Chapter 5.18
FOR-HIRE VEHICLES

Sections:

5.18.010    Definitions.

5.18.020    Owner’s permit required.

5.18.030    Exemption.

5.18.040    Revocation of permits.

5.18.050    Public convenience and necessity.

5.18.060    Applications.

5.18.070    Application and Investigation.

5.18.080    Permit not transferable.

5.18.090    Issuance of permit – Grounds for denial – Conditions.

5.18.100    Liability insurance.

5.18.110    Owner’s permit.

5.18.120    Operators of for-hire vehicles.

5.18.130    Schedule of rates – Display.

5.18.140    Maintenance of vehicles.

5.18.150    Owner’s permit fees.

5.18.010 DEFINITIONS.

For the purpose of this chapter, certain words and phrases shall be construed as herein set forth, unless it is apparent from the context that a different meaning is intended.

(1)    “Driver” or “operator” means any person in charge of or operating any for-hire vehicle, either as agent, employee, or otherwise under the direction of the owner.

(2)    “For-hire vehicle” means any automobile or motor-propelled vehicle or other vehicle or conveyance of any nature and however propelled, used in the business of transporting passengers over streets or other public ways of this city, irrespective of whether such operations extend beyond the city, for which any fee, compensation or consideration is paid for such transportation; excepting taxicabs or other passenger-carrying vehicles specially regulated by this code.

(3)    “Owner” means any person, firm, association or corporation having proprietary control of or right to proprietary control of any for-hire vehicle as herein defined.

(4)    “Permit officer” means the city manager or city manager’s designee.

(Ord. 2005-26 § 1, 2005: Ord. 77-21 § 1, 1977: Ord. 71-9 § 2 (part), 1971).

5.18.020 OWNER’S PERMIT REQUIRED.

No person, either as owner, agent or otherwise, shall furnish, operate, conduct, maintain, advertise, or otherwise be engaged in or profess to be engaged in the business or service of operating for-hire vehicles upon the streets, alleys, or any public way or place of the city unless such person holds a currently valid owner’s permit, issued pursuant to this chapter.

(Ord. 71-9 § 2 (part), 1971).

5.18.030 EXEMPTION.

A for-hire vehicle owned or operated by any public agency, or operated pursuant to a franchise issued in accordance with the Santa Cruz City Charter, or for the operation of which a certificate of public convenience and necessity has been granted by the Public Utilities Commission of the state of California, shall not be subject to the provisions of this chapter. Further, the provisions of this chapter shall not apply to a for-hire vehicle transporting a passenger or passengers from a point outside to a destination within the city or proceeding through the city while in route to a destination outside of the city.

(Ord. 71-9 § 2 (part), 1971).

5.18.040 REVOCATION OF PERMITS.

Permits may be revoked for any cause which would have warranted denial thereof in the first instance, or for a failure to comply with any of the provisions of this chapter.

(Ord. 71-9 § 2 (part), 1971).

5.18.050 PUBLIC CONVENIENCE AND NECESSITY.

The applicant shall have the burden of proving to the permit officer:

(1)    That the applicant has sufficient moral and financial responsibility and experience to properly conduct such a business;

(2)    That there is a public need and demand for additional service;

(3)    Inadequacy of the existing service;

(4)    That traffic conditions or hazards will not be appreciably increased or parking problems made worse.

(Ord. 2005-26 § 2, 2005: Ord. 71-9 § 2 (part), 1971).

5.18.060 APPLICATIONS.

Any person may apply to the city for a permit to operate a for-hire vehicle by filing with the permit officer, upon forms supplied by the city, an application containing the following information:

(1)    The residence and business address of applicant, if a natural person. If a firm, association or partnership, the name and address thereof and the names and residences of members. If a corporation, the name and address thereof and the names and residences of officers and local manager, if any;

(2)    Nature of business;

(3)    All previous experience in the operation of the type of vehicle for which a permit is requested;

(4)    Number, make, model and engine number and photograph of vehicles proposed to be operated, or so much of said information as is available at the time of application;

(5)    Rates to be charged;

(6)    The location and description of the place or places from which it is intended to operate the business for which a permit is requested;

(7)    A statement as to whether or not the applicant or any officers of the applicant have been convicted of any crime, misdemeanor or violation of any municipal ordinance or state law, the nature of the offense, and the punishment or penalty assessed therefore;

(8)    Such other information as the city may require, and as designated in said application.

