Hot Springs taxis idled because permit lapsed

HOT SPRINGS — People who rely on the city’s only taxicab service haven’t been able to talk to a dispatcher for more than a week, and the voicemail at Hot Springs Taxi directs them to the city clerk’s office.

The clerk’s office sent a cease-and-desist letter earlier this month informing the company that its transportation permit had lapsed and ordering it to halt operations until it renews the annual permit.

Deputy City Manager Lance Spicer said earlier this week that the company has not submitted materials, such as proof of liability insurance and police safety inspections, that the city’s transportation code requires before an annual operating permit can be issued. The lapse has left those who rely on the taxis for transportation to get to work, grocery stores, pharmacies, schools and doctor’s offices in a lurch.

“We’ve been well aware the taxis are not operating,” said Spicer, noting that the city has received numerous calls from people asking why they’re not running. “We’ve tried to help them out by putting them in contact with our transit department.”

Spicer said the deadline for providers of for-hire transportation in the city to renew their annual operating permits was extended from Jan. 31 until the end of this month. Several providers missed the Jan. 31 deadline, he said, but have since submitted paperwork to operate on their 2020 permits until the end of this month and receive a 2021 permit April 1.

Hot Springs Taxi has yet to provide that information, he said. Service Cab Co., Yellow Cab and Checker Cab also operate under Hot Springs Taxi’s permit, the only taxicab permit in the city. Spicer said it’s the first time in many years that the city hasn’t had an operating taxicab service.

“We’ve asked for clarification and supporting information. At this point he hasn’t been able to provide that,” Spicer said. “If he can provide that to us, we can certainly renew his license. We’ll let him operate on the 2020 permit and renew his permit for 2021.”

Owner Darrian Conner said he provides an essential service, one he hoped would merit dispensation owing to the number of people who rely on it and the difficult circumstances that have beset his business in recent months.

Conner said he acquired the company in 2015 from the Johnston family, which owned it for more than 20 years, and delegated most of the dayto-day operations to a now former employee in January 2019.

The employee mismanaged the company, Conner said, embezzling funds, not paying rent on its Hobson Street office, and not paying personal property taxes on its fleet of more than 40 vehicles or the state’s franchise tax. Important communications, such as notices from the state revenue agency to renew vehicle registrations, weren’t arriving at the business because the employee surreptitiously changed the mailing address to a post office box, according to Conner.

Conner, a single father of six children, said he didn’t learn the extent of the mismanagement until he resumed a more hands-on role in early December.

He said he hopes he can renew his operating permit by the end of the month. If not, he will have to go before the Transportation Advisory Committee and Hot Springs Board of Directors to get a new permit.

“If you re-up your transportation permit, it’s a pretty seamless process,” Spicer said. “But if you let it lapse, the code requires [that] you apply again like it’s a brandnew permit. There’s a lot of moving parts to get that type of approval, whereas if you’re doing a renewal it’s just like you’re renewing your business license. It’s a lot quicker and easier for those existing providers.”

The transportation code established a $60 annual permit fee and annual vehicle license fees of $5 per passenger seat for the first 14 seats and $1 for each additional seat.