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        PRIOR PRINTER'S NOS. 957, 1531                PRINTER'S NO. 1627

THE GENERAL ASSEMBLY OF PENNSYLVANIA


SENATE BILL

No. 851 Session of 1989


        INTRODUCED BY SALVATORE, FUMO, TILGHMAN, ROCKS, FATTAH, WILLIAMS
           AND JONES, APRIL 25, 1989

        AS AMENDED ON THIRD CONSIDERATION, OCTOBER 17, 1989

                                     AN ACT

     1  Amending Title 66 (Public Utilities) of the Pennsylvania
     2     Consolidated Statutes, providing for the regulation of
     3     taxicabs in first class cities.

     4     The General Assembly of the Commonwealth of Pennsylvania
     5  hereby enacts as follows:
     6     Section 1.  Title 66 of the Pennsylvania Consolidated          <--
     7  Statutes is amended by adding a chapter to read:
     8     SECTION 1.  SECTIONS 510(B) AND 1103(C) OF TITLE 66 OF THE     <--
     9  PENNSYLVANIA CONSOLIDATED STATUTES ARE AMENDED TO READ:
    10  § 510.  ASSESSMENT FOR REGULATORY EXPENSES UPON PUBLIC
    11             UTILITIES.
    12     * * *
    13     (B)  ALLOCATION OF ASSESSMENT.--ON OR BEFORE MARCH 31 OF EACH
    14  YEAR, EVERY PUBLIC UTILITY SHALL FILE WITH THE COMMISSION A
    15  STATEMENT UNDER OATH SHOWING ITS GROSS INTRASTATE OPERATING
    16  REVENUES FOR THE PRECEDING CALENDAR YEAR. IF ANY PUBLIC UTILITY
    17  SHALL FAIL TO FILE SUCH STATEMENT ON OR BEFORE MARCH 31, THE
    18  COMMISSION SHALL ESTIMATE SUCH REVENUES, WHICH ESTIMATE SHALL BE


     1  BINDING UPON THE PUBLIC UTILITY FOR THE PURPOSES OF THIS
     2  SECTION. FOR EACH FISCAL YEAR, THE ALLOCATION SHALL BE MADE AS
     3  FOLLOWS:
     4         (1)  THE COMMISSION SHALL DETERMINE FOR THE PRECEDING
     5     CALENDAR YEAR THE AMOUNT OF ITS EXPENDITURES DIRECTLY
     6     ATTRIBUTABLE TO THE REGULATION OF EACH GROUP OF UTILITIES
     7     FURNISHING THE SAME KIND OF SERVICE, AND DEBIT THE AMOUNT SO
     8     DETERMINED TO SUCH GROUP.
     9         (2)  THE COMMISSION SHALL ALSO DETERMINE FOR THE
    10     PRECEDING CALENDAR YEAR THE BALANCE OF ITS EXPENDITURES, NOT
    11     DEBITED AS AFORESAID, AND ALLOCATE SUCH BALANCE TO EACH GROUP
    12     IN THE PROPORTION WHICH THE GROSS INTRASTATE OPERATING
    13     REVENUES OF SUCH GROUP FOR THAT YEAR BEAR TO THE GROSS
    14     INTRASTATE OPERATING REVENUES OF ALL GROUPS FOR THAT YEAR.
    15         (3)  THE COMMISSION SHALL THEN ALLOCATE THE TOTAL
    16     ASSESSMENT PRESCRIBED BY SUBSECTION (A) TO EACH GROUP IN THE
    17     PROPORTION WHICH THE SUM OF THE DEBITS MADE TO IT BEARS TO
    18     THE SUM OF THE DEBITS MADE TO ALL GROUPS.
    19         (4)  EACH PUBLIC UTILITY WITHIN A GROUP SHALL THEN BE
    20     ASSESSED FOR AND SHALL PAY TO THE COMMISSION SUCH PROPORTION
    21     OF THE AMOUNT ALLOCATED TO ITS GROUP AS THE GROSS INTRASTATE
    22     OPERATING REVENUES OF THE PUBLIC UTILITY FOR THE PRECEDING
    23     CALENDAR YEAR BEAR TO THE TOTAL GROSS INTRASTATE OPERATING
    24     REVENUES OF ITS GROUP FOR THAT YEAR.
    25         (5)  THE ASSESSMENT PROVIDED FOR IN THIS SECTION SHALL
    26     NOT BE MADE AGAINST UTILITIES GOVERNED BY THE PROVISIONS OF
    27     CHAPTER 24 (RELATING TO TAXICABS IN FIRST CLASS CITIES).
    28     * * *
    29  § 1103.  PROCEDURE TO OBTAIN CERTIFICATES OF PUBLIC CONVENIENCE.
    30     * * *
    19890S0851B1627                  - 2 -

