Gotham Gazette https://www.gothamgazette.com/component/tags/tag/2760 Sun, 17 Nov 2019 18:12:08 +0000 Joomla! - Open Source Content Management en-gb webmaster@gothamgazette.com (Webmaster) City Officials Debate What To Do About Taxi Medallion Debt Crisis https://www.gothamgazette.com/city/8695-city-officials-debate-what-to-do-about-taxi-medallion-debt-crisis https://www.gothamgazette.com/city/8695-city-officials-debate-what-to-do-about-taxi-medallion-debt-crisis taxi medallion drivers rally city hall

Council Members Levine & Rivera & drivers rally at City Hall (photo: Jeff Reed)


City Council Speaker Corey Johnson asked what sounded like a simple question: should the Taxi & Limousine Commission apologize for its role in the taxi medallion debt crisis, in which thousands of taxi owner-drivers have been trapped in predatory loans unchecked by city and state watchdogs?

Jeffrey Roth, nominated by Mayor Bill de Blasio to lead the TLC, failed to give a direct “yes” or “no.” Johnson asked again, to which Roth said, “whether or not the TLC leadership there should apologize, I don’t know.” Visibly frustrated, Johnson moved on to a new question.

The exchange took place at a July 18 hearing to discuss Roth’s nomination for TLC Commissioner – a nomination that has since been temporarily withdrawn in part due to Roth’s performance at the hearing.

Roth’s evasiveness on the apology questions and others, and Johnson’s resulting exasperation highlighted a growing debate over the culpability of city government in facilitating the medallion crisis. As a New York Times two-part investigation published in May revealed, the TLC ignored warning signs of a highly inflated medallion market (the city sells taxi medallions and sets baseline prices for auction) and risky lending practices, leaving many medallion owner stranded in colossal debt when the market collapsed. A wave of suicides among driver-owners, along with the Times' series, has elevated the discussion to emergency status.

But, as policymakers, drivers, and others have been asking, should the city itself be responsible for forgiving the debt? What is the best path for helping driver-owners get out from under their loans?

For the Taxi Workers Alliance, the most prominent organization representing for-hire vehicle drivers, the answer is a resounding yes: New York City government should prepare a bailout. But Mayor de Blasio has repeatedly said a bailout would be both out of the city's purview and too costly to the city's budget. On the other hand, several City Council Members, including Speaker Johnson, have expressed some initial support for the idea of a partial bailout of driver-owners.

Bhairavi Desai, the head of the union since its inception in 1998, has called for a city-run program to determine the current market value of medallions, then buying out and forgiving loans down to that value. At the height of the market in 2014, medallions were going for more than $1 million, compared to a $200,000 price tag a decade earlier.

The TWA has calculated that, based on a current medallion market value of $150,000 and an average owner-driver debt of $600,000, the program would cost between $1.6 and $2.4 billion – an increase from the $1 billion the TWA estimates that the city made from inflated prices at medallion auctions.

City Council Member Mark Levine, who represents Upper Manhattan and has long been one of the TWA’s strongest allies in government, claimed at a July 11 rally outside City Hall that a clear precedent for a city-run bailout exists.

“During the housing mortgage bubble, an entity here called the Center for New York City Neighborhoods did exactly that for New Yorkers with underwater housing mortgages,” he said alongside Desai and dozens of assembled owner-drivers. “The fact is, there is a myriad of precedents for this here in New York City, and it’s simply inexcusable to say this isn’t possible when we have done projects like this in the past.”

Levine is not alone in his support for the TWA’s proposal. Council Member Carlina Rivera of Lower Manhattan appeared at the same rally to call for loan forgiveness; City Comptroller Scott Stringer and Council Member Ritchie Torres, among others, have also expressed some measure of support for city-financed debt relief. Because bailout legislation has yet to be introduced to the City Council, it is difficult to gauge how broad the proposal’s support is.

Desai and the TWA have also called for a cap on medallion mortgage payments at $900 per month (compared to an average of $3,000 a month currently) and the creation of a retirement fund for drivers, among other things. But with chants of “Loan forgiveness now!” and pre-printed signs calling for “Debt Forgiveness NOW!” at the July 11 rally, owner-drivers have made their first priority clear.

