in san francisco it takes a long time to get a taxi. even with the proposal will it increase the service level of taxis so that's why a lot of taxis can come mere and improve the city >> whether with 6 hundred more techniques we ultimately have the level of service we would like to see the 15 minute dispatch will reveal itself in terms of reference we looked at zones and with new technology we can where a taxi is and license it to be in certain places. none of the neighborhoods outside the corridor are being

serviced. we expect to lay the foundation for using modern technology so i knowed have options. and then my second question is back to the directors question is the increase of the madalinas. and this is on the budget impact of shifting the pricing of the madalinas. i was looking through my comprehensive budget and what will be the impact to the raw budget? >> up until this point we

haven't, you know, decided how many of the madalinas would be when we set a price we didn't know maybe every 10 we use the impact would be this. the math is if we were to secure authorization to get 1 hundred would be times 3 hundred thousand or so. that's the budget impact our if you recall when we were developing the two year budget we're conservative we didn't know where this process was going to go. so the question is the recommendation from 2 to 3 hundred would it yeast a revenue problem? no, i think we have a low enough

0 number we won't create a hole in the budget. we are looking a little to the long-term and we're feeling more comfortable thank you $250,000 level for the long term to see what the uptake is and to see how the dynamics of the industry how it will change. we thought we had a comfortable margin and put it on indexing he feel comfortable with the downward adjust and again, i don't think it will have any budget impacts. assuming we move forward with

this whatever level we set will set the expectations thought he - next year's price. >> how about the madalinas reduction in price. >> part of the logic was based on 50 percent discount. we had a little bit of discussion about that, too. i thought we needed to bring it down to get a down payment >> we did and we're taking it down to two hundred and 50 thousand but it's still million dollars to the agencies. so certainly the board has the discretion to adjust this

remedies. >> we felt that having the 50 percent value so therefore if we're going to reduce the madalinas price. >> we're still in a position where folks are going to have no down payment to get their madalinas. >> i believe the reduced price can be done without down payment. >> that's going to be my next question. >> thank you. thank you doctor. i jousted reading this report. i feel like i learned more about your taxi industry. i want to or just get a little bit more information about the idea of the direct leasing.

i focused on recommendation 6 which protects the drivers from lease fees. i always every time i'm reminded of the broker situation i feel it's really taking advantage of the industry we currently have and taking advantage of the drivers in particular. the direct leasing is it your recommendation to qualifyed drivers or color scheme >> we recommend that drivers if they're able to take it up they can get the option and now will that direct leasing to qualified drivers is that a way to get rid of that broker situation or the fact that we have some pre k permits all washed out.

it will help in all cases your giving one party in a private traction on option to walk out the door. >> on an enforcement basis i can't spy on every traction a taxi is a mobile. the kind of police you need is very tough. if you're selling eggs for one price no one can beat you >> the single operator peak madalinas it's right now at 90 hours we are to reduce it to 60 hours. the 90 hours is one driver covering that? >> it's a 10 adheres max in

line good pursuance. in top of that there's a give back you're not going to - we're rewarding people who have driven long hours already. >> so that single operator permit is one operator, one driver and now you're speaking to chris's? >> i want to distinguish what we're having in place a senior operating permit because it was given to taxi drivers in order of their a card seniority for the purpose to allow individuals to maintain a certain amount of shifts and it is not a classic

model that well, there's no classic model of a single permit because it's a rare type of you arrangement. the single permit risks you face are the full-time expenses. one of the risks is somebody become i will and not been able to make they're driving income and not been able to make the payments on the capital investment. we added the ability for those senior drivers to make arrangements to have other drivers assist them if they neat that car to think driven. also the senior operator permits

don't have a 90 adhere minimum and a 40 hour maximum and that's again, the qualified or - we knew there might be a tag team effort here. so as i indicated in the staff report we put those out there not ongoing how this would outline shape out and at the end of the day the companies were offering senior operator packages so the operator could have the companies schedule additional drivers but invasion to that the surprise to us the

package included a thousand dollars a month to single operators. so we clautdz and we over estimated the number of adheres that's made a economically feasible. it's not the classic operator permit in the doctors study >> by adopting today, we won't determine the adhere for the single operator? >> couple of times i want to voice out wasn't that i believe in a free enterprise system you create the best mousetrap.