     1     (C)  TAXICABS.--
     2         (1)  A CERTIFICATE OF PUBLIC CONVENIENCE TO PROVIDE
     3     TAXICAB SERVICE WITHIN CITIES OF THE FIRST CLASS SHALL BE
     4     GRANTED BY ORDER OF THE COMMISSION WITHOUT PROOF OF THE NEED
     5     FOR THE SERVICE IF THE COMMISSION FINDS OR DETERMINES THAT
     6     THE APPLICANT IS CAPABLE OF PROVIDING DEPENDABLE TAXICAB
     7     SERVICE TO THE PUBLIC ACCORDING TO THE RULES AND REGULATIONS
     8     OF THE COMMISSION.
     9         (2)  THE COMMISSION IS AUTHORIZED TO ISSUE A MAXIMUM OF
    10     [1,400] 1,600 CERTIFICATES OF PUBLIC CONVENIENCE FOR TAXI
    11     SERVICE IN ANY CITY OF THE FIRST CLASS UPON THE EFFECTIVE
    12     DATE OF THIS [SUBSECTION. EIGHTEEN MONTHS AFTER THE EFFECTIVE
    13     DATE OF THIS SUBSECTION, THE COMMISSION IS AUTHORIZED TO
    14     ISSUE IN ITS DISCRETION A MAXIMUM OF 1,700 CERTIFICATES OF
    15     PUBLIC CONVENIENCE FOR TAXI SERVICE IN ANY CITY OF THE FIRST
    16     CLASS. THIRTY MONTHS AFTER THE EFFECTIVE DATE OF THIS
    17     SUBSECTION, THE COMMISSION IS AUTHORIZED TO ISSUE IN ITS
    18     DISCRETION A MAXIMUM OF 2,000 CERTIFICATES OF PUBLIC
    19     CONVENIENCE FOR TAXI SERVICE IN ANY CITY OF THE FIRST CLASS]
    20     AMENDATORY ACT. UPON THE SECOND YEAR OF THE EFFECTIVE DATE OF
    21     THIS [SUBSECTION] AMENDATORY ACT, THE COMMISSION SHALL
    22     INSTITUTE A FORMAL INVESTIGATION ON THE FUTURE NEED FOR TAXI
    23     SERVICE IN ANY CITY OF THE FIRST CLASS. THE COMMISSION SHALL
    24     REPORT TO THE SENATE AND HOUSE CONSUMER AFFAIRS COMMITTEES
    25     ITS FINDINGS, CONCLUSIONS AND RECOMMENDATIONS.
    26         (3)  IT IS HEREBY DECLARED TO BE THE POLICY OF THE
    27     GENERAL ASSEMBLY TO REGULATE THE PROVISION OF TAXICAB SERVICE
    28     WITHIN CITIES OF THE FIRST CLASS IN SUCH A MANNER THAT ANY
    29     CERTIFICATE OF PUBLIC CONVENIENCE HEREINAFTER GRANTED BY
    30     ORDER OF THE COMMISSION SHALL, IN ADDITION TO ANY OTHER
    19890S0851B1627                  - 3 -

     1     CONDITIONS IMPOSED BY THE COMMISSION, REQUIRE THAT AT LEAST
     2     40% OF SUCH TRIPS OF SUCH TAXICAB SERVICE SHALL BE DERIVED
     3     FROM SUCH SERVICE PROVIDED TO AND FROM POINTS WITHIN SPECIFIC
     4     GEOGRAPHICAL AREAS TO BE DETERMINED BY THE COMMISSION AS
     5     BEING IN THE PUBLIC INTEREST. THE COMMISSION SHALL HAVE THE
     6     POWER TO RESCIND OR REVOKE ANY CERTIFICATE OF PUBLIC
     7     CONVENIENCE GRANTED TO ANY EXISTING HOLDER OR ANY NEW
     8     RECIPIENT FOR THE OPERATION OF TAXICABS WITHIN A CITY OF THE
     9     FIRST CLASS WHENEVER IT IS SHOWN THAT THE HOLDER OF THE
    10     CERTIFICATE IS NOT OPERATING THE TAXICABS ON AN AVERAGE OF
    11     50% OF THE TIME OVER ANY CONSECUTIVE THREE-MONTH PERIOD.
    12         (4)  THE COMMISSION SHALL HAVE THE AUTHORITY TO GRANT
    13     IMMEDIATE TEMPORARY CERTIFICATES OF PUBLIC CONVENIENCE FOR
    14     TAXICAB SERVICE IN CITIES OF THE FIRST CLASS. SUCH TEMPORARY
    15     CERTIFICATES ARE SUBJECT TO FURTHER INVESTIGATION BEFORE A
    16     PERMANENT CERTIFICATE SHALL BE GRANTED BY THE COMMISSION.
    17         [(5)  IN CITIES OF THE FIRST CLASS, ALL OPERATORS SHALL
    18     UTILIZE THE SERVICES OF A CENTRALIZED DISPATCH SYSTEM
    19     UTILIZING RADIO. ANY EXISTING HOLDER OR ANY NEW RECIPIENT OF
    20     A CERTIFICATE OF PUBLIC CONVENIENCE FOR THE OPERATION OF
    21     TAXICABS IN CITIES OF THE FIRST CLASS WHICH OWNS OR OPERATES
    22     A CENTRALIZED RADIO DISPATCH SYSTEM SHALL MAKE SUCH SYSTEM
    23     AVAILABLE TO ALL OTHER TAXICAB OPERATIONS FOR A REASONABLE
    24     FEE AS DESCRIBED IN A TARIFF TO BE FILED WITH THE COMMISSION
    25     FOR ITS REVIEW AND APPROVAL BUT WITH NO OBLIGATION TO USE ANY
    26     SPECIFIC RADIO SYSTEM. IT IS MANDATORY, HOWEVER, THAT EVERY
    27     TAXI OPERATED IN THE CITY BE LINKED TO A CENTRAL RADIO
    28     SERVICE.]
    29         (6)  A MINIMUM OF 5% OF ALL CERTIFICATES OF PUBLIC
    30     CONVENIENCE ISSUED UNDER THIS SUBSECTION IN CITIES OF THE
    19890S0851B1627                  - 4 -

