Taxi rate hike of 23.5% approved by police board
Increase to take effect in January; rates have not increased since 2008
Taxi rides are likely to cost roughly 23.5 per cent more in Peterborough in January, following a decade of no fare increases.
It’s going to mean that a threekilometre ride will cost $13.15 instead of the current cost of $10.75.
A 10 km trip would be $32.75 instead of $26.50.
The exact fare hike depends on a complicated calculation that takes into account a series of extra charges (the meter starts running at $4.75 rather than $4, for instance, and the distance rates and wait time rates are both increased).
The city’s two taxi companies – Call-A-Cab and Capitol Taxi – jointly proposed the increase to the Peterborough Police Services Board at a meeting Wednesday night (the police board regulates taxi fares).
The board voted in favour. Mayor Daryl Bennett, who co-owns Capitol Taxi, declared a pecuniary interest in the matter.
Since it was a public meeting, Bennett did not have to leave – but he couldn’t participate in the discussion or the debate.
Although he heard the presentation from Call-A-Cab representative Mike Donnelly, Bennett excused himself from the meeting prior to the debate and vote (he said he had another appointment to attend).
Donnelly told the police board the fare increase is necessary because his company has faced skyrocketing expenses over the last 10 years.
Minimum wage has increased from $8.75 per hour in 2008 to $14 per hour in 2018, states a report he submitted to the police board – an increased cost of 60 per cent.
Meanwhile in 2008, he paid $2,391 per cab for insurance; in 2018, that cost was $5,164 (an increase of 115.9 per cent, in 10 years).
“We’re at a point where we do need an increase for drivers to make a reasonable living,” Donnelly said.
Three of the four police board members who were in the room for the debate voted in favour of the increase.
Those members are Coun. Dan McWilliams, Ken East and Bob Hall (chairman of the board).
Only police board member Mark Graham voted against the plan, saying that a 23 per cent
hike is far too “hefty.”
Graham said low-income people, elderly people and non-profits won’t be able to afford the fares.
There would be “mutiny” if the city increased property taxes by 23.5 per cent, he said.
“I’m not disputing your costs,” he said to Donnelly at one point. “But it’s been 10 years that you’ve borne these costs and now you’re asking for an increase of 23.5 per cent?”
But Coun. Dan McWilliams defended the move, saying cab companies have faced skyrocketing costs while hardworking cabbies are vulnerable to assault and abuse on the job.
McWilliams said the city would be “showing leadership” by increasing its cab fares and he predicted other communities will follow suit as a way of allowing cab drivers to make “a decent living.”
“These people have waited patiently,” he said. “These guys have tried to make it work…. Let’s face it, they’re at the end of their rope at this time.”
Board chairman Bob Hall told Donnelly the new fares won’t likely be allowed until Jan. 1, 2019 (the board needs to write a new bylaw and rescind the current one).
Although she wasn’t at the meeting, Coun. Diane Therrien (who is running for mayor against Bennett), spoke to The Examiner about it Wednesday night.
“Many people – and I’m one of them – are finding it hard to track the many pecuniary interests of the mayor,” she said.
Therrien pointed out that a proposed carshare program was voted down by council last year while Bennett’s company now gets a raise of 23 per cent.
“We need to move forward and find more innovative ways to get people around the city,” she said, citing examples such as Uber.
Uber has yet to launch car ride service in smaller communities like Peterborough but it has just started up UberEats food delivery in Peterborough.