?A bad marketing job?
Introducing the Motor Car Amendment (No. 2) Act 2004, popularly known as the GPS bill, said that ?certain myths and misinformation have enjoyed wide coverage? about the GPS bill.
He said there were three main components to ?any successful taxi industry: the vehicles, a strong dispatching component and the customers?.
The equipment which would be required in each taxi under the bill were ?a radio, Mobile Data Terminal (MDT), Global Positioning Device (or GPS) and an alarm?, he said, explaining the role of each component. ?I feel like running out and getting one right now.?
Computers, software, GPS and radios will be installed at dispatching companies also, he said. Presently, ?information is written out longhand and folded into strips of paper. The dispatcher then calls out the jobs from the papers one by one, then makes a best guess as to what driver should be assigned to each job?.
Calling Opposition senators who planned to vote against the bill ?typewriter senators?, he said today?s world is run by computers.
And digital dispatch would ensure fares are not stolen by other drivers, and that time is saved for both customers and drivers.
?For the whole industry to profit, the Ministry tried to convince the taxi owners to get together and co-operate. The offer to get together is still on the table.?
Sen. Mussenden said it was ?astounding? to think that GPS would be like Big Brother looking at all of the taxis all of the time.
?Who is interested in where anyone is at every moment of the day? That assertion is not true. We believe this method will better service the industry with the system in place.?
And, confessing he had driven a taxi for two years to pay for university, the senator asked: ?What taxi driver wants to drive around with no passengers? (With GPS) other jurisdictions found a reduction of dead miles, which is fewer miles empty of passengers, which is the objective of any taxi service.?
If digital dispatch worked in other jurisdictions both larger and smaller in Bermuda it would work in Bermuda, he said. The excuse from the industry that it will cost too much did not wash, he added, as some in the industry had said they do not want GPS even if it cost $1.
And while drivers may know where to go to get tourists, he said locals use the service too.
Sen. Mussenden then quoted from a survey where half of those surveyed said that the taxi service was not good enough; two thirds said taxi fares are acceptable; and 84 percent said more taxi permits should be made available. Just over half (54.5 percent) said Government handled the taxi drivers fairly and finally, 68.7 percent were in favour of computerising taxi dispatching.
Sen. Mussenden said that only ?one person (on the Island) supplies taxi metres and calibrates them. But they don?t complain about that. There is already a monopoly when it comes to metres?.
As for the fight to make digital dispatch optional, Sen. Mussenden pointed out: ?It has been optional all this time.
?No one stopped dispatching companies from getting digital dispatch. No one is saying they can?t go out and get GPS. Drivers can make a good living running a taxi business. But the taxi business must upgrade,? he said.
Noting some drivers are older and therefore resistant to change, Sen. Mussenden said that an offer was still on the table regarding to cost of the equipment.
?The first 300 taxis who install the equipment will get a 50 percent subsidy. The other 300 taxis will get a 25 percent subsidy for the cost of installation. This offer is there on the table,? he said.
?If you had the opportunity to walk with the typewriter Senators or with Bill Gates, who would you choose?? he asked. said she ?struggled? with making a decision over GPS. But she agreed legislation making it optional was not a choice.
She called for a ?comprehensive review of the entire transport industry?, saying buy-in was necessary. ?Senator Burrows mentioned in the Workers Compensation Bill that they consulted and co-operated with stakeholders. But not here,? she said.
Sen. Bassett said this bill would be like a band aid, when surgery was needed. ?That is why I am not comfortable supporting the bill. It is forcing individuals to spend millions of dollars when there is no evidence that it will improve earnings,? she said. As a businesswoman, she could not see the sense in that.
?Include, do not exclude, taxi drivers from the proceedings,? she added. ?It is in the best interest in all involved to develop a partnership. I do not support the bill.?
Taking Government?s offer to pay 50 percent of the cost of digital dispatch for the first 300 cabs, and then 25 percent for the second 300, estimated that totalled $607,000 set aside by Government.
That, added to the $40,000 spent to ?propaganda this issue in the media?, totalled nearly $650,000.
He called on Government to take that money and spend it on a feasibility study or a pilot programme to get the statistics and information needed to sell the idea of digital dispatch.