     1     FIRST CLASS SHALL BE ISSUED TO MINORITY PERSONS OR TO
     2     CORPORATIONS IN WHICH 51% OR MORE OF THE VOTING SHARES OR
     3     INTEREST IN THE CORPORATION IS HELD BY MINORITY INDIVIDUALS.
     4     FOR PURPOSES OF THIS PARAGRAPH, "MINORITY" SHALL DESCRIBE ONE
     5     WHO IS BLACK, PUERTO RICAN, HISPANIC, AMERICAN INDIAN,
     6     ESKIMO, ALEUT OR ORIENTAL.
     7         (7)  THE TRANSFER OF A CERTIFICATE OF PUBLIC CONVENIENCE,
     8     BY ANY MEANS OR DEVICE, SHALL BE SUBJECT TO THE PRIOR
     9     APPROVAL OF THE COMMISSION WHICH MAY, IN ITS SOLE OR PECULIAR
    10     DISCRETION AS IT DEEMS APPROPRIATE, ATTACH SUCH CONDITIONS,
    11     INCLUDING THE APPROPRIATE ALLOCATION OF PROCEEDS, AS IT MAY
    12     FIND TO BE NECESSARY OR PROPER.
    13         [(8)  IN CITIES OF THE FIRST CLASS, ANY NEW HOLDER OF A
    14     CERTIFICATE OF PUBLIC CONVENIENCE FOR THE OPERATION OF A
    15     TAXICAB SHALL, PRIOR TO THE INITIAL OPERATION OF SUCH
    16     TAXICAB, HAVE SUCH TAXICAB INSPECTED UNDER THE SUPERVISION OF
    17     A STATE POLICE OFFICER AT THE EXPENSE OF THE HOLDER OF SUCH
    18     CERTIFICATE. THE HOLDER OF SAID CERTIFICATE SHALL MAKE
    19     PAYMENT OF SUCH EXPENSES AT THE TIME OF THE INSPECTION WITH A
    20     CERTIFIED CHECK PAYABLE TO THE PENNSYLVANIA DEPARTMENT OF
    21     TRANSPORTATION.]
    22     * * *
    23     SECTION 2.  TITLE 66 IS AMENDED BY ADDING A CHAPTER TO READ:
    24                             CHAPTER 24
    25                   TAXICABS IN FIRST CLASS CITIES
    26  Sec.
    27  2401.  Definitions.
    28  2402.  Medallion system created.
    29  2403.  Property and licensing rights.
    30  2404.  Certificate and medallion required.
    19890S0851B1627                  - 5 -

