Chapter 22
TAXICABS*
Sections:
Article 1. General
Article 2. Permits
5-22.22 Operator’s permit denials.
5-22.23 Quota on operator’s permits.
5-22.25 Application: Business license required.
Article 3. Insurance
5-22.32 Insurance minimum requirements.
5-22.33 Insurance: Cancellation.
Article 4. Vehicles
5-22.42 Sanitation of vehicles.
5-22.43 Substitution of vehicles.
5-22.44 Vehicles to be numbered.
5-22.45 Vehicles obstructing street traffic.
Article 5. Drivers
5-22.51 Taxicab driver’s permit.
5-22.52 Taxicab drivers: Controlled substances and alcohol.
5-22.53 Taxicab drivers: Permit application.
5-22.54 Taxicab drivers: Permit fee and annual renewal fee.
5-22.55 Taxicab drivers: Permit nontransferable.
5-22.57 Soliciting passengers: Misrepresentation.
Article 6. Enforcement
5-22.61 Suspension or revocation of operator’s permit.
5-22.62 Suspension or revocation of taxicab driver’s permit.
5-22.63 Notice and hearing for suspension or revocation.
5-22.65 Notice of violation and hearing.
* Chapter 5-22, entitled “Taxicabs,” consisting of Sections 5-22.01 through 5-22.32, codified from Ordinance Nos. 319 N.C.S. and 572 N.C.S., as amended by Ordinance No. 254 C-M, effective May 27, 1971, Ordinance No. 324 C-M, effective May 9, 1974, Ordinance No. 370 C-M, effective December 25, 1975, Ordinance No. 424 C-M, effective May 11, 1978, and Ordinance No. 1117-01 C-M, effective November 22, 2001, repealed and replaced by Ordinance No. 1401-20 (CM), effective March 26, 2020.
Article 1. General
5-22.11 Purpose and intent.
This chapter is to further the public convenience and necessity of transportation services by taxicabs in order to serve promptly, adequately and efficiently the needs and convenience of the general public.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.12 Definitions.
For purposes of this chapter, certain words and phrases are defined and shall be construed as set forth herein unless it is apparent from the context that a different meaning is intended.
(a) “Chief of Police” shall mean the Chief of the Watsonville Police Department, or their duly authorized agents and representatives.
(b) “Council” shall mean the Watsonville City Council.
(c) For Hire. A vehicle is “for hire” if any fare, fee, charge or other consideration is payable for the transportation service of the vehicle, whether paid or not.
(d) “Operator” shall mean the human being or legal entity registered with the Department of Motor Vehicles of the State of California (“DMV”) as the owner of a vehicle or vehicles for hire, or who has a legal right to possession of such vehicle pursuant to a lease or rental agreement. The act or omission of any operator’s officer, agent, employee or independent contractor, or of any driver whose services are engaged by any of the above, is for all purposes the act or omission of the operator of the for-hire transportation services regulated by this chapter.
(e) “Taxicab” shall mean a passenger vehicle, designed for carrying not more than eight (8) persons, excluding the driver, used to transport persons for hire on public streets; the compensation for which is determined by a taximeter or flat rate which determines a charge for distance traveled and/or time expended.
(f) “Substantially located” shall mean in reference to a city or county that the taxicab company meets any of the following:
(1) Has its primary business address within that city’s or county’s jurisdiction.
(2) The total number of prearranged and non-prearranged trips that originate within that city’s or county’s jurisdiction account for the largest share of the taxicab company’s total number of trips over the previous calendar year, as determined annually.
(3) A taxicab company that starts taxi operations after January 1, 2019, in reference to a city or county in which that company had not operated before January 1, 2019, the following:
(i) In the first year of its operation, the jurisdiction where that taxicab company has its primary business address.
(ii) After the first year of operation, it meets either of the tests described in subsection (f)(1) or (2) of this section.
(g) “Taximeter” is any instrument or device approved for use under the applicable laws of the State, 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 traveled and/or waiting time.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
Article 2. Permits
5-22.21 Permit requirements.
(a) No operator substantially located in the City shall operate or permit the operation of a taxicab in Watsonville without having first obtained an operator’s permit from the Chief of Police and a City business license (pursuant to Chapter 3-4).
