Mobile Business Licensing Public Information Centre Flynn Scott Manager of Regulatory Services Legislative Services November 28, 2019 1
What is a “Mobile B usiness”? • A business that provides goods and/or services to the public from a vehicle or apparatus that is designed to be mobile, including but not limited to, a cart or concession stand. 2
What is a “Mobile B usiness”? • A mobile business does not include: (a) a stall at a farmer’s market ; (b) a business which uses a motor vehicle only as a means to physically transport its goods and/or services to a customer or to obtain goods from a suppler; and (c) any other form of business that is restricted from regulation by a municipality under the Municipal Act. 3
Mobile Business Classifications 4
Overview • Background • Purpose • Transportation Network Companies (TNCs) • Taxicabs • Tow Trucks • Other Classifications • Conclusion 5
Background • On March 25, 2019, Regulatory Review workshop completed to identify by-laws/ timelines for review of regulatory areas • Transportation Network Companies (TNCs) (i.e., Uber, Lyft), Taxicabs, and Tow Trucks all identified in project plan 6
Purpose of Today’s Public Information Centre • To provide info on TNCs, taxicabs, tow trucks, and other mobile businesses • To discuss a fair, consistent approach • To recognize different business models • To consider regulation and deregulation 7
Time to use the survey equipment! 8
Question: Do you live in Newmarket? A. Yes B. No 9
Question: Which best describes you? A. I am associated with the Taxi Industry B. I am associated with Uber, Lyft, or a private transportation network company C. I am a member of the public D. I am associated with another type of mobile business 10
Question: If you are associated with another classification, which best describes you? A. Limousine Services B. Driving School Instructor C. Refreshment Vehicles D. Tow Trucks E. Other F. Not Applicable 11
Question: Which type of ride service do you prefer? A. Public transit B. Uber/Lyft/Other C. Taxicab D. Friends or someone I know and trust 12
Question: Do you, or someone you live with or support, require accessible transportation services? A. Yes B. No 13
Question: How do you rate the current accessible transportation services (including private & public transportation modes) in Newmarket? A. Excellent B. Good C. Average D. Poor E. Not applicable to me 14
Transportation Network Companies (TNCs) 15
Transportation Network Companies (TNCs) What is a TNC? “An organization (whether a corporation, partnership, sole proprietor or other form) that provides pre-arranged transportation services for compensation using an online-enabled application or platform to connect passengers with drivers using their personal vehicles”. 16
Transportation Network Companies (TNCs) General Business Model 17
Transportation Network Companies (TNCs) TNCs Known in Ontario TNC Area of Operation Uber Most urban municipalities Lyft Most urban municipalities RideCo Waterloo Region Blancride GTA and surrounding areas DriveHer GTA and surrounding areas 18
Transportation Network Companies (TNCs) Understanding Different Business Models TNCs Taxis Technology Ride arranged via app Phone-in dispatch/ online booking Driver Screening TNC Municipality Yes – customer & driver No – general Rating System? rated reviews online Cashless – only via app Payment Cash/Credit/Debit Fares Dynamic pricing Tariff + set rate by (surcharge and discount) Municipality 19
Transportation Network Companies (TNCs) Understanding Different Models Cont’d TNCs Taxis Transport of Personal Vehicle Commercial Vehicle Passenger(s) Arranging/ Hailing App Online of Rides Phone-In Hail on Street Employment Part-Time & Full-Time Predominantly Classification of - Dynamic Full-Time Driver(s) Insurance TNC Insures while Driver Requires App is Active Commercial 20
Transportation Network Companies (TNCs) Main Issues • General TNC business model does not comply with Newmarket’s Taxi Licensing By-law • The Town’s highly regulated Taxi industry is facing competition from new platforms in transportation services 21
Transportation Network Companies (TNCs) Important Considerations • Consumer protection concerns (driver screening, vehicle safety, fares) • Accessibility concerns • Modernization of standards • Licensing companies and brokers vs drivers • Changing role of staff admin to audit • Cost recovery for Town services 22