     1  2405.  Contested complaints.
     2  2406.  Reissuance of medallion.
     3  2407.  Additional certificates and medallions.
     4  2408.  Restrictions.
     5  2409.  Driver licensing program.
     6  2410.  Wages.
     7  2411.  Centralized dispatcher.
     8  2412.  Regulations.
     9  2413.  Enforcement.
    10  2414.  Budgets and fees.
    11  2415.  Applicability PENALTIES.                                   <--
    12  2416.  APPLICABILITY.
    13  § 2401.  Definitions.
    14     The following words and phrases when used in this chapter
    15  shall have the meanings given to them in this section unless the
    16  context clearly indicates otherwise:
    17     "First Class City Taxicab Regulatory Fund" or "Fund."  A fund
    18  administered by the commission to which all moneys collected
    19  pursuant to the requirements of this chapter shall be deposited
    20  and from which all expenses and costs associated with
    21  administration and enforcement of this chapter shall be paid.
    22  Moneys deposited in the fund shall not be used for any purpose
    23  not specified herein.
    24     "Taxicab."  A motor vehicle designed for carrying no more
    25  than eight passengers, exclusive of the driver, on a call or
    26  demand basis and used for the transportation of persons for
    27  compensation.
    28     "Taxi driver's license."  A license or permit to drive a
    29  taxicab issued pursuant to section 2409 (relating to driver
    30  licensing program).
    19890S0851B1627                  - 6 -

     1  § 2402.  Medallion system created.
     2     There is hereby created a medallion system in cities of the
     3  first class in order to provide holders of certificates of
     4  public convenience which authorize citywide call or demand
     5  service the opportunity to upgrade and improve the operations of
     6  taxicabs. Each current holder of a certificate of public
     7  convenience which authorizes citywide call or demand service in
     8  cities of the first class is entitled to apply to obtain a
     9  medallion from the commission at its offices within 90 days of
    10  the effective date of this chapter for an initial fee in an
    11  amount to be determined pursuant to the requirements of section
    12  2414 (relating to budgets and fees). In the case of a corporate
    13  certificate holder, a medallion shall be issued in the name of
    14  the corporation to its corporate president. The medallion shall
    15  be marked with the taxicab number assigned to the corresponding
    16  certificate of public convenience.
    17  § 2403.  Property and licensing rights.
    18     (a)  Property rights.--Medallions are property and may not be
    19  revoked or canceled by the commission. Medallions may be pledged
    20  to lenders or creditors as security on debt. All lenders or
    21  creditors who accept a medallion as security shall file with the
    22  commission a notice of lien which describes the loan
    23  transaction. A lien on a medallion is void by operation of law
    24  unless a notice of lien is filed with the commission. The
    25  commission may not permit a sale of a medallion if a notice of
    26  lien has been filed on the medallion until the lien is removed
    27  or unless the commission is notified by the lienholder that the
    28  lien will be satisfied from the proceeds of the sale. If a
    29  lender or creditor executes on or seizes a medallion, it shall
    30  immediately notify the commission, in writing. Any sale of the
    19890S0851B1627                  - 7 -

     1  medallion, upon seizure or execution, shall occur at commission
     2  offices pursuant to the requirements of section 2408 (relating
     3  to restrictions) within one year of the seizure or execution. If
     4  the medallion is not sold within one year, the medallion will
     5  become nontransferable, and possession must be surrendered to
     6  the commission.
     7     (b)  Licensing rights.--A certificate of public convenience
     8  is a licensing right which accompanies each medallion and
     9  authorizes the operation of one taxicab in cities of the first
    10  class. No property interest shall exist in the certificate
    11  itself. A certificate may not be pledged to lenders or creditors
    12  as security on debt. A certificate may be canceled by the
    13  commission, upon due cause shown, for violation of this title or
    14  commission regulations. If the commission cancels a certificate,
    15  the certificate holder shall have the right to sell the
    16  accompanying medallion within six months of the date of
    17  cancellation AND THE CERTIFICATE HOLDER MUST TURN THE MEDALLION   <--
    18  OVER TO THE COMMISSION OFFICE WITHIN FIVE DAYS OF CANCELLATION
    19  OF THE CERTIFICATE FOR SAFEKEEPING UNTIL THE MEDALLION IS SOLD.
    20  This six-month time period shall be extended during the pendency
    21  of a petition for reinstatement of the certificate of public
    22  convenience. If the medallion is not sold within the statutory
    23  period, the medallion will become nontransferable, and
    24  possession must be surrendered to the commission.
    25  § 2404.  Certificate and medallion required.
    26     (a)  Procedure.--A vehicle may not be operated as a taxicab
    27  in cities of the first class unless a certificate of public
    28  convenience is issued, authorizing the operation of the taxicab,
    29  and a medallion is attached to the hood of the vehicle. Prior to
    30  the issuance of a medallion, the certificate holder shall have
    19890S0851B1627                  - 8 -

