HomeMy WebLinkAboutItem 01- Public Passenger Vehicle Code Update AGENDA ITEM SUMMARY Meeting Date: 4/1/2024
Meeting Type: Work Session
Staff Contact/Dept.: Jeff Paschall/CMD
Staff Phone No: 541-912-9274
Estimated Time: 30 min
S P R I N G F I E L D
C I T Y C O U N C I L
Council Goals: Strengthen Public Safety
by Leveraging
Partnerships and
Resources
ITEM TITLE: PROPOSED CHANGES TO SPRINGFIELD MUNICIPAL CODE 7.330 AND
7.332, PUBLIC PASSENGER VEHICLE SERVICES
ACTION
REQUESTED:
Discuss and provide feedback regarding the proposed ordinance amending the
public passenger vehicle business license requirements in the Springfield Municipal
Code. Code amendments include minor definition updates and clarifications, and
updates to application fees as well as language allowing the implementation of a
per-trip fee.
ISSUE
STATEMENT:
Amend SMC 7.330 and SMC 7.332 to reflect changes made in the identical Eugene
Code provisions, EC 3.005 and EC 3.345, to allow transportation network providers
like Lyft and Uber to operate within the City and subject these services to the public
passenger vehicle company license requirements.
ATTACHMENTS: 1. Council Briefing Memorandum
2. Proposed Ordinance
DISCUSSION/
FINANCIAL
IMPACT:
The City of Eugene administers and enforces the business license requirements for
public passenger vehicles for both Eugene and Springfield. Eugene updated their
code in 2018. To ensure operators will be able to seamlessly conduct business in
Springfield with the license issued by Eugene, the City Council needs to co-adopt
the code amendments. There is no cost to Springfield for Eugene to provide this
service, nor does Springfield receive any license revenue currently.
Adopting the proposed code amendment will have not have a financial liability
impact to the City. However, with Eugene’s anticipated initiation of the per-trip fee
staff recommends negotiating an intergovernmental agreement to define or control
potential future impacts. From the operator perspective, it is more cost effective to
obtain one license and follow one set of standards in order to operate in both cities.
M E M O R A N D U M City of Springfield
Date: 3/18/2024
To: Nancy Newton COUNCIL
From: Jeff Paschall, Community Development Director BRIEFING
Subject: Public Passenger Vehicle Code Update MEMORANDUM
ISSUE: Amend SMC 7.330 and SMC 7.332 to reflect changes made in the identical Eugene
Code provisions, EC 3.005 and EC 3.345, to allow transportation network providers like Lyft
and Uber to operate within the City and subject these services to the public passenger vehicle
company license requirements.
COUNCIL GOALS/
MANDATE:
Strengthen Public Safety by Leveraging Partnerships and Resources
BACKGROUND:
Currently, the City of Eugene administers public passenger vehicle (PPV) company licenses for
both Eugene and Springfield. However, in researching this subject and identify the parameters
of the program, staff was unable to find an intergovernmental agreement between the two
agencies. In reviewing past City Council action in updating municipal code language, the
following is the recent history of actions taken by both jurisdiction:
• February 2015, the City of Eugene updated the Eugene Code sections 3.005 and 3.345 to
add transportation network companies (TNCs), such as Uber and Lyft, and TNC drivers
to their PPV license and permit requirements.
• July 2016, the Springfield City Council approved an ordinance amending SMC 7.330
and SMC 7.332 to reflect the Eugene code changes.
• April 2018, The Eugene City Council approved updates Eugene Code sections 3.005
and 3.345 with some minor definition clarifications and additions, updating the
delinquency penalty fee for license renewals, and new language adding a per-trip fee to
be established by the city manager.
Having one agency facilitate and permit public passenger vehicles for the two city
jurisdictions creates cost effectiveness and efficiencies for the agencies and the companies
and service providers as there is only one license to obtain and one set of standards to
follow. Additionally, Eugene has not charged Springfield for administering this program
and the only action that has been required is to update municipal code language as
necessary. Following are a few facts about the current program:
• The fee for a new application is $45 and has been the same since at least 1993.
• The current annual renewal fee is $45, which was increased from $25 in 2018.
• Approximately 15% of PPV trips originate in Springfield City limits.
• Licensure of providers ensures public safety by requiring and verifying proper
insurance and background checks for example.
2018 Code Updates
The code updates approved by the Eugene City Council in 2018 included minor definition
updates and additions. Other updates include clarifications to the vehicle-for-hire certification
card for drivers, language to describe smartphone application fare calculations and passenger
surcharges, and language allowing the city manager to audit vehicle-for-hire companies.
