Drivers packed a Manhattan boardroom Thursday to praise a New York City Taxi & Limousine Commission proposal to give the city’s 180,000 for-hire motorists a break on fines that are stacked on top of license suspensions for missing mandated drug tests or vehicle inspections.
The new proposal floats the possibility of eliminating $200 fines slapped on drivers whose licenses have been suspended for being more than 30 days late on required annual drug tests, as well as penalties ranging from $100 to $500 for not completing vehicle checkups.
“Drivers are already suffering from the economic penalty of being suspended, not being able to work,” Taxi & Limousine Commissioner and Chair Midori Valdivia said Thursday at a TLC board meeting. “And so we did want to reduce the financial burden on our drivers.”
But several drivers said the cost-cutting for drivers needs to go even deeper in an industry still struggling to return to pre-pandemic trip levels.
“These are good changes, but only if they are the beginning,” said Mohamed Mohamed, 63, a former yellow taxi driver who now drives for Uber and Lyft. “Our main demand is this: Stop seeing drivers as easy targets, stop treating us like cash registers or ATM machines for the city.”
A Top Concern for Cabbies
While monthly trips for the app-based ride-hailing services were at nearly 90% of pre-pandemic levels in June, yellow taxis were just 55% of what they were before 2020, according to TLC data. Trips for green cabs, which serve boroughs and Northern Manhattan, have sunk to 8.3% of their pre-COVID levels.
Many of those who testified at Thursday’s meeting said the extra fees only add to the long-running struggles of those at the wheel.
“There’s no need to punish the drivers more with what they have already been subjected to,” said Michele Dottin, an Uber driver.
The proposal is an outgrowth of an executive order signed in January by Mayor Zohran Mamdani, who directed city agencies to find ways to reduce costs and bureaucratic hurdles that cause “undue hardships for small businesses.” It also takes a cue from an April survey of thousands of TLC-licensed drivers, including yellow taxi drivers and those who drive for app-based ride-hailing services, such as Uber and Lyft.
“There is nothing too small or too big to consider when it comes to improving working conditions,” Valdivia said at the meeting. “And every one of us benefits from those improvements.”
Nearly 27% of the nearly 4,000 drivers who responded to the survey flagged certain fines and penalties as a leading source of frustration.
“These fines only hurt us as drivers,” said Saif Aizah, 52, who drives for Lyft. “We have to work longer hours just to pay these fines.”
The number of drivers who pointed to monetary penalties as a headache came in at just under the 28% who cited competition from unlicensed ride-hailing competitors.
‘We Didn’t Need To Add This On’
Last fiscal year, according to TLC, there were 2,941 instances of drivers receiving a $200 fee for a late drug test. For missing vehicle inspections, 8,572 summonses have been issued, with fees ranging from $100 to $500.
The fees are currently tacked onto drivers who have been taken out of service for not meeting the commission’s requirements.
“Missed vehicle inspections already result in a suspension, which means you can’t use your vehicle, and that’s already a significant penalty,” Valdivia said in an interview with The City Reporter. “You’re already losing money, and so we decided that with $100 to $500 escalating, they’re already paying a steep penalty for missing this vehicle inspection and we didn’t need to add this on.”
Medallion owner Augustine Tang, 42, testified Thursday that tacking fees on top of a license suspension does not make sense for drivers who have already been sidelined.
“We are not asking TLC to ignore violations or excuse unsafe driving,” Tang said. “We are asking for the penalties to be fair and proportional.”
TLC officials said they also want to wipe away a $25 fee to replace a license and a $50 charge for reporting the loss or theft of a license. Those fees have been applied 2,941 times so far this fiscal year, according to the agency.
Reduced Revenue for Regulators
The commission estimates that eliminating the fees and fines could collectively save drivers about $950,000 while reducing TLC revenue by $994,000, or slightly less than 2% of the agency’s fiscal year 2027 budget.
Taxi medallion owner Michael Simon said he felt “a little out of place” in pointing out how the fees support a “more capable” TLC.
“These fees are a small fraction of what is needed for a taxi driver and only a token gesture to a sinking ship,” said Simon, who wore a yellow taxi T-shirt. “We need more.”
If approved, the rule change would take effect this fall. Valdivia said eliminating the fees should be seen as “just the beginning” of moves aimed at cutting costs for drivers.
“When we actually support the people who power our system, the entire transportation service gets better,” she said.
Our nonprofit newsroom relies on donations from readers to sustain our local reporting and keep it free for all New Yorkers. Donate to THE CITY today.
The post ‘These Fines Hurt Us’: Drivers Pack NYC Taxi Commission Meeting on Cutting Penalties appeared first on The City Reporter.