     1  its vehicle inspected by the commission. The commission shall
     2  require, by order or regulation, that each medallion holder
     3  submit to a periodic vehicle inspection of its taxicab by
     4  commission personnel to ensure that the vehicle meets the
     5  requirements of this title and commission regulations.
     6  Commission inspection requirements shall be in addition to the
     7  vehicle requirements set forth in Title 75 (relating to
     8  vehicles). COMMISSION INSPECTION AND RECORDING REQUIREMENTS       <--
     9  SHALL BE ESTABLISHED BY REGULATIONS. No vehicle which is more
    10  than five years old shall continue in operation as a taxicab.
    11  Notwithstanding the foregoing, the commission may authorize the
    12  operation of antique vehicles in call or demand service in such
    13  circumstances as the commission may deem appropriate. Each
    14  medallion holder's tariff rates shall be clearly and visibly
    15  displayed in each taxicab. A medallion shall not be removed from
    16  a vehicle without prior notification to and permission of the
    17  commission. A medallion authorizes operation of a vehicle as a
    18  taxicab only for the fiscal year for which the medallion is
    19  issued.
    20     (b)  Protective barrier.--Each taxicab in cities of the first
    21  class shall be equipped with a protective barrier for the
    22  protection of the driver, separating the front seat from the
    23  back seat. The commission may provide for additional driver
    24  protection measures by order or regulation.
    25     (c)  Service.--A vehicle authorized by a certificate to
    26  provide call or demand service in cities of the first class may
    27  transport persons and their baggage upon call or demand and
    28  parcels, packages and property at the same basic metered rates
    29  charged to passengers:
    30         (1)  between points in the city of the first class for
    19890S0851B1627                  - 9 -

     1     which its certificate is issued;
     2         (2)  from any point in the city of the first class for
     3     which its certificate is issued to any point in this
     4     Commonwealth; and                                              <--
     5         (3)  from any point in this Commonwealth to any point in
     6     the city of the first class for which its certificate is
     7     issued, if the request for service for such transportation is
     8     received by call to its radio dispatch service; AND            <--
     9         (4)  FROM ANY POINT IN THE CITY OF THE FIRST CLASS FOR
    10     WHICH ITS CERTIFICATE IS ISSUED TO ANY POINT OUTSIDE THIS
    11     COMMONWEALTH AS A CONTINUOUS PART OF A TRIP.
    12     (d)  Other vehicles.--A vehicle which is not authorized by a
    13  certificate to provide call or demand service in cities of the
    14  first class, but which is operated by the holder of a
    15  certificate of public convenience from the commission
    16  authorizing call or demand service elsewhere in this
    17  Commonwealth, may transport persons and property:
    18         (1)  to cities of the first class in accordance with the
    19     service authorized under its certificate of public
    20     convenience; and
    21         (2)  from any point in a city of the first class to any
    22     point in this Commonwealth beyond that city of the first
    23     class if the request for service for such transportation is
    24     received by call to its radio dispatch service.
    25     (e)  Penalties involving certificated taxicabs.--Operating a
    26  certificated taxicab in violation of subsections (a) and (b), or
    27  authorizing or permitting such operation, is a nontraffic
    28  summary offense. Offenders of subsections (a) and (b) may also
    29  be subject to civil penalties pursuant to section 3301 (relating
    30  to civil penalties for violations).
    19890S0851B1627                 - 10 -

     1     (f)  Unauthorized vehicles.--Operating an unauthorized
     2  vehicle as a taxicab, or giving the appearance of offering call
     3  or demand service with an unauthorized vehicle, without first
     4  having received a certificate of public convenience and a
     5  medallion is a nontraffic summary offense in the first instance
     6  and a misdemeanor of the third degree for each offense
     7  thereafter. The owner and the driver of a vehicle being operated
     8  as or appearing as a taxicab without a certificate of public
     9  convenience and a medallion are also subject to civil penalties
    10  pursuant to section 3301. Civil penalties which have been
    11  assessed and collected shall be deposited in the fund.
    12     (g)  Confiscation and impoundment of vehicles.--In addition
    13  to penalties provided for in subsection (f), police officers in
    14  cities of the first class are empowered to confiscate and
    15  impound vehicles and equipment utilized to provide call or
    16  demand service without a certificate of public convenience and a
    17  medallion. Upon satisfaction of all penalties imposed and all
    18  outstanding fines assessed against the owner or operator of the
    19  unauthorized vehicle and payment of the city's costs associated
    20  with confiscation and impoundment, the vehicle and equipment
    21  shall be returned to its owner. Failure to timely satisfy these
    22  conditions within 90 days of impoundment may result in the sale
    23  of confiscated property by a city of the first class at auction.
    24  Proceeds received from the sale of confiscated property, after
    25  payment of the city's costs associated with confiscation, shall
    26  be deposited into the fund.
    27     (h)  Counterfeit medallions.--The manufacture or possession
    28  of a counterfeit medallion is a misdemeanor of the third degree
    29  for each offense.
    30     (i)  Penalty dispositions.--For the purpose of this chapter,   <--
    19890S0851B1627                 - 11 -

