1 AGTA TLPA Funded Project: “The Full Cost of Implementing an Accessible Taxicab Program” Ray Mundy, Ph.D. Center for Transportation Studies University.

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AGTA AGTA

TLPA Funded Project:TLPA Funded Project:“The Full Cost of Implementing an Accessible Taxicab “The Full Cost of Implementing an Accessible Taxicab

Program”Program” Ray Mundy, Ph.D.Ray Mundy, Ph.D.

Center for Transportation StudiesCenter for Transportation Studies

University of Missouri, Saint LouisUniversity of Missouri, Saint Louis

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Table of ContentsTable of Contents

• IntroductionIntroduction• Practical DifficultiesPractical Difficulties

– Accessibility Costs and Level of DemandAccessibility Costs and Level of Demand

• Successful Implementation Successful Implementation StrategiesStrategies

• Calculator for Determining Local Calculator for Determining Local CostsCosts

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IntroductionIntroduction

• July 26, 1990 – Birth of ADA to eliminate July 26, 1990 – Birth of ADA to eliminate discrimination based on disabilitiesdiscrimination based on disabilities

• Inclusion of transportation industry in Inclusion of transportation industry in ADAADA

• Public transit agencies mandated to Public transit agencies mandated to provide specialized tripsprovide specialized trips

• Local transportation regulatory Local transportation regulatory authorities requiring taxi fleet to have authorities requiring taxi fleet to have ADA accessible vehicles beyond federal ADA accessible vehicles beyond federal mandatemandate

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Practical DifficultiesPractical Difficulties

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Cost IssueCost Issue- Extra cost involved in buying special Extra cost involved in buying special

vehiclesvehicles- Installation cost of special equipmentInstallation cost of special equipment- Higher operating costs due to increase in Higher operating costs due to increase in

gasoline consumption and weightgasoline consumption and weight- Insufficient financial incentives and Insufficient financial incentives and

offsetting additional costsoffsetting additional costs- Question of willingness of independent Question of willingness of independent

contract drivers for accepting dispatch calls contract drivers for accepting dispatch calls for such servicefor such service

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CompetitionCompetition

- Competition faced by traditional taxicab service Competition faced by traditional taxicab service from Public Transit, Dial-a-Ride and other from Public Transit, Dial-a-Ride and other Paratransit servicesParatransit services

- Pressure on traditional taxicab industry to Pressure on traditional taxicab industry to improve their service for the mobility impairedimprove their service for the mobility impaired

- Very limited market for truly wheelchair Very limited market for truly wheelchair accessible taxicabs outside of ADA provided accessible taxicabs outside of ADA provided servicesservices

- An obvious decrease in wheelchair accessible An obvious decrease in wheelchair accessible taxicab trips with an implementation of a free or taxicab trips with an implementation of a free or relatively free ADA compliant transportation relatively free ADA compliant transportation services mandated for public transit systemsservices mandated for public transit systems

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Trip LengthTrip Length

- Comparatively shorter length of the trip Comparatively shorter length of the trip required by the disabled user = low revenue required by the disabled user = low revenue per tripper trip

- Difficulty faced by taxi company management Difficulty faced by taxi company management to convince independent contractors to provide to convince independent contractors to provide the service for trips that require accessibilitythe service for trips that require accessibility

- Making it easier to own a wheelchair accessible Making it easier to own a wheelchair accessible taxi does not guarantee it will be used for the taxi does not guarantee it will be used for the purpose of transporting disabled individualspurpose of transporting disabled individuals

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IntegrationIntegration

• Need to integrate accessible trips with Need to integrate accessible trips with normal trips to lessen economic normal trips to lessen economic hardships of wheelchair accessible tripshardships of wheelchair accessible trips

• Trade-off between the taxicab drivers Trade-off between the taxicab drivers attempting to maximize the use of their attempting to maximize the use of their taxicab and the disabled community not taxicab and the disabled community not wanting to wait excessive amount of timewanting to wait excessive amount of time

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TrainingTraining

• Adequate training - a mustAdequate training - a must• Requirement of the knowledge Requirement of the knowledge

of using the equipment efficientlyof using the equipment efficiently• Ability/willingness to assist the Ability/willingness to assist the

wheelchair userswheelchair users• Care of the mobility impaired , Care of the mobility impaired ,

compassion and an attitude of compassion and an attitude of service – not found in all driversservice – not found in all drivers