Time to use the survey equipment! 23
Question: How often do you use a TNC? (ie. Uber/Lyft/Other) A. Once a week B. Once a month C. Several times a month D. Never 24
Question: What types of regulations would you like to see TNCs (Uber/Lyft/Others) to comply with? A. Driver Security Check/Clearance B. Vehicle Safety Certification C. Vehicle Commercial Insurance D. All of the above E. None of the above – do not regulate them 25
Municipal Response: TNC Regulations Municipalities with TNC Regulations: • Toronto • Ottawa • Waterloo Region • Niagara Region • Oakville • Barrie • Hamilton • London • Mississauga • Oshawa • Vaughan • Whitby • Windsor 26
Hamilton Niagara Toronto Ottawa Edmonton Waterloo Region Region City Audit TNC data Cameras Vehicle Signage Regulate Fares Annual Safety Criminal Record Checks 27
Transportation Network Companies (TNCs) Consultation/Feedback • TNC Regulations: – Annual record checks + driver’s information – Initial background checks – Vehicle inspection (annual – third party) – Safety standard certificates – Vehicle age restrictions – Insurance requirements – Consumer protection features 28
Transportation Network Companies (TNCs) Opportunities New technologies present new opportunities for the Town, TNCs, and Taxicabs: • Delegating licensing admin to third party – Fair, consistent approach – Ensure compliance through auditing data • More accessible licensing process for industries • Increased options for public transportation 29
Taxicabs 30
Taxicabs What is a Taxicab? “ A motor vehicle that is designed or customarily used for the transportation of passengers, where such motor vehicle is offered or made available for hire together with a driver for the conveyance of passengers or goods, but "taxicab" does not include a delivery cab, limousine or a bus as defined in the Highway Traffic Act”. 31
Taxicabs Taxicabs Licensed in Newmarket Taxi Company Area of Operation Solo Taxi Aurora-Newmarket Today’s Taxi Aurora-Newmarket 32
Time to use the survey equipment! 33
Question: How often do you use a Taxicab? A. Once a week B. Once a month C. Several times a month D. Never 34
Taxicabs Current regulations in Newmarket: 1) Licensing Brokers & Drivers 2) Set Tariffs & Fares 3) Display Meter 4) Illuminated Signage 5) Annual Vehicle Inspections 6) Consumer Protection Features 35
Taxicabs Considerations for changing current regulations: 1) Licensing Brokers & Drivers - Only licence brokers, not drivers • Consistent with TNCs and creates equal opportunities for drivers 36
Time to use the survey equipment! 37
Question: Should the Town licence taxi companies and not individual drivers? (This would hold taxi companies responsible, not individual drivers) A. Yes B. No C. It doesn’t matter to me 38
Taxicabs Considerations for changing current regulations: 2) Set Tariffs & Fares - Remove tariffs and set fares • Equals the playing field for all ride service providers by no longer requiring a set rate • Consistent with other municipalities • Removes Town from competing business models 39
Taxicabs Considerations for changing current regulations: 3) Display Meter - Remove set meters and allow for adjustable fares • Taxi industry can establish digital meters through tablet/app to regulate their business model • Allows for competitive pricing to compete with other ride services 40
Time to use the survey equipment! 41
Question: Should the Town allow competitive pricing models for Taxicabs rather than regulate the tariff and set rates per km? A. Yes B. No C. It doesn’t matter to me 42
Taxicabs Considerations for changing current regulations: 4) Illuminated Signage - Maintain signage regulations on vehicles to differentiate TNCs from Taxicabs 5) Annual Vehicle Inspections - Maintain annual safety inspections, but inspections conducted by broker/company 43
Taxicabs Considerations for changing regulations: 6) Consumer Protection Features Maintain current features such as: vehicle age, mechanical safety inspections, driver background checks, insurance, etc. • Focus is consumer protection: safety is top priority • Different businesses have different models 44
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