Item - 2023.EC6.6

Tracking Status

EC6.6 - Transitioning the Vehicle-for-Hire Industry to Net Zero Emissions by 2030

Decision Type:
ACTION
Status:
Amended
Wards:
All

City Council Decision

City Council on October 11 and 12, 2023, adopted the following:

 

Creating a net zero requirement for vehicles-for-hire starting January 1, 2030

 

1. City Council amend the City of Toronto Municipal Code Chapter 546, Licensing of Vehicles-for-Hire, to require an individual, as of the date they are first granted a taxicab owner, limousine owner, or private transportation company driver licence or its renewal after December 31, 2029 to register and use a Zero Emissions Vehicle, and to require that as of January 1, 2031 all vehicles-for-hire must be Zero Emissions Vehicles, subject to the exceptions outlined below:

 

a. provide an exemption for Stretch Limousines and Accessible Vehicles until further review determines that enough zero-emission vehicle models can be converted to be Stretch Limousines and Accessible Vehicles; and

 

b. permit Plug-in Hybrid Electric Vehicles to operate as vehicles-for-hire until December 31, 2032.

 

2. City Council amend City of Toronto Municipal Code Chapter 546, Licensing of Vehicles-for-Hire, to add the following definitions:

 

a. zero-Emission Vehicle: A battery electric vehicle or hydrogen fuel cell vehicle included in the Ontario Ministry of Transportation’s Green Licence Plate Program’s list of eligible vehicles, or a similar list of Zero-Emission Vehicles approved by the Executive Director, with the input of the Executive Director, Environment and Climate or their successor, at their sole discretion; and

 

b. plug-in Hybrid Electric Vehicle: A plug-in hybrid electric vehicle included in the Ontario Ministry of Transportation’s Green Licence Plate Program’s list of eligible vehicles, or a similar list of Plug-in Hybrid Electric Vehicles approved by the Executive Director, with the input of the Executive Director, Environment and Climate, at their sole discretion.

 

Providing Zero Emissions Grant to Taxicab and Limousine owners operating with a Zero-Emission Vehicle and Private Transportation Companies for trips taken in a Zero-Emission Vehicle

 

3. City Council establish a Zero Emissions Grant Program, starting January 1, 2024 and ending December 31, 2029, that is:

 
a. funded through Municipal Licensing and Standards' operating budget to a maximum of $10 million, or such lesser amount set by the Executive Director, Municipal Licensing and Standards, at their sole discretion, based on their view of Municipal Licensing and Standards' budgetary requirements;

 

b. disbursed to taxicab and limousine owners who register a Zero-Emissions Vehicle at the time of application for a corresponding license or its renewal, to be applied against fees owed to Municipal Licensing and Standards; and

 

c. includes a provision to disburse periodically to private transportation companies for each trip completed on their platforms using a Zero-Emissions Vehicle, for remittance to the private transportation company drivers who delivered such trips subject to prior approval by City Council of plans submitted by private transportation companies describing how Zero Emission Grants will be remitted to private transportation company drivers.
 

4. City Council authorize the Executive Director, Municipal Licensing and Standards, to receive submissions from any private transportation company interested in participating in the program describing how it will remit the Zero Emissions Grant to private transportation company drivers operating a Zero-Emission Vehicle on its platform and report to City Council an assessment of submitted plans for City Council approval alongside the comprehensive framework for the Vehicle-for-Hire industry from the City Manager, by no later than the fourth quarter of 2024.
 

5. City Council direct that, once approved, licensed private transportation companies shall submit their plans to Municipal Licensing and Standards every year following on December 1, up to and including December 1, 2028; and

 
a. Municipal Licensing and Standards will post the private transportation company's grant remittance plans on the City’s website in a manner determined by the Executive Director, Municipal Licensing and Standards;
 
b. private transportation companies shall share their grant remittance plans directly with private transportation company drivers on their platforms on an annual basis; and

 

c. any new private transportation companies licensed in that year shall make a submission to Municipal Licensing and Standards describing how it will remit the Zero Emissions Grant, for approval by City Council.

 

6. City Council amend Chapter 546, Licensing of Vehicles-For-Hire, to require private transportation companies to maintain business records of:

 
a. trips that specify whether or not the trip was completed in a Zero-Emission Vehicle, Plug-in Hybrid Electric Vehicle, or internal combustion engine vehicle;

 

b. the total amount of Zero Emissions Grants remitted to private transportation company drivers on a monthly basis; and

 

c. the make and model of each vehicle for trips completed in a Zero-Emission Vehicle or Plug-in Hybrid Electric Vehicle.

 

7. City Council set the following minimum criteria for a taxicab or limousine owner to be eligible to receive the Zero Emissions Grant, they must:

 
a. be granted a taxicab or limousine owner license, or its renewal, by Municipal Licensing and Standards;

 

b. register a Zero-Emission Vehicle with Municipal Licensing and Standards for use as a taxicab or limousine at the time of application for a taxicab or limousine owner license, or its renewal; and

 

c. provide such declaration or other proof satisfactory to Municipal Licensing and Standards that these eligibility criteria, or other criteria set by the Executive Director, Municipal Licensing and Standards, have been met.

 

8. City Council set the following minimum criteria for a private transportation company to be eligible to receive the Zero Emissions Grant, they must:

 
a. be licensed as a private transportation company under Chapter 546, Licensing of Vehicles-For-Hire;

 

b. provide complete and accurate trip records and data to Municipal Licensing and Standards, as required by Chapter 546, Licensing of Vehicles-For-Hire;

 

c. remit the Zero Emissions Grant to private transportation company drivers in accordance with the requirements of Chapter 546, Licensing of Vehicles-For-Hire; and

 

d. provide such declaration or other proof satisfactory to Municipal Licensing and Standards that these eligibility criteria, or other criteria set by the Executive Director, Municipal Licensing and Standards, have been met.

 

9. City Council authorize the Executive Director, Municipal Licensing and Standards or designate, at their sole discretion, to amend the amount of, or suspend disbursement of, the Zero Emissions Grant (“the Grant”) to achieve the following:

 

a. distribute funding as best as possible throughout the term of the Grant, within the overall funding maximum set by the Executive Director, Municipal Licensing Standards.

 

10. City Council authorize the Executive Director, Municipal Licensing and Standards, to refuse or cancel a Zero Emissions Grant if the recipient does not meet or no longer meets the eligibility criteria, if a Grant was made by Municipal Licensing and Standards due to an administrative or technical error, or if the recipient has not provided complete or accurate information or data to Municipal Licensing and Standards.

 

11. City Council require the Executive Director, Municipal Licensing and Standards, if they are considering refusing or cancelling a Grant, to provide the recipient with written notice and an opportunity to respond in writing within 10 days, and to subsequently provide the recipient with written notice of Municipal Licensing and Standards' final decision regarding the Grant.

 

12. City Council authorize the Executive Director, Municipal Licensing and Standards, to recover any Grant disbursed by Municipal Licensing and Standards in error or based on incomplete or inaccurate information provided by the recipient, and to require that the recipient repay the Grant as a condition of future license renewal.

 

13. City Council authorize the Executive Director, Municipal Licensing and Standards, to fund, using licensing fee revenues held in the Vehicle-for-Hire Reserve Fund, one temporary full-time staff position for up to seven years, and to renew the position for one additional term, to undertake compliance and auditing work required to help ensure Grant recipients meet eligibility criteria.

  

14. City Council request the Executive Director, Municipal Licensing and Standards, to explore the reduction of the licence fee for Standard and Toronto Taxicab Owner License and Limousine Owner License to a minimal administrative fee when no vehicle is assigned or the vehicle is not operational that year (“on the shelf” licenses reserved for future use) until such time as the General Manager, Transportation Services and the Executive Director, Municipal Licensing and Standards report back on a comprehensive framework for the Vehicles-for-Hire industry, to inform the development of the Zero Emissions Grant proposal.