On the other hand, de Blasio, as well as officials in the TLC, have expressed skepticism about, even dismissal of such an idea. Their preferred plan of action is for the city to instead pressure the private banking lenders to downsize loans, without the city itself directly buying or bailing out anything.

De Blasio, in a June interview on WNYC’s The Brian Lehrer Show, said that he would “absolutely pressure banks and lenders to be fair to these drivers, we’ll do that.” But he rejected the possibility of a city bailout, saying the city “doesn’t directly fund the drivers…There’s some things the City of New York simply has limits on.” He has indicated on multiple occasions that the city simply doesn’t have the billions of dollars that would be needed for a bailout, that it would be too costly of a one-time expense.

Meera Joshi, formerly the commissioner of the TLC, listed in an email to Gotham Gazette several proposals to address the crisis, all of which involve the city leaning on banks to modify loans so that they match drivers’ income. “State and city officials should publicly name those that refuse to work with borrowers,” she suggested, “much like the 100 worst landlords list. Publicity about their inflexibility will go a long way in making a change, and will achieve change quickly.”

Two other possibilities Joshi mentioned involve conditioning medallion ownership on viable financing, thus causing “banks that do not modify loans within a prescribed period [to] lose the medallion as an asset,” and “chang[ing] state tax law to ensure that forgiven loans are not considered taxable income for individuals below a certain income level.”

When asked directly about the possibility of direct loan forgiveness by the city, Joshi stated that she supports “all real assistance, but prioritizes what can realistically happen, affects the largest group, and most of all happens quickly, which is pressuring banks to restructure loans.”

Current Acting TLC Commissioner Bill Heinzen, during a June 24 City Council oversight hearing on the crisis, expanded on this assessment, saying that “the people who have the power and money here are the banks and the credit unions that hold those loans, and they should be the ones who should be forced to write down those loans to something that is human and possible to pay.”

And Roth, responding to pointed questioning from Johnson, said that he thinks “there are measures short of financial bailout...that might be sufficient and not excessive.”

Writing in a City & State op-ed column the day after the July 11 rally, Nicole Gelinas argued that the roughly $2 billion required for a bailout of many owner-drivers would make a significant, arguably unfair dent in the city’s budget. “The city must follow only public need,” she wrote, “not the extraordinary circumstances of one industry.” Others, including Roth, have pointed out that a city-financed bailout might inadvertently reward lenders for their predatory behavior.

While she echoed some of the other ideas that have been offered for alleviating the crisis, another of Gelinas’ proposed fixes involves city- and state-level regulation, without either funding a bailout. “The city,” she wrote, “should make it much clearer whether it is giving up on the medallion system or not, guiding both lenders and borrowers on underlying value, and allowing lenders to keep an interest in the future, possibly higher value of a medallion in exchange for debt relief.”

For their part, the TWA and its Council allies have also called on the city to lean on lenders to forgive debt and ease burdens on owner-drivers. Levine noted that, if the city can successfully push lenders to downsize loans, then the pricetag the city pays for a bailout decreases and becomes more politically feasible.

But some who support a city forgiveness program worry that the focus on outside forces like credit unions makes concrete solutions harder. Council Member Brad Lander, at the June 24 oversight hearing, said he worries “that if we only focus on accountability, we will fail to come up with a real approach to relief...We must find a way to do both.”

A spokesperson for the City Council said in a brief Thursday statement to Gotham Gazette that “Speaker Johnson and the council are committed to helping drivers, and the newly appointed task force is exploring a variety of ways to help including various forms of a bailout.”

Appearing on Thursday evening’s Inside City Hall on NY1, Johnson was asked by host Errol Louis about what he thinks should be done for the medallion owners. “I think the mayor is right in one aspect,” Johnson said after disagreeing with the mayor’s claim that if a cap on new for-hire vehicle licenses had been instituted in 2015 much would have been different, while also reiterating his regret for not supporting the cap back then, “which is $17 billion for a full bailout is not realistic, and it would be inappropriate and disingenuous for me to say that’s what we can do. But there has been a proposal -- Council Members Levin and Levine and Lander have been talking about doing a partial bailout for some of the medallion owners who are under water, maybe at $100,000 or $200,000, to get them out of debt in a way where they’re not as under water. It’s something we need to look at.”

