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New Limo Law Takes Effect Jan. 1
Law Allows Greater Enforcement
Against Illegal Limousine Activities

After years of frustration over the stealing of taxi business by bandit limousine operators, United Taxicab Workers decided to do something about it. So we approached San Francisco Assemblyman Mark Leno to ask his help in toughening laws against limo thievery.
The result: AB 2591, a bill passed overwhelmingly by the state legislature and signed into law by Gov. Arnold Schwarzenegger. The new provisions take effect on Jan. 1.
The new law substantially increases criminal penalties for operating a limousine or taxicab without a valid permit. Violators can be fined up to $2,500 for the first offense and $5,000 for any subsequent offense. Previous penalties allowed for a maximum of $1,000 for the first offense, climbing to $5,000 only for the fifth offense.
Additionally, a new administrative penalty of up to $5,000 may be imposed by the California Public Utilities Commission for operating a limousine as a taxicab in violation of a city ordinance.
Under the new law, local authorities are authorized to impound and retain possession of limos acting as taxis in violation of a city ordinance.
One of the main problems in dealing with illegal limousine activities is that the limo industry is regulated by the state. The California Public Utilities Commission, which is charged with enforcement, is understaffed and has been largely ineffective.
AB 2591 authorizes cities to create rules for the inspection of limousine way bills to allow for verification that passengers are being transported by prearrangement.
It also requires more information on limo way bills. Way bills will have to contain the name or affiliation of at least one passenger, the points of origin and destination of that passenger, and whether prearrangement was made by telephone or written contract.
UTW got support from many quarters as AB 2591 made its way through the state legislature. But the strongest and most active support came from the San Francisco Taxicab Association and its Executive Director, Hansu Kim. Kim worked closely with UTW and Assemblyman Leno to overcome legal and political obstacles to the bill’s passage.
Other supporters included the cities of San Francisco and Los Angeles, the California Labor Federation, the San Francisco Labor Council, and East Bay and San Jose taxi drivers’ associations. Major limousine companies agreed that cracking down on the rogue elements in their industry was in their best interests, and supported the bill.