 

Developing an electric vehicle charging network to meet the needs of vehicles-for-hire

 

15. City Council direct the Executive Director, Environment and Climate, in consultation with the Chief Executive Officer, The Atmospheric Fund, the Executive Director, Municipal Licensing and Standards, and the General Manager, Transportation Services to report back by the fourth quarter of 2024 with the City’s plan to support the capacity and infrastructure needs of the electrification of the Vehicle-for-Hire sector; and the plan should:

 

a. identify the type, number and location of public chargers needed to meet the needs of the Vehicle-for-Hire sector over time;

 

b. identify the respective roles and contributions needed for a Toronto-wide public charging solution for the Vehicle-for-Hire sector, and develop a plan for the Toronto context;

 

c. outline any necessary City resources and/or actions needed to meet the identified public charging and electric grid capacity needs of Toronto’s Vehicle-for-Hire sector by year;

 

d. identify electric grid capacity needs for electrification of Vehicles-for-Hire fleet by 2030;

 

e. assess adequate consumer supply of zero-emission vehicles for electrification of the Vehicles-for-Hire fleet by 2030; and

 

f. report on an annual basis from 2025 to 2029 including ongoing assessment of requisite infrastructure and capacity in the charging network, electric grid, consumer supply and other identified resources and/or actions for the sector to meet the 2030 electrification requirement.

 

16. City Council authorize the Executive Director, Municipal Licensing and Standards, to fund, using licensing fee revenues held in the Vehicle-for-Hire Reserve Fund, one temporary full-time staff position at the Environment and Climate Division for up to three years, with an opportunity to review in the year following, to consider the advanced needs of the vehicle-for-hire industry in planning for public Electric Vehicle charging deployment and monitoring the availability of electric vehicle supply, in consultation with relevant City divisions, agencies and corporations.

 

Provide education on Zero-Emission Vehicles

 

17. City Council direct the Executive Director, Municipal Licensing and Standards, in consultation with other relevant divisions, agencies and organizations, to provide education on zero-emission vehicles specifically for the vehicle-for-hire industry.

 

Waiving the seven model year maximum for Zero-Emission Vehicles operating as vehicles-for-hire

 

18. City Council amend City of Toronto Municipal Code Chapter 546, Licensing of Vehicles-for-Hire:

 

a. such that no model-year maximum applies to taxicabs or limousines that are Zero-Emission Vehicles; and

 

b. such that no model-year maximum applies to private transportation company vehicles that are Zero-Emission Vehicles.

 

Extending the maximum vehicle age by one additional year for vehicles required to be replaced by March 31, 2024 to provide vehicle-for-hire licensees more time to consider the 2030 requirement

 

19. City Council, despite the provisions of Toronto Municipal Code Chapter 546, Licensing of Vehicles-for-Hire, permit vehicles-for-hire that are required to be replaced by March 31, 2024 due to their vehicle age to operate for one additional year, to allow vehicle owners time to determine if they wish to purchase a Zero-Emission Vehicle or Plug-in Hybrid Electric Vehicle as a replacement vehicle.


Implementation

  

20.  In order to manage current levels of greenhouse gas emissions in Vehicle-for-Hire industry, City Council implement a policy to maintain the net total of vehicle-for-hire and private transportation company driver's licenses at no greater than current levels, as of October 12, 2023, with the exception of owned, but not leased, zero-emission vehicles, until such time as the Executive Director, Municipal Licensing and Standards, reports back on a comprehensive framework, including emissions, congestion and transit impacts, for the Vehicle-for-Hire industry and the appropriate licensing levels for taxicabs and limousine, as well as private transportation company vehicles, including consultation with the industry on fleet composition, by no later than fourth quarter of 2024.

 

21. City Council request the Executive Director, Municipal Licensing and Standards to report back on the number of licences for vehicle-for-hire and private transportation companies, including an assessment of:

 

a. the numbers and limits imposed in other municipalities and a jurisdictional scan on regulations;

 

b. limits based on total licence numbers versus the total number on the road at any given time;

 

c. impacts of vehicle-for-hire and private transportation companies on traffic congestion and uptake of public transportation; and

 

d. potential equity impacts of limiting the number of licences on areas without higher order transit.

 

22. City Council authorize the City Solicitor to introduce the necessary bills to give effect to City Council's decision and City Council authorize the City Solicitor to make any necessary clarifications, refinements, minor modifications, technical amendments, or by-law amendments as may be identified by the City Solicitor, and the Executive Director, Municipal Licensing and Standards.

  

23. City Council request the Government of Ontario to reintroduce consumer incentive programs to encourage the purchase and improve affordability of zero emissions vehicles.

Public Notice Given

Background Information (Committee)

(September 11, 2023) Report from the Executive Director, Municipal Licensing and Standards, in consultation with Executive Director, Environment and Climate on Transitioning the Vehicle-for-Hire Industry to Net Zero Emissions by 2030
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239119.pdf
Attachment 1 - Report Tables
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239120.pdf
(September 11, 2023) Attachment 2 - Third-Party Public Vehicle-for-Hire Net Zero Working Group Engagement Report (March 2023)
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239121.pdf
Attachment 3 - Jurisdictional Scan
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239122.pdf
Attachment 4 - Summary of VFH Net Zero by 2030 Public Consultations
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239123.pdf
Attachment 5 - Summary of the University of Toronto Transportation and Air Quality (TRAQ) Research on Vehicle-for-Hire Emissions Calculation and Modelling
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239124.pdf
(September 14, 2023) Public Notice
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239236.pdf

Communications (Committee)

(September 15, 2023) E-mail from Kevin Frimeth (EC.New)
(September 15, 2023) Letter from Gerry Manley (EC.New)
(September 18, 2023) Letter from Ian Klesmer, Director of Strategy and Grants, The Atmospheric Fund (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172257.pdf
(September 19, 2023) E-mail from George Bell (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172262.pdf
(September 19, 2023) E-mail from Mohamed Azad (EC.New)
(September 19, 2023) Letter from Councillor Dianne Saxe (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172265.pdf
(September 19, 2023) Memo from Jake Brockman, Public Policy, Canada, Uber (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172243.pdf
(September 19, 2023) Letter from George Wedge, President, and Earla Phillips, Vice President, Rideshare Drivers Association of Ontario (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172248.pdf
(September 19, 2023) E-mail from Murad Bakth (EC.New)
(September 20, 2023) Letter from David Campbell, Associate Vice President, Policy Research Toronto Region Board of Trade (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172295.pdf
(September 20, 2023) Letter from Behrouz Khamseh (EC.New)
(September 20, 2023) E-mail from Joey Gagne, President, Abrams Towing Group (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172293.pdf
(September 20, 2023) Letter from Cameron MacLeod, Executive Director, CodeRedTO (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172296.pdf
(September 21, 2023) E-mail from Chaudhry Aamer (EC.New)
(September 20, 2023) E-mail from Larry Radzio (EC.New)
(September 21, 2023) Letter from Sajid Mughal, President, Itaxi Workers Association of Ontario (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172316.pdf
(September 21, 2023) E-mail from Mohammad Butt, General Secretary ITAXI Workers Association of Toronto and President, Toronto Limousine Drivers Association (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172317.pdf
(September 21, 2023) E-mail from Robert Kotyk (EC.New)

Communications (City Council)

(October 14, 2023) E-mail from Gerry Manley (CC.Supp)
(October 8, 2023) Letter from Ian Klesmer, Director of Strategy and Grants, The Atmospheric Fund (CC.Supp)
https://www.toronto.ca/legdocs/mmis/2023/cc/comm/communicationfile-172574.pdf
(October 10, 2023) Submission from Stella Kargiannakis (CC.Supp)
https://www.toronto.ca/legdocs/mmis/2023/cc/comm/communicationfile-172675.pdf
(October 10, 2023) Letter from How-Sen Chong, Climate Campaigner, Toronto Environmental Alliance (CC.New)
https://www.toronto.ca/legdocs/mmis/2023/cc/comm/communicationfile-172689.pdf

Motions (City Council)

1 - Motion to Amend Item (Additional) moved by Councillor Alejandra Bravo (Carried)

That:

 

1. City Council establish a Zero Emissions Grant Program, starting January 1, 2024 and ending December 31, 2029, that is:

 
a. funded through Municipal Licensing and Standards' operating budget to a maximum of $10 million, or such lesser amount set by the Executive Director, Municipal Licensing and Standards, at their sole discretion, based on their view of Municipal Licensing and Standards' budgetary requirements;

 

b. disbursed to taxicab and limousine owners who register a Zero-Emissions Vehicle at the time of application for a corresponding license or its renewal, to be applied against fees owed to Municipal Licensing and Standards; and

 

C. includes a provision to disburse periodically to private transportation companies (PTC) for each trip completed on their platforms using a Zero-Emissions Vehicle, for remittance to the private transportation company drivers who delivered such trips subject to prior approval by City Council of plans submitted by private transportation companies describing how Zero Emission Grants will be remitted to private transportation company drivers.
 

