Application Decision (Transfer of Licence) Urgent Public Need Request

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1 Application Decision (Transfer of Licence) Urgent Public Need Request Application # PT Licence # Transfer to Address Transfer from Address Summary of Current Licence Proposed Transfer: Board Decision NONE SHOAF, Avery Dean 1156 Wharf Road, Scotch Creek BC V0E 1M5 DUXBURY, Darlene Rose 1427 Taylor Road, Sorrento BC V0E 2W1 Special Authorization: Passenger Directed Vehicle. PT licence #71139 (attached.) Transfer of Licence (PDV) (Section 30 of the Passenger Transportation Act) Proposed transfer of passenger transportation licence from Darlene Rose DUXBURY to Avery Dean SHOAF. A. The panel is satisfied that there is an urgent public need for the service proposed in this application. B. The Special Authorization is approved Decision Date January 13, 2014 The application is approved in whole The rates are unchanged Panel Chair William Bell I. Introduction & Urgent Public Need Request This is an application to transfer the passenger transportation licence of Darlene Rose Duxbury to Avery Dean Shoaf. The licence includes authority to operate one passenger directed vehicle with a vehicle capacity of a driver and not less than 2 and not more than 7 passengers. The licence allows the transportation of passengers that originate from any point in Sorrento, Notch Hill, Blind Bay and Eagle Bay. Transportation of passengers may only terminate at any point in Page 1

2 the City of Kamloops, the City of Salmon Arm, the communities situated on Highway 1 between those two cities and the communities included in the originating area. The licence includes express and return trips authorizations. Supporting documentation that accompanied the application included a business plan, financial documents including a personal wealth statement and Cash Flow Projections for the 3 year period , a satisfactory- unaudited National Safety Code rating and Disclosures of Unlawful Activity and Bankruptcy and Passenger Transportation Ownership. The transferor is asking the Board to process this application on the basis of urgent public need due to personal circumstances and the need to transfer the business to someone who can operate it in a more viable fashion. II. Relevant Legislation & Board Policy Division 3 of the Passenger Transportation Act (the Act ) applies to this application. The Act requires the Registrar of Passenger Transportation to forward applications for Special Authorization licences to the Passenger Transportation Board (Board). The Act also requires the Board to publish notice of applications and consider submissions. If the Board is satisfied that there is an urgent public need for the service proposed in the application it does not need to publish the application or consider submissions. Section 28(1) of the Act says that the Board may approve the application, if the Board considers that: (a) there is a public need for the service the applicant proposed to provide under any special authorization. (b) the applicant is a fit and proper person to provide that service and is capable of providing that service, and (c) the application, if granted, would promote sound economic conditions in the passenger transportation business in British Columbia. Page 2 Application Decision Passenger Transportation Board

3 III. Reasons I will first examine the matter of urgent public need. If I find that there is an urgent public need for the service, I will then consider the applicant s fitness. If I do not find that there is an urgent public need for the service, the application will be published and proceed through the regular process. 1. Is there an urgent public need for the service proposed in the application? Board Policy Urgent is relative to the public s need, not the applicants. It is an exception to the public process for considering applications. Applicants are expected to demonstrate to the board that there is an urgent public need for the application to be processed without notice or consideration of submissions. In considering urgent public need the board may consider such things as: Whether other licensees are available to provide the service to the public Whether there is a real public demand for the service How the urgency came to exist Whether any of the urgency was due to the applicants delay If the Board processes an application on the basis of urgent public need, it may impose a time limit on the licence that is less than one year and may require an applicant to submit a full application through regular Board processes. I note that this is the only taxi service in the area and, therefore, is a service that should continue to be made available to the public. Further and given that the current licensee s personal circumstances prevent her continued operation of the service, I find that under the circumstances, an urgent public need exists. Page 3 Application Decision Passenger Transportation Board