Underlying the debate over debt forgiveness is a deeper question over who, exactly, bears the blame for the crisis to begin with. Mayor de Blasio has called the crisis a “private market reality,” and the TLC released an investigation it conducted laying the responsibility on lenders and the National Credit Union Association while insisting that “TLC and the City have no regulatory oversight or control over lending practices.”

Additionally, Roth, Heinzen, and Joshi – the prospective, current, and former TLC commissioners, respectively – all pointed to the specific ways in which the TLC worked to mitigate the crisis, including loosening restrictions and reducing taxes on drivers. The cap on vehicle hailing apps such as Uber and Lyft has also been highlighted as a measure that the city took to help owner-drivers (de Blasio has repeatedly said he wishes the City Council had gone along with his 2015 push for a FHV cap, rather than stalling for several more years until its passage in 2018). 

For many, however, these measures were too little and too late. Though the city was not directly responsible for reckless lending practices that may have helped thrust owner-drivers into severe debt, Levine and others claim it still has a “moral debt” to pay for its lack of oversight. Levine charged that “the city itself was asleep as thousands of drivers entered into a world of financial hell.” 

Council Member Torres, who co-chaired the oversight hearing with Council Member Ydanis Rodriguez, said that the TLC “is inclined to scapegoat everyone except itself.”

The TLC, as many debt-relief proponents have pointed out, was not just a regulator asleep at the wheel. Faced with a $3.8 billion budget deficit early in his administration, Mayor Michael Bloomberg and his TLC commissioner, Matthew Daus, advertised the medallion market as a stable, “once-in-a-lifetime” opportunity in order to increase city revenue. In 2011, Andrew Murstein, the former president of a prominent medallion lender, called the city his “partner,” because “they want to see prices go as high as possible.”

Debt relief, either from the city or from lenders, is not the only measure being discussed to address the medallion crisis. At the June 24 oversight hearing, four bills were proposed that would increase accountability at the TLC, with the goal of preventing future crises.

Additionally, Council Member Rodriguez, who chairs the Transportation Committee, has proposed a bill that would exempt taxi drivers from congestion pricing. The TWA held a rally on July 18 demanding that the cap on for-hire vehicles be extended, which would continue to restrain competition to the taxi industry. And, as Roth mentioned in the July 18 committee hearing, the TLC plans to set up a driver assistance unit to provide drivers with financial and mental health services.

But, as these legislative proposals’ backers have attested to, such fixes are not enough to help those already in massive debt. Regardless of who bears the blame for the crisis and who needs to pay for it, thousands of drivers remain in dire straits. “This may have taken years in the making; it cannot take years more in the fixing,” said Desai at the July 11 rally.

“Otherwise," she said, "thousands of families are going to simply break.”

***
by Joey Fox, Gotham Gazette

Read more by this writer.

]]>
City Officials Debate What To Do About Taxi Medallion Debt Crisis Thu, 25 Jul 2019 04:00:00 +0000
Council to Examine City’s Role in ‘Taxi Medallion Crisis’ https://www.gothamgazette.com/city/8621-council-to-examine-city-s-role-in-taxi-medallion-crisis https://www.gothamgazette.com/city/8621-council-to-examine-city-s-role-in-taxi-medallion-crisis bloomberg gillibrand nadler yassky fed

(photo Credit: Edward Reed/City Council)


Amid a new flurry of attention to challenges faced by taxi drivers in New York City, the City Council will hold an oversight hearing Monday on the city’s Taxi and Limousine Commission’s “role in the taxi medallion crisis.”

As a New York Times two-part investigation published in May helped bring back into extensive public conversation, taxi medallion prices rose to extreme heights between 2002 and 2014 – as high as $1.3 million – before crashing down amid a boom in the launch of the app-based for-hire vehicle sector. Thousands of medallion owners are in immense debt with their medallions, which allow them to operate a city-sanctioned yellow taxi, worth far less than at point of purchase, when they bought them from the city through loans provided by private banks.

