(a) “Owner” means any natural person, partnership, corporation, firm, or association engaged in the business of operating taxicabs. It also includes receivers or trustees appointed by any court.

(b) “Taxicab” means a motor vehicle with maximum seating capacity of not more than eight (8) passengers, and used for the transportation of passengers who direct the route to be travelled over the streets and not over a defined route or upon a fixed schedule, for compensation in accordance with the distance travelled and/or the time elapsed and number of passengers carried as determined by a taximeter device, or by a flat rate schedule, irrespective of whether the operations extend beyond the boundary lines of the City of Gilroy.

(c) “Taximeter” means any instrument or device approved for use under the applicable laws of the State of California, which mechanically or electronically calculates the charge for the use of a taxicab. The taximeter registers such charge by means of figures, including dollars and cents, calculated by an initial charge and thereafter a charge for distance travelled, and/or waiting time. (Ord. No. 94-2, § II, 2-22-94)

23.2 Taxicab stands.

(a) The city council may, by resolution, locate and designate taxicab stands, which stands when so established shall be appropriately designated “Taxis Only.” Except in the event of an emergency, no person shall park, stand or stop any vehicle other than a taxicab in a space designated as a taxicab stand.

(b) A fee shall be paid for each taxicab stand utilized by a taxicab in accordance with the fee schedule established by resolution of the city council. Said fee shall be paid monthly, in advance, to the office of the director of finance. (Ord. No. 94-2, § II, 2-22-94)

23.3—23.5 Reserved.

ARTICLE II. TAXICAB PERMIT

23.6 Permit requirement.

(a) No owner of a taxicab shall operate or cause to be operated a taxicab on the streets of the City of Gilroy without a fully valid taxicab permit issued by the chief of police.

(b) Any taxicab may, however, transport passengers from a point outside to a destination within the city or may proceed through the city while en route to a destination outside of the city without the issuance of a permit, and such operations shall not of themselves constitute engaging in business in the city within the meaning of this chapter.

(c) The chief of police may, in his sole discretion, issue a taxicab permit to an owner in reliance on an owner’s permit, license, certificate or equivalent document issued by another local public entity if the chief finds that said public entity obtained substantially similar information regarding the ownership and operation of the taxicabs and imposes substantially similar requirements for safe operation of taxicabs and the lawful operation of a taxicab business.

(d) A taxicab permit issued pursuant to this chapter shall be valid for one (1) year from the date of issuance. (Ord. No. 94-2, § II, 2-22-94)

23.7 Application.

Every applicant for a taxicab permit shall execute and file with the chief of police a verified application that contains the following information:

(a) The name, residence and business addresses of the applicants, including those of all members of any firm or partnership, and all officers and directors of any corporation.

(b) The location of the proposed business and the fictitious name, if any, under which the business is to be operated.

(d) Whether any application for, or permit, license, certificate or equivalent document issued to the applicant for operation of vehicles for hire has been denied, revoked or suspended by any public agency. The circumstances of said denial, revocation or suspension shall be fully explained.

(e) Whether the applicant or officers of the applicant have been convicted of any crime, misdemeanor or violation of any municipal ordinance or state law within five (5) years prior to the date of the application, including the nature of the offenses and the punishment or penalty assessed therefor.

(f) The number of vehicles proposed to be used as taxicabs.

(g) A complete description of the vehicles, including the make, model, serial number and license number of each vehicle, and any logos, distinguishing vehicle markings and colors.

(h) A completed taxicab inspection form showing that each vehicle has successfully passed the lamp, brake, smog and taximeter inspections. Said inspection is to be sworn to by a mechanic licensed by the State of California for the purpose of automobile inspection and repairs who has inspected and examined such vehicles.

(i) Proof of valid insurance policies as required by this chapter; or where not yet issued, a written statement from an insurer that such insurance policies will be issued if the application is granted.

(j) Such additional information as required by the chief of police for the protection of the city. (Ord. No. 94-2, § II, 2-22-94)

23.8 Permit fee.

The applicant for a taxicab permit shall submit with the application an application fee, as set forth in the schedule of fees established by resolution of the city council, and if a permit is granted, the applicant shall pay a permit fee established by the city council. (Ord. No. 94-2, § II, 2-22-94)

23.9 Grounds for denial.

The chief of police, or the city council on appeal, may deny an application for a taxicab permit on any of the following grounds:

(a) The application fails to contain any of the required information as set forth in section 23.7 above, or any of the information contained in the application is false.

