Changes Needed For The Taxi Board

Thursday, March 20, 2014

The Chattanooga Taxi Board in its current form needs to be changed, if not done away with altogether. The current headline involving the councilmen and a current operator are yet another example of the problem.  

The way the current system works is a person has to have what is called a "privilege" to operate.  A company has to be granted a certain number of privileges in order to operate under  a "Stand" (or company).  The only way to get the number of privileges you need is to go before the board. The board is heavily influenced by the biggest operators in the city who in turn make their recommendations as to the applicant’s rejection or approval. Historically, most applications that have been submitted have also been denied.  While single privileges are sometimes granted, application for enough privileges to operate as a new company have typically also been denied. 

To make matters worse, one needs to know what happens when the board grants a single privilege.  A person who is granted a single privilege has to operate under an established “Stand.”  The large stand owners charge fees for operating under their name.  Thus the large owners are able to protect their market both by controlling (limiting) the number of “Stand” applications and by also by getting fees from the few single privilege operators. This seemingly creates a huge conflict of interest and I can’t help but wonder if it is why the large owners are so protective of the board.

Apply it to another business. Lets say someone meets all the requirements for a license to open a restaurant in our city. After meeting the requirements, a restaurant board - heavily controlled by the largest restaurant owners in the city - denies the licenses because they feel there are already too many restaurants. Making it worse, if one applied the single privilege concept to the food service industry, the large restaurants would only allow the small restaurants to operate with the large restaurants branding and only after the smaller guys paid the large restaurants a fee. If that happened, there would be outrage and law suits galore. This is what happens when anyone in Chattanooga attempts to gain privileges for a "Taxi Stand" in the city of Chattanooga.

The city has every right to come up with standards, fees inspections, whatever it needs to make sure the public is safely transported. What it should not do is be in the business of denying free market competition. It is my feeling that the current board unfairly protects those that are already in business. 

The big taxi stand operators will deny and deflect this criticism saying they are just protecting the customer. This is true but only to the extent that they are indeed protecting someone but not their intended target. Instead they are protecting - with the city's help  - the bottom line for a select group of companies by denying competition. 

James Blevins


The Economic Upheaval Of The British Vote

?Mr Trump has endorsed the British vote and now he strolls across his golf course while the stock market has fallen over 500 points. This causes enormous damage to millions of Americans as their 401 retirement and income stock take a beating. When millions of Americans will take a beating financially we wonder what four years of his leadership will do to the American economy. ... (click for more)

Send Your Opinions To Chattanoogan.com

We welcome your opinions at Chattanoogan.com. Email to news@chattanoogan.com . We require your real first and last name and contact information. There is no word limit, but if your article is too long you may lose your reader. Please focus more on issues than personal attacks. (click for more)

Man, 50, Dies In Red Bank Home Destroyed By Fire; Case Ruled Arson/Suicide

A 50-year-old man died in a house fire in Red Bank early Friday morning after the homeowner said he was awakened by popping sounds. Red Bank Police Chief Tim Christol said the case is being considered an arson/suicide. He said, " At approximately 12:30 a.m., the Red Bank Fire and Police Departments responded to a residential fire at 604 Bitsy Lane where they discovered a body ... (click for more)

Attorney Gets Misdemeanor Plea In 2nd Case Involving Sexually Harassing Waitress

A Chattanooga attorney who was charged for the second time with sexually harassing a waitress has pleaded guilty in General Sessions Court to a reduced charge. In the latest case, Charles D. Lawson had been charged with aggravated sexual battery after an incident at a local restaurant involving a waitress. Prosecutor Jason Demastus said Lawson pleaded guilty to the B misdemeanor ... (click for more)

Memorial Service For Lynn Trent is Sunday June 26

 “To all who knew Lynn this (his death) is truly sad news. My friendship with Lynn goes back to the 70's.I was always the better for having seen Lynn on any trip home and know no one more dedicated to or who loved the Mocs any more than Lynn.” UTC Alum and Actor Dennis Haskins   We have lost a friend. Actually a great friend. One who was dedicated ... (click for more)

Red Bank Stays Unbeaten With Win Over Waterdogs

The Red Bank Gators are now a win away from claiming first place in the White division of the Chattanooga Area Swim League. Facing the Waterdogs from Cleveland in a battle of unbeaten teams at Red Bank Thursday night, the Gators clinched at least a tie for first place with a 403-366 victory in a meet that was much closer than that 37-point margin might otherwise indicate. ... (click for more)