(Ord. 2005-26 § 3, 2005: Ord. 71-9 § 2 (part), 1971).

5.18.070 APPLICATION AND INVESTIGATION.

Completed applications for an owner’s permit shall be filed with the permit officer, who shall investigate each owner and make a written determination whether to grant or deny the owner’s permit within ninety days after the filing of the application, or as soon thereafter as is reasonably possible.

(Ord. 2005-26 § 5, 2005).

5.18.080 PERMIT NOT TRANSFERABLE.

No permit shall be assignable or transferable, except as herein provided. If the ownership of in excess of thirty-three percent of the business whether corporate stock, partnership interest or otherwise shall change, a new permit must be obtained; provided, however, that in the event of an involuntary transfer, by reason of the death or mental incapacity of the owner of such business, the personal representative or successor of such decedent or mentally incapacitated owner may continue to operate the business under such permit, subject to all the provisions of this chapter, if such personal representative or successor would otherwise qualify for such permit pursuant to Section 5.18.090.

(Ord. 71-9 § 2 (part), 1971).

5.18.090 ISSUANCE OF PERMIT – GROUNDS FOR DENIAL – CONDITIONS.

(a)    Findings. No owner’s permit may be granted unless the permit officer makes each of the following findings:

(1)    The for-hire vehicle business has met each of the requirements listed elsewhere in this chapter;

(2)    The for-hire vehicle business has in effect insurance coverage in compliance with the requirements of Section 5.18.100;

(3)    The owner has not been convicted during the last seven years of any felony or any crime involving driving under the influence of alcohol or other controlled substance; any crime involving the sale, use of, or transportation of narcotics; any crime involving reckless driving, any suspension of driver’s license; a criminal assault; any crime involving theft or embezzlement; or any child annoyance or sex-related crime as determined through a background investigation conducted by the police department;

(4)    The for-hire vehicle business will be able to provide adequate, efficient and reliable service to the residents of and visitors to the city during the approved days and hours of operation;

(5)    There has been a determination by the permit officer there is sufficient public need or demand for the owner’s business in the city and the proposed service sufficiently fulfills that public need;

(6)    Any vehicle proposed to be operated is adequate or sufficient for the purpose intended and is sufficiently equipped with reasonable safety devices;

(7)    The granting of such permit would not be in violation of any ordinance of this city and would not endanger the public health, peace, morals or safety, or for any other reasonable cause the proposed operation would not be undesirable in the city or inadequate; provided, however, that if the issuance of the permit were conditioned upon certain performance standards, the grounds upon which it would otherwise be denied might be prevented or avoided, such permit may be issued subject to reasonable conditions;

(8)    Documentation that the owner is the owner of each for-hire vehicle to be operated under the owner’s permit or that the owner has a legal right of possession to each such vehicle pursuant to a lease or rental agreement;

(9)    The application or renewal papers do not contain any false representations.

(b)    Conditions. The permit officer may require:

(1)    Certification of the safe mechanical condition of each for-hire vehicle operated by the owners;

(2)    Other conditions necessary to ensure the operation will provide adequate, efficient, safe, and reliable service to the residents of and visitors to the city.

(c)    Denial. If the permit officer is unable to make one or more of the required findings for an owner’s permit, he or she shall issue a written denial of the application. The written denial shall be served upon the owner either personally or by deposit in the United States mail and shall contain a notification of the right to appeal. Upon issuance of a written denial, another application may not be filed by the same owner for six months thereafter. The permit denial shall be served upon the owner either personally or by deposit in the United States mail and shall contain a notification of the right to appeal.