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Need for Full Service Taxi Need for Full Service Taxi companiescompanies

• Ability to provide sufficient vehicles to service Ability to provide sufficient vehicles to service a wide geographic area efficientlya wide geographic area efficiently

• Provide training, modern GPS dispatch, Provide training, modern GPS dispatch, corporate vouchers, school trips, special event corporate vouchers, school trips, special event services, centralized dispatch system etcservices, centralized dispatch system etc

• Ability to monitor, invoice, and report Ability to monitor, invoice, and report electronically electronically

• Ability to view accessible taxicabs as a part of Ability to view accessible taxicabs as a part of their community effort and as a long term their community effort and as a long term marketmarket

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Impracticalities for UsersImpracticalities for Users

• Most “dial a ride” services provided Most “dial a ride” services provided are relatively inconvenientare relatively inconvenient

• Taxicab companies are able to Taxicab companies are able to provide a better service if provide a better service if appropriately compensated at a rate appropriately compensated at a rate significantly lower than public significantly lower than public paratransit servicesparatransit services

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Real Taxicab Real Taxicab Accessibility CostsAccessibility Costs

• Extra cost involved in buying special vehiclesExtra cost involved in buying special vehicles• Installation cost of special equipmentInstallation cost of special equipment• Insurance costsInsurance costs

– Newer vehicles can be significantly more Newer vehicles can be significantly more expensive to insure than a sedan – comprehensive expensive to insure than a sedan – comprehensive as well as liability insuranceas well as liability insurance• Operating costsOperating costs

– Slight increase due to increased fuel Slight increase due to increased fuel consumption due to vehicle weightconsumption due to vehicle weight

– Maintenance of accessible equipmentMaintenance of accessible equipment– Special driver trainingSpecial driver training

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Accessibility costsAccessibility costs

• Examples:Examples:

- Dodge grand caravan with low mileage Dodge grand caravan with low mileage and total equipment: $25,000 to and total equipment: $25,000 to $35,000$35,000

- Brand new Dodge grand Caravan with Brand new Dodge grand Caravan with equipment: $46,000 to $49,000equipment: $46,000 to $49,000

- Conversion package: $11,500 to Conversion package: $11,500 to $12,590$12,590

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Level of demand for Accessible Level of demand for Accessible Taxicabs at Taxicabs at

North American AirportsNorth American Airports

• Airports compiling the number of Airports compiling the number of accessible trips found little demandaccessible trips found little demand

• Accessible taxi trips representing Accessible taxi trips representing one trip or less per day at airports one trip or less per day at airports dispatching over1000 taxicab trips dispatching over1000 taxicab trips per day or a utilization level of .001.per day or a utilization level of .001.

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Implementation Implementation Strategies Strategies

Case StudiesCase Studies

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City of BostonCity of Boston

• 6% wheelchair accessible taxicabs6% wheelchair accessible taxicabs• Meetings with disabled people twice a Meetings with disabled people twice a

year to find out level of satisfactionyear to find out level of satisfaction• Evaluation process takes the increase Evaluation process takes the increase

in population and the number of trips in population and the number of trips provided from the airport into accountprovided from the airport into account

• Disabled people are happy with the Disabled people are happy with the serviceservice

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City of PortlandCity of Portland• Required minimum of 5% of Required minimum of 5% of

wheelchair accessible vehicleswheelchair accessible vehicles• 17 out of 383 wheelchair accessible 17 out of 383 wheelchair accessible

taxicabs (4.4%)taxicabs (4.4%)• Contradicting Complaints:Contradicting Complaints:

– Complaints from disabled people about Complaints from disabled people about lack of servicelack of service

– Complaints from the taxicab companies Complaints from the taxicab companies about the underutilized vehiclesabout the underutilized vehicles

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City of HoustonCity of Houston- Certainly one of the more advanced city when it Certainly one of the more advanced city when it

comes to wheelchair accessible taxicab services comes to wheelchair accessible taxicab services - The city officials of the City of Houston decided The city officials of the City of Houston decided

not to provide large amounts of public not to provide large amounts of public transportation and preferred to lower their costs transportation and preferred to lower their costs and contract this market to Houston Yellow Cabs and contract this market to Houston Yellow Cabs

- Very successful program, subsidizing every ADA Very successful program, subsidizing every ADA mandated trip at an average of 20 dollars per trip mandated trip at an average of 20 dollars per trip

