1.          ILLEGAL (BANDIT) TAXICABS – ADDITIONAL eNFORCEMENT pOWERS

 

TAXIS ILLÉGAUX (PIRATES) – POUVOIRS SUPPLÉMENTAIRES D’APPLICATION DES RÈGLEMENTS

 

 

COMMITTEE RECOMMENDATIONS

 

That Council direct staff to apply to the Province of Ontario for legislative amendments:

 

1.      to allow the City of Ottawa’s municipal law enforcement officers to enforce s. 39.1 of the Highway Traffic Act in respect of the unauthorized pick-up of passengers for compensation by unlicensed taxicabs, or alternatively to seek similar enforcement powers through amendments in other legislation; and,

 

2.      to allow the City of Ottawa’s municipal law enforcement officers to seize and impound vehicles where the owners, drivers or brokers of such vehicles have been found to be operating as unlicensed taxicabs or dispatching unlicensed taxicabs.

 

 

RecommandationS DU Comité

 

Que le Conseil donne la directive au personnel de demander au gouvernement de l’Ontario des modifications législatives afin :

 

1.         de permettre aux agents d’application des règlements municipaux de la Ville d’Ottawa d’appliquer l’art. 39.1 du Code de la route concernant l’embarquement non autorisé de passager moyennant rémunération par des taxis sans permis ou, sinon, de les doter de pouvoirs d’application similaires par la modification d’autres lois;

 

2.         de permettre aux agents d’application des règlements municipaux de la Ville d’Ottawa de saisir des véhicules lorsque leur propriétaire, chauffeur ou exploitant a été reconnu coupable de les avoir utilisés ou envoyés comme taxis sans permis.

 

 

 

 

Documentation

 

1.                  Deputy City Manager, City Operations report dated 6 June 2011 (ACS2011-COS-EPS-0024).

 


Report to/Rapport au:

 

Community and Protective Services Committee

Comité des services communautaires et de protection

and Council / et au Conseil

 

6 June 2011 / le 6 juin 2011

 

Submitted by/Soumis par : Steve Kanellakos, Deputy City Manager/Directeur municipal adjoint, City Operations/Opérations municipales

 

Contact Person/Personne ressource : Linda Anderson, Chief, By-law and Regulatory Services 

Emergency and Protective Services/Services de protection et d'urgence

(613) 580-2424 x29257, Linda.Anderson@ottawa.ca

 

City Wide/à l'échelle de la Ville

Ref N°: ACS2011-COS-EPS-0024

 

 

SUBJECT:

ILLEGAL (BANDIT) TAXICABS – ADDITIONAL eNFORCEMENT pOWERS

 

 

OBJET :

TAXIS ILLÉGAUX (PIRATES) – POUVOIRS SUPPLÉMENTAIRES D’APPLICATION DES RÈGLEMENTS

 

REPORT RECOMMENDATIONS

 

That the Community and Protective Services Committee recommend that Council direct staff to apply to the Province of Ontario for legislative amendments:

 

1.      to allow the City of Ottawa’s municipal law enforcement officers to enforce s. 39.1 of the Highway Traffic Act in respect of the unauthorized pick-up of passengers for compensation by unlicensed taxicabs, or alternatively to seek similar enforcement powers through amendments in other legislation; and,

 

2.      to allow the City of Ottawa’s municipal law enforcement officers to seize and impound vehicles where the owners, drivers or brokers of such vehicles have been found to be operating as unlicensed taxicabs or dispatching unlicensed taxicabs.

 

RECOMMANDATIONS DU RAPPORT

 

Que le Comité des services communautaires et de protection recommande que le Conseil donne la directive au personnel de demander au gouvernement de l’Ontario des modifications législatives afin :

 

1.        de permettre aux agents d’application des règlements municipaux de la Ville d’Ottawa d’appliquer l’art. 39.1 du Code de la route concernant l’embarquement non autorisé de passager moyennant rémunération par des taxis sans permis ou, sinon, de les doter de pouvoirs d’application similaires par la modification d’autres lois;

 

2.        de permettre aux agents d’application des règlements municipaux de la Ville d’Ottawa de saisir des véhicules lorsque leur propriétaire, chauffeur ou exploitant a été reconnu coupable de les avoir utilisés ou envoyés comme taxis sans permis.