2. City Council authorize the Executive Director, Municipal Licensing and Standards, to receive submissions from any private transportation company interested in participating in the program describing how it will remit the Zero Emissions Grant to private transportation company drivers operating a Zero-Emission Vehicle on its platform and report to City Council an assessment of submitted plans for City Council approval alongside the comprehensive framework for the Vehicle-for-Hire industry from the City Manager, by no later than the fourth quarter of 2024.
 

3. City Council direct that, once approved, licensed private transportation companies shall submit their plans to Municipal Licensing and Standards every year following on December 1, up to and including December 1, 2028; and

 
a. Municipal Licensing and Standards will post the private transportation company's grant remittance plans on the City’s website in a manner determined by the Executive Director;
 
b. private transportation companies hall share their grant remittance plans directly with private transportation company drivers on their platforms on an annual basis; and

 

c. any new private transportation companies licensed in that year shall make a submission to Municipal Licensing and Standards describing how it will remit the Zero Emissions Grant, for approval by City Council.

 

4. City Council amend Chapter 546 to require private transportation companies to maintain business records of:

 
a. trips that specify whether or not the trip was completed in a Zero-Emission Vehicle, Plug-in Hybrid Electric Vehicle, or internal combustion engine vehicle;

 

b. the total amount of Zero Emissions Grants remitted to PTC drivers on a monthly basis; and

 

c. the make and model of each vehicle for trips completed in a Zero-Emission Vehicle or Plug-in Hybrid Electric Vehicle.
 

5. City Council set the following minimum criteria for a taxicab or limousine owner to be eligible to receive the Zero Emissions Grant. They must:

 
a. be granted a taxicab or limousine owner license, or its renewal, by Municipal Licensing and Standards;

 

b. register a Zero-Emission Vehicle with Municipal Licensing and Standards for use as a taxicab or limousine at the time of application for a taxicab or limousine owner license, or its renewal; and

 

c. provide such declaration or other proof satisfactory to Municipal Licensing and Standards that these eligibility criteria, or other criteria set by the Executive Director, Municipal Licensing and Standards, have been met.

 

6. City Council authorize the Executive Director, Municipal Licensing and Standards or designate, at their sole discretion, to amend the amount of, or suspend disbursement of, the Zero Emissions Grant (“the Grant”) to achieve the following:

 

a. Distribute funding as best as possible throughout the term of the Grant, within the overall funding maximum set by the Executive Director, Municipal Licensing Standards.

 

7. City Council set the following minimum criteria for a private transportation company to be eligible to receive the Zero Emissions Grant. They must:

 
a. be licensed as a private transportation company under Chapter 546;

 

b. provide complete and accurate trip records and data to Municipal Licensing and Standards, as required by Chapter 546;

 

c. remit the Zero Emissions Grant to private transportation company drivers in accordance with the requirements of Chapter 546; and

 

d. provide such declaration or other proof satisfactory to Municipal Licensing and Standards that these eligibility criteria, or other criteria set by the Executive Director, Municipal Licensing and Standards, have been met.
 

8. City Council authorize the Executive Director, Municipal Licensing and Standards, to refuse or cancel a Zero Emissions Grant if the recipient does not meet or no longer meets the eligibility criteria; if a Grant was made by Municipal Licensing and Standards due to an administrative or technical error, or if the recipient has not provided complete or accurate information or data to Municipal Licensing and Standards.

 

9. City Council require the Executive Director, Municipal Licensing and Standards, if they are considering refusing or cancelling a Grant, to provide the recipient with written notice and an opportunity to respond in writing within 10 days, and to subsequently provide the recipient with written notice of Municipal Licensing and Standards' final decision regarding the Grant.

 

10. City Council authorize the Executive Director, Municipal Licensing and Standards, to recover any Grant disbursed by Municipal Licensing and Standards in error or based on incomplete or inaccurate information provided by the recipient, and to require that the recipient repay the Grant as a condition of future license renewal.

 

11. City Council authorize the Executive Director, Municipal Licensing and Standards, to fund, using licensing fee revenues held in the Vehicle-for-Hire Reserve Fund, one temporary full-time staff position for up to seven years, and to renew the position for one additional term, to undertake compliance and auditing work required to help ensure Grant recipients meet eligibility criteria."

Vote (Amend Item (Additional)) Oct-11-2023 5:51 PM

Result: Carried Majority Required - EC6.6 - Bravo - motion 1
Total members that voted Yes: 21 Members that voted Yes are Paul Ainslie, Brad Bradford, Alejandra Bravo, Shelley Carroll, Lily Cheng, Olivia Chow, Mike Colle, Vincent Crisanti, Paula Fletcher, Ausma Malik, Josh Matlow, Jennifer McKelvie, Chris Moise, Amber Morley, Jamaal Myers, Frances Nunziata (Chair), James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, Dianne Saxe
Total members that voted No: 2 Members that voted No are Jon Burnside, Stephen Holyday
Total members that were Absent: 2 Members that were absent are Nick Mantas (Interest Declared), Michael Thompson

2 - Motion to Amend Item (Additional) moved by Councillor James Pasternak (Carried)

That:

 

1. City Council request the Executive Director, Municipal Licensing and Standards, to explore the reduction of the licence fee for Standard and Toronto Taxicab Owner License and Limousine Owner License to a minimal administrative fee when no vehicle is assigned or the vehicle is not operational that year (“on the shelf” licenses reserved for future use) until such time as the General Manager, Transportation Services and the Executive Director, Municipal Licensing and Standards report back on a comprehensive framework for the Vehicles-for-Hire industry, to inform the development of the Zero Emissions Grant proposal.

 

2. City Council allow the owners of Standard Taxicab Owner Licenses and Toronto Taxicab Owner Licenses cancelled or revoked during the global Covid pandemic from March 15, 2020 to reactivate their licenses upon payment of annual licensing fees until December 31, 2024.

 

3. City Council request the Executive Director, Municipal Licensing and Standards to review the alignment of certain vehicle for hire licenses fees with fees charged to Brokerages and other small businesses requiring annual licensing and inspections in the City of Toronto by capping annual renewal Licence and Permit Issuance fees for Standard Taxicab Owner Licenses and Toronto Taxicab Owner Licenses at the rate currently set for Licence and Permit issuance; Permit Issuance for Taxicab Brokers ($312.24).

 

4. City Council request that the provincial audit team assigned to the City of Toronto include an audit of the Vehicle-for-Hire Licensing in 2022 to determine the amount of staff time and resources spent on licensing and enforcement activities and the cost associated with these resources; such audit shall also review the 2022 number of active Licensed taxis and limousines (i.e., licenses associated with a vehicle plate), non-active Licensed taxis and limousines (licenses without associated vehicle plates) and active PTCs (PTCs contributing per-trip license fees in the calendar year), and the total license fees received from each in 2022, as well as funds withdrawn and contributed annually to the Vehicle for Hire Reserve Fund for the years 2019 to 2023 YTD.

Vote (Amend Item (Additional)) Oct-11-2023 5:54 PM

Result: Carried Majority Required - EC6.6 - Pasternak - motion 2
Total members that voted Yes: 19 Members that voted Yes are Paul Ainslie, Brad Bradford, Alejandra Bravo, Jon Burnside, Olivia Chow, Mike Colle, Vincent Crisanti, Paula Fletcher, Ausma Malik, Josh Matlow, Jennifer McKelvie, Chris Moise, Amber Morley, Jamaal Myers, Frances Nunziata (Chair), James Pasternak, Anthony Perruzza, Jaye Robinson, Dianne Saxe
Total members that voted No: 4 Members that voted No are Shelley Carroll, Lily Cheng, Stephen Holyday, Gord Perks
Total members that were Absent: 2 Members that were absent are Nick Mantas (Interest Declared), Michael Thompson

3 - Motion to Amend Item (Additional) moved by Councillor Mike Colle (Amended)

That:

 

1. In order to manage current levels of greenhouse gas emissions in Vehicle-for-Hire industry, City Council implement a policy to maintain the net total of vehicle-for-hire and private transportation company driver's licenses at no greater than current levels, as of October 12, 2023, with the exception of zero-emission vehicles, until such time as the Executive Director, Municipal Licensing and Standards, reports back on a comprehensive framework, including emissions, congestion and transit impacts, for the Vehicle-for-Hire industry and the appropriate licensing levels for taxicabs and  limousine, as well as private transportation company vehicles, including consultation with the industry on fleet composition, by no later than fourth quarter of 2024.

