§ 1109.

CONDITIONS APPLICABLE TO MEDALLIONS

a.

Affiliation With Color Scheme Required; Color Scheme Change.

1.

A Medallion Holder must affiliate with a single Color Scheme Permit Holder. A Medallion Holder shall be deemed affiliated with a particular Color Scheme when the SFMTA approves his or her application pursuant to this Article, and shall entitle the Medallion Holder to the right to the use of that Color Scheme’s trade dress and place of business.

2.

Affiliation with a Color Scheme and/or the failure of a Color Scheme to comply with this Article does not relieve the Medallion Holder of his or her responsibility to comply with all requirements of this Article applicable to the Medallion Holder.

3.

A Medallion Holder may apply to the SFMTA for a change in affiliation. The applicant’s choice of Color Scheme shall be subject to the prior approval of the SFMTA. A Medallion Holder’s request for affiliation with a Color Scheme shall be approved unless the Color Scheme is on Administrative Probation pursuant to Section 1120(d). The SFMTA may delay or deny a change in Color Scheme affiliation by a Medallion Holder if a court of competent jurisdiction issues a temporary or permanent order to prohibit or delay the transfer.

4.

A Medallion Holder who purchases his or her Medallion in accordance with Section 1116 must affiliate with a Participating Color Scheme.

b.

Use of Dispatch Service. All Medallion Holders affiliated with a Color Scheme must utilize the same Dispatch Service.

c.

Full-Time Driving Requirement.

1.

Every Medallion Holder who is a natural person and who acquired his or her Medallion after June 6, 1978 shall be a Full-Time Driver.

2.

Exception for Certain Permits. Notwithstanding any contrary provision in this Article, the requirements set forth in this Subsection 1109(c) shall not apply to any person holding a Medallion issued on or before June 6, 1978.

3.

Declaration Required. No permit to operate a Taxi shall be granted to a natural person unless the Medallion Holder shall declare under penalty of perjury that he or she will actively and personally continue to engage in Full-Time Driving.

(5) 1 Medallion Holders Responsible for Documenting Compliance. A Medallion Holder has the responsibility to maintain his or her own business records, including, until April 30, 2013, or earlier pursuant to notice from the SFMTA that the Color Scheme for which he or she drives is affiliated with a Dispatch Service that has implemented a system for generating Electronic Trip Data, paper waybills. Paper waybills, Electronic Trip Data, or other corroborating documentary evidence completed in compliance with all requirements may be used to demonstrate compliance with the Full-Time Driving requirement. Failure of a Color Scheme to maintain business records, including paper waybills or Electronic Trip Data, as required by this Article shall not excuse a Medallion Holder from proving that he or she has satisfied this Subsection 1109(c) or any other requirement.

6.

Partial Years. During the year that a Medallion is first issued or any year in which operation of the Medallion was temporarily suspended with the approval of the SFMTA in accordance with Section 1105(a)(9), the number of driving hours required to meet the Full-Time Driving Requirement shall be reduced by the same proportion as the ratio of the Permit Holder’s excused driving hours to the hours remaining in the calendar year.

7.

Exception for Color Scheme Key Personnel.

A.

Alternative Driving Requirement. Medallion Holders who are designated as “Key Personnel” by a Color Scheme may satisfy the Full-Time Driving requirement by driving 120 hours per year and performing 1,500 hours of work per year as Key Personnel for the Color Scheme.

B.

Written Designation of Key Personnel. Each Color Scheme seeking to designate one or more of its employees for a calendar year pursuant to this Subsection 1109(c)(7) must file a written designation by December 1st of the preceding year. A Permit Holder may not be designated as Key Personnel by more than one Color Scheme during a calendar year. The SFMTA will only recognize as Key Personnel only those Medallion Holders named in a completed designation form filed by the Color Scheme as of December 1st.

C.

Number of Key Personnel Designated at a Color Scheme. Each Color Scheme will be entitled to designate Key Personnel in accordance with the number of Medallions affiliated with that Color Scheme. The number of Medallions affiliated with a particular Color Scheme for a calendar year shall be determined as of December 1st of the previous year, based on the records of the SFMTA. Only individuals already holding a Medallion by December 1 of that year may be considered for Key Personnel designation. The number of designated Key Personnel at a Color Scheme may not be increased or decreased during the subsequent calendar year even if the number of Medallions affiliated with that Color Scheme changes during the year.

A Color Scheme with 1 to 10 Medallions may not designate anyone as Key Personnel.

A Color Scheme with 11 to 20 Medallions may designate one person.

A Color Scheme with 21 to 40 Medallions may designate two people.

A Color Scheme with 41 to 60 Medallions may designate three people.

A Color Scheme with 61 to 80 Medallions may designate four people.

A Color Scheme with 81 to 100 Medallions may designate five people.

A Color Scheme with 101 to 150 Medallions may designate six people.

A Color Scheme with 151 to 200 Medallions may designate seven people.

A Color Scheme with 201 to 300 Medallions may designate eight people.

A Color Scheme with 301 to 400 Medallions may designate nine people.

A Color Scheme with over 400 Medallions may designate nine people, plus one additional person for every 100 Medallions over 400.

D.

Statement of Work by Key Personnel. No later than February 1st of each year, each Color Scheme that has designated one or more employees as Key Personnel must submit a written Statement of Work on a form provided by SFMTA, demonstrating the number of hours during the previous calendar year that each of its designated Key Personnel worked on tasks related to the business of the Color Scheme, including but not limited to, office duties, dispatching, cashiering, or performing management duties. The Statement of Work shall be signed under penalty of perjury by both the Color Scheme and the Medallion Holder designated as Key Personnel. The Color Scheme shall be responsible for submitting proof of employment with the Statement of Work, which shall consist of state or federal tax forms filed with the appropriate regulatory agency. A Medallion Holder and/or Color Scheme that submit a falsely sworn Statement of Work shall be subject to automatic revocation of his or her Permit.

