a smaller revenue stream from this program and any revenues that were taken out to have some amount reinvested in the industry for the betterment of the industry. there are issues the industry faces. today, i do not believe any funds have been reinvested in the industry to help it out with its needs. other than that, the change of the surrender fee and the post- transfer fee back to 20%, we're in line with what we have recommended. their numbers that entice folks to sell their medallions and allowed drivers to get to a hundred thousand dollars purchase price, that is a lot of conducive -- incentive. we will leave this of you guys -- up to you guys to make the changes.

and the next recommendation is to lower the age. the second recommendation which we took subsequent to the first is to open a sales to anyone and everyone who wanted to sell. this is different from the other proposal were folks above the age of 60 would be allowed to sell. i think the director's recommendations are in line. the biggest departure year from the director's recommendations is there should be some medallions i go to the driver's on the waiting list. it is what holds back the industry from moving to a -- a new medallion transfer and program.

we do not believe that the people should be put aside or forced to purchase. the city committed to giving the medallions when they first entered into this agreement and they should be given the opportunity to be considered for for medallions. we were going to continue with allowing medallion distribution. the recommendations adopted or are around an amount of core percentage of medallions to remain on transferable to be given to the remaining people on the waiting list. i would say that was the biggest difference there with regard to the waiting list. the continuation of distribution according to seniority.

as well as keeping the medallions distributed to qualified cabdrivers. living in to industry operation, we have -- this was us examining how having sales or transfers really affected the quality of the service provided to the public. there a few recommendations here they can go over the week ended up adopting. the biggest theme is having more involvement of lead per diem for it -- full-service cab companies to ensure the medallions are operated and run in a proper fashion that would benefit the members and people of san francisco. there are cab companies to have

reinvested in their operations who are doing their best to -- to abide by operations and corporate. the drivers fund is a subject that was not addressed to much in the proposal. this remains the same between what we decided and what the director has put forward. the biggest highlight here is that fund be allowed to which i believe it is in an investment account and allowed to grow. a group of people here and, that is appointed to manage that fund severally. we have a couple of recommendations that will pass. these their suggestions that -- they are hot topics we have

discussed but they did not get through grade we thought you should be aware. that is the highlight of our report. any questions? chairman nolan: thank you. let me ask you about what you said about the waiting list. would you recommend, is it a certain number to be allowed to continue as they are? >> yes. chairman nolan: did you talk about any number of that? >> the discussions were -- there is a lot of contention and opinions. getting down to specific numbers and figures is something we had best left up to staff but the general policy we wanted to get across to you guys. chairman nolan: as i recall,

that had not been actively utilized in any way. >> it has been growing. we're past couple million. there is a lot of discussion on how that can be used. >>fá it is a positive suggestiod and can be beneficial. director heinicke: i have heard most if not all of that beofore. one comment was the overall sense of the body -- to make sure medallions are ending up in the full service cab

companies. do you see anything in the proposal is there with or without my amendments that would undermine that effort or do you see any aspect of his proposal that would further that effort for is that a separate thing? >> that is a separate issue that should be addressed. >> if i may continue, the director mentioned one detail oriented or one specific detail which is important. that is the idea that with these medallions been financed there will be removed or requirement to more chefs and my understanding is that sort of shifted that way would have

interpreted the effect of getting the least more to the full-service cab companies to 10 to operate on the gate and gas method. >> that will impact the method and the role. anyone taking alone -- a loan, you see that shift in that direction. it is up to the ihndividual operator. >> that has been a gold mine is to oversee that shift and i wanted to confirm -- you did not see anything that would undermine that. >> i do not think there is anything that would undermine it or prevent it. >> thank you. if all that were accepted, would

there be anything to preclude us from looking at the list -- i heard people talk about that number they have. can you speak to that? >> i should have mentioned that when i opened my remarks. it is a big issue. by a less comprehensive approach unresolved and i heard from different people that that level of certainty -- and uncertainty is not desirable. what this does is in talks about how the current medallions that are in circulation basically could be re-circulated. what it does not speak to and what we're are planning to bring forward once we have the necessity is what to do with any medallions issued or ones that