Reporting prior to the Times’ exposé had already documented the mounting debt crisis for medallion owners, connecting it largely to the rise of ride-hailing apps such as Uber and Lyft. All of the city’s 13,587 taxi medallions took significant hits in value, both those owned by individual drivers themselves and those constituting larger taxi fleets. The City Council passed and Mayor Bill de Blasio signed a cap on new for-hire vehicle licenses and new wage guarantees for drivers amid a series of driver suicides in 2018, tragedies that pushed the medallion crisis into public view.

Now, the Times’ investigation has caused a new flurry of legislation after it showed how the Taxi and Limousine Commission (TLC) was instrumental in the extraordinary inflation of medallion prices. Though the TLC was not directly involved in the reckless lending practices that led to the taxi drivers’ debt, it stood to benefit from skyrocketing prices at medallion auctions and chose to ignore signs that the market was highly unstable. The TLC is charged with regulating the taxi industry, and the Mayor oversees it and the city budget, which has included and relied on revenue from medallion sales.

While much of the Times’ reporting focused on other culprits, including predatory lenders and the National Credit Union Association, medallion owners and their representatives have laid a lot of blame on city government.

Sergio Cabrera and Carolyn Protz, two medallion owners, wrote in a scathing Crain’s New York Business op-ed that “the real scandal...is how the Taxi and Limousine Commission, as well as elected officials, played a pivotal role in taxis’ demise.”

Bhairavi Desai, executive director of the New York Taxi Workers Alliance, similarly charged that “the city raked in profit while working-class immigrant drivers of color were swindled and pushed into financial despair.”

Many elected officials agree. In an interview with City & State, City Council Member Mark Levine stated that “the city itself also bears responsibility for this, because we were selling medallions with the goal of bringing in revenue to the city and we were promoting them and pumping them up in ways that I think masks the true risks that drivers were taking on.”

The hearing on Monday, which will be jointly held by the Committee on Transportation and the Committee on Oversight and Investigations, will likely feature significant grilling and criticism of the TLC, as well as testimony from non-governmental parties, like medallion owners, pointing the finger at city government. On its website, the Taxi Workers Alliance has already promised to “pack the hearing room.”

Council Member Ritchie Torres, who will be leading the hearing as chair of the Oversight and Investigations Committee, said in a phone interview with Gotham Gazette that “the purpose of the hearing is to examine TLC’s role in creating a speculative bubble in the medallion market, and to identify the regulatory failures, the policy failures, that led to the collapse of the medallion market and the resulting humanitarian crisis.”

“There’s a sense in which TLC was functioning both as a market regulator and a market purchaser, and there is a conflict of interest between those two parts,” Torres said, echoing concerns outlined in the Times articles.

Although his committee began an investigation into the commission in November of 2018, “TLC has [since] been insufficiently cooperative with the City Council,” and the hearing is intended as a continuation of this inquiry. Despite the TLC’s stonewalling, Torres did disclose that the investigation has been productive, saying “there’s more evidence that the City is culpable than even the New York Times exposé suggests.”

In addition to the oversight portion of the hearing, which will begin at 10 a.m. Monday, four new bills aimed at mitigating the crisis will be introduced and discussed.

The first, from Council Member Ydanis Rodriguez, chair of the Transportation Committee, would require the TLC to “evaluate the character and integrity” of medallion brokers. Another, from Torres, would create a department within the TLC to evaluate the financial stability of the industry. This could theoretically prevent another bubble from forming based on false assertions of taxi market infallibility.

A third bill, sponsored by Council Member Adrienne Adams, would require the TLC to collect annual financial disclosures from individuals with interest in a taxi license. Finally, Council Member Francisco Moya is introducing a bill to prohibit the sale or transfer of a taxi license unless the funds used have been reviewed by the TLC.

These four bills are far from the only ones being drafted and discussed. On May 21, Rodriguez and fellow Council Member Fernando Cabrera proposed an exemption for taxi drivers from congestion pricing to lower their costs, saying that legislators had a “moral obligation” to do so.

