Cab
Companies Overcharging
Drivers on Gates
San
Francisco cab companies are violating the city's gate cap, which limits
the amount companies can charge drivers for leasing taxis by the shift.
According to a recent report prepared by the Board of Supervisors'
legislative analyst, companies can charge no more than $85 a shift
on average. But all major companies, and some smaller ones, are charging
more than the legal limit.
The gate cap goes back to 1999. At that time, it was set at $83.50
a shift. The cap was the culmination of a long battle, led by United
Taxicab Workers, to curb runaway gates.
The gate remained at $83.50 until January 2003, when it was increased
to $91.50, including a $1.50 charge destined for the paratransit program.
But the city ordinance increasing the gate contained several conditions,
one of which was the enactment of a health care plan for cab drivers
by Jan. 1, 2004.
Under the ordinance, in the absence of a health care plan the gate
was to drop back to $85, unless the City Controller certified in writing
by Oct. 1, 2003 that such a plan was not feasible. The Controller's
report of October 2003 concluded that “providing benefits to
drivers is possible,” and discussed options for doing so.
The Board of Supervisors extended the deadline for the plan's enactment
until September 2004. At that time, gates should have come down, but
at most companies they did not.
Of the major companies, only DeSoto was charging the
lower gate, and that was because it ran afoul of another provision
of the ordinance capping the gate at the lower figure for companies
that did not have workers compensation coverage for their drivers.
DeSoto has since obtained a workers compensation policy and is currently
charging the same as Yellow and Luxor, an average of $92.50 a shift.
Arrow Cab charges $91.50. Some smaller companies are charging much
more. Small companies in violation of the cap include Union Cab and
American Cab.
On its Monday to Friday shifts, Union charges an average of $87.50
for regular gas cabs, and either $121 or $100 for cabs that run on
compressed natural gas (CNG), depending on whether the company is
paying for the gas. Union's weekend gates were unavailable to UTW.
American has developed its own scheme in an attempt to get around
the cap. It leases the cab for 10 hours, then allows the driver to
keep it four more hours for an extra $40. That's illegal because the
$85 cap applies no matter how long the shift, and is prorated at $8.50
an hour for shifts shorter than 10 hours.
UTW has charged cab companies with engaging in unfair competition
by overcharging drivers, and wants action from the Taxi Commission
to bring them into compliance with the law. We have also retained
counsel who has demanded that cab companies charge lawful gates. We
are contemplating legal action if the matter is not resolved.
Taxi
Gates: Large and Selected Smaller Companies
YELLOW
SHIFT |
Sunday |
Monday |
Tuesday |
Wednesday |
Thursday |
Friday |
Saturday |
Day |
55 |
95 |
95 |
95 |
95 |
95 |
65 |
Night |
75 |
90 |
90 |
100 |
105 |
120 |
120 |
Average Yellow gate: $92.50
for a 10-hour shift
LUXOR
SHIFT |
Sunday |
Monday |
Tuesday |
Wednesday |
Thursday |
Friday |
Saturday |
Day |
60 |
100 |
100 |
100 |
100 |
100 |
60 |
Night |
80 |
80 |
85 |
90 |
100 |
120 |
120 |
Average Luxor gate: $92.50
for a 10-hour shift
De SOTO
SHIFT |
Sunday |
Monday |
Tuesday |
Wednesday |
Thursday |
Friday |
Saturday |
Day |
56 |
96 |
96 |
96 |
96 |
96 |
58 |
Night |
80 |
86 |
89 |
100 |
106 |
120 |
120 |
Average De Soto gate: $92.50
for a 11-hour shift
ARROW
SHIFT |
Sunday |
Monday |
Tuesday |
Wednesday |
Thursday |
Friday |
Saturday |
Day |
65.50 |
91.50 |
91.50 |
91.50 |
91.50 |
91.50 |
65.50 |
Night |
78.50 |
78.50 |
91.50 |
91.50 |
117.50 |
117.50 |
117.50 |
Average Arrow gate:
$91.50 for a 10-hour shift
NATIONAL*
SHIFT |
Sunday
|
Monday |
Tuesday |
Wednesday |
Thursday |
Friday |
Saturday |
Day |
53 |
77
(90) |
80
(90) |
88
(90) |
90 |
90 |
58 |
Night |
85 |
85 |
85 |
95
(100) |
100
(105) |
115
(120) |
115
(120) |
Average National
gate: $86.86 for a 12-hour shift
* National raised its gates Aug. 13, 2006.
New gates where different are in ( ). New average: $90.07.
AMERICAN
SHIFT |
Sunday |
Monday |
Tuesday |
Wednesday |
Thursday |
Friday |
Saturday |
4am-2pm |
65 |
85 |
85 |
85 |
85 |
85 |
65 |
2pm-6pm |
40 |
40 |
40 |
40 |
40 |
40 |
40 |
6pm-4am |
94 |
94 |
94 |
94 |
94 |
119 |
119 |
Average American gate: $110.21