Vote (Amend Item (Additional)) Oct-11-2023 5:56 PM

Result: Carried Majority Required - EC6.6 - Colle - motion 3
Total members that voted Yes: 16 Members that voted Yes are Paul Ainslie, Alejandra Bravo, Jon Burnside, Olivia Chow, Mike Colle, Vincent Crisanti, Paula Fletcher, Ausma Malik, Josh Matlow, Chris Moise, Amber Morley, Jamaal Myers, James Pasternak, Gord Perks, Anthony Perruzza, Dianne Saxe
Total members that voted No: 7 Members that voted No are Brad Bradford, Shelley Carroll, Lily Cheng, Stephen Holyday, Jennifer McKelvie, Frances Nunziata (Chair), Jaye Robinson
Total members that were Absent: 2 Members that were absent are Nick Mantas (Interest Declared), Michael Thompson

4a - Motion to Amend Motion moved by Jennifer McKelvie (Carried)

That the Motion 3 by Councillor Colle be amended by inserting the words "owned, but not leased," so that it now reads as follows:

 

1. In order to manage current levels of greenhouse gas emissions in Vehicle-for-Hire industry, City Council implement a policy to maintain the net total of vehicle-for-hire and private transportation company driver's licenses at no greater than current levels, as of October 12, 2023, with the exception of owned, but not leased, zero-emission vehicles, until such time as the Executive Director, Municipal Licensing and Standards, reports back on a comprehensive framework, including emissions, congestion and transit impacts, for the Vehicle-for-Hire industry and the appropriate licensing levels for taxicabs and  limousine, as well as private transportation company vehicles, including consultation with the industry on fleet composition, by no later than fourth quarter of 2024

Vote (Amend Motion) Oct-11-2023 5:56 PM

Result: Carried Majority Required - EC6.6 - McKelvie - motion 4a
Total members that voted Yes: 18 Members that voted Yes are Paul Ainslie, Alejandra Bravo, Jon Burnside, Shelley Carroll, Olivia Chow, Mike Colle, Vincent Crisanti, Paula Fletcher, Ausma Malik, Josh Matlow, Jennifer McKelvie, Chris Moise, Amber Morley, Jamaal Myers, Frances Nunziata (Chair), James Pasternak, Gord Perks, Anthony Perruzza
Total members that voted No: 5 Members that voted No are Brad Bradford, Lily Cheng, Stephen Holyday, Jaye Robinson, Dianne Saxe
Total members that were Absent: 2 Members that were absent are Nick Mantas (Interest Declared), Michael Thompson

4b - Motion to Amend Item (Additional) moved by Councillor Jennifer McKelvie (Carried)

That:

 

1. City Council request the Executive Director, Municipal Licensing and Standards to report back on the number of licences for vehicle-for-hire and private transportation companies, including an assessment of:

 

a. the numbers and limits imposed in other municipalities and a jurisdictional scan on regulations;

 

b. limits based on total licence numbers versus the total number on the road at any given time;

 

c. impacts of vehicle-for-hire and private transportation companies on traffic congestion and uptake of public transportation; and

 

d. potential equity impacts of limiting the number of licences on areas without higher order transit.

Vote (Amend Item (Additional)) Oct-11-2023 5:58 PM

Result: Carried Majority Required - EC6.6 - McKelvie - motion 4b
Total members that voted Yes: 22 Members that voted Yes are Paul Ainslie, Brad Bradford, Alejandra Bravo, Jon Burnside, Shelley Carroll, Lily Cheng, Olivia Chow, Mike Colle, Vincent Crisanti, Paula Fletcher, Ausma Malik, Josh Matlow, Jennifer McKelvie, Chris Moise, Amber Morley, Jamaal Myers, Frances Nunziata (Chair), James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, Dianne Saxe
Total members that voted No: 1 Members that voted No are Stephen Holyday
Total members that were Absent: 2 Members that were absent are Nick Mantas (Interest Declared), Michael Thompson

5 - Motion to Amend Item (Additional) moved by Councillor Anthony Perruzza (Out of Order)

That:

 

1. City Council, despite the provisions of Chapter 546, for vehicles that were licenced as taxicabs prior to the pandemic and but were not in active use during the pandemic, permit

 

a. 2013 model year vehicles to be replaced by March 31, 2024, and 

 

b. 2014 and 2015 model year vehicles to be replaced by March 31, 2025, and 

 

c. 2016, 2017 and 2018 model year vehicles to be replaced by March 31, 2026, 

 

wherein vehicles not previously licensed as taxicabs (new vehicle registrations) are not eligible for this extension.


6 - Motion to Receive Item moved by Councillor Stephen Holyday (Lost)

That the item be received for information.

Vote (Receive Item) Oct-11-2023 5:50 PM

Result: Lost Majority Required - EC6.6 - Holyday - motion 6
Total members that voted Yes: 3 Members that voted Yes are Brad Bradford, Stephen Holyday, Chris Moise
Total members that voted No: 20 Members that voted No are Paul Ainslie, Alejandra Bravo, Jon Burnside, Shelley Carroll, Lily Cheng, Olivia Chow, Mike Colle, Vincent Crisanti, Paula Fletcher, Ausma Malik, Josh Matlow, Jennifer McKelvie, Amber Morley, Jamaal Myers, Frances Nunziata (Chair), James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, Dianne Saxe
Total members that were Absent: 2 Members that were absent are Nick Mantas (Interest Declared), Michael Thompson

Vote (Receive Item) Oct-11-2023 5:53 PM

Result: Lost Majority Required - EC6.6 - Holyday - motion 6 - REVOTE
Total members that voted Yes: 2 Members that voted Yes are Brad Bradford, Stephen Holyday
Total members that voted No: 21 Members that voted No are Paul Ainslie, Alejandra Bravo, Jon Burnside, Shelley Carroll, Lily Cheng, Olivia Chow, Mike Colle, Vincent Crisanti, Paula Fletcher, Ausma Malik, Josh Matlow, Jennifer McKelvie, Chris Moise, Amber Morley, Jamaal Myers, Frances Nunziata (Chair), James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, Dianne Saxe
Total members that were Absent: 2 Members that were absent are Nick Mantas (Interest Declared), Michael Thompson

7 - Motion to Reconsider Vote moved by Speaker Frances Nunziata (Carried)

That in accordance with the provisions of Chapter 27, Council Procedures, City Council reconsider the vote on motion 6 by Councillor Holyday.


Motion to Adopt Item as Amended (Carried)

Vote (Adopt Item as Amended) Oct-11-2023 5:59 PM

Result: Carried Majority Required - EC6.6 - Adopt item as amended
Total members that voted Yes: 22 Members that voted Yes are Paul Ainslie, Brad Bradford, Alejandra Bravo, Jon Burnside, Shelley Carroll, Lily Cheng, Olivia Chow, Mike Colle, Vincent Crisanti, Paula Fletcher, Ausma Malik, Josh Matlow, Jennifer McKelvie, Chris Moise, Amber Morley, Jamaal Myers, Frances Nunziata (Chair), James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, Dianne Saxe
Total members that voted No: 1 Members that voted No are Stephen Holyday
Total members that were Absent: 2 Members that were absent are Nick Mantas (Interest Declared), Michael Thompson

Point of Order by Councillor Shelley Carroll

Councillor Carroll, rising on a Point of Order, stated that she would be asking for a ruling by the Speaker on whether or not motions are in order, and Motion 2 seems to be not a report back but ordering staff to allow something that she has no background on, and it's not in tackled in the report before Council.