- Illustrate two things: need for subsidies to be Illustrate two things: need for subsidies to be profitable and absence of competition to have a profitable and absence of competition to have a viable marketviable market

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City of San City of San FranciscoFrancisco

• Luxor taxicabs: 37 out of its 100 vehicles are Luxor taxicabs: 37 out of its 100 vehicles are wheelchair accessible (37%)wheelchair accessible (37%)

• Relatively higher demand for accessible Relatively higher demand for accessible taxicabs compared to other cities (average 60 taxicabs compared to other cities (average 60 to 80 trips per day)to 80 trips per day)

• Demand is higher than in other cities (3 trips Demand is higher than in other cities (3 trips per day per vehicle) but in order for these vans per day per vehicle) but in order for these vans to be profitable they must perform normal trips to be profitable they must perform normal trips as wellas well

• Maintenance costs are more expensive than on Maintenance costs are more expensive than on normal vehiclesnormal vehicles

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Denver, CODenver, CO• Portion of accessible service provided by Portion of accessible service provided by

Metro Taxi through Medicaid Care, a broker Metro Taxi through Medicaid Care, a broker contracted by the city of Denvercontracted by the city of Denver

• Accessible service provided at all the other Accessible service provided at all the other times excluding after hours and weekendstimes excluding after hours and weekends

• Conversion cost to accessible taxicabs:Conversion cost to accessible taxicabs:$15,000/cab$15,000/cab

• Twenty (20) wheelchair accessible taxicab Twenty (20) wheelchair accessible taxicab vans out of the 500 taxicab fleet (4.0% vans out of the 500 taxicab fleet (4.0% accessible vehicles)accessible vehicles)

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San AntonioSan Antonio• Demand for accessible cabs: 600 - 800 Demand for accessible cabs: 600 - 800

trips/week trips/week • San Antonio Yellow Cab has 25 wheelchair San Antonio Yellow Cab has 25 wheelchair

accessible vans out of 560 taxicab fleet accessible vans out of 560 taxicab fleet ( 4.5%)( 4.5%)

• Challenge of attracting independent Challenge of attracting independent contractor taxicab drivers contractor taxicab drivers

• Conversion cost : approximately $9000 per Conversion cost : approximately $9000 per vehicle including a fleet discountvehicle including a fleet discount

• Yellow cab is blamed if any problem arises Yellow cab is blamed if any problem arises accessible taxicab servicesaccessible taxicab services

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Long Beach: Dial-a-lift Long Beach: Dial-a-lift programprogram

• Yellow Cab provides the driver with a minimum Yellow Cab provides the driver with a minimum fare guarantee of $10 for each contracted trip fare guarantee of $10 for each contracted trip and $15 subsidy for the out of contract tripsand $15 subsidy for the out of contract trips

• Subsidy compensates the driver for the lost time, Subsidy compensates the driver for the lost time, extra deadheading, and extra work associated extra deadheading, and extra work associated with each trip with each trip

• Subsidy makes the trip profitable to the driver Subsidy makes the trip profitable to the driver and eliminate the issues associated with the and eliminate the issues associated with the additional expense additional expense

• Result has been positive; Long Beach Transit Result has been positive; Long Beach Transit saved over $600,000 on a $1,500,000 contract saved over $600,000 on a $1,500,000 contract (40% reduction in annual operating costs)(40% reduction in annual operating costs)

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Long Beach contd..Long Beach contd..• Intangible profits include increased service Intangible profits include increased service

levels and customer quality, faster levels and customer quality, faster response of vehicles, and passengers response of vehicles, and passengers traveling more directly from pick-up to traveling more directly from pick-up to drop-offdrop-off

• A 24-hour-a-day 7-day-a-week serviceA 24-hour-a-day 7-day-a-week service• Program’s structure ensures an Program’s structure ensures an

appropriate capital subsidy to cover the appropriate capital subsidy to cover the purchase of the vans, cover the higher purchase of the vans, cover the higher maintenance costs and offer incentives to maintenance costs and offer incentives to the drivers, resulting in excellent service the drivers, resulting in excellent service response times response times

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Arlington, VAArlington, VA• STAR (So That All may Ride) program with STAR (So That All may Ride) program with