(b) Any vehicle proposed to be operated is inadequate or unsafe, and the applicant has failed to substitute a safe vehicle in its place in a reasonable time.

(c) The name under which the applicant will conduct business, or applicant’s proposed color scheme or other marking, design or insignia, will tend to confuse the identification of taxicabs which applicant proposes to operate with those operated under existing taxicab permits.

(d) The applicant has failed to comply with any term, condition, or requirement in a taxicab permit or has had a taxicab permit revoked within three (3) years prior to the date of application.

(e) The applicant within five (5) years prior to the date of application, has been convicted of a crime, or is on parole or probation for a crime, and the crime is substantially related to the qualifications, functions or duties of an owner of a taxicab business.

(f) The applicant has failed to pay when due any applicable taxes, license or other permit fees imposed by the City of Gilroy. (Ord. No. 94-2, § II, 2-22-94)

23.10 Action by chief of police.

(a) Within a reasonable time after receipt of the application, the chief of police may approve or deny the application, or issue a taxicab permit to the applicant to conduct all or any part of the proposed service.

(b) The chief of police may impose such terms, conditions or restrictions on the taxicab permit as the chief deems necessary to provide adequate and dependable service to the public and to protect the use of public streets and facilities.

(c) Any taxicab permit issued, and all interest, rights and obligations pertaining thereto, is personal to the holder of such permit, and are not transferable or assignable, by operation of law or otherwise.

(d) The applicant to whom a taxicab permit has been issued shall, prior to commencement of any taxicab operation, file with the chief of police acknowledged written acceptance thereof and its agreement to comply with all the terms and conditions required under such permit and this chapter. (Ord. No. 94-2, § II, 2-22-94)

23.11 Appeal.

The decision of the chief of police in regard to the issuance of a taxicab permit may be appealed to the city council. The procedures for the appeal and the requirements of notice and hearing are set forth in Article VII of this chapter. (Ord. No. 94-2, § II, 2-22-94)

23.12 Addition or substitution of vehicles.

The holder of a taxicab permit may add or substitute a different vehicle for a taxicab operated under the permit issued pursuant to this chapter by filing an application amendment with the chief of police, setting forth all information required in section 23.7 regarding taxicab vehicles, including, but not limited to, the proof of safe operating conditions and evidence that the vehicles are covered under the insurance policies required by this chapter. (Ord. No. 94-2, § II, 2-22-94)

23.13 Fares.

(a) The city council may by resolution after a public hearing determine and fix rates and fares for the use of taxicabs.The city clerk shall notify every holder of a taxicab permit at least ten (10) days prior to the public hearing on rates and fares.

(b) If the city council has not established rates and fares, then an owner shall cause the correct schedule of rates and fares to be registered with the chief of police upon issuance of a taxicab permit. Any proposed changes in said schedule shall be filed with the chief at least ten (10) days prior to taking effect.

(c) It shall be unlawful to charge or collect rates or fares in excess of said rates and fares as set by the city council or, if not set by the council, then to charge or collect rates or fares in excess of that schedule registered with the chief of police. Any overcharge shall constitute a ground for revocation or suspension of a taxicab permit or a taxicab driver’s permit.

(d) It shall be unlawful for any person to refuse to pay the scheduled fare imposed for taxicab service upon arriving at a destination.

(e) The driver of any taxicab shall give any passenger who so requests a receipt for the fare charged and paid. The receipt shall contain the name of the taxicab business, the name of the driver, and the date and the amount of fares charged and paid. (Ord. No. 94-2, § II, 2-22-94)

23.14 Identification of taxicabs.

(a) The following identification shall be placed and maintained on both sides and the rear of each taxicab operated under this chapter:

(1) A serial body number, assigned by the chief of police for each taxicab, at least four (4) inches in height and of such color as will contrast distinctly with the color of the body of the taxicab, shall be placed on each vehicle in the locations directed by the chief of police.

