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RESOLUTION REVISING MAXIMUM TAXICAB METER RATE FOR FOR-HIRE VEHICLES; ELIMINATING THE TAXICAB SERVICE FLAT FARE RATES FOR ZONES A, B, C, D, E, 1, 2, 3, 4 AND 5; ELIMINATING THE TAXICAB FLAT FARE RATE TO AND FROM THE MIAMI INTERNATIONAL AIRPORT AND THE PORT OF MIAMI; ESTABLISHING A 30 PERCENT TAXICAB METER RATE SURCHARGE FOR LARGER VEHICLES; AND ESTABLISHING A MINIMUM CHARGE OF $15.00 FOR TRIPS ORIGINATED AT MIAMI INTERNATIONAL AIRPORT OR THE PORT OF MIAMI

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WHEREAS, this Board desires to accomplish the purposes outlined in the accompanying memorandum, a copy of which is incorporated herein by reference,

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA, that:

Section 1. The countywide, maximum taxicab meter rates shall be as follows:

A. The maximum meter rate shall be two dollars and ninety-five cents for the first one-sixth of a mile or less and eighty-five cents for each one-sixth of a mile or less until it reaches one mile, as recorded on a Certified Taxicab Meter. Thereafter, the rate shall be fifty-five cents for each additional one-sixth of a mile, as recorded on a Certified Taxicab Meter.

B. The rate which shall be charged for waiting time shall be forty cents for each minute ($24.00 per hour), as recorded on a Certified Taxicab Taximeter.

C. No additional charge shall be made for the transportation of extra passengers or hand baggage in any taxicab.

D. Road tolls, bridge fees and Miami International Airport and Port of Miami toll charges shall be in addition to the maximum meter fare. The passengers shall not pay in excess of the SunPass toll on any SunPass roadway.

E. Other than for trips originating from Miami International Airport or the Port of Miami, operators may provide service at a rate below the maximum rate.

Section 2. The Airport Regional Taxicab Service flat fare taxi rates for Zones A, B and C for trips originating at the Miami International Airport are removed.

Section 3. The Coral Gables and adjacent unincorporated areas of Miami-Dade County flat fare taxi rates for Zones D and E for trips originating to and from Miami International Airport are removed.

Section 4. The flat rate for trips from the Miami International Airport to the Port of Miami or from the Port of Miami to the Miami International Airport is removed.

Section 5. The flat fare taxi rates to or from Miami International Airport to or from locations within Zones 1, 2, 3, 4, or 5 are removed.

Section 6. A 30 percent surcharge above the taxicab meter rate shall be established for larger vehicles such as sport utility vehicles and vans. This surcharge shall not apply to accessible vehicles providing taxicab services.

Section 7. A minimum fare of $15.00 shall be established for trips originated at Miami International Airport or the Port of Miami.

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Date: To: Honorable Chairman Jose �Pepe� Diaz
and Members, Board of County Commissioners From: Daniella Levine Cava
Mayor
Subject: Review of Maximum Taxicab Rates

STAFF RECOMMENDATION
Executive Summary

The purpose of this item is to provide a report and recommendation to the Board of County Commissioners (Board) for approval of a resolution revising the maximum taxicab meter rate, eliminating the existing taxicab flat fare zone rates, establishing a 30 percent surcharge above the maximum taxicab meter rate for larger vehicles, and creating a minimum $15.00 taxicab rate for trips originated at Miami International Airport (MIA) or the PortMiami. DTPW agrees that an increase in the maximum taxicab meter rate is warranted. In making this recommendation, DPTW considered that rates had not been adjusted for five years, changes in the CPI, and rising operating costs caused by recent global events and gas price increases. Taxicab operators can still provide service at a rate below the maximum meter rate if they find it convenient to compete with transportation network companies. MIA and PortMiami staff also support the elimination of the flat fare rates and the $15 minimum from trips originated at both locations.
Recommendation

It is recommended that the Board approve the attached resolution revising the maximum taxicab meter rate, eliminating the existing taxicab flat fare zone rates, establishing a 30 percent surcharge above the maximum taxicab meter rate for larger vehicles, and creating a minimum $15.00 taxicab rate for trips originated at MIA or PortMiami. The recommended maximum taxicab meter rate is $2.95 for the first one-sixth of a mile or less and $0.85 for each one-sixth of a mile or less until it reaches one mile. Thereafter, the rate will be $0.55 for each additional one-sixth of a mile. The recommended waiting time rate is $0.40 for each minute ($24.00 per hour).

Scope

The proposed taxicab rates apply countywide.

Delegation of Authority

There is no delegation of authority in this resolution.

Fiscal Impact/Funding Source

There is no fiscal impact to Miami-Dade County.

Track Record/Monitor

The Department of Transportation and Public Works (DTPW) will be responsible for monitoring compliance.

Background/History:

This report, prepared by DTPW, is being provided to the Board in response to Resolution No. R-342-22, adopted on April 5, 2022, directing the Administration to investigate the existing maximum taxicab rates and flat fares in effect in Miami-Dade County. The resolution specifically instructs that the investigation shall consider the feasibility of and make a recommendation concerning the establishment of a higher maximum rate(s) and higher maximum flat fare(s) for larger vehicles, such as sport utility vehicles and vans, and higher maximum flat fares, hybrid maximum rates and flat fares, similar to the fare structure existing in other jurisdictions, or an elimination of flat fares for trips to and from MIA or PortMiami. Section 31-87 of the Miami-Dade County Code delineates the method for the establishment of taxicab rates in the County. The rates are set by the Board following a public hearing.

