July 23, 2008
City staff propose jump in cab fares
Taxi riders are facing a fare increase of nearly 23 per cent on an average five-kilometre trip.
City staff are recommending that base rates, per kilometre rates and waiting rates for city cabs be raised to offset higher operating costs.
They're calling for a 20 cent jump in the base rate, which covers the first 71.4 metres, bringing the fee to $3.20. The per kilometre rate would increase 42 cents to $1.82.
The proposal goes to a city committee Monday.
The changes, which would still have to be approved by city council, mean an average five-kilometre ride would cost $12.17, up from $9.90.
The last time the base rate increased was 2006, when council approved a 50-cent hike. The per-kilometre rate stayed $1.40.
Waiting time goes to 13 cents per 14 seconds, up from 10.
Ron VanKleef, president of Hamilton Cab, said the increases are needed to deal with skyrocketing fuel costs and insurance costs.
"Between insurance and fuel, the drivers are getting hit and that's why we're pushing strongly to get an increase," he said.
Ejaz Butt, head of the Cab Drivers Welfare Association, said he's pleased about the increase, although concerned drivers may not pocket the extra cash.
He said there's worry the fees drivers pay to lease their cabs may go up, which could offset the fare gain.
"Eventually the customer is going to be victimized by raising the price," Butt said. "And the driver is not going to make enough money in spite of that."
He said the city should become more involved in the industry to ensure all of those involved are treated fairly.
Anthony Rizzuto, vice-president of Blue Line Taxi, said the increase is a little high. He would've preferred a flat 50-cent hike on the base rate and maybe a small adjustment to the mileage rate.
Rizzuto, who said he did not raise rates to drivers after the last fare increase, said he has not decided what will happen this time. VanKleef said Hamilton Cab has no intention of raising driver rates.
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