were revoked or come back to the agency outside of whatever medallion transfer process we may choose to adopt. if you adopt what i have proposed or what i have proposed or amended, it leaves the question open and i concur with some of the speakers that -- we do not want to continue to leave that question open so that is something that would be opened otherwise until we come back and assess the discussion but something we could discuss your -- center in terms of providing a certainty. the next person on the list will get medallions in a different way. that was a long way of saying no by approving something today with regard to the current medallions does not preclude making that kind of determination, providing that certainty later. it would limit if you do not

subsequently change this, the existing medallions in circulation would be under this regime there are other medallions, revocations or new medallions the board could make a future decision on. i would concur with some strong sentiment i have heard from others that we should provide that certainty to the people on the list. >> i would support that sooner rather than later. if we can. with all due deliberations and also the driver's fund. is time we come up with something helpful to the drivers. i think that is something i would like to see in the near future. >> anybody else? >> when is the time line that we would be able to take up the waiting list issue?

how long do we have? >> i was -- [unintelligible] >> we areñifá looking at januar. i was suggesting and i heard from the chairman we do not need to wait for that point to have that discussion and for the board to establish policy that would free that certainty sooner. it is somewhat at the board pose a pleasure to bring it back any time after this meeting for discussion. >>ñi hopefully and others woulde involved in helping. anything else, members of the board?

let's hear from the members of the public. >> we have 19 speakers who submitted cards. >> your timing question was pertinent. this legislation is being considered before and i wrote this before the report. i feel it is not fair that you are not going to be able to absorb the report before you vote on this legislation and it is not fair to the taxi advisory council that this was sandwiched in as part of this legislation and that this was related to this legislation rather than

being considered on its own. your considering this before the best practices study which i am paying hundreds of thousands of dollars for him the same with my fellow cabdrivers. this is insulting andq drivers on the waiting list. they have invested their lives and livelihoods. the resignation letter words it far better than i would. it presents a tax on the industry.

it ignores the driver's fund and makes too many concessions. please continue this item of legislation to the call of the chair and let it die a deserved death in the dark. >> i am -- was a member of the advisory council until this latest [inaudible] < for the next 34 years of proe was written, way your turn and you will receive a medallion. if all of you are not aware, a one word to change will and hopes and dreams of those who waited because they were

advised it should not buy a medallion if you were less than trafford spotswood. there are poised to rip that promise away for our people who follow the rules and waited. this aspect is unspeakable cruelty and explicitly affect immigrants and members of minority groups. these drivers and not even middle class and your about to snuff off their dream about getting it one step up for a cab driver. you are elite members of society. it is unseemly in the city to crush the less fortunate. vote no and go back to the drawing board. thank you. [applause] >> our next three years.

>> i am embarrassed and ashamed to be part of an industry that is a fractured and disorganized that it could stand by during the ongoing robbery and rape that is happening here. i am sorry, you have planted every bit of credibility and good will you have created during your last year here. the six of you in the middle, i feel sorry for you. i am sure you have been bullied and intimidated and -- pressured to go along with the plan that has been put in place here. it does not sound like it came from the director to me. i imagine when you went down the path of public service you never thought you would come to a point where you would have to

vote on the legitimacy of a rape of an industry like this. if you go along in the same vein, that is what we in the industry consider your doing. it is not legitimate or necessary. the need to stop it. you do not need to do this. one man has come up with a plan since he first came into this industry to take 100 million or however much you can get and i wonder what he tells his family at the dinner table at night. and he tells them about the pain and anguish he has brought to it -- so many of us or does he tell them this is his path to the mayorship? or to the white house or the governorship?

i am ashamed. i think there's a lot of shame that should be happening in this room. fá[applause] >> next figures. -- speakers. >> good afternoon. although i am not a taxi driver have written in many taxicabs in this great city. xdunder the pilot program we funded the majority of loans to taxi medallion purchasers and portrait closely with the industry and the mta to make this a successful pilot program. we want to first knowledge that these medallion owners and the opportunity we have had to understand their financial situation and work with them and becoming medallion owners. each of them -- each of the

goals of the program and objectives have been met and have been successful. we now enter into this long term program. we have advised the board to closely listened to the feedback that is being provided so that a permanent sales program can be put in place that meets the needs of the industry, the drivers, the mta, and the public that uses this valuable transportation system. we came prepared to this meeting to offer of some suggestions. they have been proposed in the amendments and we prefer those amendments as proposed. the other amendment that we would like you to consider is to look at a program to provide downpayment assistance to those that are purchasing medallions. having strong industry support and readily available market for purchasers will strengthen the loan underwriting process and we urge the board to carefully consider the amendments as proposed. thank you. >> next speaker, please.