(2) The owner’s trade name shall include the word “taxicab,” “taxi” or “cab” and shall be in letters at least four (4) inches in height and of such color as will contrast distinctly with the color of the body of the taxicab.

(b) All identification required to be placed on a taxicab shall be removed within forty-eight (48) hours after such taxicab is removed from the owner’s taxicab service.

(c) There shall be displayed in each taxicab, in full view of the passenger, a card not less than four (4) inches by six (6) inches in size, which shall have plainly printed thereon the name of the owner, or the fictitious name under which such owner operates, the business address and telephone number of such owner, and a correct schedule of the rates allowed in this chapter to be charged for conveyance in the vehicle. (Ord. No. 94-2, § II, 2-22-94)

23.15—23.19 Reserved.

ARTICLE III. INSPECTIONS AND MAINTENANCE

23.20 Equipment and conditions required.

(a) Each taxicab operated under a taxicab permit issued pursuant to this chapter shall at all times be maintained in compliance with the conditions and equipment requirements as set forth in Division 12, Chapters 1 through 5, of the California Vehicle Code. The chief of police retains his authority under California Vehicle Code Section 2806 to inspect any vehicle upon reasonable cause. All taxicabs shall be safety inspected annually in the manner provided for by section 23.7(h) and (i) of this chapter. The inspection shall be completed prior to any application for renewal of the taxicab permit.

(b) The owner and the driver of a taxicab shall not allow a taxicab with any unsafe condition to be used until necessary repairs are made. The driver of a taxicab shall inspect the taxicab and its equipment at least once each day.

(1) One operable safety belt for each passenger carried.

(2) A spare tire, capable of being used at any of the wheels of the vehicle, and a set of tools for changing tires.

(3) Safety or shatter-proof glass in the windshields and windows.

(4) A two-way radio in an “on and operating” position for the entire time the taxicab is in service and available to the public.

(d) Each taxicab operated under a taxicab permit issued pursuant to this chapter shall be maintained in such condition so that:

(1) All doors, windows, hood and trunk will open and close securely.

(2) The inside of the taxicab and the luggage compartment is clean and does not soil, rip or otherwise damage the passenger’s clothing or effects.

(3) The exterior of the taxicab is clean and in good repair.

(4) Taximeters shall not be required; provided, however, that any taximeter employed in any taxicab shall be in proper working order. (Ord. No. 94-2, § II, 2-22-94)

23.21 Evidence of mechanical condition.

(a) Upon receipt of a citizen’s complaint or police officer’s observation regarding the mechanical condition of a taxicab, or following the taxicab’s involvement in an accident, the chief of police may require any or all of the following:

(1) A visual inspection of the taxicab by a member of the police department.

(2) An interview by a member of the police department with the owner or driver of the taxicab regarding the mechanical condition of the taxicab.

(3) A sworn statement that the taxicab is in safe operating condition and a completed taxicab inspection form as required in section 27.7(h) and (i).

(b) If the owner or driver of the taxicab refuses to submit to an inspection as required above, the chief of police may issue an order prohibiting such vehicle from use in taxicab service.

(c) Upon determination that any vehicle operated under a taxicab permit is not in safe operating condition, the chief of police may issue an order requiring that such vehicle not be used in taxicab service until it has been repaired to the satisfaction of the chief of police.

(d) The chief of police shall have the authority to impound vehicles which continue to be used for taxicab service in violation of an order. (Ord. No. 94-2, § II, 2-22-94)

23.22 Appeal.

(a) The order of the chief of police issued under section 23.21 of this chapter may be appealed to the city council. The procedures for the appeal and the requirements of notice and hearing are set forth in Article VII of this chapter.

(b) The vehicle(s) in question shall not be used for taxicab service pending the appeal. (Ord. No. 94-2, § II, 2-22-94)

23.23 Report of accidents.

Each holder of a taxicab permit and the driver of a taxicab involved in an accident resulting in property damage exceeding five hundred dollars ($500.00) or personal injury of any kind shall immediately report the accident to the chief of police. (Ord. No. 94-2, § II, 2-22-94)

23.24 Owner’s records.

(a) The owner shall maintain at all times complete and accurate records of:

(1) The names, addresses, and dates of commencement and termination of employment or contract of all drivers employed or engaged under contract by the owner;

(2) The description of the taxicab driven by each driver, including the make, model, serial number and permit number;

(3) The hours during which each driver is on duty; and

(4) All dispatch calls received and made by the owner including the starting and destination points and times.

