Industry Discussion Session

Abercorn Inn, Richmond

March 8, 2011

Discuss proposed pilot project

Get industry feedback on whether the pilot project is of general benefit to limousine businesses, and if not what changes should be made.

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1. Opening

2. Presentation

3. Open Discussion

Minimum & Maximum Rates

Standard Transfer Rates

Standard Rules

4. Wrap Up

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Industry interest & requests

Minimum rates during 2010 Games

More rates flexibility for licensees

Less “red tape”

Fewer applications

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A Proposal to Replace Company-Specific Rates

Vehicles Minimum Maximum

Sedan Limousines (3-5 Passengers)

$70 per hour $140 per hour

Limousines (6-11 passengers)

$80 per hour $160 per hour

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Pro Con

“Fantastic idea” because too many companies are low-balling

Anything that cuts red tape is good

Min/Max is good Sounds good in general OK with proposal Good to have flexibility Streamlined rates are good Range of rates are good Good for industry Pricing for Olympics was great Raise antique sedan rates

Drop in price will be confusing Too complicated. Need one

rate for all. Idea is good, but won‟t work

while airport limo rates are different

Bigger companies are more affected

“We totally oppose this proposal as it will severely impact our ability to serve our customers...minimum rates should reflect the costs of providing the luxury service we offer.”

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Other Options

Vehicles Minimum Maximum

Sedan Limousines • 3 - 5 Passenger Sedans

$75 per hour $150 per hour

Mid-Range Limousines • 5 - 6 Passenger SUVs • 6 - 7 Passenger Cars • Vans

$85 per hour $170 per hour

Stretch Limousines • 8 – 11 Passenger Cars

$100 per hour $200 per hour

Large SUVs • 8 – 11 Passenger SUVs

$150 per hour $300 per hour

Antique Sedan Limousines • 3 – 5 Passenger “Classic” Cars

$80 per hour $160 per hour

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Vehicles Minimum Maximum

Limousines with Special Authorization • 3-11 Passengers

$75 per hour $225 per hour

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Unique set of rates and rules for each company

Rate changes require an application

$200 application fee applies

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Trips Transfer Rates

YVR – Downtown Vancouver $50 per trip

YVR – Cruise Ship Terminals $60 per trip

Cruise Ship Terminals – Downtown Vancouver $35 per trip

Notes:

• Areas are defined in the proposal document.

• Flat rates apply to all types of vehicles.

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Transfer rates way too low to cover costs

Too low to continue at YVR (especially with waiting time) and Cruise Ships

Will cause limos to start flagging

“Industry does not want transfer rates”

Transfer rates are only good for YVR operator

Companies that pay drivers by the hour cannot afford to charge transfer rates

Need to charge more for larger cars

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„Transfer Rates are OK‟

„There should be point-to-point rates across the board‟

Consider radius (zone) transfer rates (i.e. Within 16 km)

Are min / max transfer rates an option?

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1. Minimum Hourly Rate

2. Discounts

3. Commissions

4. Familiarization Trips

5. Donated Services

6. Gratuities

7. Deposits, Cancellations & Refunds

8. Additional Fees & Charges

9. Alternate Vehicles

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Issue Comments General Comments • Uniform rules are okay

• Standard rules are good.

Discounts • Standard rules for discounts are good.

• A 20% cap is too high

Commissions • Commissions should be fixed (10%) to stop new operators from undercutting established businesses

• Standard rules for commission are good. Minimum Hours • Airport rates need to be 2 hours minimum

for flight delays; in-town needs to be 1 hour

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Which options work for limo business?

1. Two-Tier Rates (70/80)

2. Five-Tier Rates (75/85/100/150/80)

3. One-Tier(75)

4. Status Quo

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What should happen to transfer rates?

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1. Maximum discounts: 20% or 15% or?

2. Commissions: No cap or 10% cap?

3. Concerns with any other proposed rules?

4. Do you support Standard Rules in principle?

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Comment Forms & Letters

Victoria Discussion Session March 22

March 31 Deadline

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