as well. As the school shuttle van cannot be licensed either as a Shared Ride Van or as a School Cab, a new vehicle for hire classification labeled "School Shuttle Van" is to be created allowing such services to operate in the City.

Motor Carrier Commission Jurisdiction

The Motor Carrier Commission has not granted the proposed school shuttle van an "exemption" to the Motor Carrier Act because the MCC has concluded that the operation is structured in such a way that the Motor Carrier Act does not apply to it (refer to Appendix A). Specifically, Section 2 of the Motor Carrier Act states that "This Act does not apply to a motor vehicle operated for hire while used exclusively in carrying pupils or teachers to or from a school, except as otherwise expressly provided in Section 20." Therefore, unlike regular shared-ride van services which require Provincial motor carrier licensing approval, the City is in a position to allow a school shuttle van service exclusive to children.

As the new vehicle for hire "School Shuttle Van" classification would be specific to the transport of children to and from school only, any future changes to the operational structure of a school shuttle van operation, including service expansions such as the transport of pupils to birthday parties and other appointments and to/from after-school care, would require motor carrier licensing approval and an amendment to existing municipal licensing requirements.

Example of School Shuttle Van Service

Appendix B describes the proposed shared-ride service called Kids Coach which is summarized as follows:

Kids Coach will utilize GMC Safari vans with a 7-passenger capacity and will normally carry anywhere between 2-6 passengers on weekdays only. Initially, the operation will begin in one area of the City with two to three vehicles, with more vans being introduced in the future depending on the operation's success. The business will operate through agreements with parents wherein pre-bookings could be made to arrange for the pick up/drop off of children at the same place and time every day of the week, both on route to and from school, or to pick up/drop off certain children at school on days when their parents are unable to make alternate arrangements. All children in kindergarten and Grade 1 will be walked into their classroom and also retrieved there on the way back home from school.

The service has received licensing in other neighbouring municipalities, and in Richmond in particular, charges a rate of $6.50 one way/$12.00 return for the first child in a family. The second child is charged half price and the third or more children in the family are free. Staff anticipate that other such transportation providers would be similarly structured.

CONSULTATION WITH POTENTIAL COMPETITION

A formal letter outlining the nature of a school shuttle van service and seeking comments/feedback was mailed to all four licensed taxi companies in the City, the proponent of the proposed "Local Minibus" shared-ride service, the Vancouver School Board Student Transportation Department and school bus operators licensed in the City.

The Vancouver School Board Transportation Supervisor indicated that a school shuttle van operation would not impact on the school bus service that it contracts out due to the number of students transported. Should the company meet the requirements set by Transport Canada, ie. seatbelts and the City of Vancouver licensing requirements, the only concern cited was for the proper training and monitoring of drivers. Two licensed school bus operators responded with the first indicating that the proposed service would not be a concern as most of their business is outside the City and the second disputing the fact that MCC approval is not required for a school shuttle van operation. No formal response was received from the "Local Minibus" proponent. Both Yellow Cab and Vancouver Taxi formally filed an objection to the licensing of a school shuttle van service in the City. The main reason was the impact of such a service from a financial perspective, particularly in light of the large number of school accounts these taxi companies presently have to transport school children in the City.

PROPOSED CONDITIONS OF LICENSING

School shuttle van service(s) would have to operate within the confines of existing licensing regulations pertaining to all vehicles for hire as set out in Vehicles for Hire By-Law No. 6066. Staff recommend that school shuttle van services be licensed subject to the following conditions:

1. The operation is permitted to transport children only, from preschoolers up to grade 12 exclusively. This condition serves to differentiate the service from a regular shared-ride van service which caters to all age groups.

2. The number of vehicle licenses for school shuttle van services in the City will be limited to a total of ten (10). Staff will monitor the impacts once this number of vehicles has been reached and will report back to Council on the conclusions and possible expansion to the number of licenses.

3. The service will be restricted to picking up and dropping off children within the boundaries of the City of Vancouver. Crossing municipal boundaries will not be permitted.

4. The age of the vehicles at point of licensing is to be no older than two years of the date of manufacture.

5. All vehicles are to be retired within a maximum of five years from the date of manufacture.

6. All vehicles must have clear, legible permanent lettering not less than eight centimeters high, on both sides identifying the vehicle as a school shuttle van service on the sliding doors and the business name, telephone number and car number on the front doors.

7. As the operation is structured in such a way that motor carrier licensing is not required, each van will be required to pass an annual vehicle safety inspection under the provisions of the Motor Vehicle Act. The license will be suspended if the vehicle fails to pass the safety inspection and shall remain suspended until the vehicle has been reinspected and approved pursuant to the provisions of that Act.

8. All vehicles must meet the requirements of Transport Canada (eg. seatbelts and age-appropriate car seats).

9. As the nature of the operation requires drivers to have direct contact with children, all drivers must obtain a chauffeur's permit. An application for a chauffeur's permit would be made to the Chief Constable who would undertake a criminal record check under the Criminal Records Review Act. Preference in hiring drivers should also be given to those applicants who possess a standard first aid certificate.

10. All drivers are required to successfully complete the existing TaxiHost Level I training required for taxi drivers. The City will be investigating the possibility of further specialized training for school shuttle van drivers and such training may be applied further to a review of the service after a full year of operation.

11. All drivers must wear an assigned neat and clean uniform.

12. All drivers must wear picture identification on the outside of their uniform which includes the name of the company, a photograph and the driver's name.

All relevant provisions of the Motor Vehicle Act and associated regulations must also be adhered to.

PROPOSED AMENDMENTS

It is proposed that a "Vehicles for Hire" classification be included in the Vehicles for Hire By-Law No. 6066 generally as follows subject to such changes as the Director of Legal Services considers necessary:

The above definition differs from the "Shared Ride Van" Vehicle for Hire definition in that the service is restricted to transporting school children only.

The Vehicles for Hire By-Law No. 6066 pertaining to the need for a chauffeur's permit is to be amended to include a school shuttle van along with the taxicab and limousine. Other amendments will cover the "Proposed Conditions of Licensing" set out earlier in the report.
CONCLUSION

The inclusion of a new school shuttle van vehicle for hire category into the Vehicles for Hire By-law will permit the operation of school shuttle van service(s) transporting children, from preschoolers up to grade 12 exclusively, to and from schools within the City of Vancouver. This transportation provider does not require Motor Carrier licensing approval as the operation is structured in such a way that the Motor Carrier Act does not apply to it. For this reason, the City is in a position to license the service subject to the licensing conditions outlined in the report.

NOTE FROM CLERK: Appendices A and B are not available in electronic form and are on file in the Office of the City Clerk.

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