The current taxicab rates have been in effect since March 3, 2015, when the Board approved an adjustment of 19 percent. Until 2016, the County regulated taxicab rates by adopting, via resolution, a uniform meter rate and flat fare zone rates, which were adjusted periodically based on the relative changes in the Consumer Price Index (CPI), rate studies and other related factors.

On May 3, 2016, concurrently with the approval of an ordinance legalizing transportation network companies in Miami-Dade County, the Board also adopted Ordinance No. 16-43, which, among other things, established that taxicab operators could provide service at a rate below the maximum rate adopted by the Board. This shift from a mandated uniform meter rate would allow taxicab companies to establish their own rates to be more competitive with transportation network companies while protecting the public by providing a maximum amount that can be charged for a taxicab fare. Subsequently, on June 3, 2017, the Board adopted a resolution establishing the then-existing meter rate as the maximum rate.

There are also 11 flat fare zones for taxicab trips beginning or ending at MIA. The zones were originally established based upon actual trips using a certified taxicab meter. The flat fare zone rates were also adjusted by the Board on March 3, 2015.

Since the last adjustment in 2015, the Transportation CPI for the Miami-Fort Lauderdale-West Palm Beach market has increased from 208.769 to 271.020, a change of 30 percent. Similarly, the Fuel CPI for the same market has increased from 174.209 to 231.516, a change of 33 percent.

An extensive discussion regarding taxicab rates took place at the DTPW Taxicab Advisory Group (TAG) meeting of March 16, 2022. At the time, TAG recommended an increase between 20 and 25 percent in the maximum taxicab meter rate, the elimination of the flat fare zone rates, and establishing a 30 percent higher maximum rate for larger vehicles, such as sport utility vehicles and vans. In addition, staff from MIA and PortMiami present at the meeting proposed that passengers collected at MIA or PortMiami may be charged a minimum fare of up to $15.00, regardless of what the meter reading shows. If the meter shows a number greater than $15.00, then the greater number shown on the meter shall be paid. Input was also received from other members of the industry, including the New Vision Taxi Association, the largest association of taxicab drivers in the County. There was overall support for the recommendations.

The maximum meter rate of $16.80 for a five-mile trip would increase to $20.40 (i.e., a 21 percent increase) under the rate revision. The recommended new maximum meter rate is $2.95 for the first one-sixth of a mile or less, and $0.85 for each one-sixth of a mile or less until it reaches one mile. Thereafter, the rate will be $0.55 for each additional one-sixth of a mile. There is no change to wait time, which will stay at $0.40 for each minute ($24 per hour). Table 1 below compares current maximum meter rates with proposed rates.

Table 1
Maximum Taxicab Meter Rate Comparison

Flag Drop Each Additional Mile Wait Time Equiv. 5-mile Trip Cost
Current $2.95 1st 1/6 of a mile or less and $0.85 for each 1/6 of a mile for 1st mile $0.40 per additional 1/6 of a mile ($2.40/mi) $24/hr. $16.80

Proposed $2.95 1st 1/6 of a mile or less and $0.85 for each 1/6 of a mile for 1st mile $0.55 per additional 1/6 of a mile ($3.30/mi) $24/hr. $20.40

DTPW agrees that an increase in the maximum taxicab meter rate is warranted. In making this recommendation, DPTW considered that rates had not been adjusted for five years, changes in the CPI, and rising operating costs caused by recent global events and gas price increases. Taxicab operators can still provide service at a rate below the maximum meter rate if they find it convenient to compete with transportation network companies.

MIA and PortMiami staff also support the elimination of the flat fare rates and the $15 minimum from trips originated at both locations. The Airport Regional Taxicab Service (ARTS) program, which is comprised of three short-haul taxi zones for trips originated from MIA, will continue but passengers will be charged the meter rate instead of a flat fare.

The proposal of a 30 percent surcharge for larger vehicles is also supported by staff provided that this higher rate does not apply to sport utility vehicles and vans that are also accessible vehicles. Transportation Network Companies like Uber and Lyft, which directly compete with the taxicab industry, also have fare structures based on the size and type of vehicles, which in some cases can be more than 80 percent higher for larger vehicles. Taxicab drivers of larger vehicles will have the option to charge the 30 percent surcharge; however, this is not a mandatory requirement.
Approval of new rates will require all taxicab meters to be reprogrammed by a third party, then tested and sealed by staff from DTPW. Representatives of the two companies providing taxi meter service in Miami-Dade County indicated that reprogramming the taxi meters with the new rates could cost between $75 and $225, depending on the provider and the availability of chips and parts. They also stated that a minimum of 60 days prior to the implementation of the new rates will be necessary to order, prepare, and program the new chips and calibrate the taxi meters.

DTPW in coordination with MIA, PortMiami and the Greater Miami Convention and Visitors Bureau will conduct an outreach campaign to educate the public about the new taxicab rates once approved by the Board. Similarly, drivers will be trained by DTPW training staff on the new rate structure.


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Jimmy Morales
Chief Operating Officer