>> i would like to commend the director for being opened to thd and i concur completely with those proposed changes. i think that the outrage has been simmered, that was caused by the initial proposal. the old saying if it ain't broken, don't fix it applies here with some minor tweaks. we strive=v quite hard to comep and put the pilot program that it was rolling really well. i do not think that we need to throw an impediment in front of it. there were so many thoughtful

considerations that were put into that pilot program and i think that you could find there will be a lot more harmony in this industry and a lot less and the team towards you -- enmity toward you. >>next speakers. fá>> here i am again. as far as i am concerned you do not know the industry. you have never spoken to me or the committee, you do not know nothing. also chris weiss was absent for the last six meetings. we are not the managers, where the drivers. we're the one that communicates

with the people. those people i have communicated with do not agree with your recommendations. you should revise this plan and you've got. this is supposed to be a liberal city and this is the most conservative plan. your like conservatives -- republicans view. çóas far as the waiting list goes, i have been on that waiting list for 17 years. i give up a lucrative position in the music business to drive a taxi because i liked it. and now,ñi you're screwing me again. i have already been screwed by these sales you have allowed. why take money off the taxi driver when you can take it off a lot of other people. i believe you are all racist and

you think all immigrants drive taxis of the cares about them? i believe that. you do not care about long-term drivers. you do not care about the people on the commission. you have never taken any advice from the commission. never. so what is the point of being there. it is a bad -- about time you listened to the real drivers. these people in this room come here of their own free will to tell you you did not give a damn. you don't know nothing about it. >> thank you.

>> i just want you to be aware of the dynamic of this. these amendments are designed to buy off the potential legal challenge from the cab companies that said they would challenge it if this was not done. rtheir concerns are being taking care of. our drivers are not. 250,000 or 300,000 makes it that much more difficult for a buyer -- for a cabdriver to buy. a 20% transfer fee is already out rages. raising it to 30% is off the map. you should be looking at ways to get it down, not keep it the same period the fact -- not keep

it the same. it is a mockery of a medallion program. the other point i want to raise -- and i want to be really, really clear on this -- that nobody has owned up that this makes a drastic change in the driver's fund. nobody has said this. it changes the driver fund constitution -- contribution from a transfer fee contribution of 5% to a retransfer fee contribution of 5%. that means the medallions that come back to the city by subject of surrender will not be subject to a transfer fee. you are putting the drivers fund into starvation mode for the next 20 or 30 years with this proposal. this was the one light that came out of the medallions sales program in my estimation,

something that could be done for drivers who will never have a medallion. now you are stripping it, tossing it into the trash can. [applause] >> [reading names] >> good afternoon, directors, again. thoughtful comment -- i like to thank you for the thoughtful amendment that malcolm heinicke made. it helps. i would like to urge every one of you to get funding to start enforcing the city regulations and to push the mta to get an attorney. i mean, you've got hundreds of them out there. to improve business for taxis. this is your aim -- this is your stated aim by the director.

you want more taxis. you want more public transportation. you've got $20 million from us. under this proposal, you will get another $30 million. put some of it into enforcement. tomorrow if not today. you willfá make a happier publi, and you will make a happier taxi industry. thank you. director nolan: next speaker please. >> good afternoon. i have been a luxury driver since 1979. i have had mine medallions since 1996. -- i have had my medallion since 1996. there was a lot of time and effort that went into this, and we agreed to what some would say a rather users speak -- user is

-- usurous fee. we agreed to it because it seemed like the city needed the money, and we needed the program for an exit strategy. our a cardsñi are up to $82 a year. they were $18 and i started. but the city needs the money. it seems reasonable. we are willing to pay. we are willing to pay the 15%. xdnow, you want another $50,000 out of my pocket when it comes time to sell my medallion. at the same time, you want to eliminate other drivers who have been in the indusy