A. Where the holder of a franchise fails in any year to procure public transportation vehicle permits for the total number of taxis authorized under the franchise agreement, the number of taxis authorized by the franchise shall be automatically reduced to the number of vehicles for which public transportation vehicle permits have been issued for that year. If a taxi is out of service, the taxi owner shall report that fact to the city within two (2) business days. If a taxi is out of service for forty five (45) consecutive calendar days during the term of the public transportation vehicle permit issued for such vehicle, then the permit shall automatically expire and the total number of taxis authorized by the franchise governing such vehicle shall be automatically reduced by one. Provided, however, the city may extend the period that a taxi may be out of service for up to thirty one (31) days, for a total maximum period of seventy five (75) consecutive days, upon a determination by the city that there is good cause, beyond the reasonable control of the taxi owner, that such vehicle is out of service for more than forty five (45) days. Upon reduction of the number of taxis authorized by a franchise pursuant to this section, the number of vehicles authorized by such franchise may be subsequently increased only through the process described in subsection 7-4-102K of this chapter.
B. If the city revokes a public transportation operator's permit pursuant to article 3 of this chapter, and if, after giving notice to the franchisee and conducting a hearing in the manner set forth in this article, the city determines that the underlying conduct that resulted in the revocation decision occurred within the course and scope of operations pursuant to a taxi franchise, then the city shall reduce the total number of taxis authorized to the corresponding franchisee by one taxicab for each revocation. Upon each such reduction, a franchisee must wait one year before being eligible for possible reallotment of additional taxis pursuant to subsection 7-4-102K of this chapter; provided, however, if all franchisees have had a reduction in the number of taxis and the city decides there is a need to increase the number of taxis in service, the city may increase the number of authorized taxis of the franchisee with the least amount of time left in such one year waiting period. (Ord. 15-O-2671, eff. 2-6-2015)