Sacramento County rethinks taxi service at airport

June 20--Sacramento County supervisors will consider opening up taxi service to more than one company at Sacramento International Airport -- despite a warning from staff that it could add a fee of up to $9 for each ride.

For 20 years, the Sacramento Independent Taxicab Owners Association has been under contract to provide "on-demand" service at the airport.

Customers can take any cab to the airport, or call any company to request pickup service at the airport. But customers who want curbside service leaving the airport can get it only from the association.

Supervisors, however, said Tuesday that they're interested in promoting greater competition. They directed airport staff to return with a contract proposal that could allow more than one operator at the airport.

Airport staff wanted the board to let them put a contract out for bid seeking a single operator. Tuesday marked the fourth board meeting on the request.

Lisa Stanton, airport chief operating officer, said the airport switched from an open system for taxi companies in 1992 because fights among competing cabbies -- both physical and verbal -- along with vandalism, led to terrible customer service.

Airport officials worry that a return to the old system could bring back the fighting and diminish the airport's competitive position.

Bad service, they add, hurts more than the airport, as cabs are often a visitor's first and last impression of Sacramento.

The current contractor has received very few complaints from airport customers, Stanton said.

Many airports use a closed system for taxi service. "This concept has been highly successful," said G. Hardy Acree, head of the county's airport system. "It's been recognized as an industry best practice."

If service is opened up to more than one company, the airport would need to hire employees to manage taxi service to avoid past problems, airport officials said.

Airport officials told supervisors that they would have to hire five employees if the contract were broken up to allow one taxi company at Terminal A and another at Terminal B.

Another proposal, which would have companies provide service on alternating days, would require 10 new employees, officials said.

Hiring those employees would require use fees ranging from $5.35 to $9.34 per ride. The county doesn't charge a use fee now because the system is self regulating -- oversight isn't required because cab companies aren't competing with each other, officials said.

But some supervisors said the cost estimates seemed high, and assumed the worst about what might happen under a changed system.

However, airport officials provided figures from other airports, such as Oakland and San Jose and other places where more than one taxi company operate, and they showed administrative costs of $1.7 million and higher.

Each time the airport contract has come up for renewal, the county has faced pressure to allow more competition, Stanton said.

This year was no different, with influential labor leader Bill Camp leading the way. Camp, executive secretary of the Sacramento Central Labor Council, said he represents a group of drivers who want some of the airport's business. "We don't think the government of Sacramento County should be promoting monopolies," he told supervisors recently.

Dennis Revell, spokesman for the taxi association, said Camp's interest is to unionize the competing cabdrivers.

An attorney representing Yellow Cab also spoke in favor of change.

Supervisors Phil Serna and Roberta MacGlashan say they want more companies to get a shot at airport business.

"There's some benefit in having some competition," Serna said. "Competition can benefit service."

Call The Bee's Brad Branan, (916) 321-1065. Follow him on Twitter @BradB_at_SacBee.

Copyright 2012 - The Sacramento Bee, Calif.