CPUC Rules and Regulations on Passenger Carriers

TRANSPORTATION ENFORCEMENT SECTION CONSUMER PROTECTION AND SAFETY DIVISION

California Public Utilities Commission (CPUC)

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TES – General Info

Mission Statement To ensure that passenger and household goods

carriers operate in conformance with consumer protection and safety requirements and compete fairly in the marketplace by investigating and prosecuting carriers who violate the law.

PUC Investigators status Designated under Penal Code Section 830.11 May exercise the powers of arrest Serve search warrants Receive criminal history information from the

Department of Justice.

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Who Do We Regulate?

Passenger carriers Limousines, airport shuttles, sightseeing

services, charter and scheduled bus operators.

Household Goods Carriers (commonly

referred to as "movers" or "moving companies."

Transport used household goods and personal effects (residential moves)

(Note: office moves only – DMV jurisdiction)

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Carriers Population

Northern Unit Passenger Carriers

4,475 (All Status) 2,230 (Active and Suspended)

Moving Companies 889 (All Status) 454 (Active and Suspended)

Southern Unit Passenger Carriers

7,961 (All Status) 3,534 (Active and Suspended)

Moving Companies 1,138 (All Status) 524 (Active and Suspended)

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PASSENGER STAGE CORPORATION (PSC)

Operates on a fixed route, scheduled service (scheduled bus operators), or an on-call, door-to-door "share-the-ride" service [airport shuttles]

Provides transportation service to the general public on an individual fare basis.

File tariffs setting forth their fares, the level of which is subject to Commission’s oversight.

Waybills are not required.

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Sample PSC certificate (CPCN)

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Sample PSC certificate (CPCN)

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Sample PSC certificate (CPCN)

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Sample PSC certificate (CPCN)

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CHARTER-PARTY CARRIER (TCP)

Limos, airport shuttles, tour buses, sightseeing services, charters, party buses.

Charters a vehicle, on a prearranged basis, for the exclusive use of an individual or group.

Charges are based on mileage or time of use, or a combination of both.

Level of charges is not regulated by PUC.

Waybills are required.

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Sample of TCP

authority

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Types of TCP 6 types of authorities – subject to renewal ($100) every 3 years.

Certificates - A, B, C (transferable) Class A – statewide. No restrictions on seating capacity. Can charge

individual fare only when performing round trip-sightseeing service.

Class B – restricted to 125 air-miles from terminal only if using a vehicle that does not meet definition of a bus (seating capacity of 11 or more).

Class C – transportation is incidental to commercial balloon operations, commercial river rafting or skiing.

Permits - P, S, Z (non-transferable) Class P – restricted to vehicles under 15-passenger seating capacity

(i.e.14 passengers plus driver).

Class S – round trip sightseeing only. Passengers must be brought back to point of origin. Can charge individual fare (per head).

Class Z – specialized transportation services not offered to the general public [incidental to another business, under contract w/industrial & business firms, governmental agencies, & private schools; and transportation of agricultural workers to and from farms].

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5353 Exemptions from TCP requirement

(a) Transportation service rendered wholly within the corporate limits of a single city or city and county (SF) and licensed or regulated by ordinance.

(b) Transportation of school pupils conducted by or under contract with the governing board of any school district entered into pursuant to the Education Code.

(d) Transportation by employer of farm employees to and from farms, or by a nonprofit agricultural cooperative association, and at no cost to employees.

(f) Passenger vehicles carrying passengers on a noncommercial (non-profit) enterprise basis.

(i) Vehicles used exclusively to provide medical transportation, including vehicles employed to transport developmentally disabled persons for regional centers.

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5353 Exemptions from TCP requirement

(k) Subject to CVC § 34507.6, transportation service provided by rental car operator to shuttle its customers to or from its facility: vehicles owned or leased by that operator at no charge other than the automobile rental charges

(l) Subject to CVC §34507.6, transportation service provided by hotel, motel operator to shuttle its guests :

between its facility and an air, rail, water, bus passenger terminal, any place of entertainment or commercial attraction, including, but not limited to, facilities providing snow skiing.

vehicles owned or leased by hotel/motel operator without charge other than as may be included in lodging charges Cannot provide any round trip sightseeing service without a

permit, as required by subdivision (c) of Section 5384.

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5353 Exemptions from TCP requirement

(n) (1) Transportation services incidental to operation of a youth camp that are provided by either a nonprofit organization that qualifies for tax exemption under Section 501(c)(3) of the Internal Revenue Code or an organization that operates an organized camp, as defined in Section 18897 of the Health and Safety Code, serving youth18 years of age or younger.