(d)    Appeals. The owner may appeal the decision of the permit officer to deny or issue an owner’s permit. The appeal shall be made to the city council and shall be governed by the appellate rules and procedure set forth in Chapter 1.16 of this code. The decision of the city council shall be final, subject only to judicial review pursuant to Code of Civil Procedure Sections 1094.5 and 1094.6.

(Ord. 2005-26 § 7, 2005).

5.18.100 LIABILITY INSURANCE.

No owner’s permit shall be issued or continued in operation unless there is at all times in force and effect insurance coverage, issued by an insurance company licensed to do business in the state of California, for each and every vehicle owned and operated by or for the applicant or permittee, providing for injury to or death of individuals in accidents resulting from any cause for which the owner of said vehicle would be liable on account of liability imposed on him by law, regardless of whether the vehicle was being driven by the owner or his agent. The minimum liability limits upon each such vehicle shall be not less than $100,000.00 on account of personal injury or death of any one person in any one occurrence, and $300,000.00 on account of personal injuries or death of two or more persons in any one occurrence, and a minimum liability limit upon each such vehicle being not less than $25,000.00 for damage to or destruction of property in any one occurrence. Such policy of insurance shall contain an endorsement providing that said policy will not be canceled until notice in writing shall have been given to the city, at least ten days immediately prior to the time such cancellation shall become effective.

(Ord. 71-9 § 2 (part), 1971).

5.18.110 OWNER’S PERMIT.

(1)    Upon compliance with the requirements of Section 5.18.070 and after making the finding for issuance of a permit set forth in Section 5.18.090 and payment of the license fees required, the permit officer shall issue an owner’s permit. Final approval may require Santa Cruz city council review and vote depending upon the operation’s impact on public property, pedestrian traffic, vehicle traffic, and public safety. The permit officer may submit the application to the city council for approval, conditional approval or denial; alternatively, the city council may inform the permit officer of its intention to take final action on a particular permit application. Permit applications in all cases are to be submitted to the permit officer. The city council will not accept applications.

(2)    The owner’s permit shall set forth all conditions of approval and shall expire after a period of three years. The permit shall be served upon the owner either personally or by deposit in the United States mail and shall contain a notification of the right to appeal.

(Ord. 2005-26 § 8, 2005: Ord. 71-9 § 2 (part), 1971).

5.18.120 OPERATORS OF FOR-HIRE VEHICLES.

No person shall operate a for-hire vehicle unless that person has not been convicted during the last seven years of any felony or any crime involving driving under the influence of alcohol or other controlled substance; any crime involving the sale, use of, or transportation of narcotics; any crime involving reckless driving, any suspension of driver’s license; a criminal assault; any crime involving theft or embezzlement; or any child annoyance or sex-related crime and has a currently valid operator’s or chauffeur’s license authorizing the operation of such vehicle as determined through a background investigation conducted by the police department.

(Ord. 2005-26 § 9, 2005: Ord. 71-9 § 2 (part), 1971).

5.18.130 SCHEDULE OF RATES – DISPLAY.

The owner of every for-hire vehicle operating in the city shall file, with his application for an owner’s permit, a true and correct schedule of rates to be charged for the transportation of passengers in any and all vehicles operated by said owner. A schedule of such charges shall be posted conspicuously in each vehicle operated by said owner. Said rates shall not be changed or modified in any manner without first filing said changed or modified rates with the permit officer at least thirty days prior to the effective date of such change or modification.

(Ord. 2005-26 § 10, 2005: Ord. 71-9 § 2 (part), 1971).

5.18.140 MAINTENANCE OF VEHICLES.

Every vehicle operating under this chapter shall be inspected by the police department at such intervals as shall be established by the chief of police, to insure the continued maintenance of safe operating conditions. Every such vehicle shall be kept in a clean and sanitary condition at all times in conformance with the rules and regulations promulgated by the chief of police.

(Ord. 71-9 § 2 (part), 1971).

5.18.150 OWNER’S PERMIT FEES.

No owner’s permit shall be issued or continued in operation until and unless the owner has paid to the city treasurer the annual for-hire vehicle fee established by city council resolution.

(Ord. 2005-26 § 11, 2005: Ord. 71-9 § 2 (part), 1971).