 

Executive Summary


While the City of Ottawa currently regulates and licenses taxicab drivers, plateholders and brokers under its Taxi By-law (By-law No. 2005-481), unlicensed and underground taxicab companies and drivers continue to operate in the City.  While often successful, enforcement and prosecution of these illegal operators under this by-law offers little relief in terms of the collection of fines where convictions have been obtained. 

 

The Highway Traffic Act creates an offence under Section 39.1(1), (2) and (3) for any driver, owner or dispatcher of an unlicensed taxicab that picks up passengers for compensation where there is a municipal system of licenses in place in that area.  Currently, this section of the Highway Traffic Act is only enforceable by a police officer or other officer appointed under the Highway Traffic Act.  Municipal law enforcement officers are not currently authorized to enforce this provision.

 

Legislative amendments are needed to allow municipal law enforcement officers to enforce this provision of the Highway Traffic Act and, further, to seize and impound vehicles in cases where the driver, owner, or dispatcher has been operating a taxicab service without having a valid taxicab license. These powers, and the ensuing consequences of potentially seizing and impounding vehicles, are likely to create a greater deterrent to the illegal operation of taxicabs than the simple imposition of fines at the by-law level.

The General Manager of Emergency and Protective Services has conducted an initial consultation with Provincial officials, as well as representatives of the licensed taxi industry and the Taxi Union, with the initial feedback being positive.  The Police Chief has also been advised of this initiative and is supportive. 

 

RÉSUMÉ


Bien que la Ville d’Ottawa vérifie et octroie des permis régulièrement aux chauffeurs, détenteurs de plaques ou exploitants de taxis en vertu du règlement municipal sur les taxis (règlement municipal no 2005-481), des entreprises et chauffeurs de taxis sans permis et illégaux sont toujours en activité dans la ville.

Bien qu’elles soient souvent efficaces, les mesures d’application de la loi et de poursuite de ces exploitants illégaux en vertu du règlement municipal sont peu utiles en matière de recouvrement d’amendes lorsqu’il y a eu condamnation.

 

Selon les paragraphes 39.1(1), (2) et (3) du Code de la route, l’utilisation par un chauffeur, un propriétaire ou un répartiteur d’un taxi sans permis pour embarquer des passagers moyennant rémunération lorsqu’un système municipal de permis est en place constitue une infraction. Actuellement, cette disposition du Code de la route ne peut être appliquée que par des policiers ou autres agents autorisés en vertu du Code de la route. Les agents d’application des règlements municipaux ne sont actuellement pas autorisés à appliquer cette disposition.

 

Des modifications législatives sont nécessaires pour permettre aux agents d’application des règlements municipaux d’appliquer cette disposition du Code de la route et de saisir des véhicules lorsque le chauffeur, le propriétaire ou le répartiteur a utilisé un taxi sans permis valide. Ces pouvoirs, et les conséquences qui découlent de la saisie de véhicules, devraient avoir un effet dissuasif plus important que les simples amendes prévues par le règlement municipal.

La directrice générale des Services de protection et d’urgence a mené une consultation initiale avec des représentants du gouvernement provincial, ainsi que des représentants de l’industrie des taxis autorisés et du syndicat des chauffeurs de taxis, et les commentaires initiaux ont été positifs. Le chef de police a également été informé de cette initiative et appuie l’idée. 

 

BACKGROUND

 

On June 23, 2010, as part of its consideration of a taxi-related report (ACS2010-COS-EPS-0025), Council directed staff to request that the Province of Ontario grant municipalities the authority to impound vehicles that are known to have operated as bandit cabs or that are operating as bandit cabs. While an initial negative response was received in January 2011 from the Minister of Transportation in this regard (attached as Document 1 and discussed below), given the growing significance of the illegal taxicab industry in Ottawa, staff proposes to continue its efforts to seek the desired legislative amendments. 

