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Hamilton’s ride-hailing bylaw ready for late in 2016.

HamintonNews.com
Oct. 7, 2016
Kevin Werner

Hamilton is nearly finished its public consultation with the public as it inches forward toward introducing a new bylaw that could put new restrictions on companies such as Uber.

Ken Leendertse, director of licensing, said the city has almost completed talking to various stakeholder groups, including taxis drivers on a proposed bylaw with a report expected to be presented to councillors later this year.

Since last summer Hamilton has charged 32 people for driving without a taxi license.

He said the city has suspended its enforcement against Uber while conducting its consultations. Leendertse said a number of the charges that were brought against Uber drivers had been dropped because the city couldn’t prove who was driving the vehicles.

“The enforcement is difficult,” Leendertse told members of the general issues committee meeting Oct. 4.

Mayor Fred Eisenberger acknowledged that Uber has “given us a challenge” on how to enforce its activities.

Steve Jones, an accessible taxi driver and an instructor with the taxi academy, told councillors the taxi industry is still waiting for Hamilton to create a “level playing field” for both the taxi industry and Uber.

For over a year now Hamilton’s taxi drivers have been pleading with councillors and the city’s bylaw officials to enforce current licensing rules against Uber drivers. The city has been examining how to address what has been called the ride-sharing economy saying existing bylaws are not enough.

“It’s not looking like anything is being done,” said Jones. “It’s been all talk, no action.”

Leendertse introduced a proposed new bylaw last spring that would services like Uber with more than 50 drivers to an annual licensing fee of $50,000, plus a $20,000 dispatch fee. Drivers would be required to get police checks, annual Ontario Ministry of Transportation inspections, and their vehicles would have to be clearly marked.

They would also be required to have insurance. Recently, Ontario’s insurance regulator approved a policy from Intact Financial Corp. for private vehicles transporting paying customers.

Hamilton cab drivers say they pay as much as $10,000 per month on insurance, plus an annual licensing fee and mandatory annual training.

Jones proposed what he called “rational, reasonable reforms that make common sense” such as the city reducing the fees on license plates, and inspections for taxi drivers. In addition, the city should enforce its licensing policy against Uber drivers.

Jones said taxi drivers, after paying insurance, and city fees, end up earning less than a reasonable wage. Some of them, he said, are making poverty wages.

“Uber pays nothing,” he said.

He called on Hamilton officials and politicians to create a made-in-Hamilton solution to Uber, instead of adopting measures that other cities have already done, such as in Ottawa, and Calgary.

Ottawa launched Oct. 4 a new, separate ride-hailing bylaw that requires private transportation companies to operate in the city. They are required to pay an annual licensing fee.

The Quebec government has allowed companies such as Uber to operate in the province for a year under a pilot project.

Ward 3 councillor Matthew Green said the taxi industry may have to revamp how it operates in this new business world. He said taxi drivers may be earning less than they should be, but it’s the plate owners who are reaping the financial windfalls. There are a small number of plate owners who earn thousands of dollars from taxi drivers, said Green.

“There are a handful of people that own the vast majority of plates,” said Green, who called Hamilton’s taxi industry a “cartel,” a term that irked a few people and politicians.