Attachment 1
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MEMORANDUM 3/21/2024 Page 2
The 2018 Eugene code update also increased the penalty for late renewal or extension
applications to $20, and added a section allowing the establishment of a per-trip fee that can be
implemented administratively by the city manager. To date Eugene has not established a per-
trip fee, however the plan is to establish this fee later this spring.
The anticipated $0.50 per-trip fee is planned for implementation in the coming months and is to
be paid by the vehicle-for-hire company or passenger as described in the code. Revenues for
this per-trip fee will be used for to cover administration of the Public Passenger Vehicle
Program first, any remaining available funds may be used to increase the availability of
accessible vehicles and the promotion of alternative modes of transportation. As the fee is
assessed based upon the location of the trip origination, the City of Springfield my receive some
revenue in the event revenues exceed administrative costs.
RECOMMENDED ACTION: Provide direction on the proposed Ordinance, in addition to
direction on negotiating an intergovernmental agreement with Eugene regarding administration
of public passenger vehicles. Following Council review of the proposed Ordinance, staff will
update and schedule the first reading for a future council meeting.
Attachment 1
Page 2 of 2
{00032605:2} PAGE 1 OF 6
CITY OF SPRINGFIELD, OREGON
ORDINANCE NO. ___________ (GENERAL)
AN ORDINANCE AMENDING THE SPRINGFIELD MUNICIPAL CODE SECTIONS 7.330 AND
7.332 REGARDING PUBLIC PASSENGER VEHICLE SERVICES AND TRANSPORTATION
NETWORK COMPANIES
WHEREAS, the City of Eugene administers public passenger vehicle company licenses and
public passenger vehicle permits on behalf of the City of Springfield;
WHEREAS, in 2016, the City of Springfield adopted Ordinance 6355 amending the public
passenger vehicle code to implement to adopt public health and safety regulations for transportation
network companies (TNCs) and TNC drivers, similar to an ordinance adopted by the City of Eugene in
2015;
WHEREAS, the City of Eugene has further amended the Eugene Code to clarify and streamline
the requirements for public passenger vehicle companies and drivers, and to provide for a per-trip fee
on TNCs to help cover the cost of administering the public passenger vehicle permit program; and
WHEREAS, Springfield City Council finds that it is in the public interest to further amend to the
Springfield Municipal Code to maintain consistency with the City of Eugene’s public passenger vehicle
permit ordinances and regulations and to enable collection of a per-trip fee for trips originating in the
City of Springfield,
NOW, THEREFORE, THE COMMON COUNCIL OF THE CITY OF SPRINGFIELD ORDAINS AS FOLLOWS:
Section 1. Sections 7.330 and 7.332 of the Springfield Municipal Code are hereby amended
as provided in Exhibit A, attached hereto and incorporated by this reference.
Section 2. Except as specified herein, all other provisions of Springfield Municipal Code
remain unchanged and in full force and effect.
Section 3. Severability Clause. If any section, subsection, sentence, clause, phrase, or
portion of this Ordinance is held, for any reason, invalid or unconstitutional by a court of competent
jurisdiction, such portion shall be deemed a separate, distinct, and individual provision and such
holding shall not affect the validity of the remaining portion hereof.
ADOPTED by the Common Council of the City of Springfield this ___ day of _________, ____,
by a vote of _____ for and ____ against.
APPROVED by the Mayor of the City of Springfield this ______ day of __________, ____.
_______________________
Mayor
ATTEST:
__________________________
City Recorder
Attachment 2
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EXHIBIT A
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Amendments to sections 7.330 and 7.332 are shown in legislative format with additions in underline
and deletions in strikethrough.
7.330 Definitions.
Accessible Vehicle. Any public passenger vehicle for hire that is constructed and equipped to
meet ADA standards for the nonemergency transportation of persons in wheelchairs, persons using
other mobility aids, or with other mobility impairments.
ADA. Americans with Disabilities Act.
Business. Any business, institution, association, occupation, and calling of every kind.
Charter Vehicle. A motorized vehicle originating from the Eugene/Springfield metropolitan
area, marked with the company’s business name, operated for hire to transport a group of seven or
more persons with the fare based on a group rate rather than an individual basis.
Club Car Service. Vehicular passenger transportation service provided by a business to club
members or by a residence home to its residents.
Courtesy Car Service. Vehicular passenger transportation service provided by a business to its
clients or customers at no cost.
Employee. Any person employed for remuneration or under any contract of hire, written or
oral, express or implied, including independent contractors. All persons who drive public passenger
vehicles, including any person who has an ownership interest in the company, shall be considered
employees of the public passenger vehicle company for purposes of sections 7.330 to 7.332.