4 2. Is the applicant a fit and proper person to provide that service and is the applicant capable of providing that service? The Board looks at fitness in two parts: (i) is the applicant a fit and proper person to provide the proposed service; and (ii) is the applicant capable of providing that service? The Board reviews the conduct of an applicant and the structure of its operations. Does the applicant seem to understand passenger transportation laws and policies? Is the business set up to follow these laws? Is there something in the applicant s background that shows it disregards the law? Applicants are expected to show that they have the resources and skills to manage the service that want to operate. The Board gets much of this information from business plans and financial statements. Mr. Shoaf, the applicant, will drive the vehicle and continue the service. He will hire another driver during busy periods. The applicant plans to operate the taxi service using a 2001 Sienna vehicle that has been well maintained and is in good condition. Mr. Shoaf provided details on the demographics of the market area and a marketing strategy that appears appropriate for it. He will continue the former owner s good record of service and develop a relationship will local businesses as he plans to expand the hours of service. The applicant provided financial documentation and a personal worth statement that he has the wherewithal to acquire the service. The applicant plans to do daily vehicle inspections and cleaning. He will also have a licenced inspection mechanic check the vehicle every six months. In response to a question concerning his employment background I note that although he does not have experience directly related to taxis, he does have business ownership and experience since 1995 and the appropriate transferable skills. The applicant reported a dated issue regarding a former offence. He further reports he has received a pardon related to this offence. The 3 year financial projections appear reasonable and realistic based on the past financials of the current owner and future cost increases. Further, the licence will be operated and in the same service area with expanded hours of operation. I find that the applicant understands the Page 4 Application Decision Passenger Transportation Board

5 nature of the business he is undertaking, is capable of managing and providing the current scale of the taxi service, and appears knowledgeable about the obligations regarding safety in the taxi industry. I find that the transferee is fit and proper and capable of providing the service as outlined in the terms and conditions of PT Licence IV. Conclusion For the reasons above, this application is approved in whole. I establish the activation requirements and the terms and conditions of licence that are attached to this decision as Appendix I. I establish the rates that are attached to this decision as Appendix II. These form an integral part of the decision. Page 5 Application Decision Passenger Transportation Board

6 SHOAF, Avery Dean dba Sorrento Taxi / Wild Man Express Appendix I Licence Required to Operate Vehicles Approval of application may expire The Registrar of Passenger Transportation must issue the applicant a licence before the applicant can operate any vehicles approved in this decision. 1. The applicant must activate the vehicle within 45 days of the date of this decision. 2. If the applicant does not meet the requirements set out in 1 above, this Special Authorization expires. 3. The Passenger Transportation Board may vary the requirements set out in 1 above, if circumstances warrant it. 4. If an applicant needs more time to activate its vehicles, then the applicant must make a request to the Board before the end of the 6 month activation period. (Note: activate means that the applicant has submitted the documents required to obtain a Special Authorization Vehicle Identifier to the Registrar of Passenger Transportation.) Notice to Registrar The Registrar must not, without direction from the Board, issue the applicant a licence or any Special Authorization Vehicle Identifiers if the applicant has not activated the vehicle within 45 days of the date of this decision. (Note: activated means that the applicant has submitted to the Registrar of Passenger Transportation the documents required to obtain a Special Authorization Vehicle Identifier.) Special Authorization - Passenger Directed Vehicle (PDV) Vehicles: Maximum Fleet Size: 1 vehicle Terms & Conditions: Vehicle Capacity (T): Vehicles can accommodate a driver and not less than 2 and not more than 7 passengers. Service 1: The following terms and conditions apply to Service 1. Originating Area: Transportation of passengers may only originate from any point in Sorrento, Notch Hill, Blind Bay and Eagle Bay. Destination Area: Transportation of passengers may only terminate at any point in the City of Kamloops, the City of Salmon Arm, the communities situated on Highway 1 between these two cities, and the communities included in Page 6 Application Decision Passenger Transportation Board

7 the originating area. Return Trips: The same passengers may only be returned from where their trip terminates in the destination area to any point in the originating area if the return trip is arranged by the time the originating trip terminates. Express Authorizations: (i) Vehicles must be equipped with a meter that calculates fares on a time and distance basis. (ii) The operator of the vehicle may, from within the originating area only, pick up passengers who hail or flag the motor vehicle from the street. Taxi Cameras: Taxi camera equipment may only be installed and operated in vehicles when the licensee is in compliance with applicable taxi camera rules, standards and orders of the Passenger Transportation Board. Transfer of a licence: This special authorization may not be assigned or transferred except with the approval of the Board pursuant to section 30 of the Passenger Transportation Act. Page 7 Application Decision Passenger Transportation Board