(b) An operator substantially located outside the City shall obtain prior approval of the Chief of Police to use the taxicab stands and pick up street hails within the City.
(c) An operator substantially located and permitted by another city or by the County may operate in the City on a prearranged basis only. That operator may pick up trips originating through an online enabled application, phone dispatch, or internet website. That operator may not use the taxi stand or pick up street hails within the City without prior authorization of the Chief of Police.
(d) An applicant for an operator’s permit shall be the registered owner of at least one (1) taxicab at the time of filing the application pursuant to Section 5-22.24; and must continue to own and maintain at least one (1) taxicab and one (1) permitted driver.
(e) It shall be unlawful to operate a taxicab without a valid operator’s permit issued by each city or county in which an operator is substantially located. The minimum fine for operating without a permit from the city or county in which a taxicab company is substantially located shall be Five Thousand and no/100ths ($5,000.00) Dollars.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.22 Operator’s permit denials.
The Chief of Police shall deny the granting of an operator’s permit if it shall appear to their satisfaction that the applicant proposes to operate vehicles which are inadequate or unsafe, or that the applicant has pleaded guilty or been convicted of a felony or of any narcotic law or of any penal law involving moral turpitude, or in case the applicant has not complied with all the terms and conditions of this chapter. The Chief of Police may further deny the granting of any operator’s permit if it appears to their satisfaction that the applicant is not a financially responsible person, or any reasonable cause which within their sound discretion renders the proposed operation undesirable to health, safety, or welfare of the people of the City of Watsonville.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.23 Quota on operator’s permits.
No more than one (1) non-wheelchair-accessible taxicab for each two thousand seven hundred (2,700) residents (or major fraction thereof) of the City of Watsonville, as reflected by the last United States Census, shall be permitted to operate in the City.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.24 Application.
Every applicant for an operator’s permit shall execute and file with the Police Department a verified application, upon forms provided by the City, containing the following information:
(a) The applicant’s name, home address, and business address;
(b) Sufficient information to demonstrate that the operator is substantially located within the City. This shall include, as a minimum, the business address and the trip data demonstrating that the total number of prearranged and non-prearranged trips that originate within the City’s jurisdiction account for the largest share of the operator’s total number of trips over the previous calendar year;
(c) The applicant’s trade name and distinguishing vehicle markings, color or colors if any;
(d) The applicant’s past taxicab service experience;
(e) Whether any license, permit or certificate issued to the applicant has been denied, revoked or suspended by any public entity. The circumstances of said denial, revocation or suspension shall be fully explained;
(f) Whether the applicant has been convicted of a crime within five (5) years before the date of the application, including the nature of the crimes;
(g) The number of vehicles proposed to be used as taxicabs; and
(h) Such further information as the Police Chief may reasonably require in order to comply with the provisions of this chapter.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.25 Application: Business license required.
Any person desiring to obtain an operator’s permit to be substantially located within the City shall apply to the Chief of Police. Each application shall be accompanied by an active City business license, pursuant to Section 3-4.05, and a policy of liability insurance, which shall be in writing, and shall set forth a description of each motor vehicle which the applicant proposes to use, giving the name of the vehicle manufacturer, VIN, and the State license number.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.26 Application renewal.
The renewal of an operator’s permit shall be made annually to the Police Department. The renewal procedure shall be limited to the review and updating of the operator’s permit application information including trip data from the previous year. If there are substantial changes in the operator’s application information, the Police Chief may require that the owner submit a new application for review and approval.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
Article 3. Insurance
5-22.31 Insurance required.
It shall be unlawful for any owner or operator to drive or operate any taxicab, or cause the same to be driven or operated, in the City, and no permit for the operation thereof shall be granted unless there is on file with the City Clerk, and in full force and effect at all times while such taxicab is being operated, a policy of insurance, approved by the City Risk Manager, with a company authorized to do business in the State insuring the operator and any owner of any taxicab (giving the VIN and State license number) against loss by reason of injury or damage to persons or property from the negligent operation or defective construction of such taxicabs or from violations of the provisions of this chapter or the laws of the State.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.32 Insurance minimum requirements.