Ruling by Speaker Frances Nunziata
Speaker Nunziata accepted the Point of Order and advised that she would review the matter.

Having reviewed the matter, Speaker Nunziata ruled as follows:

In reviewing the Motion by Councillor Pasternak, I am ruling Parts 2, 3 and 4 out of order, as the issue of taxi licensing and enforcement activities, costs and fees are not before Council on this item. Part 1 of the motion is in order.


Point of Order by Councillor Shelley Carroll

Councillor Carroll, rising on a Point of Order, stated that she would request a ruling by the Speaker on whether or not Motion 5 by Councillor Perruzza was in order. Councillor Carroll further stated that Council had a recommendation about one year, but she had no way to check on the impact of the rest of the motion because it is not covered in the report before Council.

Ruling by Speaker Frances Nunziata
Speaker Nunziata accepted the Point of Order and advised that she would consult with the Clerk on the matter.

Having reviewed the matter, Speaker Nunziata ruled as follows:

In reviewing the Motion by Councillor Perruzza, I am ruling the motion out of order as the issue of vehicle replacement periods is not before Council.


Point of Order by Councillor Stephen Holyday

Councillor Holyday, rising on a Point of Order, stated that he would like the Speaker to rule as to whether or not Motion 1 by Councillor Bravo is in order, based on the following concern: the original recommendations were separated at Committee and only part of them came to Council—the establishment of a rule concerning zero-emission vehicles—while the recommendations that were removed had to do with the grants program and the reestablishment of the discounted fees that were paid out by the various drivers. Councillor Holyday further stated that the motion by Councillor Bravo reinstates the grants program, but it doesn't describe how it's going to be paid for, other than that it will be from the Municipal Licensing and Standards budget.  

 

Councillor Holyday further stated that in order for it to be in order, and not amending the Mayor's budget, the money has to be described where it's coming from, and those recommendations were removed, and he needs to know if this is the standard by which Members will be governed in Council with respect to identifying budget.

Ruling by Speaker Frances Nunziata
Speaker Nunziata accepted the Point of Order and recessed the meeting for five minutes to review the motion.

Upon reviewing the motion, the Speaker, ruled that Motion 1 by Councillor Bravo is in order as it does not constrain the Mayor from proposing a 2024 budget that includes funding for the grant program.

Rulings (City Council)

Ruling by Speaker Frances Nunziata
After consulting the City Clerk, Speaker Nunziata ruled that Parts 2, 3 and 4 of Motion 2 by Councillor Pasternak are out of order, as the issue of taxi licensing and enforcement activities, costs and fees are not before Council.

Ruling by Speaker Frances Nunziata
After consulting the City Clerk, Speaker Nunziata ruled that Motion 5 by Councillor Perruzza is out order as the issue of vehicle replacement periods is not before Council.

Declared Interests (City Council)

The following member(s) declared an interest:

Councillor Nick Mantas - as his family owns a taxi plate.
Written Declaration: https://secure.toronto.ca/council/declared-interest-file.do?id=11660

EC6.6 - Transitioning the Vehicle-for-Hire Industry to Net Zero Emissions by 2030

Decision Type:
ACTION
Status:
Amended
Wards:
All

Public Notice Given

Committee Recommendations

The Economic and Community Development Committee recommends that:

 

Creating a net zero requirement for vehicles-for-hire starting January 1, 2030

 

1. City Council amend the City of Toronto Municipal Code, Chapter 546, Licensing of Vehicles-for-Hire, to require an individual, as of the date they are first granted a taxicab owner, limousine owner, or private transportation company driver licence or its renewal after December 31, 2029 to register and use a Zero Emissions Vehicle, and to require that as of January 1, 2031 all vehicles-for-hire must be Zero Emissions Vehicles, subject to the exceptions outlined below.

 

a. Provide an exemption for Stretch Limousines and Accessible Vehicles until further review determines that enough zero-emission vehicle models can be converted to be Stretch Limousines and Accessible Vehicles.

 

b. Permit Plug-in Hybrid Electric Vehicles to operate as vehicles-for-hire until December 31, 2032.

 

2. City Council amend the City of Toronto Municipal Code, 546, Licensing of Vehicles-for-Hire to add the following definitions:

 

a. Zero-Emission Vehicle: A battery electric vehicle (BEV) or hydrogen fuel cell vehicle (HFCV) included in the Ontario Ministry of Transportation’s Green Licence Plate Program’s list of eligible vehicles, or a similar list of Zero-Emission Vehicles approved by the Executive Director, with the input of the Executive Director, Environment and Climate or their successor, at their sole discretion.

 

b. Plug-in Hybrid Electric Vehicle: A plug-in hybrid electric vehicle (PHEV) included in the Ontario Ministry of Transportation’s Green Licence Plate Program’s list of eligible vehicles, or a similar list of Plug-in Hybrid Electric Vehicles approved by the Executive Director, with the input of the Executive Director, Environment and Climate, at their sole discretion.

  

Developing an electric vehicle charging network to meet the needs of vehicles-for-hire

 

3. City Council direct the Executive Director, Environment and Climate, in consultation with the Chief Executive Officer, The Atmospheric Fund, the Executive Director, Municipal Licensing and Standards, and the General Manager, Transportation Services to report back by the fourth quarter of 2024 with the City’s plan to support the capacity and infrastructure needs of the electrification of the Vehicle-for-Hire sector; and the plan should:

 

a. Identify the type, number and location of public chargers needed to meet the needs of the Vehicle-for-Hire sector over time;

 

b. Identify the respective roles and contributions needed for a Toronto-wide public charging solution for the Vehicle-for-Hire sector, and develop a plan for the Toronto context;

 

c. Outline any necessary City resources and/or actions needed to meet the identified public charging and electric grid capacity needs of Toronto’s Vehicle-for-Hire sector by year;

 

d. Identify electric grid capacity needs for electrification of Vehicles-for-Hire fleet by 2030;

 

e. Assess adequate consumer supply of zero-emission vehicles for electrification of the Vehicles-for-Hire fleet by 2030; and

 

f. Report on an annual basis from 2025 to 2029 including ongoing assessment of requisite infrastructure and capacity in the charging network, electric grid, consumer supply and other identified resources and/or actions for the sector to meet the 2030 electrification requirement.

 

4. City Council authorize the Executive Director, Municipal Licensing and Standards, to fund, using licensing fee revenues held in the Vehicle-for-Hire Reserve Fund, one temporary full-time staff position at the Environment and Climate Division for up to three years, with an opportunity to review in the year following, to consider the advanced needs of the vehicle-for-hire industry in planning for public Electric Vehicle charging deployment and monitoring the availability of electric vehicle supply, in consultation with relevant City divisions, agencies and corporations.

 

Provide education on Zero-Emission Vehicles

 

5. City Council direct the Executive Director, Municipal Licensing and Standards, in consultation with other relevant divisions, agencies and organizations, to provide education on zero-emission vehicles specifically for the vehicle-for-hire industry.

 

Waiving the seven model year maximum for Zero-Emission Vehicles operating as vehicles-for-hire

 

6. City Council amend City of Toronto Municipal Code, 546, Licensing of Vehicles-for-Hire:

 

a. Such that no model-year maximum applies to taxicabs or limousines that are Zero-Emission Vehicles.

 

b. Such that no model-year maximum applies to private transportation company vehicles that are Zero-Emission Vehicles.

 

Extending the maximum vehicle age by one additional year for vehicles required to be replaced by March 31, 2024 to provide vehicle-for-hire licensees more time to consider the 2030 requirement

 

7. City Council, Despite the provisions of Toronto Municipal Code, Chapter 546, Licensing of Vehicles-for-Hire, permit vehicles-for-hire that are required to be replaced by March 31, 2024 due to their vehicle age to operate for one additional year, to allow vehicle owners time to determine if they wish to purchase a Zero-Emission Vehicle or Plug-in Hybrid Electric Vehicle as a replacement vehicle.


Implementation

 

8. City Council authorize the City Solicitor to introduce the necessary bills to give effect to City Council's decision and City Council authorize the City Solicitor to make any necessary clarifications, refinements, minor modifications, technical amendments, or by-law amendments as may be identified by the City Solicitor, and the Executive Director, Municipal Licensing and Standards.

