Public Notice

City of Toronto Act, 2006 Public Notice

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

Toronto City Council will be considering recommendations to support the vehicle-for-hire industry achieve its Council-directed net zero by 2030 goal and adopt amendments to City of Toronto Municipal Code Chapter 546, Licensing of Vehicles-for-Hire.

It is proposed that the amendments be adopted at the City Council meeting to be held on October 11, 12 and 13, 2023, or at a subsequent meeting. If adopted by City Council, the amendments will:

1. Amend 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 PTC 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.                      
   
   1. 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.                                                                                                     
   2. Permit Plug-in Hybrid Electric Vehicles to operate as vehicles-for-hire until December 31, 2032.                                                                        
2. Amend City of Toronto Municipal Code, 546, Licensing of Vehicles-for-Hire to add the following definitions:                                                               
   
   1. Zero-Emission Vehicle: A battery electric (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.                                                                                                                                                                                                                                                                                       
   2. 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.                                                                                                       
3. Establish a Zero-Emissions Grant Program, starting January 1, 2024 and ending December 31, 2029, that is:                                                           
   
   1. funded through MLS' operating budget to a maximum of $10 million, or such lesser amount set by the Executive Director, MLS, at their sole discretion, based on their view of MLS’ budgetary requirements;                                                                                                                         
   2. disbursed to taxicab and limousine owners who register a zero-emissions vehicle at the time of application for a corresponding licence or its renewal, to be applied against fees owed to MLS; and                                                                                                                                         
   3. disbursed periodically to PTCs 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. Amend Chapter 546 to require PTCs to maintain business records of:                                                                                                                                                                                       
   1. 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;                                                                                                                                                                                                                                                                                                                                                                             
   2. The total amount of Zero-Emissions Grants remitted to PTC drivers on a monthly basis; and                                                                                                                                                                                       
   3. The make and model of each vehicle for trips completed in a Zero-Emission Vehicle or Plug-in Hybrid Electric Vehicle.                                                                                                                                                                                       
5. Authorize the Executive Director, MLS 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:                                                                                                                                                                                       
   
   1. distribute funding as best as possible throughout the term of the Grant, within the overall funding maximum set by the Executive Director, MLS;                                                                                                                                                                                                                                                                                                                                                                             
   2. incentivize the early adoption and use of Zero-Emission Vehicles by the vehicle-for-hire industry; and                                                                                                                                                                                       
   3. ensure the Grant is distributed equitably among various classes of the vehicle-for-hire industry.                                                                                                                                                                                       
6. Set the following minimum criteria for a taxicab or limousine owner to be eligible to receive the Zero-Emissions Grant. They must:                                                                                                                                                                                       
   1. Be granted a taxicab or limousine owner licence, or its renewal, by MLS;                                                                                                                                                                                        
   2. 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 licence, or its renewal; and                                                                                                                                                                                       
   3. Provide such declaration or other proof satisfactory to MLS that these eligibility criteria, or other criteria set by the Executive Director, MLS, have been met.                                                                                                                                                                                                                                                                                                                                                                             
7.  Set the following minimum criteria for a PTC to be eligible to receive the Zero-Emissions Grant. They must:                                                                                                                                                                                       
   1. Be licensed as a PTC under Chapter 546;                                                                                                                                                                                       
   2. Provide complete and accurate trip records and data to MLS, as required by Chapter 546;                                                                                                                                                                                       
   3. Remit the Zero-Emissions Grant to PTC Drivers in accordance with the requirements of Chapter 546; and                                                                                                                                                                                       
   4. Provide such declaration or other proof satisfactory to MLS that these eligibility criteria, or other criteria set by the Executive Director, MLS, have been met.                                                                                                                                                                                                                                                                                                                                                                              
8. Authorize the Executive Director, MLS, 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 MLS due to an administrative or technical error, or if the recipient has not provided complete or accurate information or data to MLS.                                                                                                                                                                                                                                                                                                                                                                              
9. Require the Executive Director, MLS, 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 MLS' final decision regarding the Grant.                                                                                                                                                                                                                                                                                                                                                                              
10. Authorize the Executive Director, MLS, to recover any Grant disbursed by MLS 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 licence renewal.                                                                                                                                                                                       
11. Authorize the Executive Director, MLS, 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.                                                                                                                                                                                       
12. Direct the Executive Director, Environment and Climate, in consultation with relevant City divisions, agencies and corporations, to consider the advanced needs of the vehicle-for-hire industry in planning for public EV charging deployment.                                                                                                                                                                                       
13. Authorize the Executive Director, MLS, 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 EV charging deployment and monitoring the availability of electric vehicle supply, in consultation with relevant City divisions, agencies and corporations.                                                                                                                                                                                       
14. Direct the Executive Director, MLS, in consultation with other relevant divisions, agencies and organizations, to provide education on zero-emission vehicles specifically for the vehicle-for-hire industry.                                                                                                                                                                                       
15. Amend City of Toronto Municipal Code, 546, Licensing of Vehicles-for-Hire:                                                                                                                                                                                       
    1. Such that no model-year maximum applies to taxicabs or limousines that are Zero-Emission Vehicles.                                                                                                                                                                                       
    2. Such that no model-year maximum applies to PTC vehicles that are Zero-Emission Vehicles.                                                                                                                                                                                       
16. 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.                                                                                                                                                                                       
17. 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 Adjustment
    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