The liability and property damage insurance required within the City of the owner or operator of a taxicab shall be the minimum of that amount set by the City Risk Manager. Such policy of insurance shall guarantee the payment to any and all persons suffering injury or damage to persons or property in such amount, as set by the City Risk Manager, as may be agreed upon by the parties by way of settlement or as awarded in any final judgment rendered in any court against the operator, owner or driver, or any or all, within the limits required by the City.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.33 Insurance: Cancellation.
If such policy of insurance is canceled, or the authority of such company to do business in the State shall be revoked or canceled, the City Risk Manager may require such operator, owner or driver to replace such policy with another policy satisfactory to the City Risk Manager and, in default thereof, may revoke the operator’s permit.
No such policy of insurance shall be canceled by the company issuing the same except upon five (5) days’ notice to the City, and the policy of insurance shall contain a provision to that effect.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
Article 4. Vehicles
5-22.41 Safety inspection.
(a) All operators shall maintain motor vehicles used in taxicab transportation services in a safe operating condition, and in compliance with the California Vehicle Code, subject to annual inspection at the Police Department and at a facility that is certified by the National Institute for Automotive Service Excellence or a facility registered with the Bureau of Automotive Repair. The inspection shall be completed before renewal of the operator’s permit. If the taxicab successfully completes the safety inspection, a taxicab safety permit sticker shall be issued and shall be displayed in the taxicab rear window.
(b) All operators shall provide a safety inspection report, pursuant to subsection (a) of this section, to the Chief of Police at the time of operator permit renewal.
(c) The registered owner of a taxicab, who is aware of or should have been aware of any unsafe condition of the taxicab, shall not allow the taxicab to be used until necessary repairs are made.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.42 Sanitation of vehicles.
Every taxicab shall be maintained at all times in a clean and sanitary condition. No driver of any taxicab shall accept, take into the taxicab, or transport any greater number of passengers than the rated seating capacity of the motor vehicle.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.43 Substitution of vehicles.
Any operator with a license for the operation of a taxicab may substitute another motor vehicle for that for which the permit was granted but, before doing so, shall obtain and file with the City Clerk the consent of the insurer on the policy of insurance for such substitution.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.44 Vehicles to be numbered.
The operator’s permit to engage in the business of operating a vehicle for hire shall designate a separate number to be placed upon each vehicle to be operated by the permittee.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.45 Vehicles obstructing street traffic.
It shall be unlawful for any driver operating a taxicab to obstruct a street or other traffic in the course of receiving or discharging passengers.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
Article 5. Drivers
5-22.51 Taxicab driver’s permit.
No person may drive a taxicab in Watsonville without a taxicab driver’s permit.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.52 Taxicab drivers: Controlled substances and alcohol.
(a) No operator’s permits or taxicab driver’s permits shall be issued or renewed unless the holder at the time of permit issuance or renewal files with the Police Department a certification that the holder maintains a mandatory controlled substance and alcohol testing certification program conforming to 49 CFR Part 40 (Section 40.1 et seq.) and Part 382 (Section 382.101 et seq.) and California Government Code Section 53075.5 for all drivers of vehicles operated under the certificate.
(b) No operator’s permit or taxicab driver’s permit shall be issued or renewed unless the holder at the time of the permit issuance or renewal files with the Police Department a certification that each driver of vehicles operated under the certificate has tested negatively for controlled substances and alcohol under a mandatory controlled substance and alcohol testing certification program conforming to Parts 40 and 382 of Title 49 of the Code of Federal Regulations and California Government Code Section 53075.5.
(c) A driver who receives a positive test result during a pre-employment drug screening procedure may not resubmit an application for a taxicab driver’s permit for a period of five (5) years.
(d) If a taxicab driver tests positive during a random drug screening process, the taxicab driver’s permit will be suspended pursuant to Section 5-22.64, Emergency suspension, until the driver has successfully completed all the requirements placed on him/her by the Substance Abuse Professional (SAP). If this same taxicab driver tests positive again during a random drug screening process, their taxicab driver’s permit will be revoked for a period of not less than five (5) years.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.53 Taxicab drivers: Permit application.
(a) No person shall operate any taxicab in the City unless the person has a valid driver’s permit to do so as hereinafter provided.