 

Charges imposed under the City’s Taxi By-law for unlicensed operation of taxicabs are not sufficient to deter the illegal taxicab industry in the City.  Staff therefore recommends that legislative amendments continue to be sought to allow greater enforcement powers for municipal law enforcement officers under the Highway Traffic Act or other relevant legislation.  Staff also recommends that additional powers be given to municipal law enforcement officers, in cooperation with Ottawa Police Service, to potentially seize and impound vehicles used in the illegal taxi trade.

 

DISCUSSION

 

Currently, the City of Ottawa has in place a by-law that provides for the licensing and regulation of taxicabs as well as taxicab drivers, plate holders (owners) and brokers.   Any licensee found to be in contravention of the standards and requirements of the Taxi By-law may be the subject of enforcement action and charges under the by-law.  One such offence is operating a taxicab without first obtaining a valid license to do so. 

Between 2007 and 2009, 47 companies and drivers were charged under the Taxi By-law for operating without a license, with the total fines levied amounting to $124,000.   However, there is significant difficulty in collecting these fines from the offenders and many remain unpaid.  In the case of such offences, the Provincial Offences Act does not provide that these outstanding fines may be applied to the renewal of a driver’s license or vehicle plate and therefore, bandit cabs companies continue to operate and thrive in Ottawa.

 

The administration of a licensed taxicab regime is essential in ensuring the safety of taxicab users.  Licensed taxicab drivers are the subject of a number of regulatory provisions including but not limited to having proper insurance, undergoing periodic criminal records checks, and successfully completing both a basic and an accessible drivers’ training course at Algonquin College prior to driving a taxicab.  In addition, the taxicab vehicles themselves are subject to safety standards and must be clearly identified and regularly inspected.  All licensed taxicabs must be equipped with working security cameras to ensure the safety of both drivers and passengers.  Further, taxi fares are regulated under the by-law and licensees must also collect and pay the harmonized sales tax.

 

Conversely, unlicensed taxicabs operate on a completely unregulated basis creating a risk to the safety of passengers that they pick-up and convey, and to other motorists due to potentially unsafe vehicles and the lack of adequate insurance coverage.  These unlicensed operators are also very difficult to trace if an incident does occur and a complaint is lodged since there are no visible markings on the vehicle except the Ontario license plate which is often difficult to see and to remember.

 

Experiences of other Ontario Municipalities

 

The Niagara Regional Police are responsible for the regulating of taxicabs in their jurisdiction.  They report that their continuing enforcement efforts have resulted in multiple by-law and even criminal charges against bandit cab operators and further confirm that these underground drivers are on the increase.  While they are currently in a position to enforce the appropriate section of the Highway Traffic Act, they are fully supportive of amendments to applicable legislation to enable enforcement officers to seize and impound unlicensed taxicabs.

 

Taxicab regulations are also enforced by Police Services at Pearson International Airport in Mississauga.  During the summer of 2010, there were 183 charges on the docket in the Mississauga Court for airport illegal “scoopers” (bandit cabs).  Mississauga is also witnessing a growing problem.

 

With the exception of the aforementioned examples, police services in Ontario do not consider the regulation of taxicabs to be a priority leaving the responsibility to municipal law enforcement officers who, despite seeing a growing number of successful prosecutions and significant fines, observe the bandit taxicab industry being unaffected and continuing to grow.

 

Current Initiatives to Address Bandit Taxicabs in the City of Ottawa

 

Being mindful of the impact that illegal taxicab operators have on the regulated industry, staff has initiated a joint enforcement operation with Ottawa Police Services in order to enforce Section 39.1 of the Highway Traffic Act.

 

Additionally, noting the increase in the number of bandit cabs in the two entertainment districts in Ottawa – Elgin Street and the By Ward Market – By-law and Regulatory Services is working in partnership with the Traffic Management and Operational Support Branch of Public Works to re-purpose a large number of the available parking spaces in these areas as “Taxis Only” zones between the hours of midnight and 3:00a.m.  This initiative will ensure that only licensed taxicabs are at the curb to transport residents home.  As well, as part of the Licensing By-law review and re-enactment expected to be before Committee in the Fall, staff will consider the addition of a provision to that regulation which would make it illegal for businesses licensed by the City, such as restaurants, to post or allow to be posted any materials (e.g. posters, handbills, etc.) advertising illegal activities such as, but not limited to, bandit taxicabs. 