Rodriguez also recently saw the City Council pass his bill to reduce the commercial motor vehicle tax on medallion owners from $1000 to $400. In a statement, he pledged to continue “to find ways to ensure that Taxi Medallion owners receive the justice they deserve.”

Meanwhile, in the state legislature, State Senators Jessica Ramos and Leroy Comrie have proposed a bill that would establish a taxi medallion guaranty program to help medallion owners who are unable to pay off their loans.

For some activists and lawmakers, these proposed changes don’t go far enough. Levine, writing in the Bronx Free Press, proposed “dramatic plans” to buy back medallions and forgive taxi drivers’ debt to augment smaller changes such as waiving fees and establishing task forces; City Comptroller Scott Stringer has expressed support for a similar solution.

The Taxi Workers Alliance, one day after the Times article was published, proposed a slightly less drastic plan. It would create a Council-appointed task force to determine the proper current value of taxi medallions, and any loan amounts exceeding that value would be forgiven (the specifics of how the loans would be forgiven have not been made clear).

Unlike Levine’s proposal, this would still likely leave many drivers hundreds of thousands of dollars in debt. And as transportation expert Bruce Schaller pointed out to City & State, many medallion owners have already spent hundreds of thousands of dollars to pay off their loans, money that a debt forgiveness program would not help them reclaim.

Any debt forgiveness bill may also face a difficult path under the de Blasio administration. Though the mayor has embraced investigations of lenders and higher wages for drivers, he dismissed the possibility of bailouts in an interview with Brian Lehrer, calling the crisis a “private market reality” that the city is not culpable for, mostly side-stepping city government’s role in selling such inflated medallions and TLC’s lack of oversight. De Blasio did acknowledge that the city allowed something of a bubble to develop, but cited his administration’s efforts to stop selling medallions and to cap app-based for-hire vehicles (a 2015 push by de Blasio to cap FHVs failed, only to be achieved three years later).

The June 24 Council hearing comes at a time of upheaval at the TLC. On June 18, de Blasio announced that Department of Veterans’ Services official Jeffrey Roth will become the new TLC commissioner. He replaces Meera Joshi, who departed the agency in March.

Joshi, for her part, was concerned that direct bailouts would benefit banks too much and drivers too little. Her preferred solution instead was to encourage banks to take a loss and downsize the loans. That way, the banks could “at least have a good live loan at the right price, [rather] than have someone who’s out of work and the bank with a loss.” Roth, who will need to be approved by the City Council before he becomes commissioner, does not yet have a stated position on the issue.

Though relief for medallion owners is likely still a long way off regardless of policy direction, Council Member Torres hopes that the upcoming hearing can begin the process of recovery. “My overall message is this: the city has been part of the problem, and it’s time to make the city part of the solution.”

***
by Joey Fox, Gotham Gazette

Read more by this writer.

]]>
Council to Examine City’s Role in ‘Taxi Medallion Crisis’ Thu, 20 Jun 2019 04:00:00 +0000
Former City Taxi Commissioner on Regulating the App Companies and Saving the Yellows https://www.gothamgazette.com/city/8521-former-city-taxi-commissioner-on-regulating-the-app-companies-and-saving-the-yellows https://www.gothamgazette.com/city/8521-former-city-taxi-commissioner-on-regulating-the-app-companies-and-saving-the-yellows Meera Joshi taxis

Meera Joshi, right, at a rally (photo: Benjamin Kanter/Mayor's Office)


Meera Joshi’s five-year tenure as the head of the New York City Taxi and Limousine Commission coincided with a tumultuous time for the industry she was tasked with overseeing and regulating. Joshi, who left the de Blasio administration in March, joined the What’s The [Data] Point? podcast from Citizens Budget Commission and Gotham Gazette to discuss her tenure, the taxi industry and key steps she spearheaded to regulate it, and what’s next for app-based for-hire vehicle companies like Uber and Lyft.

The introduction and explosion of those ride-hailing apps has shaken the overall for-hire vehicle industry, disrupting the traditional taxi sector in New York City and beyond, and creating new challenges in terms of street congestion, driver working conditions, and more. In two years, the number of for-hire vehicles in New York City grew 59% and they now outnumber yellow and green taxi cabs my many thousands, having surpassed taxis in 2017, according to TLC data. As of last year, there weree 13,587 licensed yellow cabs in the city, along with 3,570 green cabs, and 107,435 app-based for-hire vehicles.