 

9. City Council request the Government of Ontario reintroduce consumer incentive programs to encourage the purchase and improve affordability of zero emissions vehicles.

Decision Advice and Other Information

The Economic and Community Development Committee:

 

1. Referred Recommendations 3 to 11, below, to the Executive Director, Municipal Licensing and Standards until such time as the General Manager, Transportation Services and the Executive Director, Municipal Licensing and Standards report back on a comprehensive framework for the Vehicles-for-Hire industry, so that the the Zero Emissions Grant proposal is considered at the same time:

 

"Providing Zero Emissions Grant to Taxicab and Limousine owners operating with a Zero-Emission Vehicle and PTCs for trips taken in a Zero-Emission Vehicle

 

3. City Council establish a Zero Emissions Grant Program, starting January 1, 2024 and ending December 31, 2029, that is: 

 

a. Funded through Municipal Licensing and Standards' (MLS) operating budget to a maximum of $10 million, or such lesser amount set by the Executive Director, Municipal Licensing and Standards, at their sole discretion, based on their view of MLS’ budgetary requirements; 

 

b. Disbursed to taxicab and limousine owners who register a Zero-Emissions Vehicle at the time of application for a corresponding license or its renewal, to be applied against fees owed to MLS; and 

 

c. Disbursed periodically to private transportation companies (PTC) for each trip completed on their platforms using a Zero-Emissions Vehicle, for remittance to the PTC drivers who delivered such trips. 

 

1. A PTC shall submit a plan to MLS describing how it will remit the Zero Emissions Grant to PTC drivers operating a Zero-Emission Vehicle on its platform in a format prescribed or approved by the Executive Director.

 

2. Licensed PTCs shall submit their plans to MLS by March 1, 2024, December 1, 2024 and every year following on December 1, up to and including December 1, 2028.

 

3. MLS may post the PTC’s grant remittance plans on the City’s website in a manner determined by the Executive Director.

 

4. PTCs shall share their grant remittance plans directly with PTC drivers on their platforms on an annual basis.

 

4. City Council amend Chapter 546 to require private transportation companies (PTC) to maintain business records of:

 

a. Trips that specify whether or not the trip was completed in a Zero-Emission Vehicle, Plug-in Hybrid Electric Vehicle, or internal combustion engine vehicle;

 

b. The total amount of Zero Emissions Grants remitted to PTC drivers on a monthly basis; and

 

c. The make and model of each vehicle for trips completed in a Zero-Emission Vehicle or Plug-in Hybrid Electric Vehicle.

 

5. City Council authorize the Executive Director, Municipal Licensing and Standards or designate, at their sole discretion, to set or amend the amount of, or suspend disbursement of, the Zero Emissions Grant (“the Grant”), and to set or amend eligibility criteria for the Grant, to achieve one or more of the following goals:

 

a. Distribute funding as best as possible throughout the term of the Grant, within the overall funding maximum set by the Executive Director, Municipal Licensing Standards; 

 

b. Incentivize the early adoption and use of Zero-Emission Vehicles by the vehicle-for-hire industry; and  

 

c. Ensure the Grant is distributed equitably among various classes of the vehicle-for-hire industry.  

 

6. City Council set the following minimum criteria for a taxicab or limousine owner to be eligible to receive the Zero Emissions Grant. They must:

 

a. Be granted a taxicab or limousine owner license, or its renewal, by Municipal Licensing and Standards (MLS); 

 

b. Register a Zero-Emission Vehicle with MLS for use as a taxicab or limousine at the time of application for a taxicab or limousine owner license, or its renewal; and

 

c. Provide such declaration or other proof satisfactory to MLS that these eligibility criteria, or other criteria set by the Executive Director, Municipal Licensing and Standards, have been met.  

 

7. City Council set the following minimum criteria for a private transportation company (PTC) to be eligible to receive the Zero Emissions Grant. They must:

 

a. Be licensed as a PTC under Chapter 546;

 

b. Provide complete and accurate trip records and data to Municipal Licensing and Standards (MLS), as required by Chapter 546;

 

c. Remit the Zero Emissions Grant to PTC Drivers in accordance with the requirements of Chapter 546; and

 

d. Provide such declaration or other proof satisfactory to MLS that these eligibility criteria, or other criteria set by the Executive Director, Municipal Licensing and Standards, have been met.

 

8. City Council authorize the Executive Director, Municipal Licensing and Standards, to refuse or cancel a Zero Emissions Grant if the recipient does not meet or no longer meets the eligibility criteria; if a Grant was made by Municipal Licensing and Standards (MLS) due to an administrative or technical error, or if the recipient has not provided complete or accurate information or data to MLS.

 

9. City Council require the Executive Director, Municipal Licensing and Standards, if they are considering refusing or cancelling a Grant, to provide the recipient with written notice and an opportunity to respond in writing within 10 days, and to subsequently provide the recipient with written notice of Municipal Licensing and Standards' final decision regarding the Grant.

 

10. City Council authorize the Executive Director, Municipal Licensing and Standards, to recover any Grant disbursed by Municipal Licensing and Standards in error or based on incomplete or inaccurate information provided by the recipient, and to require that the recipient repay the Grant as a condition of future license renewal.

 

11.  City Council authorize the Executive Director, Municipal Licensing and Standards, to fund, using licensing fee revenues held in the Vehicle-for-Hire Reserve Fund, one temporary full-time staff position for up to seven years, and to renew the position for one additional term, to undertake compliance and auditing work required to help ensure Grant recipients meet eligibility criteria."

 

2.  Referred Recommendation 17, below, to the Executive Director, Municipal Licensing and Standards until such time as the General Manager, Transportation Services and the Executive Director, Municipal Licensing and Standards report back on a comprehensive framework for the Vehicles-for-Hire industry, so that the changes to City of Toronto Municipal Code, Chapter 441 are considered at the same time:

 

"Ending the temporary 50% reduction of renewal fees for certain vehicle-for-hire licensees

 

17. City Council amend City of Toronto Municipal Code, Chapter 441, Fees and Charges, to undo the temporary 50 percent reduction of renewal fees adopted by City Council on February 18, 2021 (EX21.2 - 2021 Capital and Operating Budgets) as a COVID-19 financial relief measure for certain vehicle-for-hire licensees, and return the fees to their 100 percent rates beginning on January 1, 2025, substantially in accordance with Table 1 below.

 

Table 1: Fees to return to 100 percent Fee Rate beginning January 1, 2025

 

Ref. No.

Service

Fee Description

Category

Fee Basis

2025 Fee*

Annual Adjust.

162

Renewal Fee: Licence & Permit Issuance

Taxicab Broker licence

Full Cost Recovery

Per application or renewal

$312.24

Yes

164

Renewal Fee: Licence & Permit Issuance

Limousine Service Company

Full Cost Recovery

Per application or renewal

$312.01

Yes

380

Renewal Fee: Licence & Permit Issuance

Standard Taxicab Owner licence

Full Cost Recovery

Per application or renewal

$1111.63

Yes

380.2

Renewal Fee: Licence & Permit Issuance

Toronto Taxicab Owner licence**

Full Cost Recovery

Per application or renewal

$1223.53

Yes

382

Renewal Fee: Licence & Permit Issuance

Limousine Owner licence

Full Cost Recovery

Per application or renewal

$785.96

Yes

439

Renewal Fee: Licence & Permit Issuance

Taxicab Operator

Full Cost Recovery

Per application or renewal

$338.85

Yes

*2025 Fees assume an annual 2% inflationary increase
**Toronto Taxicab Owners use accessible vehicles. Per Chapter 546, the licence application and licence renewal fees for wheelchair accessible vehicles are waived. Updating Chapter 441 for this licensing category is for administrative purposes"

 

Origin

(September 11, 2023) Report from the Executive Director, Municipal Licensing and Standards

Summary

In December 2021, City Council directed Municipal Licensing and Standards (MLS) to set a goal of net zero emissions by 2030 for vehicles-for-hire (VFH), and to align plans for vehicle electrification and emissions reduction to achieve this ambitious goal.