(b) The owner shall maintain such records for a minimum period of three (3) years, and shall make them available for inspection during normal business hours upon request by the chief of police. (Ord. No. 94-2, § II, 2-22-94)

23.25—23.29 Reserved.

ARTICLE IV. INSURANCE REQUIREMENTS

23.30 Insurance requirements.

(a) The holder of a taxicab permit, at its sole cost and expense, shall obtain and maintain throughout the term of its taxicab permit, or any renewal thereof, all liability and other insurance requirements as may be presently or in the future required by any financial responsibility laws of the State of California.

(b) No taxicab permit shall be issued or continued in operation, and no person shall drive or cause or permit to be driven or operated, any taxicab regulated by this chapter unless and until there is in full force and effect motor vehicle liability insurance policies insuring such owner and covering each such taxicab and each driver thereof, and unless and until such owner shall file with the chief of police written certificates of insurance showing that such policies are in full force and effect and that an endorsement has been issued to each such policy therein citing that the same shall not be cancelled and no reduction in the amount of coverage shall be made except upon thirty (30) days prior written notice to the city. Such policies shall insure the owner and any other person using or responsible for the use of any such taxicab, against loss from the liability imposed on any of them by law for injury to, or death of, any person or damage to property, arising from or growing out the maintenance, operation or ownership of any taxicab covered by the policy, with coverage limits in such amount as required by the city’s risk manager.

(d) In addition to the insurance required under paragraph (a) of this section, the taxicab owner shall also furnish to the city, at its own cost and expense, a policy of liability and other insurance coverage as may be required under the applicable insurance standards of the city. Such policy or policies shall be maintained in full force and effect in accordance, with said insurance standards during the entire term of the taxicab permit.

(e) All such policies and certificates, and evidence of compliance with any other insurance or indemnity requirements of the city, shall be approved by the risk manager of the city.

(f) If at any time the insurance policies or any portion thereof expire during the term of the taxicab permit, said permit shall be immediately suspended. The chief of police is hereby authorized to enforce such suspension upon receiving written notice from the risk manager that no proof of renewal or reinstatement has been submitted by the holder of a taxicab permit.

(g) The taxicab permit shall be automatically revoked upon the cancellation of the insurance policies or coverages required under this section unless replacement policies approved by the risk manager are obtained and in force prior to said cancellation. (Ord. No. 94-2, § II, 2-22-94)

23.31—23.34 Reserved.

ARTICLE V. TAXICAB DRIVER’S PERMIT

23.35 Application.

(a) No person shall operate any taxicab regulated by this chapter in the City of Gilroy unless the person has been issued a valid taxicab driver’s permit as hereinafter provided.

(b) Application for such permit shall be made in writing to the chief of police and verified by the applicant setting forth the following information:

(1) The applicant’s name, age, address and past experience with regard to taxicab service.

(2) Names and contact information of applicant’s employers during the previous three (3) years.

(3) Whether an operator’s or a chauffeur’s license issued to the applicant by any state or governmental agency has ever been revoked, and the reasons therefor.

(4) Whether the applicant has been convicted of any crime, misdemeanor, or violation of any municipal ordinance or state law within five (5) years prior to the date of the application, including the nature of the offenses and the punishment or penalty assessed therefor.

(5) Whether the applicant has any disease or disorder or medical history of same, or is taking any medication or treatment, which could interfere with the safe operation of a motor vehicle.

(6) The name and address of the owner by whom the applicant is to be employed or engaged under contract as a taxicab driver.

(7) Such additional information as the chief of police may require. (Ord. No. 94-2, § II, 2-22-94)

23.36 Photographs and fingerprints.

(a) The applicant for a taxicab driver’s permit shall provide two (2) recent photographs to the chief of police, one to be filed with the application, and the other to be permanently attached to the permit. The permit shall be posted in a place conspicuous from the passenger’s compartment of the taxicab.