E.

Partial Completion of Requirements. If a Medallion Holder performs at least 750 hours of work as designated Key Personnel for the a Color Scheme during the year but less than 1,500 hours, the Permit Holder shall be entitled to partial credit against the Full-Time Driving requirement on a pro rata basis. The credit shall correspond to the percentage of 1,500 hours that the designated Permit Holder worked for the company in such capacity. If a Permit Holder does not perform at least 750 hours of work as designated personnel for the Color Scheme during the year, the Permit Holder shall not be entitled to any credit against the Full-Time Driving requirement.

d.

Corporate Medallion Holders.

1.

Permits Void in Event of Transfer or Sale of Permit Holder. Any Medallion held by a Permit Holder that is not a natural person shall be deemed null and void and revoked if any of the following circumstances has occurred since the issuance of the Medallion:

A.

If the Medallion Holder is or was sold or transferred at any time after June 6, 1978. For the purposes of this Section, a sale or transfer occurs upon a cumulative sale or transfer of either 10 percent or more of the stock or other ownership of the Medallion Holder, or 10 percent of the Permit Holder’s assets since June 6, 1978, unless such sale or transfer has the prior written approval of the SFMTA.

B.

If the management or control of the Permit Holder is or has been transferred for consideration since the issuance of the permit;

C.

If the Medallion Holder’s rights to receive income derived from a Lease or an agreement authorized by Section 1109(e)(2) is assigned, transferred or sold.

e.

Medallion Operation.

1.

A Medallion Holder may arrange for the continuous operation of the Medallion in compliance with Section 1105(a)(9) only as follows:

A.

By entering into a Lease with a Color Scheme under which the Color Scheme will operate the Medallion as a Gas and Gates Medallion.

B.

By operating the Medallion himself or herself as a Gas and Gates Medallion. A Medallion Holder who elects to operate the Medallion pursuant to this Section 1109(e)(1)(B) must comply with the following:

i.

The Medallion Holder must file an operation plan with the SFMTA in a form to be determined by the SFMTA. The SFMTA shall make a form of operation plan available to Medallion Holders no later than November 15, 2013.

ii.

The Medallion Holder is prohibited from charging any Gate Fee other than the Gate Fee posted for that shift by the Color Scheme with which the Medallion is affiliated, and is prohibited from charging Drivers any amounts other than a Gate Fee.

iii.

The Medallion Holder is responsible for compliance with all requirements imposed upon Color Scheme permit holders by Section 1106, subsections (i), (j), (k), (n), (o)(1), (o)(3), (p)(2), (p)(4), (p)(5), (p)(7), (q) and (t).

iv.

At least 50% of the hours relied upon by a Medallion Holder for the purpose of establishing compliance with the Full-Time Driving requirements must be driven in the vehicle in which the Medallion is being operated , except to the extent that the operation in a different vehicle has been authorized in advance, in writing, by the SFMTA.

2.

Notwithstanding Section 1109(e)(1), a Medallion may be operated under a written agreement between a Medallion Holder and a Driver if the agreement was executed prior to October 1, 2013 and the vehicle operated under the Medallion was purchased before October 1, 2013; provided, however, that the Medallion Holder must file an operation plan subject to the review and approval of the SFMTA no later than February 1, 2014 in a form to be determined by the SFMTA, the operation plan must demonstrate that the Medallion Holder will meet the Full-Time Driving requirement, if applicable, during the lease term, and the Medallion may be operated pursuant to the agreement only until the vehicle assigned to the Medallion is replaced with another vehicle.

CODIFICATION NOTE

1. Res. No. 14-005 deleted former division (c)(4) but did not redesignate the remaining divisions (c)(5) through (c)(7).

History

(SFMTA Bd. Res. No. 09-23, 2/23/2009; SFMTA Bd. Res. No. 09-077, 5/19/2009; SFMTA Bd. Res. No. 09-104, 6/16/2009; SFMTA Bd. Res. No. 09-183, 10/20/2009; SFMTA Bd. Res. No. 10-029, 2/26/2010; SFMTA Bd. Res. No. 10-039, 3/30/2010; SFMTA Bd. Res. No. 10-055, 4/20/2010; SFMTA Bd. Res. No. 10-066, 5/4/2010; SFMTA Bd. Res. No. 10-103, 7/6/2010; SFMTA Bd. Res. No. 10-116, 8/3/2010; SFMTA Bd. Res. No. 10-149, 11/16/2010; SFMTA Bd. Res. No. 11-017, 2/1/2011; SFMTA Bd. Res. No. 11-155, Ad. 12/6/2011, Eff. 1/6/2012; SFMTA Bd. Res. No. 12-079, Ad. 6/5/2012, Eff. 7/6/2012; SFMTA Bd. Res. No. 12-148 , Ad. 11/20/2012, Eff. 12/21/2012; SFMTA Bd. Res. No. 13-024 , Ad. 2/19/2013, Eff. 3/22/2013; SFMTA Bd. Res. No. 13-033 , Ad. 3/19/2013, Eff. 4/19/2013; SFMTA Bd. Res. No. 13-230 , Ad. 10/15/2013, Eff. 11/15/2013; SFMTA Bd. Res. No. 14-005 , Ad. 1/7/2014, Eff. 2/7/2014)

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