     1  any person or corporation convicted of:
     2         (1)  a summary offense shall be sentenced to pay a fine
     3     of $500 and may be sentenced to a term of imprisonment not to
     4     exceed 90 days, or both; or
     5         (2)  a misdemeanor shall be sentenced to pay a fine of
     6     $2,500 and may be sentenced to a term of imprisonment not to
     7     exceed one year, or both.
     8  § 2405.  Contested complaints.
     9     (a)  Adjudication.--Contested complaints brought before the
    10  commission, alleging violations of this chapter or rules and
    11  regulations promulgated by the commission pursuant to this
    12  chapter, shall be assigned by the commission to a PRESIDING       <--
    13  OFFICER WHO SHALL BE A special agent or administrative law judge
    14  for adjudication. Special agents or administrative law judges     <--
    15  PRESIDING OFFICERS assigned to cases pursuant to this chapter     <--
    16  may be removed by the commission only for good cause shown.
    17  Following the taking and receiving of evidence, the special       <--
    18  agent or administrative law judge PRESIDING OFFICER shall issue   <--
    19  a decision which determines the merits of the complaint and
    20  assesses a penalty, if warranted. In extraordinary
    21  circumstances, the presiding officer may require the filing of
    22  briefs prior to issuing a decision. The presiding officer's
    23  decision shall not be subject to exception or administrative
    24  appeal. In its discretion, the commission may exercise review of
    25  a presiding officer's decision within 15 days of the date of
    26  issuance. If the commission does not exercise its authority to
    27  review a presiding officer's decision, the decision will become
    28  a final order without further commission action. The commission
    29  may establish orders or regulations which designate rules and
    30  procedures for the adjudication of complaints brought pursuant
    19890S0851B1627                 - 12 -

     1  to this chapter.
     2     (b)  Commencement of complaints.--Commission enforcement
     3  officers and police officers or licensing officials in cities of
     4  the first class may commence and prosecute complaints brought
     5  before the commission pursuant to this chapter and provisions of
     6  this title and commission regulations applicable to taxicab
     7  operations in cities of the first class.
     8     (c)  Other penalties.--Nothing in this section shall be
     9  deemed to limit the ability of any city of the first class to
    10  prosecute violations and seek criminal penalties in a court of
    11  law.
    12  § 2406.  Reissuance of medallion.
    13     Within 30 days of the close of each fiscal year, a medallion
    14  holder shall apply to obtain from the commission a reissued
    15  medallion for a fee in an amount to be determined pursuant to
    16  the requirements of section 2414 (relating to budgets and fees).
    17  Each year's medallion shall designate the year of issuance and
    18  shall be identifiable by a distinctive tint or color and shape,
    19  to be determined by the commission. A medallion may not be
    20  issued by the commission unless all outstanding commission
    21  fines, penalties and fees have been paid in full and unless all
    22  insurance, tariff and vehicle inspection filings are current.
    23  Immediately prior to reissuance of a medallion, a medallion
    24  holder shall remove the prior year's medallion from the hood of
    25  its taxicab and surrender it to the commission. Upon reissuance,
    26  the new medallion shall be immediately attached to the vehicle.
    27  The annual fee paid under this section shall be in lieu of the
    28  assessment set forth in section 510 (relating to assessment for
    29  regulatory expenses upon public utilities).
    30  § 2407.  Additional certificates and medallions.
    19890S0851B1627                 - 13 -

     1     The SUBJECT TO THE LIMITS ESTABLISHED IN SECTION 1103(C)       <--
     2  (RELATING TO PROCEDURE TO OBTAIN CERTIFICATES OF PUBLIC
     3  CONVENIENCE), THE commission may increase the number of
     4  certificates and medallions if it finds a need for additional
     5  taxicab service in cities of the first class by issuing
     6  certificates and corresponding medallions to applicants on a
     7  first-come-first-served basis. Each applicant shall pay a fee in
     8  an amount equal to the reasonable market value of the medallions
     9  at the time of issuance as determined by the commission. The fee
    10  is payable prior to the time of issuance. In determining the
    11  reasonable market value of a medallion, the commission shall
    12  consider the purchase price in medallion transactions over the
    13  prior year as reflected in commission records. The Commission in
    14  its discretion may hold hearings to determine the reasonable
    15  market value of a medallion. In no case shall the number of
    16  certificates and medallions issued by the commission exceed
    17  2,000 1,600 each.                                                 <--
    18  § 2408.  Restrictions.
    19     (a)  Place of transaction.--A medallion may not be sold or
    20  transferred to another party unless the closing of the sales
    21  transaction occurs at commission offices in the presence of a
    22  designated commission staff member. The commission staff member
    23  shall witness the execution of each contract of sale to evidence
    24  staff presence at the execution. All contracts for the sale of
    25  medallions which are not executed at commission offices and
    26  witnessed by a commission staff member are void by operation of
    27  law. All sales contracts shall conform to such rules and
    28  regulations as the commission may prescribe. Prior to each
    29  closing, the buyer of the medallion shall pay a fee in an amount
    30  to be determined pursuant to the requirements of section 2414
    19890S0851B1627                 - 14 -