(b) Prior to issuance of a taxicab driver’s permit, the applicant shall be fingerprinted by the police department. (Ord. No. 94-2, § II, 2-22-94)

23.37 Taxicab driver’s permit fee.

The applicant for a taxicab driver’s permit shall submit with the application a fee as set forth in the schedule of fees established by resolution of the city council. (Ord. No. 94-2, § II, 2-22-94)

23.38 Grounds for denial.

The chief of police, or the city council on appeal, may deny an application for a taxicab driver’s permit filed by any person:

(a) Who is under the age of eighteen (18) years.

(b) Who does not hold a valid driver’s license issued by the State of California for the type of vehicle the applicant proposes to use as a taxicab in the city.

(d) Who is addicted to the use of narcotic drugs or a habitual user of any other drug which renders a person incapable of safely operating a taxicab.

(e) Who has a disease, disorder or medical history of same, or is taking any medication or treatment, which could interfere with the safe operation of a motor vehicle.

(f) Who does not demonstrate either proficient knowledge of the traffic laws of the State of California and the City of Gilroy, or is determined to be a negligent or incompetent operator of a motor vehicle.

(g) Who, within five (5) years prior to the date of application, has been convicted of any offense involving the use, possession, sale or transportation of narcotics, and the commission of such offense involved the use of a motor vehicle.

(h) Who, within five (5) years prior to the date of application, has been convicted of reckless driving or driving under the influence of any drug or intoxicating liquor.

(i) Who, within five (5) years prior to the date of application, has been convicted of a crime, or is on parole or probation for a crime, and the crime is substantially related to the qualifications, functions or duties of a taxicab driver.

(j) Who has had a taxicab driver’s permit issued pursuant to this chapter revoked within three (3) years prior to the date of application.

(k) Who has failed to furnish the information required for the application for the permit, or who has knowingly made a false statement, or concealed a material fact, or otherwise committed any fraud in the application. (Ord. No. 94-2, § II, 2-22-94)

23.39 Action by chief of police; temporary permit.

(a) Within a reasonable time after receipt of the application, the chief of police shall issue a taxicab driver’s permit to the applicant, if the chief determines that there is no ground for denial of the permit. The chief may impose such terms, conditions or restrictions on the permit as is deemed necessary. The duration of the permit shall be for two (2) years from the date of issuance.

(b) If the chief of police has not completed all necessary investigation of the applicant and the application, but has no reason to believe that any ground exists for denial of the permit, the chief may issue a temporary permit to the applicant for a period of six (6) months or less, which permit shall be automatically revoked upon the actual issuance or denial of the taxicab driver’s permit. (Ord. No. 94-2, § II, 2-22-94)

23.40 Appeal.

The decision of the chief of police to disregard an application for a taxicab driver’s permit may be appealed to the city council. The procedures for the appeal and the requirements of notice and hearing are set forth in Article VII of this chapter. (Ord. No. 94-2, § II, 2-22-94)

23.41 Termination of employment or contract.

(a) The taxicab driver’s permit shall be automatically revoked upon the termination of the driver’s employment or contract with the owner who endorsed the permit application.

(b) Within twenty-four (24) hours after any termination of employment or contract, the owner and driver shall notify the chief of police in writing of such termination and surrender any driver’s permit in their respective possession. If said permit is unavailable, the owner and driver shall state on the notification the unavailability of the permit and the reasons therefor. (Ord. No. 94-2, § II, 2-22-94)

23.42 Reissuance of permit.

(a) The chief of police may approve reissuance of a taxicab driver’s permit to any applicant without requiring another written application or new photographs and fingerprints and without the permit fee, if the endorsement required pursuant to section 23.35(b)(7) is filed by another owner within six (6) months after the applicant’s prior employment or contract with a taxicab business owner as a driver was terminated.

(b) This section does not apply to an applicant whose employment or contract with a taxicab business as a driver was terminated for reasons which constitute any of the grounds for denial, suspension or revocation of a taxicab driver’s permit. (Ord. No. 94-2, § II, 2-22-94)

23.43—23.44 Reserved.