At the same time, the value of taxi cab medallions has depreciated from a peak over $1 million to $175,000, leading to financial hardship and even suicide, and questions about a government bailout.

On the podcast, Joshi discussed the challenges of regulating an emerging business model while also attending to the decline of another, as well as other issues that came up during her tenure as chair and CEO of the Taxi and Limousine Commission, a position she was appointed to in 2014 by Mayor Bill de Blasio. Joshi had served under the pior TLC commissioner and also held positions at the city’s Department of Investigation and with its police oversight body, the Civilian Complaint Review Board.

During Joshi’s five years leading the TLC, the de Blasio administration, at times working with the City Council, sought to be aggressive in response to the industry disruption posed by Uber and Lyft.

Under her and de Blasio’s leadership, the city made a failed attempt to extend some regulations to the for-hire apps in 2015, when the companies were smaller, losing a battle over placing a cap on the number of new cars that could be licensed after a high-profile battle with the companies and their supporters. The Taxi and Limousine Commission did mandate that larger app-baseds companies share trip data with the city, taking a significant step toward understanding how the emerging sector was influencing traffic and travel patterns in the city.

The city wound up getting the cap in 2018, while also creating sweeping new pay protection for for-hire drivers. New York City was the first municipality in the country to take the series of actions, leading to significant changes for both the companies, their traditional taxi competitors, and the city’s transit scene.

“In New York City, we have a good history of data-driven policy,” Joshi said on the podcast. She pointed out that taxi cabs have been tracked in great detail since 2007. The city Department of Transportation uses that information to understand traffic flow and the TLC uses it to make driver protection, licensing, and other regulations. The city’s mandate that app-based taxis share trip data followed this precedent and allows for similar data-driven policy, according to Joshi.

In what would become the final months of her tenure, New York City rolled out several new regulations that have impacted the app companies.

Last year, the City Council, with the blessing of Mayor de Blasio, voted for a one-year cap on new for-hire vehicle licenses, unless for wheelchair accessible cars, and mandated a minimum wage of $17.22 per hour for rideshare drivers. It also empowered the TLC to set minimum pay rates. These actions enabled the TLC to study the impact of ride-hail apps on the city’s congestion, among other dynamics. Uber and Lyft have opposed these legislative and regulatory actions.

The city’s recent actions have come under legal scrutiny since they were announced, but the city has prevailed when legal challenges have been filed and the cases have been closed. “This is an industry that is very litigious,” Joshi admitted.

New state congestion charges for taxis ($2.50) and rideshare vehicles ($2.75) were ruled to be legal by a New York judge in February. This month, another judge upheld the new minimum wage rates against challenges from Lyft and Juno. However, the app companies’ lawsuit against the one-year cap is still ongoing.

The new regulations are having clear effects. In April, Uber and Lyft both stopped accepting new driver applications, perhaps because of the new utilization rate structure and wage minimums, not to mention the vehicle license cap. The utilization rate structure effectively penalizes rideshare companies for having a large number of drivers on the road at the same time who are not moving passengers.

During the interview, Joshi explained that “40% of every hour the app drivers that are on the road don’t have passengers. The driver pay rules try to address that balance in a way that works off of incentives and penalties. You’re going to have to pay more if you can’t keep your drivers busy,” she said. She pointed to the April announcements from Uber and Lyft as being “great news” for existing drivers, because they are the ones most hurt by oversaturation.

Joshi also believes the move was “a good example of where regulation and the market worked together,” where “the regulation is aimed at the problem and the reaction came from the companies.” This was the main goal of the policy, according to Joshi, who said “closing the pool is what we really wanted to get at.”

On May 8, some app-based drivers in New York and other cities across the country went on strike in protest of low wages and low quality of life at work, though some in New York hailed the city’s new laws and said they were striking in solidarity with drivers elsewhere and against the companies more generally. This came just ahead of Uber’s initial public offering (IPO) of stock. The New York Taxi Workers Associations coordinated the strike in New York City.