Hailable Vehicle. A vehicle-for-hire that can be immediately summoned by a passenger without
the use of any dispatch.
Manager. Any person in charge of the operation or management of the public passenger vehicle
company, any person who can direct or control the activities and scheduling of the company’s
employees, and any person who can hire or fire the company’s employees.
Motorized Vehicle. A public passenger vehicle other than a horse-drawn carriage or a non-
motorized bike cab.
Operator. Any person who is a principal in a public passenger vehicle company. A principal
includes all owners, shareholders, partners, directors, officers and managers.
Public Passenger Vehicle. Any vehicle which is used for the transportation of passengers for
hire, including, but not limited to, shuttles, horse-drawn carriages, non-motorized bike cabs, and
taxicabs. However, the following shall not be considered public passenger vehicles for purposes of
sections 7.330 to 7.332:
(1) Vehicles, other than shuttles, operated pursuant to written authority by the city, state
or federal governments, or political subdivision thereof;
(2) Vehicles commonly known as rent-a-cars, that are rented to be driven by the renter or
agent;
(3) Courtesy car services;
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EXHIBIT A
{00032605:2} PAGE 3 OF 6
(4) Tour bus services;
(5) First aid vehicle or medical transport vehicle; and
(6) Club car services;
(7) Limousines.
Public Passenger Vehicle Company. Any business which operates one or more public passenger
vehicles, regardless of who owns the vehicle operated.
Public Passenger Vehicle Driver. An employee of a public passenger vehicle company that
operates a vehicle-for-hire by transporting passengers for compensation.
Shuttle. A motorized vehicle for hire that transports passengers between predetermined
destinations (e.g., motels, airport, downtown passenger station), at fixed rates on a fixed schedule.
Taxicab. A motorized vehicle that is operated for hire by the public passenger vehicle
company, other than a shuttle, limousine, or charter.
Taxi meter. A mechanical or electronic device which calculates and displays a fare.
Tour Bus. A motorized vehicle accepting individual passengers for a fare for sightseeing or
guided tours, making occasional stops at certain points of interest and returning the passengers to
their point of origin.
Transportation Network Company. A person or business that provides a digital or software
application scheduling platform or service that enables a prospective passenger to connect to a vehicle-
for-hire.
Transportation Network Driver. An employee or independent contractor of a transportation
network company that operates a vehicle-for-hire by transporting passengers for compensation utilizing
the Transportation Network Company’s digital or software application scheduling platform or service.
Transportation Network Vehicle. A vehicle-for-hire operated by a transportation network
driver.
Vehicle-for-Hire. A vehicle used for providing shared transport, which transports one or more
passengers for a fee between locations of the passengers’ choice, including, but not limited to, all
public passenger vehicles.
Vehicle-for-Hire Company. All public passenger vehicle companies and all transportation
network companies.
7.332 License and/or Permit Required.
(1) Vehicle-for-Hire Company Licensure Requirements.
(a) No person or business may operate a public passenger vehicle or vehicle-for-hire company
without a public passenger vehicle company license; however, an unlicensed vehicle-for-hire
operating outside the jurisdictional limits of Eugene and Springfield may deliver a fare from outside
those limits to a location within the limits, and if the vehicle waits for the person, retrieve the
person for the return trip back outside the jurisdictional limits. No unlicensed public passenger
Attachment 2
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EXHIBIT A
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vehicle company may solicit or accept any passenger within the city limits except as provided in this
subsection.
(b) No person or business may connect, or attempt to connect, a prospective passenger to a
vehicle-for-hire by providing a digital or software application scheduling platform or service without
first obtaining a public passenger vehicle company license.
(c) (b) Unless driving a vehicle-for-hire for a person or business that has obtained a public
passenger vehicle company license, no person may drive a vehicle-for-hire without first obtaining a
public passenger vehicle company license.
(d) (c) No person or business required to obtain a public passenger vehicle company license
may solicit or accept any passenger within the city limits except as provided in this subsection.
(d) All vehicle-for-hire companies must:
1. Maintain accurate, current records for all drivers employed by, contracting with, or
otherwise affiliated with the company, including all drivers utilizing the company’s digital or
software application scheduling platform in the city; and
2. Notify all drivers that they must obtain a driver certification card in accordance with
subsection (2) of this section; and
3. Revoke a driver’s authority to operate as a driver for their company if the city revokes
the driver’s public passenger vehicle driver certification card; and
4. Not locate its central operation in a residential zone unless expressly authorized by the
city manager.
(2) No person or business required under subsection (1) of this section to obtain a public
passenger vehicle company license may operate a motorized vehicle that lacks a public passenger
vehicle permit.