 

The transportation sector as a whole represents an estimated one third of the city’s total emissions, of which the VFH industry contributes 4-6% of total transportation emissions. The VFH industry, which encompasses taxicabs, limousines, and private transportation companies (PTCs) such as Lyft and Uber, has a unique opportunity to be a leader in zero emission transportation, as VFH on a per-vehicle basis travel three to four times the number of yearly kilometres driven by private passenger vehicles. Transitioning this industry to net zero is part of the City’s broader efforts to achieve community-wide net zero emissions through the TransformTO Net Zero Strategy.

 

This report outlines a proposed approach to support the VFH industry to achieve the Council-directed net zero by 2030 requirement, including recommended by-law updates and complementary programs. It includes the following suite of proposals: requiring VFH to be zero emission vehicles (ZEVs) by 2030 (with some exceptions); temporarily reducing licensing fees via grants for early adopters in the VFH industry who operate with a ZEV prior to 2030; supporting the expansion of electric vehicle charging infrastructure; providing operational flexibility by waiving vehicle age limits for ZEVs; permitting plug-in hybrid electric vehicles (PHEVs) to operate as VFH for an additional two years (until 2032) and extending VFH due for replacement in 2023 by one additional year; and providing education on the benefits and total cost of ZEVs ownership. The proposed approach was developed in response to feedback from industry and public stakeholders as well as consideration of the equity impacts of the net zero by 2030 requirement, as a substantial proportion of the VFH industry consists of lower-income individuals and equity-seeking groups.

 

Accomplishing the goal of net zero by 2030 requires a financial investment by the City, and an all-of-government approach, including key partnerships with City divisions, corporations, and agencies. The proposals, both regulatory and financial, are the first step towards transitioning the VFH industry to net zero by 2030 and are designed to support the achievement of this ambitious goal as directed by Council. The goal of net zero by 2030 in the VFH industry is feasible only if equity-related barriers are adequately addressed and infrastructure development, ZEV availability, and market projections are achieved. Staff will continue to monitor and report back to Committee and Council on these key elements, as required.

 

This report was prepared in consultation with Environment & Climate, Transportation Services, Policy, Planning, Finance and Administration, and Legal Services.

Background Information

(September 11, 2023) Report from the Executive Director, Municipal Licensing and Standards, in consultation with Executive Director, Environment and Climate on Transitioning the Vehicle-for-Hire Industry to Net Zero Emissions by 2030
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239119.pdf
Attachment 1 - Report Tables
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239120.pdf
(September 11, 2023) Attachment 2 - Third-Party Public Vehicle-for-Hire Net Zero Working Group Engagement Report (March 2023)
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239121.pdf
Attachment 3 - Jurisdictional Scan
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239122.pdf
Attachment 4 - Summary of VFH Net Zero by 2030 Public Consultations
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239123.pdf
Attachment 5 - Summary of the University of Toronto Transportation and Air Quality (TRAQ) Research on Vehicle-for-Hire Emissions Calculation and Modelling
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239124.pdf
(September 14, 2023) Public Notice
https://www.toronto.ca/legdocs/mmis/2023/ec/bgrd/backgroundfile-239236.pdf

Communications

(September 15, 2023) E-mail from Kevin Frimeth (EC.New)
(September 15, 2023) Letter from Gerry Manley (EC.New)
(September 18, 2023) Letter from Ian Klesmer, Director of Strategy and Grants, The Atmospheric Fund (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172257.pdf
(September 19, 2023) E-mail from George Bell (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172262.pdf
(September 19, 2023) E-mail from Mohamed Azad (EC.New)
(September 19, 2023) Letter from Councillor Dianne Saxe (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172265.pdf
(September 19, 2023) Memo from Jake Brockman, Public Policy, Canada, Uber (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172243.pdf
(September 19, 2023) Letter from George Wedge, President, and Earla Phillips, Vice President, Rideshare Drivers Association of Ontario (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172248.pdf
(September 19, 2023) E-mail from Murad Bakth (EC.New)
(September 20, 2023) Letter from David Campbell, Associate Vice President, Policy Research Toronto Region Board of Trade (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172295.pdf
(September 20, 2023) Letter from Behrouz Khamseh (EC.New)
(September 20, 2023) E-mail from Joey Gagne, President, Abrams Towing Group (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172293.pdf
(September 20, 2023) Letter from Cameron MacLeod, Executive Director, CodeRedTO (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172296.pdf
(September 21, 2023) E-mail from Chaudhry Aamer (EC.New)
(September 20, 2023) E-mail from Larry Radzio (EC.New)
(September 21, 2023) Letter from Sajid Mughal, President, Itaxi Workers Association of Ontario (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172316.pdf
(September 21, 2023) E-mail from Mohammad Butt, General Secretary ITAXI Workers Association of Toronto and President, Toronto Limousine Drivers Association (EC.New)
https://www.toronto.ca/legdocs/mmis/2023/ec/comm/communicationfile-172317.pdf
(September 21, 2023) E-mail from Robert Kotyk (EC.New)

Speakers

Vincent Puhakka
Wayne Edward
JJ Fueser, RideFair
Nader Khairallah, ATLS Fleet Insurance Program
Abdulkadir Mohamoud, Co-op Cabs
Gurjeet Dhillon, Toronto 1 Taxi / Scarborough City Cab
Sajid Mughal, ITaxi workers Association of Ontario
Ian Klesmer, Toronto Atmospheric Fund
Jake Brockman, Public Policy Canada
Kristine Hubbard, Beck Taxi
Behrouz Khamseh
Rita Smith, Taxi News
Earla Phillips, Rideshare Drivers Association of Ontario
Tesfaye Estifanos
Javid Wali
James Wilt
Paris Marx
Baris Akyurek, AutoTrader
Nicole Moore, Rideshare Drivers United - California
Mohammed Ejaz Butt, ITAXI Workers Association of Toronto & Toronto Limousine Drivers Association
Mohammad Reza Hosseinioun, ITaxi Association
Walayat Khan
Bashir Husen
Councillor Dianne Saxe

Motions

1 - Motion to Amend Item moved by Councillor Alejandra Bravo (Carried)

That:

 

1. The Economic and Community Development Committee refer Recommendations 3 to 11, below, to the Executive Director, Municipal Licensing and Standards until such time as the General Manager, Transportation Services and the Executive Director, Municipal Licensing and Standards report back on a comprehensive framework for the Vehicles-for-Hire industry, so that the the Zero Emissions Grant proposal is considered at the same time.

 

"Providing Zero Emissions Grant to Taxicab and Limousine owners operating with a Zero-Emission Vehicle and PTCs for trips taken in a Zero-Emission Vehicle

 

3. City Council establish a Zero Emissions Grant Program, starting January 1, 2024 and ending December 31, 2029, that is: 

 

a. Funded through Municipal Licensing and Standards' (MLS) operating budget to a maximum of $10 million, or such lesser amount set by the Executive Director, Municipal Licensing and Standards, at their sole discretion, based on their view of MLS’ budgetary requirements; 

 

b. Disbursed to taxicab and limousine owners who register a Zero-Emissions Vehicle at the time of application for a corresponding license or its renewal, to be applied against fees owed to MLS; and 

 

c. Disbursed periodically to private transportation companies (PTC) for each trip completed on their platforms using a Zero-Emissions Vehicle, for remittance to the PTC drivers who delivered such trips. 

 

1. A PTC shall submit a plan to MLS describing how it will remit the Zero Emissions Grant to PTC drivers operating a Zero-Emission Vehicle on its platform in a format prescribed or approved by the Executive Director.

 

2. Licensed PTCs shall submit their plans to MLS by March 1, 2024, December 1, 2024 and every year following on December 1, up to and including December 1, 2028.

 

3. MLS may post the PTC’s grant remittance plans on the City’s website in a manner determined by the Executive Director.

 

4. PTCs shall share their grant remittance plans directly with PTC drivers on their platforms on an annual basis.

 

4. City Council amend Chapter 546 to require private transportation companies (PTC) to maintain business records of:

 

a. Trips that specify whether or not the trip was completed in a Zero-Emission Vehicle, Plug-in Hybrid Electric Vehicle, or internal combustion engine vehicle;

 

b. The total amount of Zero Emissions Grants remitted to PTC drivers on a monthly basis; and

 

c. The make and model of each vehicle for trips completed in a Zero-Emission Vehicle or Plug-in Hybrid Electric Vehicle.