ARTICLE VI. SUSPENSION OR REVOCATION

23.45 Suspension or revocation of taxicab permit.

The chief of police, or the city council on appeal, shall have the power to suspend or revoke a taxicab permit on any of the grounds stated in section 23.9 of this chapter, or on any of the following grounds:

(a) The violation by the owner of any of the terms, conditions or requirements of the taxicab permit, or of this chapter.

(b) Any act or omission of the owner of any fact or condition which, if it existed at the time the application for a taxicab permit was filed, would have warranted the denial of the application.

(c) Failure of the owner to pay when due any applicable taxes imposed by the City of Gilroy. (Ord. No. 94-2, § II, 2-22-94)

23.46 Suspension or revocation of taxicab driver’s permit.

The chief of police, or the city council on appeal, shall have the power to suspend or revoke a taxicab driver’s permit on any of the grounds stated in section 23.38 of this chapter, or on any of the following grounds:

(a) Suspension, revocation, or expiration of the driver’s license granted by the State of California to operate a motor vehicle on the public highways of the State of California.

(b) The violation of the driver of any of the terms, conditions or requirements of the taxicab driver’s permit, or of this chapter.

(c) Any act or omission of the driver of any fact or condition which, if it existed at the time the application for a taxicab driver’s permit was filed, would have warranted the denial of the application. (Ord. No. 94-2, § II, 2-22-94)

23.47 Notice and hearing.

(a) Except as provided in sections 23.30 and 23.48 of this chapter, a taxicab permit or a taxicab driver’s permit shall be revoked or suspended only after the owner or driver has been given reasonable notice and opportunity to be heard by the chief of police.

(b) Notice of the hearing setting forth the time, date and place of hearing and the reasons for suspension or revocation shall be given to the owner or driver no later than ten (10) days prior to the date of the hearing.

(c) The owner or driver shall be given the opportunity to present witnesses and evidence at the hearing. Within a reasonable time after the close of hearing, the chief of police shall render a decision setting forth the findings and reasons therefor. Said decision shall be mailed to the owner or driver at the address shown on the application. (Ord. No. 94-2, § II, 2-22-94)

23.48 Emergency suspension.

(a) The chief of police may issue an order suspending a taxicab permit or a taxicab driver’s permit for a period not exceeding ten (10) days without first conducting a hearing if the chief determines that the continued use of the permit will cause immediate hazard to the public safety, health or welfare, including the grounds set forth in section 23.30. Said order shall also contain a notice of the hearing described below setting forth the date, time and place of said hearing.

(b) Within ten (10) days of the effective date of the order, the chief of police shall hold a hearing for the owner or driver to show cause why the permit should not be suspended or revoked. (Ord. No. 94-2, § II, 2-22-94)

23.49 Appeal.

(a) The decision of the chief of police to suspend or revoke a taxicab permit or taxicab driver’s permit may be appealed to the city council pursuant to Article VII.

(b) The suspension or revocation of a taxicab permit or taxicab driver’s permit shall remain in effect pending the appeal. (Ord. No. 94-2, § II, 2-22-94)

23.50—23.54 Reserved.

ARTICLE VII. APPEAL TO THE CITY COUNCIL

23.55 Notice, hearing and decision.

(a) An appeal to the city council may be taken under this chapter by filing with the city clerk a written notice of appeal setting forth the grounds for the appeal within ten (10) days after a copy of the decision of the chief of police has been placed in the mail to the applicant, owner or driver.

(b) When such notice of appeal has been timely filed with the city clerk:

(1) The city clerk shall notify the chief of police of said appeal and set a date for a public hearing before the city council. Said date of hearing shall be not less than ten (10) days nor more than sixty (60) days after the date the notice of appeal was filed. The person who is appealing the action shall be notified of the date and time of such hearing at least ten (10) days in advance of said hearing date.

(2) At least ten (10) days prior to the hearing, the chief of police shall file with the city clerk for public review all relevant papers, documents and exhibits.

(3) The city council shall hear the matter de novo. Within a reasonable time after the council has concluded its hearing, it shall by resolution set forth its findings and decision on the matter. The decision of the city council shall be final. (Ord. No. 94-2, § II, 2-22-94)

Cross references—Licenses, § 13.1 et seq.; motor vehicles and traffic, § 15.1 et seq.

Chapter 23TAXICAB TRANSPORTATION SERVICE1

23.1 Definitions.