     1  (relating to budget and fees).
     2     (b)  Issuance of certificate.--Upon the witnessing of a sale
     3  of a medallion and upon application of the purchaser and
     4  compliance with commission tariff, insurance and inspection
     5  requirements, the commission staff shall issue an accompanying
     6  certificate to the new medallion holder unless the commission
     7  determines that the transfer of the certificate is inconsistent
     8  with the public interest. Where there is a determination that a
     9  transfer is not in the public interest, the new medallion holder
    10  shall have six months from the date the adverse determination is
    11  entered to sell the medallion to a new owner. If a sale is not
    12  consummated before commission personnel within six months, the
    13  medallion will become nontransferable and possession must be
    14  surrendered to the commission.
    15     (c)  Criminal records.--No person or corporation may purchase
    16  a medallion or apply for a certificate if the person or
    17  corporation or an officer or director of the corporation has
    18  been convicted or found guilty of a felony within the five-year
    19  period immediately preceding the transfer. All applications for
    20  a certificate shall contain a sworn affidavit certifying that
    21  the purchaser has not been convicted of a felony in the previous
    22  five years. If, at any time, the commission finds that a
    23  medallion holder has been convicted of a felony while holding
    24  the medallion or during the five years immediately preceding its
    25  purchase, the commission shall cancel the corresponding
    26  certificate.
    27  § 2409.  Driver licensing program.
    28     (a)  General rule.-- The commission shall provide for the
    29  establishment of a driver licensing program for drivers of
    30  taxicabs in cities of the first class. Standards for fitness of
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     1  taxi drivers shall be established under such rules and
     2  regulations as the commission may prescribe. The commission may
     3  revoke or suspend a taxi driver's license upon a finding that
     4  the individual is not fit to operate a taxicab. Each applicant
     5  for a taxi driver's license shall pay a fee in an amount to be
     6  determined pursuant to the requirements of section 2414
     7  (relating to budget and fees). Upon approval, a picture taxi
     8  driver's license will be issued to an applicant. No individual
     9  shall operate a taxicab at any time unless the individual is
    10  licensed as a taxi driver by the commission. Each licensed taxi
    11  driver shall carry and display in full view a taxi driver's
    12  license at all times of operation of a taxicab. The commission
    13  may establish orders or regulations which designate additional
    14  requirements governing the licensing of drivers and the
    15  operation of taxicabs by drivers, including, but not limited to,
    16  dress codes for drivers.
    17     (b)  Violations.--Operating a taxicab without a taxi driver's
    18  license or authorizing or permitting the operation of a taxicab
    19  by a driver who is not licensed as a taxi driver in cities of
    20  the first class is a nontraffic summary offense in the first
    21  instance and a misdemeanor of the third degree for each offense
    22  thereafter. THE COMMISSION MAY BY REGULATION PROVIDE FOR          <--
    23  SUSPENSION AND REVOCATION OF TAXI DRIVER'S LICENSES FOR
    24  VIOLATIONS OF THIS CHAPTER AND COMMISSION REGULATIONS.
    25     (c)  Agreements delegating responsibilities.--The commission
    26  is hereby authorized to enter into agreements or contracts
    27  delegating the duties and responsibilities designated in
    28  subsection (a) to a different governmental entity or to another
    29  party.
    30  § 2410.  Wages.
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     1     (a)  Minimum wage.--Each medallion holder shall pay at least
     2  a prevailing minimum wage rate or, in the alternative, charge at
     3  most a prevailing maximum lease amount to the drivers of its
     4  taxicab, as determined by the commission upon investigation. The
     5  minimum wage rate and the maximum lease amount, as established
     6  by the commission, may include employee benefits.
     7     (b)  Uniform rates.--All taxicabs in cities of the first
     8  class shall charge a uniform rate to passengers, as determined
     9  by the commission upon investigation.
    10     (c)  Reopen investigations.--Any medallion holder or licensed
    11  driver may petition the commission to reopen the investigations
    12  addressed by subsections (a) and (b) no less than 18 months
    13  after the close of the preceding investigation.
    14  § 2411.  Centralized dispatcher.
    15     In cities of the first class, all medallion holders shall
    16  utilize the services of a centralized dispatch radio system. Any
    17  owner of a centralized radio dispatch system shall make such
    18  system available to all medallion holders for a reasonable fee,
    19  as described in a rate schedule to be filed with the commission.
    20  The commission, in its discretion, may review the rate schedules
