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Proposed Bills to Facilitate Study of Congestion by
Limiting Issuance of New For-Hire Vehicle (FHV)
Licenses
Reasons for Temporary Growth Limitation
Recent FHV Fleet
Growth Has Been
Tremendous
25,000 new
FHVs since
2011
63% growth
in FHV fleet
FHV Growth Expected
to Continue
2,000 new
vehicle licenses
issued each
month of
FY2015
FHV Growth
Concentrated in
Congested Manhattan
Core
72% of pick-
ups by high-
growth FHV
companies
take place in
congested
Manhattan
Core
2
Data source: NYC TLC.
FHV Fleet Growth May Be Causing Worsening Traffic Congestion
Public Health
Quality of Life Ability for
Businesses to
Thrive
• 9% decline in average
Manhattan traffic speeds, from
9.35 mph to 8.51 mph*
• 5% decline in rush hour MTA bus
speeds**
• Need a study to determine
impact associated with FHVs
3
* 2010 to 2014. Source: NYC DOT.
** 2013 to 2014. Source: NYC DOT.
Proposed Bill
 TLC may only issue limited quantity of new
FHV licenses until (1) TLC, DOT and DEP
complete a study of the impact of FHV
industry growth, or (2) August 31, 2016
(whichever comes first).
 The limitations depend on the base’s size
as of June 15, 2015:
 500+ vehicles: may grow 1%
 20 to 499 vehicles: may grow 5%
 19 or fewer: may grow 15%
 Bill gives City time to study issue during a
period of gradual growth and make
informed policy.
 Limitation does not apply to green Boro
Taxis, which serve the outer boroughs and
Northern Manhattan.
4
Public Will Continue to Have Excellent For-Hire Access
• 63,000 FHVs and 13,587 taxis
Plenty of Service Will Be Available
• Over 25,000 FHVs already use apps for pickups
App-Based Service Will be Widely Available
• Drivers can use apps regardless of which base they are affiliated with
• Apps can continue to recruit drivers to their bases, or just to use their apps
App-Based Service Can Continue to Grow
6
FHV Industry Can Continue to Thrive While Growth is Slowed
•Still able to renew licenses and switch vehicles and bases
•May take calls from any app or licensed base of the same class
•May benefit from stemming the tide of new vehicles
Existing FHV
Owners/Drivers
•May affiliate new FHVs within growth limitation and/or affiliate FHVs
that were previously with other bases
•Can give each affiliated vehicle more calls (welcome by drivers)
•Can send extra calls to other bases’ vehicles
Existing Bases
•Can join as new vehicle owners with a base that has not hit its limitation
•May join industry by driving second shift on an existing vehicle
•May join by signing on with a base with existing vehicles
New Drivers
5

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Fhv growth limitation bills presentation

  • 1. Proposed Bills to Facilitate Study of Congestion by Limiting Issuance of New For-Hire Vehicle (FHV) Licenses
  • 2. Reasons for Temporary Growth Limitation Recent FHV Fleet Growth Has Been Tremendous 25,000 new FHVs since 2011 63% growth in FHV fleet FHV Growth Expected to Continue 2,000 new vehicle licenses issued each month of FY2015 FHV Growth Concentrated in Congested Manhattan Core 72% of pick- ups by high- growth FHV companies take place in congested Manhattan Core 2 Data source: NYC TLC.
  • 3. FHV Fleet Growth May Be Causing Worsening Traffic Congestion Public Health Quality of Life Ability for Businesses to Thrive • 9% decline in average Manhattan traffic speeds, from 9.35 mph to 8.51 mph* • 5% decline in rush hour MTA bus speeds** • Need a study to determine impact associated with FHVs 3 * 2010 to 2014. Source: NYC DOT. ** 2013 to 2014. Source: NYC DOT.
  • 4. Proposed Bill  TLC may only issue limited quantity of new FHV licenses until (1) TLC, DOT and DEP complete a study of the impact of FHV industry growth, or (2) August 31, 2016 (whichever comes first).  The limitations depend on the base’s size as of June 15, 2015:  500+ vehicles: may grow 1%  20 to 499 vehicles: may grow 5%  19 or fewer: may grow 15%  Bill gives City time to study issue during a period of gradual growth and make informed policy.  Limitation does not apply to green Boro Taxis, which serve the outer boroughs and Northern Manhattan. 4
  • 5. Public Will Continue to Have Excellent For-Hire Access • 63,000 FHVs and 13,587 taxis Plenty of Service Will Be Available • Over 25,000 FHVs already use apps for pickups App-Based Service Will be Widely Available • Drivers can use apps regardless of which base they are affiliated with • Apps can continue to recruit drivers to their bases, or just to use their apps App-Based Service Can Continue to Grow 6
  • 6. FHV Industry Can Continue to Thrive While Growth is Slowed •Still able to renew licenses and switch vehicles and bases •May take calls from any app or licensed base of the same class •May benefit from stemming the tide of new vehicles Existing FHV Owners/Drivers •May affiliate new FHVs within growth limitation and/or affiliate FHVs that were previously with other bases •Can give each affiliated vehicle more calls (welcome by drivers) •Can send extra calls to other bases’ vehicles Existing Bases •Can join as new vehicle owners with a base that has not hit its limitation •May join industry by driving second shift on an existing vehicle •May join by signing on with a base with existing vehicles New Drivers 5