the longer you wait the longer it will be harder to get money back. the other southern is if we issue the cabs and they go back down to the hotels and airport will we really serve the community? we have to come up with a dispatch central service. i was surprised and impressed with your report. i know i have to ask you a question. if anyone at the mta tell you how many cabs to recommend? >> i recommended 50 percent we were a little bit taking our day diligence time to make sure we understood what was going on

before we stepped forward and, of course, people wanted our report so we worked ahead on one part and still waiting for the drivers survey to come in. we did issue earliest the same numbers we issued our numbers for their advanced knowledge. >> thank you very much. >> thank you, chairman i agree with everything that's been brought up. i thank the from for his great leadership and all the industry that participated in this. and for the great report. it certainly taught me a few things. i think that specifically i'm

really interested in the idea of the fact that all the distribution it's clear we need more cabs out there. we know that a lot of of us have a assumption if there was not a need through won't be a need and there's a need here. i want to talk about the need of at any point it's clear it's happening with the drivers. it breaks my heart frankly to see that the drivers who are working so hard aren't even making a living wage sometimes and are servicing without benefits.

i see cabs driving way two too fast and that person is hoourg. the at any point is having an effect and you guys are not happy. it's going to be imperative for us to succeed. yes, it's great we're a city organization i support the intelligence with complications and understanding whose picking you up but at the same time, we have a track record and we must

- i know myself if i say the 3 different services we talked about today i'd jump into the standardized cab because i know they're regulated. we want to create a sustainable industry that allows people to thrive. i appreciate your comments chairman nolan and i certainly am looking forward to the rest of the work 80 so we can provided the drivers more than anything else a comfortable lifestyle that will make our city more attractive >> this resolution give us the authority to issue up to a one

hundred and 20 this year. what did you have in mind. i think at any time a urban stable condition right now in the industry could you comment on 2014 >> yeah, it's a good question and first of all, if you authorizes a hundred and 20 it won't be possible tomorrow. it takes a minute. so i think that gradual approach is something that doctor is relating you need to kind of

ability back the confidence of the san franciscans we have to grow the market as he said. one thing that's going to help us a lot is that we'll have much better data in the future that you once we have all of this data we'll have a good picture of the existing demand 3r we'll recall some of those statistics of how many people would take taxis if they had the confidence it was going to get them home. even the data we have won't speak to the latent demand. but we'll be learning each day in terms of where the market

will be. as we build public convinces in the taxi system the other inregulated vehicles will be at an comparable disadvantages. so as the survey showed you and the doctor said that people would rather be in a san francisco taxi cab. so if we can address that and having more taxis is critical as part of that. the short answer is we will have data to demonstrate that or not and we're not kneeling

alternative taxis anti on the street again, the remedies is to do this in a measurable way >> you're very good at reporting to us what's going on. but at some point down the road when we have apps and all that enforcement to take another look at it. >> urge talking about the recommendation. >> well, the report was really to start the need for conversation when we start increasing the number of taxis on the street because the gap between what we have and what we

should have is so great. however, at a minimum i would report to the board if you want to schedule a more formal kind of check hearing in january once we would have some of them out on the street and whatever format wee would work for you >> i'd feel more comfortable towards 2013 come back and is oh, this or that is working. i think i definitely heard some of the comments here depending upon what they do we may have to do - i definitely appreciate the

airport and fta together >> there was actually a separate point i thought it would be helpful if we briefly acknowledged the report that was delivered under a couple of corporations. it talked about 5 hundred more. >> i want to ask the doctor without a doubt we be in a better position to see how things are working anti. >> yes as time goes an and everybody gets on the electronic situation we'll have better

ideas. again, it won't speak to latent demand and where confidence is but it will provide a very rich set of datatomy to inform further data. so you as a board can monitor the taxi industry >> so to be clear a yes is a presumption of 2 hundred permits next year? >> i was trying to clarify the rules of the board but director reiskin - i don't have any doubt about this is not simply combrabt executive authority i think we're extremely interested

in this so toward the end of the year it will come back and look at the report i will be happy to approve the resolution. >> i'm happy to move the amendment but i have concerns about the pricing. i would move it with the request that we hear from the staff and particular how a premium registration dispatch system would work. that's the last piece missing of updating our system. so i'll move the item >> second. >> any further discussion. all in favor? >> thank you. thank you, dr. we'll take about a 10 minute

break.