Register as a private carrier pursuant to Section 4005.

Participate in a pull notice system (CVC §1808.1)

Undergo annual bus terminal inspection with CHP (CVC §34501).

Carry general liability insurance coverage for vehicles

Minimum range from $500K to $5M depending on seating capacity and whether youth camp or organized camp

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Licensing Requirements

Filing fee ($1,000 per authority except Class A - $1,500)

File evidence of public liability (PLPD) insurance coverage. Minimum required (excluding driver):

7 passengers or less - $ 750,000 8 thru 15 passengers - $ 1.5 million 16 passengers or more - $ 5 million

File evidence of workers’ compensation (WKCP) insurance coverage if engage workers.

Participate in the DMV Employer Pull-Notice System.

Participate in the PUC's (or FED’s - 16 seats) drug and alcohol testing program.

Undergo a CHP safety inspection (vehicle seating 11 or more including the driver.)

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Regulatory Authorities

Public Utilities Code Charter-Party Carriers’ Act (§§ 5351-5420)

§5411 – any violation of this act is a misdemeanor. provides criminal, civil, and Commission-imposed

administrative penalties for a violation, or aiding in the violation, of the Act.

penalties per offense ranges between $1,000 and $5,000 (administrative, civil or criminal)

misdemeanor offenses also provide for imprisonment in county jail (3 months - 1 year)

Passenger Stage Corporations (§§ 1031–1045) § 1037 – any violation of this chapter is a misdemeanor. Other provisions of law provides for penalties of $500 to

$20,000 per offense for any public utility, which include PSC (§ 2107).

Household Goods Carriers’ Act (§§ 5101-5335) Commission General Orders (115-F; 157-A; 157-D)

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Waybill Requirement (TCP only – GO 157-D)

§ 5371.4(h) - Driver shall show waybill to any PUC or airport enforcement officer, or any official of city, county, or city & county authorized to inspect waybills

GO 157-D - Part 3.01 - Waybill shall show:

1. Carrier Name and TCP number. 2. Vehicle License plate number. 3. Driver’s name. 4. Name & address of person

requesting or arranging charter. 5. Time & date charter was

arranged. 6. How charter was arranged

[phone or written contract]. 7. Number of persons in charter. 8. Name of 1 passenger or traveling

party. 9. Origin and Destination.

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Vehicle ID (GO 157-D/158-A)

Part 4.03 - Carrier’s name & vehicle number shall be displayed on each side of vehicle, readable at 50 feet in daylight.

Exception: Vehicle leased < 30 days OR seats not more than 15 including driver. [PSC–no exception provision on seating capacity]

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TCP/PSC Number (GO 157-D/158-A)

Part 4.04 – PSC/TCP# (with/Suffix) shall be shown in full on each side of vehicle readable at 50 feet in daylight.

Exception for TCP only: Vehicle seats not more than 15 including driver, shall display on front & rear bumpers.

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Decal Requirement

(GO 157-D)

Part 4.05 – Decals shall be displayed on lower right hand corner of rear bumper for vehicle seats not more than 8 persons including the driver. Vehicle seats 9-15 persons, including driver may display decal. No decal requirement for PSC.

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Livery Plate Requirement

TCP only- (GO 157-D)

Part 4.06 – Livery plates shall be displayed in lieu of decals for any sedan or sport utility vehicle, of either standard or extended length, with seating capacity of not more than 10 including driver [§ 5371.4(i)].

Carrier shall remove plate & surrender to PUC upon cancellation, suspension or revocation of permit.

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Temporary Decal Letter

Temporary Livery Plate Letter

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Enforcement Tools Administrative Actions

Cease and Desist Letter

Official Notice

Overcharge Letter

Administrative Citation (up to $20,000 fine assessed)

Order Instituting Investigation / Order To Show Cause (OII/OSC)

Civil Actions Temporary Restraining Order / Injunction

Telephone Disconnection

Criminal Prosecutions

Joint efforts with law enforcement & regulatory agencies Joint inspection at airports and major area of interests

Sting operations

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License Status Check

http://www.cpuc.ca.gov Transportation Tab; Passenger carriers

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License Status Check

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Evidence required to charge

Waybills (take picture)

Business cards

Picture of driver, vehicle, driver CDL

Vehicle information (License Plate, VIN#)

Evidence of compensation (receipt, credit card slip)

First hand observation of money exchanging hands (if possible)

Narrative of interview of driver and passenger

Fare charge/paid; Method of payment

Pickup point

Relationship between driver/passenger

Who does driver work or drive for?