 

The additional powers being sought in respect of illegal taxicabs are two-fold:

 

Recommendation 1 – Ability to enforce s. 39.1 of the Highway Traffic Act or seek similar enforcement powers in other legislation

 

Currently, only police officers or appointed officers can enforce s. 39.1 of the Highway Traffic Act.   Allowing municipal law enforcement officers to enforce this section of the Act would significantly increase the enforcement efforts deployed in this regard and would likely have a greater impact on the illegal taxicab industry in Ottawa.  Municipal law enforcement officers are already familiar with the taxi industry and vehicles in the area since the municipality regulates vehicles, operators and brokers under the Taxi By-law.  As well, fine amounts are significantly higher under this Act and it provides that unpaid fines can be applied against a provincial driver’s license.     

 

Recommendation 2 – Ability to seize and impound vehicles found operating as unlicensed taxicabs

 

The power to seize and impound at the municipal level any vehicles that have been operating as illegal cabs will create a greater deterrent for illegal operators since, currently, fines obtained on conviction are difficult to collect and do not appear to have sufficient impact. If these additional enforcement powers are obtained, they would be implemented in cooperation and coordination with existing law enforcement efforts of the Ottawa Police in this regard.  As well, issues of affecting seizures and impounding vehicles, including procedures to secure and store the vehicles in a lawful manner, would be addressed and reinforced.  It is anticipated there would be a requirement for additional training of municipal law enforcement officers.

 

It should be noted that a letter received by the Minister of Transportation of Ontario in January 2011 (attached as Document 1) indicated that she did not consider the granting of seizing and impounding authority to municipal entities a viable solution due to potential problems involving illegal search and seizure provisions of the Canadian Charter of Rights and Freedoms.  It is recommended that staff, together with the Ottawa Police Service, continue to correspond with the Minister and the Ministry of Transportation and other Provincial ministries, as necessary, to ascertain whether solutions to these problems can be found and if so, to work out sound and viable legislative amendments that achieve the City’s goals.

 

RURAL IMPLICATIONS

 

There are no specific rural implications associated with the recommendations.

 

CONSULTATION

 

The General Manager of Emergency and Protective Services has conducted an initial consultation with Provincial officials, as well as representatives of the licensed taxi industry and the Taxi Union, with the initial feedback being positive.  The Police Chief has also been advised of this initiative and is supportive.  Notification of the proposals was also posted on the City’s website in accordance with the Notice By-law, as amended.  A copy of the staff report was forwarded to the members of the Taxi Stakeholder Consultation Group.

 

LEGAL IMPLICATIONS

 

There are no legal impediments to the implementation of the recommendations of this report.  As noted by staff, legislative amendments will be required to obtain the additional enforcement powers that are sought at the municipal level. 

 

RISK MANAGEMENT IMPLICATIONS

 

There are no risk management implications associated with the recommendation.

 

FINANCIAL IMPLICATIONS

 

There are no financial implications associated with the recommendation as the costs, if any, are included in the current budget for By-law and Regulatory Services.  No incremental costs are anticipated.

 

TECHNOLOGY IMPLICATIONS

 

There are no technological implications associated with the recommendation.

 

CITY STRATEGIC PLAN

 

This report has no direct impact on the City Strategic Directions.

 

SUPPORTING DOCUMENTATION

 

Document 1 – Correspondence dated January 18, 2011 from Minister Kathleen Wynne, Minister of Transportation

 

DISPOSITION

 

If approved by Council, staff of By-law and Regulatory Services, in consultation with the City Clerk and Solicitor Branch, will renew correspondence with the Office of the Minister of Transportation and other affected provincial ministries, as well as the Ottawa Police Service, the licensed taxi industry and other stakeholders in order to explore the recommended legislative amendments.