                                                                                                                                 
18. 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.

The proposed amendments are outlined in the report titled "Transitioning the Vehicle-for-Hire Industry to Net Zero Emissions by 2030”. To view or obtain a copy of the report, visit the City's website at:

https://secure.toronto.ca/council/#/committees/2563/23214 

At its meeting to be held via video conference and in-person at City Hall, 100 Queen Street West, on September 21, 2023 at 9:30 a.m., or as soon as possible thereafter, the Economic and Community Development Committee of Toronto City Council will hear from any person or by his or her counsel, agent, or solicitor, who wishes to speak to the matter.

The proposed amendments are subject to the decisions of the Economic and Community Development Committee and City Council. Consequently, the proposed amendments may be modified. Additional or other amendments to the above-noted By-law, including amendments not contemplated or considered in the proposal by Municipal Licensing and Standards staff, may occur as a result of the decisions of the Committee and City Council.

To submit comments or make a presentation to the Economic and Community Development Committee on September 21, 2023, please contact the Committee no later than 12:00 p.m. on September 20, 2023:

Economic and Community Development Committee

Toronto City Hall, 100 Queen Street West

10th Floor, West Tower, Toronto, ON, M5H 2N2

Telephone: 416-397-4579; Fax: 416-392-2980

Email: ecdc@toronto.ca

To ask questions regarding the content of the report, please contact:

Ginny Adey, Director, Policy and Strategic Support,

Municipal Licensing and Standards

Toronto City Hall, 100 Queen Street West

16th Floor, West Tower, Toronto, ON M5H 2N2

Telephone: 416-338-5576

Email: Ginny.Adey@toronto.ca 

Fiona Chapman, Director, Business Licensing and Regulatory Services

Municipal Licensing and Standards

Toronto City Hall, 100 Queen Street West

16th Floor, West Tower, Toronto, ON M5H 2N2

Telephone: 416-392-3070

Email: Fiona.Chapman@toronto.ca 

Any comments received after the Committee meeting will be forwarded to City Council.

While the staff report sets out proposed changes, the Committee and/or City Council may change these proposals and adopt additional or other amendments that differ from the recommendations set out in the report. The proposed amendments are subject to the decision of the Committee and the decision of City Council.  

If this matter is postponed at the Committee meeting or City Council meeting or considered at a subsequent Committee or City Council meeting, no additional notice will be provided other than the information on the subsequent Committee or City Council agenda. Please contact the above City officials if you require notice in these cases.

The Economic and Community Development Committee will make its final recommendations on September 21, 2023, which will be forwarded to City Council for its meeting on October 11, 12 and 13, 2023.

Notice to people writing or making presentations to the Economic and Community Development Committee: The City of Toronto Act, 2006 and the City of Toronto Municipal Code authorize the City of Toronto to collect any personal information in your communication or presentation to City Council or its Committees.

The City collects this information to enable it to make informed decisions on the relevant issue(s). If you are submitting letters, faxes, e-mails, presentations, or other communications to the City, you should be aware that your name and the fact that you communicated with the City will become part of the public record and will appear on the City’s website. The City will also make your communication and any personal information in it - such as your postal address, telephone number, or e-mail address - available to the public, unless you expressly request the City to remove it.

Many Committee, Board, and Advisory Body meetings are broadcast live over the internet for the public to view. If you speak at the meeting you will appear in the video broadcast. Video broadcasts are archived and continue to be publicly available.

If you want to learn more about why and how the City collects your information, write to the

City Clerk’s Office, Toronto City Hall, 100 Queen Street West, Toronto ON, M5H 2N2 or by calling 416-397-4592.