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Vehicle Impound - § 5411.5 Provides that when a peace officer [as defined in Chapter 4.5 (commencing with Section 830) of Title 3 of Part 2 of the Penal Code]

(a) arrests a person for operation of a charter-party carrier of passengers without a valid certificate or permit, the officer may impound and retain possession of the vehicle.

(d) vehicle shall immediately be returned to the owner if the infraction or violation is not prosecuted or is dismissed, the owner is found not guilty of the offense, or it is determined that the vehicle was used in violation of § 5411 without owner’s knowledge and consent. Vehicle shall be returned to owner upon payment of any fine ordered by the court. If vehicle is seized due to a violation of a person other than owner of vehicle, the vehicle shall be returned to owner after all impoundment fees are paid.

(f) No peace officer may impound any vehicle owned or operated by a nonprofit organization exempt pursuant to Section 501(c)(3) of the Internal Revenue Code, or a rented motor vehicle that is being operated by a hired driver of a charter-party carrier of passengers that is providing hired driver service.

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Bus Impound - § 5387 (a) Unlawful for owner of a TCP carrier to permit operation of vehicle without

PUC authority.

(c) (1) PUC shall permanently revoke authority or bar a carrier from receiving authority if carrier commits any of these:

(A) Operates a bus without TCP authority. (B) Operates a bus with a suspended TCP for CHP suspension [§ 5378.5]. (C) Cited for 3 or more public liability insurance violation within 2yr period. (D) Operates a bus w/suspended TCP & lapse in public liability insurance. (E) Knowingly employs a bus driver w/no valid CDL of proper class,

passenger vehicle endorsement or required certificate. (F) Has 1 or more buses improperly registered w/DMV.

(d) CHP officer may impound bus of TCP for 30 days [CVC 14602.9] if officer determines any of the following violations occurred while bus driver was operating bus:

(1) Driver was operating bus without TCP authority. (2) Driver was operating bus w/ suspended TCP authority. (3) Driver was operating bus without current & valid CDL of proper class, a

passenger vehicle endorsement or required certificate.

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Statutes to cite Operations – all citations should also cite § 5411 – any

violation of the Public Utilities Code is a misdemeanor

Never held a permit with PUC § 5371 – charter-party carriers § 1031 – passenger stage corporation

Permit is suspended, revoked, expired or denied. § 5379 – charter-party carriers [TCP] § 1045 – passenger stage corporation [PSC]

Advertising without a permit [Unlicensed, suspended, revoked, expired, denied].

§ 5414.5 [TCP] § 1034.5 [PSC] Forms of advertisements

Business cards, waybills, flyers, websites, vehicles

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Serving of alcohol - § 5384.1. The driver shall ascertain whether any passenger is under the age of 21 years. If any passenger is <21 years old, the driver shall read to the passengers a

statement: consumption of any alcoholic beverage in the vehicle is unlawful alcoholic beverage may not be transported in the passenger compartment of

vehicle alcoholic beverage is required to be carried in the trunk or other locked

compartment if during the course of ride any minor is found or have been consuming any

alcoholic beverage, contract will be terminated,& customer will be brought back to the point of origin of the ride.

Driver shall require every passenger <21 years old to sign the statement. Limousine operator shall retain the signed statement for 3 years. Any failure of a driver to comply with this section that results in the conviction

of the driver of a violation of CVC §23225, shall be subject to the penalties prescribed in PUC §5384.5.

Notwithstanding any other provision of law, this section does not apply to the driver of any bus, taxicab, or van, and it does not prohibit a parent or legal guardian from consuming alcoholic beverages in a limousine for hire while accompanied by his or her minor children.

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TCP Z vs Private Carrier

□ Company providing transportation incidental to its primary business, in which it receives compensation directly or indirectly :

□ For Profit – TCP Z

□ Non profit – Private carrier [Non profit – exempt for TCP requirements - § 5353 (f) Passenger vehicles carrying passengers on a noncommercial enterprise basis]

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What is a Private Carrier?

Private Carriers of Passengers Registration Act [§ 4000]

□ A not-for-hire motor carrier, as defined in § 408 of the Vehicle Code, who transports passengers and is required to obtain a carrier identification number pursuant to § 34507.5 of the Vehicle Code, but does not include persons providing transportation services specified in subdivision (k) or (l) of § 5353 of the Public Utilities Code [§ 4001]

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Types of Complaints - PSG

Unlicensed operations (border, airport, intercity)

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Solicitation

Workers’ Compensation

No Airport permit

Underinsured vehicles

Service

General Order (GO 157/158) violations