Despite her criticisms of ridesharing apps, Joshi also recognized the benefits that the industry had for the city. She said that “this is a good service, a popular service filling a void.” According to Joshi, the boroughs outside Manhattan have seen the biggest benefit from the apps and the effect on those areas “was the concern when the cap legislation was passed.”

However, Joshi also said that TLC data has shown “that there is still continuous growth” in mobility in boroughs other than Manhattan through the apps, which she attributes to the “built-in excess in the business model.”

While Joshi oversaw these new regulations and implemented them in the face of opposition from the major companies, she has also been criticized for negative consequences that the growth of these apps, including the falling value of taxi cab medallions and wages for taxi drivers, to the increased stress and suicide rates of drivers.

When asked why she is not in favor of a bailout for taxi medallion owners, Joshi said that “the problem stems from the loan,” pointing out that taxis earn profits when they are on the road and saying that banks were irresponsible in their lending.

“So many of these taxi medallions have outsized loans attached to them because the price was inflated,” comparing the situation to the housing bubble of the late 2000s. She believes that a bailout would primarily benefit the banks who offered loans for taxi drivers to acquire the medallions, saying, “I don’t know if the individual owner is better off, because they still may owe a tremendous amount of money to the banks.”

Joshi believes that banks “are going to have to write [the loans] down anyway” and “resize them for what they’re selling for now, because they have to take the loss and they might as well keep the borrower.”

As Joshi moves on to a position at NYU’s Wagner School of Public Policy as a visiting scholar and a policy advisor at Remix, the debat eover the future of the taxi industry in New York City continues, with some of her moves hailed as major progress to help save the yellow taxis and improve the lives of drivers of those and other for-hire vehicles, while others say the city has not acted quickly or aggressively enough to help taxi medallion owners, for-hire vehicle drivers, and others.

Inarguably, New York City was the first U.S. city to effectively increase regulation of the app-based for-hire vehicle companies, despite significant opposition from the industry.

Additionally, TLC was one of the agencies responsible for implementing Mayor Bill de Blasio’s Vision Zero street safety program. Fatalities involving TLC vehicles dropped 50% during Joshi’s tenure. Lastly, Joshi has been credited with overseeing an increase in wheelchair-accessible vehicle availability.

[Listen to the full conversation: What's The [Data} Point? with former Taxi Commissioner Meera Joshi]

***
by Andrew Millman, Gotham Gazette
   

Read more by this writer.

Ben Max contributed to this story.

]]>
Former City Taxi Commissioner on Regulating the App Companies and Saving the Yellows Sun, 12 May 2019 04:00:00 +0000
What's the [Data] Point? 125,323, with Former Taxi Commissioner Meera Joshi https://www.gothamgazette.com/city/8507-what-s-the-data-point-125-323-with-former-taxi-commissioner-meera-joshi https://www.gothamgazette.com/city/8507-what-s-the-data-point-125-323-with-former-taxi-commissioner-meera-joshi whats the data point


What's The [Data] Point? Episode 73 -- 125,323, Meera Joshi, former chair of the city's Taxi & Limousine Commission [You can download What's The [Data] Point? wherever you get your podcasts, including on iTunes]

wtdp meera joshiMeera Joshi was appointed by Mayor Bill de Blasio in 2014 to chair the city's Taxi & Limousine Commission, which sets rules for and has oversight over the city's taxi industry, including yellow and green cabs, app-based for-hire vehicles like Uber and Lyft, and more. Joshi left city government in March and joined the podcast to reflect on her tenure at TLC, including the major challenges of dealing with declining yellow and green cab sectors and booming for-hire vehicle sector.

Listen to the conversation and let us know what you think: Ben Max of GG (@TweetBenMax), Maria Doulis of CBC (@MariaDoulis). Listen below or download wherever you get your podcasts!

***
by Ben Max, Gotham Gazette
     

Read more by this writer.

]]>
What's the [Data] Point? 125,323, with Former Taxi Commissioner Meera Joshi Thu, 09 May 2019 04:00:00 +0000