Agenda Index City of Vancouver

ADMINISTRATIVE REPORT

TO:

Standing Committee on City Services and Budgets

FROM:

Chief License Inspector in consultation with the Director of Finance

SUBJECT:

Year 2002 Vehicles for Hire License Fee Amendments

 

RECOMMENDATION

GENERAL MANAGERS' COMMENTS

POLICY

On January 17, 1991, Council resolved that every department/board review services for which fees are now charged to ensure full cost recovery, or that fees are equivalent to competitive charges where the fee is of a market nature.

PURPOSE

The purpose of this report is to update the Vehicles for Hire license fees for 2002. This includes increasing the license fee for all classifications of vehicles for hire, with the exception of the three limousine categories, by approximately 7.5 percent (when rounded), increasing the license fee for limousines from $110 to $150, increasing the license transfer and replacement plate fees and incorporating the $25 fee currently charged for bicycle courier testing into the by-law.

DISCUSSION

This report recommends that with the exception of the three limousine classifications, license fees for Vehicles for Hire, contained in Schedule "A" of By-law No. 6066, be increased by approximately 7.5 percent (when rounded) for year 2002. This amount recognizes that fees were last increased in 1998 by 2.5 percent. The proposed 7.5 percent increase represents the cumulative inflationary rate of adjustment over the past four years. This proposed increase is required to achieve cost recovery for the various services required under the Vehicles for Hire By-law.

It is recommended that the license fees for the vehicles for hire classifications of Antique Charter Limousine, Charter Limousine and Luxury Limousine be increased from $110 to $150. This increase is required as existing fees have been insufficient in recovering the City's costs. Costs associated with limousines include undertaking regular annual vehicle checks as well as additional checks related to the chauffer's permit requirement for all drivers. With the exception of taxis, these inspections and permits are not required for the other vehicle for hire classifications. The license fee for the taxi classifications will remain higher than the proposed limousine license fee as taxis are inspected more frequently and require a meter test twice a year. The additional revenue generated will also be expected to cover costs associated with future studies and policy work around the limousine industry, such as the use of alternate type of vehicles, as well as other vehicles for hire. Depending on the various issues that arise from the findings of these studies, other potential fee increases for all classes of licenses may be considered in the future.

The administrative costs of license transfers and replacement plates has also risen over the past four years, providing justification for the proposed fee increases to recover expenses.
The By-law must also be amended to include the current fee of $25 being charged for bicycle courier testing. The City has been charging this amount for bicycle courier testing since January 2001, however the fee has not been incorporated into the Vehicles for Hire By-Law. Prior to 2001, bicycle courier testing was done by Cycling B.C. for the same $25 fee.

The following table outlines the fee increases for 2002:

Current and Proposed (2002) Vehicles for Hire License Fees (Schedule "A"):

Class of Vehicle Current Proposed (2002)

Airport Shuttle Bus, for each vehicle $51.00 $55.00
Airport Transporter, for each vehicle 110.00 118.00
Antique Charter Limousine, for each vehicle 110.00 150.00
Charter Bus, for each vehicle 110.00 118.00
Charter Limousine, for each vehicle 110.00 150.00
Charter Van, for each vehicle 110.00 118.00
Courier Bicycle, for each vehicle 13.00 14.00
Driver Instruction Vehicle, for each vehicle 110.00 118.00
Dual Taxicab, for each vehicle 275.00 296.00
Funeral Cab, for each vehicle 110.00 118.00
Handicapped Cab, for each vehicle 110.00 118.00
Horse-Drawn Carriage, for each vehicle 364.00 391.00
Luxury Limousine, for each vehicle 110.00 150.00
Motor Stage, for each vehicle 110.00 118.00
Pedicab, for each vehicle 110.00 118.00
For each person operating a leased
vehicle on a daily fee basis 9.00 10.00
School Cab, for each vehicle 110.00 118.00
Taxicab, for each vehicle 275.00 296.00
if used also for displaying advertising material,
for each vehicle so used, additional fee 22.00 24.00
Tow Truck, for each vehicle 110.00 118.00
U-Drive, for each vehicle with 4 or more wheels 30.00 32.00
For each other vehicle 10.00 11.00

License fee to operate a vehicle licensed
for one purpose 48.00 52.00

Administrative costs not in Schedule "A":

Cost of Transfer of License 88.00 95.00
Cost of Replacement Plate 10.00 20.00
Cost of Bicycle Courier Testing None 25.00

CONCLUSION

License fees for vehicles for hire were last increased in 1998. As a result, a 7.5 percent increase for year 2002, reflecting the cumulative inflationary rate of adjustment over the past four years, is being proposed for all vehicles for hire license fees, with the exception of the three limousine categories. The license fees for limousines is to be increased from $110 to $150 to recover the greater inspection and permit costs associated with limousines. Fee increases are also proposed for license transfers and replacement plates and the $25 bicycle courier testing fee being charged since January 2001 is to be incorporated into the by-law.

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