    21  of radio associations to determine if rates charged discriminate
    22  against new applicants. Medallion holders shall have no
    23  obligation to use any particular radio system.
    24  § 2412.  Regulations.
    25     The commission may prescribe such rules and regulations as it
    26  deems necessary to govern the regulation of taxicabs in cities
    27  of the first class pursuant to the provisions of this chapter.
    28  § 2413.  Enforcement.
    29     The provisions of this chapter and the rules and regulations
    30  promulgated by the commission pursuant to this act shall be
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     1  enforced by commission personnel in conjunction with the police
     2  department in each first class city to the degree funding is
     3  provided. The commission shall enter into contracts with each
     4  first class city or its police department to provide for
     5  continuous enforcement of this chapter and to provide for full
     6  funding of the city enforcement activities from the fund.
     7  § 2414.  Budget and fees.
     8     (a)  Initial budget and fees.--After execution of a contract
     9  between the commission and a first class city or its police
    10  department pursuant to section 2413 (relating to enforcement),
    11  the commission shall complete an initial budget and fee
    12  schedule. The fee schedule shall identify the initial fees for
    13  initial issuance of a medallion, transfer of a medallion and
    14  issuance of a taxi driver's license. The commission's initial
    15  budget and fee schedule shall be submitted to the House Consumer
    16  Affairs Committee and the Senate Consumer Protection and
    17  Professional Licensure Committee. Upon submittal by the           <--
    18  commission, the House and Senate committees shall have ten
    19  legislative days to review the initial budget and fee schedule.
    20  Unless both the Senate and House committees act to disapprove
    21  UNLESS EITHER THE SENATE OR THE HOUSE OF REPRESENTATIVES ACTS TO  <--
    22  DISAPPROVE THROUGH ADOPTION OF A RESOLUTION within ten
    23  legislative days from the date of submittal, the commission's
    24  fee schedule shall become effective and the commission shall
    25  notify each medallion holder by certified letter of the initial
    26  fee schedule.
    27     (b)  Fiscal year budget and fees.--The fiscal year for the
    28  fund shall commence on July 1 of each year. Prior to the close
    29  of each fiscal year, the commission shall submit a budget and
    30  proposed fee schedule for the coming fiscal year along with
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     1  comprehensive financial data from the past fiscal year to the
     2  House Consumer Affairs Committee and the Senate Consumer
     3  Protection and Professional Licensure Committee. Committee        <--
     4  review of the budget and fee schedule for each fiscal year shall
     5  be conducted pursuant to the procedure established in subsection
     6  (a). UNLESS EITHER THE SENATE OR THE HOUSE OF REPRESENTATIVES     <--
     7  ACTS TO DISAPPROVE THROUGH ADOPTION OF A RESOLUTION WITHIN TEN
     8  LEGISLATIVE DAYS FROM THE SUBMISSION, THE COMMISSION FEE
     9  SCHEDULE SHALL BECOME EFFECTIVE. The commission shall notify all
    10  medallion holders of the fee schedule for the coming fiscal year
    11  by certified letter.
    12  § 2415.  PENALTIES.                                               <--
    13     FOR THE PURPOSE OF THIS CHAPTER, ANY PERSON OR CORPORATION
    14  CONVICTED OF:
    15         (1)  A SUMMARY OFFENSE SHALL BE SENTENCED TO PAY A FINE
    16     OF $500 AND MAY BE SENTENCED TO A TERM OF IMPRISONMENT NOT TO
    17     EXCEED 90 DAYS, OR BOTH; OR
    18         (2)  A MISDEMEANOR SHALL BE SENTENCED TO PAY A FINE OF
    19     $2,500 AND MAY BE SENTENCED TO A TERM OF IMPRISONMENT NOT TO
    20     EXCEED ONE YEAR, OR BOTH.
    21  § 2415 2416.  Applicability.                                      <--
    22     Where other provisions of this title or other laws of this
    23  Commonwealth are in conflict with the provisions of this
    24  chapter, the provisions of this chapter shall govern taxicabs in
    25  cities of the first class and other conflicting provisions are
    26  inapplicable HEREBY SUSPENDED INSOFAR AS THEY GOVERN TAXICABS IN  <--
    27  CITIES OF THE FIRST CLASS.
    28     Section 2 3.  This act does not affect any act done,           <--
    29  liability incurred or right accrued or vested or affect any
    30  civil or criminal proceeding pending or to be commenced to
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     1  enforce any right or penalty or punish any offense under any
     2  statute or part of a statute repealed SUSPENDED by this act.      <--
     3     Section 3 4.  This act shall take effect as follows:           <--
     4         (1)  The provisions of section 2404(a) that prohibit the
     5     operation of taxicabs more than five years old shall take
     6     effect in one year.
     7         (2)  The remainder of this act shall take effect in 60 90  <--
     8     days.















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