(b) A taxicab driver substantially located and permitted by another city within the County or by the County may operate in the City on a prearranged basis only. That driver may pick up trips originating through online enabled application, phone dispatch, or internet website. That driver may not use a taxi stand or pick up street hails without authorization of the Chief of Police.
(c) Application for a taxicab driver’s permit shall be made in writing to the Chief of Police setting forth the following information:
(1) The applicant’s name;
(2) The applicant’s age;
(3) The applicant’s residence address;
(4) The applicant’s past experience with regard to taxicab service;
(5) The names and addresses of the applicant’s employers during the preceding three (3) years;
(6) Such additional information as the Chief of Police may require.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.54 Taxicab drivers: Permit fee and annual renewal fee.
(a) A taxicab driver’s permit fee shall be in an amount established by resolution of the City Council from time to time, and shall be charged and collected by the Chief of Police for the issuance of each driver’s permit.
(b) The renewal of a taxicab driver’s permit shall be made annually to the Police Department and will be subject to a fee in an amount established by resolution of the City Council from time to time.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.55 Taxicab drivers: Permit nontransferable.
No driver’s permit shall be transferable in any event.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.56 Fares and taximeters.
(a) Operators may set their rates and fares and use flat rate pricing in an amount established by resolution of the City Council from time to time. However, no person shall operate a taxicab unless the schedule of rates and fares for the use of the taxicab is posted in a conspicuous place inside the taxicab.
(b) An operator may use any type of taximeter, device or technology approved by the Division of Measurement Standards to calculate fares, including the use of Global Positioning System metering; provided, that the device or technology complies with Section 12500.5 of the California Business and Professions Code and with all regulations promulgated pursuant to Section 12107 of the Business and Professions Code.
(c) A copy of such rate schedule shall be filed in the offices of the City Clerk and Chief of Police.
(d) It shall be unlawful for any person to refuse to pay the lawful fare as posted.
(e) All disputes as to fare shall be forthwith determined by the officer in charge of the police station, and, if his decision is in favor of the passenger, the driver shall convey him to the police station and back to his original destination without charge.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.57 Soliciting passengers: Misrepresentation.
It shall be unlawful for any person soliciting patronage for any public passenger vehicle for hire to represent by word, sign, hat band, insignia, or badge, or by their manner or style of dress, that the vehicle for which they are soliciting such patronage is a vehicle owned or operated by a person other than the one who actually owns and operates such vehicle.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
Article 6. Enforcement
5-22.61 Suspension or revocation of operator’s permit.
The Chief of Police, or the Council on appeal, shall have the power to suspend or revoke a taxicab permit issued under this chapter, on any of the grounds stated in 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 operator’s 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 operator’s permit was filed, would have warranted the denial of the application.
(c) Cancellation or suspension of any insurance policy or coverage required of the owner.
(d) Failure of the owner to pay any judgment against the owner for personal injury or death, or property damage arising out of the conduct of business under the operator’s permit issued pursuant to this chapter, within thirty (30) days after the judgment has become final.
(e) Voluntary written request by the owner to suspend the operator’s permit for a definite period of time.
(f) Failure of the owner to pay when due any applicable taxes imposed by the City.
(g) Any activity that impairs the safety of passengers.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.62 Suspension or revocation of taxicab driver’s permit.
The Chief of Police, or the Council on appeal, shall have the power to suspend or revoke a taxicab driver’s permit issued under this chapter, on any of the grounds stated in this chapter or on any of the following grounds:
(a) Suspension, revocation or expiration of the driver’s privilege granted by the Department of Motor Vehicles of the State to operate a motor vehicle on the public highways of the State.
(b) The violation by 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.
(d) Failure of the driver to pay any judgment against the driver for personal injury or death, or property damage arising out of the driver’s operation of a public transportation vehicle, within thirty (30) days after the judgment has become final.
(e) The driver consumed drugs or alcohol or is under the influence of drugs or alcohol while on duty or is convicted of a crime relating to drugs or alcohol.
(f) Failure of the driver to pay when due any applicable taxes imposed by the City.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.63 Notice and hearing for suspension or revocation.
Revocations or suspensions shall be administered as follows:
(a) An operator’s permit or a taxicab driver’s permit issued pursuant to this chapter shall be revoked or suspended only after the owner or driver has been given reasonable notice and opportunity to be heard.
