I put “legislated transportation monopolies” as one of the top three issues in Atlantic City. I welcome this guest column on A.C. transportation woes.
By: Pete Antone | email@example.com
Monopoly Power Revenue Enhancement program
1. Confiscates driver’s earnings through high cab rentals protected by lack of free-market.
2. Suppresses service to the people. Why serve the citizenry when the only objective is to maximize certificate owners income on a limited number of cabs?
3. Collects all cash from drivers thus possibly evading taxes, plus no opportunity to collect sales tax since monopolies want no records.
4. Authorized agents for the license holders force drivers to buy cars charging upwards of $6000 for them and they don’t even pass inspection, for renewals by threatening to give there license to others in waiting .
This leads to recruiting only low caliber, often foreign drivers, who have little option or ability and no chance to learn. The turnover rate often exceeds 300% per year.
Rental rate is set too high for long survival and development. The monopolies have no mechanism or desire for driver development since the only objective is to confiscate their earnings.
The rental rate is set too high for long survival; accumulating wealth or paying taxes is out of the question.
Any limit or certificate except on knowledge is monopoly power and thus anti-free-market.
The driver is left with not enough income to pay his taxes or participate in this society. They pay all cash. New York City, the two largest fleet operators, have between 4 and 5 million dollars come across their desk each week. — evade taxes?
This is a municipally sponsored criminal conspiracy.
Atlantic city has a cap on only 250 taxicab licenses, they will not issue anymore on request.
So called market value at a so called supply in demand scale was around
$40,000.00 in 1996. Now in 2007 it has grown to around $185,000.00 . for one cab license!!
But visitor business is down and gas is higher then ever before and even casino revenues are claiming the worst loses ever.
Rental rates for:
Atlantic City Taxicab License renewal per year to city $150.00 a year
License Holder collects /varies on deal w/wo insurance etc. $15,000.00/ $33,000.00
ATLANTIC CITY cab rental / lic. and insurance only . the car is separate and you must provide your own and maintenance it. $500.00 A WEEK/ $325.00 shift
Since the monopolies are self-funded, and insurance coverage is dismally low, the incentive is to keep the limit on licenses abysmally low. More cabs would mean higher risk of loss and accident rates. The victim is the public. This depresses service to the citizenry and visitors.
The monopolies are a cruel scam played on the city and especially the poor. The opposite of this is open entry infrastructure financing and high standards for the drivers or owner-operators and the vehicle. Today America is a country of monopolies formed into a cartel in Kensington , MD (ITLA). They are closed entry with no standards. The certificate (PCANS) become de facto property in violation of the constitution’s ninth (9) and fourteenth (14) amendments. They operate in a black market world of monopoly power. They are municipally sponsored criminal conspiracies.
The objective of the certificate owner is to get the least qualified driver (operator) behind the wheel and thus confiscate his/her earnings. Monopolies do three things: confiscate the worker’s earnings, reduce service to the people and evade taxes. The taxicab industry in Atlantic City and throughout many other cities in America does all these. It is outside of the moral, social and economic life of the nation.
Certificates of Public Conveyance and Necessity: An artifact of a century ago based on the progressive’s aversion to the raw capitalism of the 19th century. Now, like other such adventures gone sour, perverts original intention and creates monopolies where a free-market should reign. The certificates have become monopoly property and the business opportunities mere chattel to the certificate owners.
International Taxicab and Livermen’s Association (ITLA): The cartel of nationwide monopoly interests by jurisdiction. Their members own the certificates of public conveyance and necessity by municipality. Their number is limited and does not respond to market forces. These, like all monopolies, depress service to the people, confiscate the driver’s earnings through higher than free-market rentals to the driver and evade taxes. The American taxi system is outside the social, moral and economic life of the U.S.
Vicious Cycle: The socio-economic description of events that feed on each other in a downward cycle to collapse. The cab customer gets poor service, the cab driver makes less money, good cab drivers leave, and the customer gets poor service, less pay, less drivers, less customers, until collapse.
The taxi system in America & Atlantic City’s geopolitical areas are a national disgrace. No decent and affordable service can be provided, no owner/operator opportunities provided, no taxes paid, no community involvement, and no responsibility. This is totally outside of the social, moral, economic, constitutional and environmental framework of our society. The taxicab industry is underdeveloped throughout the United States. Lack of standards has frozen it in the mold created more than a century ago. Bernard Fall in his writings on the war in Viet Nam noted that the French controlled only a few major urban areas in the country. They did not control municipal governments throughout much of the country, did not collect taxes and did not run the schools. Between municipalities in America and their taxicab industries there is a similar relationship.
How many unqualified taxicab drivers are out there? How many can read and write at a normal business level? How many licenses that are out there were issued without passing a test. How many drivers are actually insured? Can the police tell at a traffic stop if the cab and driver are insured?
Some of these drivers are now charging people the most outrageous prices ever heard. For example: A decent driver with good ethics and a decent dispatch provider will charge $15.00 to $20.00 dollars to a customer. But another driver with no training or guidance from a decent dispatch provider will charge $30.00 to $60.00 dollars. You can find the good drivers if you look. But there is few and most have had to move into limousine licensed vehicles such as towncars and vans to provide decent and affordable rates to there clients and visitors alike that they have built up over the years. These owner operators are real good guys that have families to support and have grown up here and to run there businesses with morals and fairness. Because the taxicab license business in Atlantic City has been claimed by these monopoly Mongols the good guys have to now struggle to provide dependable service for the citizens and teach good ethics policies to any people they can recruit to help them.
There seems to be Timely events dictating the demise of the good drivers,some cab owners and now limo owner operators, such as election times. Election years seem to be the time that municipal crack downs are perpetrated against the higher caliber drivers. Psychological terror is inflicted upon good drivers and owner operators that have built businesses over the years. Guys that have been driven down time and time again by the tactics of so called code enforcement officials by means of stalking and harassing them with threats of violations. Some frivolous half baked rules that are questionable and twisted by words that don’t even exist in the ordinances. Good men with character, morals a decent business sense for the public and overall general concern for there businesses and families shouldn’t have to endure such atrocities that are indeed evidence of monopoly, dirty politics and corruption.
But do not worry ! We are here and we are legally licensed and insured to carry you everywhere you want to go! We will bring our towncars, our vans our limousines and what few decent taxicabs and drivers we have left to service you. Just call us ! You know who we are!
We will not give up our right to service you in a decent and most affordable way that we can!
We will not give in to the monopoly power enhancement program of license holders that are backed by yellow cab and city halls municipal conspiracy !
This is the taxicab and limousine world of Atlantic City. These are the facts.