For Immediate Release
May 11th, 2016
Mayor Crombie Moves Motion to Create Pilot Program to Regulate Transportation Network Companies
Mississauga – Today Mississauga City Council moved ahead with the modernization of the for hire vehicle industry by removing many regulations off the taxi industry, allowing Transportation Network Companies like Uber to operate as a broker, and passing a motion to develop a pilot program to allow TNCs like UberX to operate within the city, under regulations. Mayor Crombie put forward this motion to strike a committee to develop a pilot program that will allow Transport Network Companies like Uber to operate in Mississauga under a defined framework with regulations.
“We cannot bury our heads in the sand, but must recognize new technologies and industry trends,” said Crombie. “By proposing the creation of a pilot program today for TNCs, I think we will signal that we are willing to embrace change.”
“We need to develop a “made in Mississauga” solution that will allow us to shape how TNC companies operate in our city, legally.”
The Committee will be comprised of the Chair of the Public Vehicle Advisory Committee, Councillor Ras (Ward 2), a member of the taxi cab industry, a member of the TNC industry, and one citizen representative. The Committee will report back to General Committee in September.
“We are “test driving” TNCs in Mississauga, so to speak, to see how they fit into our marketplace under our terms. For the first time in Mississauga, we are offering TNCs the ability to operate legally in our City and by giving them a seat on this committee, we are signalling that we want to work with them to develop this pilot.”
TNCs already have the ability to operate in Mississauga under the city’s existing public vehicle by-law. They can register as brokers and provide service just like every other taxi cab company. The issue at hand is how best to regulate TNC operations like UberX. Through the pilot, the City of Mississauga will have an opportunity to do this.
During the public and stakeholder consultations on the proposed amendments to the Public Vehicle by-law, TNCs indicated that they would be willing to participating in a pilot program. If they continue to do so in contravention of the Public Vehicle by-law, they will be subject to all enforcement measures under the law.
“Simply put, Mississauga has a different market than Toronto or Ottawa, or even Edmonton or Calgary. Over 95 per cent of our taxis are dispatched by phone or the Internet compared to Toronto where this number is approximately 35 per cent, as they have a 65 per cent hail market. We need to find a solution that works for us.”
“City Council has been studying the issue of Transportation Network Companies for a number of months and has engaged in extensive consultations with the public, with the industry, and with affected stakeholders. The environment is changing rapidly and Mississauga must ensure that we develop the right regulations for our City.”
Earlier in the meeting, Council passed the “capture” motion to modernize the Public Vehicle by-law. More information on the capture option is available, here: http://www7.mississauga.ca/documents/agendas/committees/general/2016/03_02_2016_GC_Agenda.pdf
Motion to form a committee to develop a pilot program for Transportation Network Companies
Whereas Mississauga is home to a vibrant for hire vehicle industry that provides quality service, while maintaining public safety; and
Whereas the for hire vehicle industry has worked cooperatively with city staff and City Council for many years to institute rules to govern the industry in an effort to ensure public safety and quality service; and
Whereas the for hire vehicle industry globally is modernizing as a result of the development of new technologies and mobile applications; and
Whereas Transport Network Companies (TNCs) are currently operating in contravention of the Mississauga Public Vehicle by-law; and
Whereas the purpose of the Public Vehicle by-law is to protect consumer safety and ensure fairness in the for hire vehicle industry; and
Whereas consumers have signaled that they want greater choice in the for hire vehicle marketplace; and
Whereas other cities in Ontario and across Canada have regulated TNCs in a variety of different ways based on the needs of their local residents; and
Whereas some TNCs have successfully undertaken pilot programs in major cities in the United States, such as Anchorage and Detroit to showcase and demonstrate their technology and services;
Whereas the City of Mississauga has undertaken an extensive review of the for hire vehicle industry and engaged in thorough public and stakeholder consultation on proposed changes to the Public Vehicle by-law; and
Whereas some TNCs have provided feedback to the Public Vehicle Advisory Committee and Council that they would be open to a pilot program; and
Whereas Mississauga City Council has a long history of making policies that are in the best interests of its residents and our businesses; and
Whereas City Council has approved the Capture option as recommended by PVAC on April 19, 2016…
Now therefore be it resolved that that a committee be created with the aim to developing a terms of reference for a limited one-year pilot program to allow Transport Network Companies (TNCs) to operate in Mississauga to determine how TNCs can operate within the Mississauga marketplace and under Council regulation; and
Be it further resolved that this committee be comprised of two Councillors, one being the Chair of the Public Vehicle Advisory Committee (PVAC), and the Mayor as ex officio, and one of each of the following: a citizen representative, a taxi cab industry representative, and a representative from the TNC sector; and
Be it further resolved that this Committee will work with enforcement staff to develop a report with recommendations on the framework for a pilot for the September 21, 2016 General Committee meeting; and
Be it further resolved that Council instruct all TNCs operating in Mississauga to cease operations in this city until such time as the pilot program is instituted; and non-compliance will result in the Committee being disbanded;
Be further resolved that Councillor Starr and Councillor Ras be appointed to the Committee and;
That a representative be appointed by the Taxi Industry and TNCs by Monday, May 16, 2016 and;
That staff be directed to contact the citizen representative’s on PVAC to confirm one representative to sit on the Committee.