Red Top CabRed Top Cab• Success due to the payment by the County of Success due to the payment by the County of

a $5 per trip surcharge on those trips a $5 per trip surcharge on those trips requiring wheelchair-accessible taxicabs ($10 requiring wheelchair-accessible taxicabs ($10 for no-show)for no-show)

• Success in attracting and retaining drivers to Success in attracting and retaining drivers to participate in the STAR program and the participate in the STAR program and the wheelchair accessible service in general wheelchair accessible service in general

• Red Top has worked with STAR to increase its Red Top has worked with STAR to increase its efficient use of taxis by utilizing ride-sharing efficient use of taxis by utilizing ride-sharing strategies that can commingle riders needing strategies that can commingle riders needing accessible service with ambulatory ridersaccessible service with ambulatory riders

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Arlington contd..Arlington contd..• Key to the success is Key to the success is

– the ability of the local jurisdiction to the ability of the local jurisdiction to effectively partner with a strong taxicab effectively partner with a strong taxicab provider provider

– Willingness of the taxicab provider to meet Willingness of the taxicab provider to meet community needs by investing capital and community needs by investing capital and other resources on a voluntary basis other resources on a voluntary basis

– Providing modest incentives to the taxicab Providing modest incentives to the taxicab company, in the form of special certificates, company, in the form of special certificates, and to the taxi drivers, by paying a reasonable and to the taxi drivers, by paying a reasonable trip premium trip premium

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Appendix AAppendix AEstimating the Cost of Estimating the Cost of

Implementing an Implementing an Accessible Taxicab Accessible Taxicab

ProgramProgram

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University Developed University Developed Accessible Taxicab Cost Accessible Taxicab Cost

CalculatorCalculator• Goal: calculating Goal: calculating your city’syour city’s costs for costs for

accessible taxicab integrated serviceaccessible taxicab integrated service– Depending upon percentage of taxi Depending upon percentage of taxi

vehicles made accessiblevehicles made accessible– Depict true cost of local mandates for Depict true cost of local mandates for

accessible taxicab costs accessible taxicab costs – Easy format for presentationEasy format for presentation

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• Calculator main Calculator main screenscreen

• Starts with Starts with default valuesdefault values

• Values used in Values used in calculation of calculation of costscosts– CapitalCapital– InsuranceInsurance– OperatingOperating– Annual mileageAnnual mileage– Depreciation Depreciation

timetime– Total fleet sizeTotal fleet size– % of total fleet % of total fleet

to be accessibleto be accessible

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• Summary resultsSummary results– 11stst row shows row shows

cost under cost under current current operationsoperations

– 22ndnd row shows row shows cost if new vans cost if new vans are purchasedare purchased

– 33rdrd row shows row shows cost if used vans cost if used vans are convertedare converted

• Increase in cost Increase in cost over current over current operation for operation for both new and both new and used vans used vans

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• Yearly breakdownYearly breakdown– Top left shows Top left shows

costs for sedan costs for sedan only operationonly operation

– Top right shows Top right shows costs for new costs for new accessible vehiclesaccessible vehicles

– Bottom right Bottom right shows cost for shows cost for converted/used converted/used vansvans

– Bottom left shows Bottom left shows cost for balance of cost for balance of sedans remaining sedans remaining after accessible after accessible vehicles acquiredvehicles acquired

• Uses 7 years to Uses 7 years to show annual cost show annual cost after depreciation after depreciation costs are realizedcosts are realized

Taxicab Accessibility Cost

Taxicab Accessibility Cost Calculator Using Mobility Seats

as a Partial Solution

Van Type Mobility Seat

Sedan Type Mobility Seat

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Common Methods of Common Methods of Supporting Taxicab Supporting Taxicab

Industry for AccessibilityIndustry for Accessibility• Direct subsidy / surcharge per tripDirect subsidy / surcharge per trip• Minimum fare guaranteeMinimum fare guarantee• Agency purchased vehicle for use by public Agency purchased vehicle for use by public

sectorsector• First in line privileges at airportFirst in line privileges at airport• Additional fleet years of accessible vehiclesAdditional fleet years of accessible vehicles• Contract service / Reduced public transportation Contract service / Reduced public transportation

serviceservice• GrantsGrants• Ride-sharing strategyRide-sharing strategy

ConclusionConclusion• Taxicab accessibility costs are real• Local officials need to know the

benefits of accessibility integration into full service taxi operations

• Estimated costs can and should be developed

• Work cooperatively with officials to reach a long term goal of integration through local financial and other support.

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