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unified licensing scrapped

Vehicle for Hire Bylaw parameters approved for Red Deer

Jan 7, 2020 | 9:08 AM

A “made in Red Deer” model for regulating taxis, limos, sedans and ridesharing is one step closer to reality.

On Monday, city council adopted a set of principles which will guide a new Vehicle for Hire bylaw, and, ideally, level the playing field between taxi companies, and Transportation Network Companies (TNCs) such as Uber.

Mayor Tara Veer said taxi companies have waited long enough for equity in the industry.

“It was very clear to me that the status quo is not an option right now. It is not business-friendly to the taxi industry, which is regulated on safety, but also market interventions, and then there are other rides for hire that have absolutely no regulatory regime,” she said.

“We have a two-tiered system that we have a responsibility to address. Will every challenge be resolved? We can’t necessarily guarantee that, but we have a responsibility to always be moving forward. I feel very confident we can accomodate both systems.”

A large portion of the upcoming bylaw will ensure that all types of vehicles for hire are safe for both operators and consumers.

Criminal record and vulnerable sector checks will be required annually, and all vehicles for hire will require both a vehicle and driver licence. Two mechanical inspections per year will also be required.

The City of Red Deer will also advocate to the province for better reporting of safety data, a subject which arose from discussion around a December 2019 report from Uber that shows there were thousands of sexual assaults that took place in their vehicles. The same report also stated that in 2018, there were 58 deaths related to motor vehicle crashes involving an Uber.

“The predominant purpose has to be public safety. If it wasn’t for safety, certainly municipalities wouldn’t, nor shouldn’t be in the business of regulating them,” Veer noted.

“This issue has been divisive in communities all across our country. A couple of years ago, our council had given direction that we wanted a ‘made in Red Deer’ solution, and that we wanted to harmonize regulations in our region to remove barriers for rides for hire for the public,” Veer states. “We also wanted to come up with a system that would work and not necessarily pit industries against each other.”

Uber has told the City that it prefers unified licensing, and that should the City follow through with restrictive fees, it could force the company out of Red Deer altogether.

Taxi companies are not typically regulated using a unified licensing model, and had stated that such a model would tarnish the industry’s reputation for driver and vehicle safety.

RELATED: Licensing costs could squeeze Uber drivers out of Red Deer

City Administration is also committed to exploring separate regulations for part-time and full-time drivers, including, but not limited to, requiring just one mechanical inspection annually, lowering fees for TNCs, and reviewing taxi fees. It was noted Monday that cab drivers typically tend to be in the industry as a career, while TNC drivers are doing it as something in addition to their day job or to make extra money.

The matter will return to city council in the coming weeks.