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Challenges facing the commuter van industry and potential solutions

1:46:08

·

8 min

Council Member Brooks-Powers and Commissioner Do discuss the challenges facing the commuter van industry and potential solutions to support its recovery.

  • The number of commuter van bases, drivers, and vehicles has dramatically decreased in recent years.
  • State-mandated insurance coverage is identified as a primary issue facing the industry.
  • A $11 million state program dedicated to commuter van insurance is helping vans get back on the road.
  • A $40,000 subsidy for in-vehicle telematics and safety features aims to help secure cheaper insurance rates.
  • TLC is working to preserve this form of transportation by making flexible changes and exemptions when possible.
  • There are currently only 35 licensed commuter vans in all five boroughs.
Selvena N. Brooks-Powers
1:46:08
Thank you for that.
1:46:10
Next, I'm gonna pivot to commuter vans.
1:46:13
So commuter vans, as I've said many times a vital and out of rural communities providing an affordable and reliable transportation option.
1:46:21
In transit deserts.
1:46:22
However, the number of commuter van bases drivers and vehicles have dramatically decreased in recent years.
1:46:29
As you mentioned during your testimony, the number of license Drivers and license bases have suffered a similar drop.
1:46:38
You mentioned state mandated insurance coverage as the primary issue facing the industry.
1:46:44
Just a clarification, do you mean that this is a current issue, or did you mean that this was a primary cause for the collapse of the industry?
David Do
1:46:53
Like I said in my testimony, we're broadly supportive of ensuring that there's a continuum of different transportation options.
1:47:02
Within all five boroughs of New York City.
1:47:04
Commuter vans played an important role in many of our communities.
1:47:09
I know and I've heard of stories where many students might be in Southeast Queens, but had to take a bus so that they can get to their subway station and get to Manhattan for their school.
1:47:23
These are important stories that I hear about, and so the health of the commuter van industry is something I'm keenly aware of, wanting to ensure that there are options for our Outer Burrow residents.
1:47:35
Look, it is extremely devastating, right, that insurance has been so high for our commuter van industry.
1:47:50
But what we know is that with state programs like the $11,000,000 dedicated to commuter van insurance, implemented by ASD is helping commuter vans get back on the road.
1:48:02
We know that $40,000 subsidy with in vehicle telemetrics and in vehicle help to provide some of that security so that they can get cheaper insurance rates is going to help the industry as a whole.
1:48:20
And so we're here to be supportive of the commuter van industry.
Selvena N. Brooks-Powers
1:48:27
What other issues in the TLC's opinion stand in the way of rebounding commuter van industry?
1:48:35
And what can we do to smooth the way for them?
David Do
1:48:39
Yeah.
1:48:39
So like I said, that we are going to try to implement the $40,000 in grants for the commuter van industry.
1:48:46
And in fact, we have been working with ASD on a regular basis.
1:48:50
They just released the applications for commuter vans, and I hope that every single commuter van who was previously active can reach out to the TLC so that we can get them active again, so that they can participate in this program.
1:49:07
Because as you heard from Leroy, insurance can be anywhere from 40 to $50,000.
1:49:12
A $40,000 grant is gonna allow for a meaningful impact so that commuter vans can get back on the road.
Selvena N. Brooks-Powers
1:49:20
And commuter vans are not easily replaced by taxis or for high vehicles, which are which are much more expensive or by buses that, you know, may not service particular routes.
1:49:34
But what are you doing to preserve this form of transportation for people who need it?
1:49:39
How do you plan to address the challenges facing the commuter van industry?
David Do
1:49:43
Look.
1:49:44
I've met with our commuter van associations, including Riley Roy and Hector, to ensure and learn about the challenges that are facing them.
1:49:54
And what we have been able to do was work with them, work with the operators, learn about their challenges, and make flexible changes and exemptions when we could do that.
1:50:10
And so typically, if authorized commuter van base might not have any vehicles, we require them to put at least one vehicle.
1:50:20
Right?
1:50:20
The previous restrictions were much higher than that.
1:50:23
If they have one vehicle associated with the authorization, we would work with them to renew that vehicle license and that base.
1:50:32
And so we have working internally at the TLC, but also externally with the state to ensure that there is flexibility for our chemo neuroband industry.
Selvena N. Brooks-Powers
1:50:42
In heads of TLC examine where these commuter vans are most concentrated?
1:50:46
What kind of passengers do these commuter vans primarily serve and where the routes actually go?
David Do
1:50:52
Yeah.
1:50:52
Commuter vans play an important role in transit deserts like you said in Southeast, Queens in parts of Brooklyn.
1:51:02
And so we wanna ensure, right, that there is a continuum of options, be it yellow taxi, for hire vehicles, transit, and even commuter vans to address any of the concerns that our riders face in all five boroughs.
1:51:19
And so I want to always provide more opportunities, more options for our residents instead of less options.
1:51:27
Right?
1:51:28
And so more options means residents can get to where they need to go faster.
1:51:34
And that is something that I think we should all be supportive of.
Selvena N. Brooks-Powers
1:51:40
Thank you for that.
1:51:41
Equally important in Camees, especially Southeast Queens, is our public transit system, particularly the buses because we don't have access to subways.
1:51:52
We're a 2 fare zone, and some of the issues raised earlier by the pre pan was around the community band industry being a potential threat to the bus drivers and diminishing of service with within these communities.
1:52:14
Does TLC have any ideas in which they can help the commuter van industry rebound while still protecting the the public bus network?
David Do
1:52:29
Yeah.
1:52:29
So I understand where our transit workers are coming from and make no mistake.
1:52:35
I think that the the industry has been impacted so hard.
1:52:40
The commuter van industry has been impacted so hard that there's only 35 licensed commuter vans in all five boroughs licensed through the TL.
Selvena N. Brooks-Powers
1:52:48
So but but if this bill were to pass, it would probably Would you say increase that number?
David Do
1:52:53
The street, Haleville.
1:52:54
Yeah.
1:52:55
I can't say either way.
1:52:57
Right?
1:52:58
But that is something that the commuter man associations are gonna have to be hyper focused on to ensure that not only the state help, but the additional flexibility provides to them makes their industry grow.
1:53:12
But there are protections, right, because any any route has to be reviewed by DOT.
1:53:20
But but more so is that this is common industry practice that they pick up passengers at various block to block, corner to corner.
1:53:31
And so this is just memorializing some of what they're already doing into the law.
Selvena N. Brooks-Powers
1:53:40
Okay.
1:53:41
And another question that came or another issue that came up in the pre panel that I was hearing also I think it was from ATUs in terms of, like, the behavior of the commuter van drivers, which Mister Morrison had indicated.
1:53:59
That was not the case of the license commuter vans.
1:54:03
How does TLC manage what's on the road in terms of license versus unlicensed?
1:54:09
Because as we look to explore what legalizing the the street hails look like, we're not trying to reward the ones out of the bad actors that impact the safety and access to the bus services.
1:54:26
So what has or can TLC do to address that?
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