Agenda item

Report attached.

Members considered a report of Councillor Melissa Fisher, Deputy Leader of the Council and Portfolio Holder for Housing and Communities, informing Cabinet about the proposal to externalise taxi testing in Hyndburn.

Councillor Fisher provided a short introduction to the report, in which she explained that the Council had been listening carefully to the taxi trade.  The intention was to introduce new policies and procedures, which would maintain high safety standards while giving more choice to operators, obtaining better value for money through competition and supporting local garage businesses.

Following her introduction to the report Councillor Fisher withdrew from the meeting and did not take part in the moving of the recommendations, debate or vote on this matter.

The Leader commented that, subject to Council approval to the Cabinet’s recommendations, the responsibility for drafting the detailed arrangements would be delegated to the Licensing Manager.  The newly appointed person had experience of this type of arrangement having formerly been employed by Preston City Council, which currently had an externalised testing service.  Councillor Aziz noted that externalisation would increase local choice for taxi operators and might dissuade them from obtaining taxi vehicle licences out of the Borough.  Councillor Khan expressed a view that monitoring of standards was essential and that he would wish to see regular reports provided to councillors to maintain oversight of these arrangements.

Approval of the report was not considered to be a key decision.

Reasons for Decision

Provisions within the Local Government (Miscellaneous Provisions) Act 1976 permitted district councils to grant licences to any vehicle proprietor to use the vehicle as a hackney carriage or private hire vehicle. 

Under Section 50 of the Local Government (Miscellaneous Provisions) Act 1976 any hackney carriage or private hire vehicle licensed by a district council had to present for inspection and testing on no more than three occasions during any one twelve month period.  The primary reason for this legislation was to maintain public safety, both in respect of taxi passengers and other road users.

Currently in Hyndburn vehicles up to the age of 2 years when tested would be issued with a 12 month licence.  Any car over the age of 2 years of age would be required to pass the Council’s vehicle examination test twice yearly and would be issued a 6 month licence each time.  When a vehicle reached 15 years of age it would be subject to the Council’s vehicle examination test three times per year and would be issued with a 4 month licence each time.

The inspection and testing was currently undertaken by staff employed by the Council and based at the Council’s Vehicle Maintenance Unit (CVMU) located on Library Street in Church.  The tests were booked via the Council’s licensing team.

In addition to the standards required for a class 4 MOT test by the Driver and Vehicle Standards Agency (DVSA), the Council had additional supplemental standards which vehicles must pass in order to be licensed by the Council.  The supplementary testing manual supplemented the Rules, Regulations and Procedures for Hackney Carriage and Private Hire Licensing and had been established so as to ensure that all vehicles licensed by Hyndburn Borough Council were of a high standard and were suitable, safe and fit to be licensed by this authority to transport members of the public.  The additional elements of the supplementary testing manual were essential as there were certain criteria that a licensed vehicle must meet over and above the MOT standards.  For example, all licensed vehicles must have 4 doors.  A vehicle with only 2 doors would not fail an MOT on that criteria, but it would not be suitable to be licensed as a private hire or hackney carriage vehicle.

The Council currently issued a Certificate of Compliance (COC) to all vehicles that had reached the MOT standards as well as those set out in the supplementary testing manual.  The COC was a certificate that the DVSA permitted only local authority employees to issue when testing at a local authority premises.  The COC exempted the licensed vehicle from requiring a class 4 MOT.

If a vehicle failed any part of the class 4 MOT test, including any elements of the supplementary test it would not be issued with a compliance certificate, and would not be licensed until it had fully passed the test.

All re-tests would have to take place within ten working days of the original test otherwise a full taxi test would be required at the full test taxi fee.  Only one re-test was permitted per vehicle, thereafter a full taxi test was required and a full test fee charged.

The vehicle was required to be presented in a clean and tidy condition.  If the vehicle was not presented in a clean and tidy condition, so that all items could be tested, the test would not go ahead and the vehicle would need to be rebooked in and the test paid for again.

Cabinet proposed to change the current requirement for taxis to be tested at CVMU and to invite local garages located within the Borough of Hyndburn to apply to be on a list of approved sites available to the taxi trade to use for tests.

This proposal would require a change in policy as the private garages were not able to issue a COC.  It was envisaged that a private garage would issue an MOT certificate and then carry out a part 2 test to ensure the vehicle complied with the requirements set out in the supplementary testing manual in order to be licensed.

Objectives

The objectives for this proposed change in policy were:

• To provide more choice and flexibility for the taxi trade;
• To support local garages and bring more business into the Borough; and
• To stimulate competition and potentially get a better value for money service.

Information

Should Cabinet decide to externalise taxi testing the Council would advertise for garages located within the Borough of Hyndburn, who met the necessary criteria, to apply to the Council to be on the approved list.  The Council would also need to put together a new policy in respect of the arrangement for designation of garages to carry out taxi testing, including reporting and monitoring arrangements and the grounds for removal of designation should the Council be dissatisfied with the performance of a particular garage. 

Taxi proprietors would then directly contact the garages on the approved list and book an appointment for the taxi test.  Taxi testing would cease at CVMU.

When a vehicle had passed both the MOT and the part 2 test the private garage would send a copy of both certificates to the Council’s licensing team who would then issue the licence.  This was different to the current process and the licensing team would need to review and amend its current administration procedures to facilitate this proposed change.  Taxi licensing fees would also need to be reviewed in light of the proposed changes.

Alternative Options considered and Reasons for Rejection

Keeping the status quo.  This would give the Council greater control over the taxi testing process and fees charged.  It would also give greater certainty that the necessary standards were being met and applied consistently.  However, this approach did not meet the objectives set out in Paragraphs 3.12 to 3.14 of the report.

Resolved                                 (1)   That Cabinet notes the report.

(2)   That Cabinet, having considered the information set out in the report, agrees to propose the externalisation of taxi testing in Hyndburn.

(3)   That Cabinet recommends to full Council that taxi testing be externalised and that it delegates authority to the Council’s Licensing Manager, in consultation with the Portfolio Holder, to draft the proposed new policy for consideration by the Council, such policy to include the Council’s criteria for designation as a testing station, the application process, arrangements for standards monitoring and criteria for removal of designation from poorly performing garages.

Agenda Items 16 to 19 on Supplemental Agendas Nos.2 to 4 were taken next at the meeting, these being in Part B.