(3) (2) Vehicle-for-Hire Driver Certification Requirements. No person may drive a motorized
vehicle-for-hire, and no vehicle-for-hire company may hire a person as a driver, either as an
employee or an independent contractor, unless that person possesses a valid public passenger
vehicle driver certification. Notwithstanding the foregoing, a person who has applied for such a
certification may drive a taxicab if the person has obtained from the city a temporary certification;
such certification shall not be valid for more than 30 days, or until the city grants or denies the
person’s application for a public passenger vehicle driver certification, whichever is sooner. An
applicant may be issued a driver certification card without any waiting period if the person’s
application is complete and includes documentation demonstrating that the applicant has been
hired by a vehicle-for-hire company after undergoing a criminal background check in accordance
with the vehicle-for-hire company’s criminal background check procedures. For purposes of this
section, “hired by a vehicle-for-hire company” means a driver employed by, contracting with, or
otherwise affiliated with the vehicle-for-hire company.
(4) No public passenger vehicle company may locate any part of its operation in a residential
zone unless expressly authorized by the city manager or designee pursuant to the Springfield
Municipal Code or the Eugene Code.
(5) All persons and businesses required to obtain a public passenger vehicle company license
under subsection (1) of this section shall provide the city manager or designee with written notice
Attachment 2
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EXHIBIT A
{00032605:2} PAGE 5 OF 6
of the maximum rate to be charged passengers. No public passenger vehicle company shall change
its maximum rate without first providing the city manager or designee with a minimum of 10 days
advance written notice of the new rate. No public passenger vehicle company shall charge more
than the rate on file with the city. Upon request, the city manager may exempt, by administrative
order, a public passenger vehicle company from the provisions of this section if the public
passenger vehicle company does not operate any taxicabs.
(6) (3) Fare. The actual fare charged for each trip by a taxicab vehicle-for-hire shall not exceed
the higher of either:
(a) The meter calculated rate, including authorized and posted surcharges; or
(b) The minimum fare as posted on the interior and exterior of the vehicle.,
(c) The smartphone application calculated rate, including displayed and passenger-confirmed
surcharges.
(4) Audit. The city manager may audit vehicle-for-hire companies up to twice per calendar year
to review compliance with applicable city code and administrative rules. Upon request, a vehicle-
for-hire company shall provide the city manager a sample of records for up to thirty (30) drivers
affiliated with the vehicle-for-hire company that have operated in the thirty (30) days preceding the
audit. The audit shall occur at a time and location designated by the city manager. In addition to an
audit, the city manager may require a vehicle-for-hire company to produce records related to an
investigation of a specific allegation of a violation of applicable city code administrative rules, or
other applicable law, or to evaluate a complaint. Production of records for an investigation or to
evaluate a complaint does not count toward the twice-per-year auditing limit.
(7) (5) Rules. The city manager or designee shall adopt rules setting standards and
establishing requirements for vehicle-for-hire companies, vehicles-for-hire, public passenger vehicle
drivers and transportation network drivers; and the issuance of licenses for companies, permits for
vehicles, and certifications and temporary certificates for drivers. Such rules shall be consistent with
this code and be designed to ensure that the public safety is protected, the public needs are met,
and the public convenience is promoted.
(8) In addition to requirements established by rule to obtain a license, each public passenger
vehicle company must designate a registered agent who may be served with any process, notice or
demand required or permitted by law to be served upon the company. The registered agent shall
be an individual or business located in Eugene or Springfield, and must be available for service of
legal process during all hours that the public passenger vehicle company is in operation.
(9) (6) Term. The term for a license issued hereunder shall commence on January 1st and
expire on December 31st of the year issued. The license fee for applications received after January
1st shall be prorated on the basis of that term. An application for extension or renewal of an
existing license must be submitted by November 1st, accompanied by the required license fee.
Failure to submit the license fee with the extension or renewal application, or to pay the same
before the end of the current license term may result in the licensee being required to submit a
new application and pay an application fee. A licensee who submits an extension or renewal
application after November 1st may be assessed a penalty fee of $2010.00 per day for each day
between November 1st and the date the application is submitted.
Attachment 2
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EXHIBIT A
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(7) Per-Trip Fee. In addition to licensure and certification card fees, a per-trip fee to be paid by
the vehicle-for-hire company or the passenger may be established by the city manager by
administrative order following notice and opportunity for public comment. The purpose of the per-
trip fee is to cover program costs required to adequately administer this section 7.332 and the
administrative rules adopted thereunder, increase the availability of accessible vehicles, and any
other purpose related to public passenger vehicle services specifically identified in the notice of
proposed fee.
Attachment 2
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