Hurdle Cleared For Outer Boro Svc.
New York’s highest court upheld a state law, June 6, that allows New Yorkers to hail select livery cars in the outer boroughs and northern Manhattan.
The Court of Appeals struck down an earlier State Supreme Court ruling that found in favor of the yellow taxi industry and affiliated trade groups, who contended the law was unconstitutional.
Previously, livery vehicles were only allowed to accept passengers that had arranged for a ride, according to city code.
Still, many livery drivers pick passengers off the street, and the price for their services is not regulated, the ruling noted.
As a result of the ruling, state law will allow the city to establish a Hail Accessible Interborough License (HAIL) program. Over the next three years, the Taxi and Limousine Com- mission (TLC) will issue 18,000 HAIL vehicle licenses to specially colored, apple green livery vehicles that operate north of E. 96th street and W. 110th Street, as well as in Queens, Brooklyn, the Bronx and Staten Island, according to a press release from Mayor Michael Bloomberg’s office.
Livery cabs are still prohibited from taking hails in Manhattan’s central business district and around the city’s two airports, according to the HAIL Act, which was enacted by state legislators in the latter part of 2011 and the beginning of 2012.
Twenty percent of the licenses must be sold to wheelchair-accessible vehicles, and the law also authorizes the sale at public auction of 2,000 new yellow cab medallions for wheelchair-accessible cabs, it noted.
According to Bloomberg, the medallion sale should generate $2 billion in revenue for the city.
The state law was initially struck down last fall by State Supreme Court Justice Arthur Engoron on the grounds the state needed a greenlight from New York City Council to enact the order.
Governor Andrew Cuomo and State Assembly Speaker Sheldon Silver both came out in support of the June 6 reversal.
“Today’s unanimous decision by the Court of Appeals is a resounding victory for fairness and for the seven million New York City residents in the outer boroughs and Upper Manhattan who have limited access to transportation,” Cuomo said in a statement. “This is particularly important for those with disabilities who cannot easily use other forms of mass transit.”
In a statement, Silver noted the expanded taxi service will create additional jobs in the city. Need a cab? There’s an app for that
The city announced June 6 plans to move forward with a pilot program that would allow customers to hail yellow cabs using smartphone applications.
The program was halted after industry groups representing livery and for-hire vehicles brought suit claiming pre-arranging rides through an app stole business from the “black car” industry.
In April, Manhattan State Court Justice Carol Huff ruled in favor of the e-hail program and dismissed livery industry representatives’ suit against the city.
“In New York City in 2013, common sense and the free market say that you should be able to use your smart phone to get a cab, and that’s why we created a pilot program to allow users to do just that” Bloomberg said in press release. “Some in the industry want to protect their business interests by blocking the use of new technology – but innovation is good for customers, and we will continue to encourage it.”
TLC Commissioner David Yassky also supported the ruling.
“Lifting the TRO (temporary restraining order) was a good decision for all New Yorkers,” Yassky said. “The positive feedback we’ve had from the short time our pilot program was up says loudly and clearly that riders want the e-hail option, and I am even more confident today that it will ultimately be available to them.”
