Title
Resolution Approving an Increase in the Standard Taximeter Rates for the City of Ann Arbor
Memorandum
On August 30, 2007, a regular meeting of the Taxicab Board was held. A meeting notice was posted and all taxicab companies were notified. Four taxicab companies were present.
The Taxicab Board received a request from Yellow Cab to increase taxicab fares to cover the increased cost of fuel and of doing business in Ann Arbor. Some companies supported and some did not support the proposed fare increase. The Board listened to comments and discussed the proposal at length. The Board voted unanimously to recommend to council an increase in taxicab rates.
The existing rate structure was approved by council April 17, 2006 when gas was approximately $2.26 per gallon. Since that time, gas prices have risen resulting in an increased cost to do business. Comparative rates of other cities are attached for your review.
The current and proposed rate increase is shown as follows:
Service Current Proposed
Flag Drop $2.50 $2.50
(first 1/7 mile) (first 1/7 mile)
Mileage $2.10 $2.25
($.30 per 1/7 mile) ($. 25 per 1/9 mile)
Waiting Time $24.00 per hour $24.00 per hour
The Taxicab Board recommends an increase of $.15 per mile and that this increase goes into effect October 22, 2007 and all rate cards reflect the new standard taximeter rates.
Staff
Prepared by: Sarah Singleton, Taxicab Board Secretary
Reviewed by: Tom Crawford, Chief Financial Officer
Body
Whereas, On August 30, 2007, the Taxicab Board met at a regular Taxicab Board meeting to discuss a proposed rate change for the City of Ann Arbor standard taximeter rates;
Whereas, All taxicab companies licensed to operate in the City of Ann Arbor were notified and four taxicab companies were present;
Whereas, The current standard taximeter rates have been in effect since April 17, 2006;
Whereas, Since the last rate increase effective, April 17, 2006, gas prices has continued to increase causing a raise in general operating cost;
Whereas, The Taxicab Board received a request from Yellow Cab to increase taxicab fares;
Whereas, Some taxicab companies supported the proposed fare increase and some did not;
Whereas, No objection was made to the motion to approve the proposed increase;
Whereas, City Council held a public hearing on October 15, 2007; and
Whereas, The Ann Arbor Taxicab Board recommends that City Council approve a $.15 per mile increase in taximeter rates as follows:
Service Current Proposed
Flag Drop $2.50 $2.50
(first 1/7 mile) (first 1/7 mile)
Mileage $2.10 $2.25
($.30 per 1/7 mile) ($.25 per 1/9 mile)
Waiting Time $24.00 per hour $24.00 per hour
RESOLVED, That City Council approved the recommended increase to the standard taximeter rates as stated above, effective October 22, 2007; and
RESOLVED, That all rate cards issued on or after October 22, 2007 reflect the new standard taximeter rates and be filed in the City Clerk's Office available to the public.
As amended by Ann Arbor City Council on October 15, 2007