Meeting Date: January 12, 2005

Subject: Increase To Upset Limits For Wheel-Trans Sedan Taxi-Based Service Providers

Recommendation

It is recommended that the Commission approve:  

1. an increase of $1,877,500 to the overall contract upset limit for sedan taxi service from $18,116,700 to $19,994,200; and

2. the allocation of these additional funds to the current sedan taxi contractors for services rendered to June 30, 2005 as follows:

- Arrow Cab Limited - $807,300

- Beck Taxi Limited - $732,200

- East End Taxi  - $338,000

Funding

Sufficient funds are included in the 2005 Wheel-Trans Operating Budget which was approved by the Commission at its meeting of November 17, 2004.

Discussion

In spring 2000, a ‘Request for Proposal’ (RFP) was developed for the supply of licensed sedan taxi service for specialized transportation on behalf of Wheel-Trans Operations. These contracts were awarded to Beck Taxi Limited, Arrow Cab Limited and East End Taxi for a three year period commencing July 1, 2000 until June 30, 2003 with an option for two, one year extensions. These contracts, including the final extension, expire on June 30, 2005.

Wheel-Trans will provide service through a combination of accessible vehicles, namely buses and accessible taxis, as well as sedan taxis. These additional monies will allow Wheel-Trans to continue accommodating 12% of the demand using sedan taxis, consistent with the approved budget.

Monitoring of contractor performance with respect to on time service delivery, service incident notification and escorting of customers will continue through the ‘secret shoppers program’ and mobile supervisor audits. Staff will address any issues and ensure contractors take corrective action whenever necessary.  

The revised contractor upset limits for the period ending June 30, 2005 are as follows:

- Arrow Taxi Limited  $5,634,400 increases by $807,300 to $6,441,700

- Beck Taxi Limited  $7,976,300 increases by $732,200 to $8,708,500

- East End Taxi   $4,506,000 increases by $338,000 to $4,844,000

The allocation of this additional funding continues to be based upon vehicle availability and service coverage areas. These revised contract limits may be adjusted based upon service performance and the distribution of demand within the City of Toronto.

Staff are currently reviewing the fleet requirements for the next five years, considering factors such as demographics, travel patterns and increasing size of mobility devices.  Based upon the review, recommendations for the provision of service for the remainder of the year will be presented in a spring 2005 Commission report.

Justification

Sedan taxis complement the accessible bus and taxi service in meeting peak period demand, as well as providing substantial service during the off-peak periods. This request to increase the upset limit for the respective sedan taxi contracts remains consistent with the 2005 Wheel-Trans Operating Budget and provides sufficient service to the end of the contract period on June 30, 2005. 

December 15, 2004

18-59-59