 

5. City Council authorize the Executive Director, Municipal Licensing and Standards or designate, at their sole discretion, to set or amend the amount of, or suspend disbursement of, the Zero Emissions Grant (“the Grant”), and to set or amend eligibility criteria for the Grant, to achieve one or more of the following goals:

 

a. Distribute funding as best as possible throughout the term of the Grant, within the overall funding maximum set by the Executive Director, Municipal Licensing Standards; 

 

b. Incentivize the early adoption and use of Zero-Emission Vehicles by the vehicle-for-hire industry; and  

 

c. Ensure the Grant is distributed equitably among various classes of the vehicle-for-hire industry.  

 

6. City Council set the following minimum criteria for a taxicab or limousine owner to be eligible to receive the Zero Emissions Grant. They must:

 

a. Be granted a taxicab or limousine owner license, or its renewal, by Municipal Licensing and Standards (MLS); 

 

b. Register a Zero-Emission Vehicle with MLS for use as a taxicab or limousine at the time of application for a taxicab or limousine owner license, or its renewal; and

 

c. Provide such declaration or other proof satisfactory to MLS that these eligibility criteria, or other criteria set by the Executive Director, Municipal Licensing and Standards, have been met.  

 

7. City Council set the following minimum criteria for a private transportation company (PTC) to be eligible to receive the Zero Emissions Grant. They must:

 

a. Be licensed as a PTC under Chapter 546;

 

b. Provide complete and accurate trip records and data to Municipal Licensing and Standards (MLS), as required by Chapter 546;

 

c. Remit the Zero Emissions Grant to PTC Drivers in accordance with the requirements of Chapter 546; and

 

d. Provide such declaration or other proof satisfactory to MLS that these eligibility criteria, or other criteria set by the Executive Director, Municipal Licensing and Standards, have been met.

 

8. City Council authorize the Executive Director, Municipal Licensing and Standards, to refuse or cancel a Zero Emissions Grant if the recipient does not meet or no longer meets the eligibility criteria; if a Grant was made by Municipal Licensing and Standards (MLS) due to an administrative or technical error, or if the recipient has not provided complete or accurate information or data to MLS.

 

9. City Council require the Executive Director, Municipal Licensing and Standards, if they are considering refusing or cancelling a Grant, to provide the recipient with written notice and an opportunity to respond in writing within 10 days, and to subsequently provide the recipient with written notice of Municipal Licensing and Standards' final decision regarding the Grant.

 

10. City Council authorize the Executive Director, Municipal Licensing and Standards, to recover any Grant disbursed by Municipal Licensing and Standards in error or based on incomplete or inaccurate information provided by the recipient, and to require that the recipient repay the Grant as a condition of future license renewal.

 

11.  City Council authorize the Executive Director, Municipal Licensing and Standards, to fund, using licensing fee revenues held in the Vehicle-for-Hire Reserve Fund, one temporary full-time staff position for up to seven years, and to renew the position for one additional term, to undertake compliance and auditing work required to help ensure Grant recipients meet eligibility criteria."

 

2.  The Economic and Community Development Committee refer Recommendation 17, below, to the Executive Director, Municipal Licensing and Standards until such time as the General Manager, Transportation Services and the Executive Director, Municipal Licensing and Standards report back on a comprehensive framework for the Vehicles-for-Hire industry, so that the changes to City of Toronto Municipal Code, Chapter 441 are considered at the same time.

 

"Ending the temporary 50% reduction of renewal fees for certain vehicle-for-hire licensees

 

17. City Council amend City of Toronto Municipal Code, Chapter 441, Fees and Charges, to undo the temporary 50 percent reduction of renewal fees adopted by City Council on February 18, 2021 (EX21.2 - 2021 Capital and Operating Budgets) as a COVID-19 financial relief measure for certain vehicle-for-hire licensees, and return the fees to their 100 percent rates beginning on January 1, 2025, substantially in accordance with Table 1 below.

 

Table 1: Fees to return to 100 percent Fee Rate beginning January 1, 2025

 

Ref. No.

Service

Fee Description

Category

Fee Basis

2025 Fee*

Annual Adjust.

162

Renewal Fee: Licence & Permit Issuance

Taxicab Broker licence

Full Cost Recovery

Per application or renewal

$312.24

Yes

164

Renewal Fee: Licence & Permit Issuance

Limousine Service Company

Full Cost Recovery

Per application or renewal

$312.01

Yes

380

Renewal Fee: Licence & Permit Issuance

Standard Taxicab Owner licence

Full Cost Recovery

Per application or renewal

$1111.63

Yes

380.2

Renewal Fee: Licence & Permit Issuance

Toronto Taxicab Owner licence**

Full Cost Recovery

Per application or renewal

$1223.53

Yes

382

Renewal Fee: Licence & Permit Issuance

Limousine Owner licence

Full Cost Recovery

Per application or renewal

$785.96

Yes

439

Renewal Fee: Licence & Permit Issuance

Taxicab Operator

Full Cost Recovery

Per application or renewal

$338.85

Yes

*2025 Fees assume an annual 2% inflationary increase
**Toronto Taxicab Owners use accessible vehicles. Per Chapter 546, the licence application and licence renewal fees for wheelchair accessible vehicles are waived. Updating Chapter 441 for this licensing category is for administrative purposes"



Vote (Amend Item) Sep-21-2023

Result: Carried Majority Required
Total members that voted Yes: 5 Members that voted Yes are Alejandra Bravo (Chair), Paula Fletcher, Ausma Malik, Chris Moise, Jaye Robinson
Total members that voted No: 1 Members that voted No are Shelley Carroll
Total members that were Absent: 0 Members that were absent are

2 - Motion to Amend Item moved by Councillor Alejandra Bravo (Carried)

That:

 

1. The Economic and Community Development Committee delete Recommendation 12 and replace it with the following:

 

"12. City Council direct the Executive Director, Environment and Climate, in consultation with the Chief Executive Officer, The Atmospheric Fund, the Executive Director, Municipal Licensing and Standards, and the General Manager, Transportation Services to report back by the fourth quarter of 2024 with the City’s plan to support the capacity and infrastructure needs of the electrification of the Vehicle-for-Hire sector; and the plan should:

 

a. Identify the type, number and location of public chargers needed to meet the needs of the Vehicle-for-Hire sector over time;

 

b. Identify the respective roles and contributions needed for a Toronto-wide public charging solution for the Vehicle-for-Hire sector, and develop a plan for the Toronto context;

 

c. Outline any necessary City resources and/or actions needed to meet the identified public charging and electric grid capacity needs of Toronto’s Vehicle-for-Hire sector by year;

 

d. Identify electric grid capacity needs for electrification of Vehicles-for-Hire fleet by 2030;

 

e. Assess adequate consumer supply of zero-emission vehicles for electrification of the Vehicles-for-Hire fleet by 2030; and

 

f. Report on an annual basis from 2025 to 2029 including ongoing assessment of requisite infrastructure and capacity in the charging network, electric grid, consumer supply and other identified resources and/or actions for the sector to meet the 2030 electrification requirement."

 

2. City Council request the Government of Ontario reintroduce consumer incentive programs to encourage the purchase and improve affordability of zero emissions vehicles.

Vote (Amend Item) Sep-21-2023

Result: Carried Majority Required
Total members that voted Yes: 6 Members that voted Yes are Alejandra Bravo (Chair), Shelley Carroll, Paula Fletcher, Ausma Malik, Chris Moise, Jaye Robinson
Total members that voted No: 0 Members that voted No are
Total members that were Absent: 0 Members that were absent are

3 - Motion to Adopt Item as Amended moved by Councillor Alejandra Bravo (Carried)

Vote (Adopt Item as Amended) Sep-21-2023

Result: Carried Majority Required
Total members that voted Yes: 5 Members that voted Yes are Alejandra Bravo (Chair), Paula Fletcher, Ausma Malik, Chris Moise, Jaye Robinson
Total members that voted No: 1 Members that voted No are Shelley Carroll
Total members that were Absent: 0 Members that were absent are
Source: Toronto City Clerk at www.toronto.ca/council