(b) Whenever the Chief of Police has reasonable cause to believe that grounds for the suspension or revocation of a permit exists, he/she shall give the holder of the operator’s permit or taxicab permit written notice stating the alleged grounds for the suspension or revocation and the effective date of the suspension or revocation. This notice will be by certified mail, return receipt requested, sent to the address shown on the last application or renewal, or by personal service. The decision of the Chief of Police to revoke or suspend an operator’s permit or taxicab driver’s permit may be appealed to the Council. The notice shall provide the permit holder with information on the appeal process.
(c) The license holder must submit a request for an appeal hearing to the Council within ten (10) days of receipt of written notice.
(d) Upon receipt of a request for an appeal hearing, the Council shall conduct a hearing within forty-five (45) days of the request. The Council shall notify the permit holder in writing of the date, time, and place of the hearing. The hearing shall not be less than ten (10) days after the service of the notice of hearing by postage of the notice by certified mail, return receipt requested, or by personal service.
(e) The suspension or revocation shall be stayed pending the outcome of the appeal hearing.
(f) At the hearing, both the holder of the operator’s permit or taxicab driver’s permit and the Chief of Police shall have the right to appear and be represented by counsel and to present evidence and arguments which are relevant to the grounds for the appeal, as stated in the written grounds for the appeal hearing. Within ten (10) working days of the conclusion of the hearing, the Council shall issue a written decision which states whether the decision of the Chief of Police is upheld, modified, or reversed; the length of any suspension, and the effective date of the suspension or revocation. The decision of the Council shall be served on the holder of the permit by certified mail, return receipt requested, or by personal service.
(g) The decision of the Council shall be final.
(h) Upon a written decision of the Council which suspends or revokes an operator’s permit or taxicab driver’s permit, the holder of the operator’s permit or taxicab driver’s permit shall surrender the permit to the Chief of Police immediately after service of the notice of the decision.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.64 Emergency suspension.
(a) The Chief of Police may issue an order suspending a operator’s permit or a taxicab driver’s permit for a period not exceeding ten (10) days without having conducted a hearing therefor, if the Chief determines that the continued use of the permit will cause immediate hazard to the public safety, health or welfare.
(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.
(c) The order issued by the Chief of Police under subsection (a) of this section shall also contain a notice of the hearing setting forth the date, time and place of the hearing.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.65 Notice of violation and hearing.
Any person found to be operating a taxicab in the City in violation of this chapter shall be issued a notice of violation by the Police Department, in person or by mail.
(a) The violator shall schedule a hearing by mail, phone or in person with the Police Department within twenty (20) days of receipt of the notice of violation.
(b) The Police Department shall conduct a hearing before issuing a citation to the violator or imposing a penalty. The hearing official may conduct the hearing informally, both as to rules of procedure and admission of evidence, in any manner which will provide a fair hearing.
(c) If the violator waives their right to a hearing in writing, fails to schedule a hearing with the Police Department in the permitted time, or fails to appear at the scheduled hearing, the Police Department shall affirm the violation and issue a citation.
(d) The hearing official shall set forth their decision to affirm or cancel the notice of violation in writing. If the notice of violation is affirmed, a citation shall be issued imposing a penalty not to exceed Five Thousand and no/100ths ($5,000.00) Dollars. The hearing official shall consider the following factors when determining the penalty amount:
(1) Whether the violator has previously violated the license or driver’s permit requirements or other provisions of this chapter;
(2) Whether the violator concealed or attempted to conceal their noncompliance with the license or driver’s permit requirements; and
(3) Such additional factors as the hearing official may deem appropriate.
(e) This section shall supersede any penalty provisions set forth by any ordinance or resolution of the City.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)
5-22.66 Complaints.
In the consideration of applications for a driver’s and/or owner’s license, and in the cancellation thereof by the Chief of Police and/or the Council, the Chief of Police and/or the Council may take into consideration the number of complaints which may have been made against any driver and/or owner for overcharging or exceeding the schedule of rates listed in such public motor vehicle and with the City Clerk and Chief of Police, and for other causes.
(§ 1, Ord. 1401-20 (CM), eff. March 26, 2020)