Without such information, he added, any small business would be unable to get a loan from a bank, and Government could not expect buy-in without some sort of business plan. ?Don?t try to sell a bill of goods based on trust, because based on your track record, they just can?t trust you.?
Sen. Swan also said the issues of fare increases and shared rides were separate from digital dispatch, calling it ?disingenuous? of Government to tie them to the GPS bill.
Noting that politicians ensured they tabled legislation giving themselves a cost of living increase every year ? ?We?re in for a biggie? ? he said drivers have not seen fare increases since 1997.
Shared ride is also ?not a novel concept?, he said, pleading with Government to keep those issues separate from the issue of GPS. expressed his disappointment and annoyance at being forced to discuss the same issues that were discussed two years ago.
?Nothing has been resolved and there is plenty of blame to go around,? he said, naming both the Ministry of Transport and the taxi industry as being at fault. ?They could have come up with something to avoid the impasse we are at now.
?The present system of manual dispatching is archaic, it is certainly inefficient.? But with more than 50 percent of taxi drivers over the age of 60, he said change could be hard for them to accept.
Noting that the legislation is already in place to force dispatch companies to give the Ministry of Transport necessary data, he said that legislation is not being enforced.
Digital dispatch would make it easier to collect data, he said, not buying the conspiracy theory that Government only wants to track where cab drivers are every hour of the day.
But, in light of the legislation already in place, he questioned the need for digital dispatch.
He called for a facilitator or a commission to examine what was wrong with the industry. ?Whatever happens with this bill, I hope that will happen anyhow ... It is not too late.?
If digital dispatch was so wonderful, he said the only reason why it had not already been introduced in Bermuda that he could think of was cost.
With estimates such as $3,000 to install in cabs and $300 a month of ongoing upkeep, but no numbers to show there would be a return on that investment, he said: ?Why would anybody want to climb on board??
Saying his decision hinged on the benefit of data to Government, he weighed that benefit against the as-yet unknown imposed cost to the industry, and said it was neither fair nor appropriate. Government Sen. Raymond Tannock, who owned a taxi in the early 80?s and was president of the Bermuda Taxi Owners Union for some time, said the he had seen the industry face all these issues before.
The difficulty had always been union between taxi owners, he said. His dream remained for ?the taxi man? to take control of the industry. They were already together on this issue, and if 150 could be convinced to lay down $1,000 each they could take that $150,000 and set up an office, hire an administrator and control the industry themselves. ?It can be done.? questioned the need for another review in light of three reports on the industry conducted during the 80?s and early 90?s which were gathering dust.
The Transport Ministry has tried to use the existing regulations, he said, but dispatching companies are not complying with their requests for data. Government was certain that digital dispatch would provide the necessary information. ?In my view that is not even part of the debate, it?s the other issues ? and that data could help with those issues.?
Government does not want to own a taxi fleet, buy a dispatching company or cabs, he added, saying that digital dispatch will simply help them fulfil their responsibility of classifying and regulating the industry.
Competition among digital dispatch vendors could bring costs down, he said. pointed out there was a large hue and cry when the National Pension Scheme was mandated, but said sometimes these things have to be done. stated: ?Consultation prior to implementation prevents confrontation.?
Noting he had never had a problem with taxis, he said that while there are issues the Ministry must discuss with industry stakeholders, the GPS bill was not necessary. said Government did a ?bad marketing job? on GPS. ?When you are going to hit someone over the head with a hammer, you have to do it in such a way that they say thank you, that felt nice.?
Saying Government ?really failed? by tying the 20 percent fare increase to GPS, he said that ?teaspoon of honey? could have made industry stakeholders more receptive to talks on digital dispatch. ?Regardless of what happens here I would suggest that the Minister makes that increase for August 1 this year with no strings attached.?
It was obvious to independent senators that many of the ideas to improve the industry had not been discussed by Government and the taxi owners, he said, blaming a poor marketing again.
But even if the bill is defeated in the Senate, he said, it could be back again in 12 months ? and, if defeated by the Senate once more, could be taken to the Governor and signed into law anyway. ?Is GPS going to be introduced come hell or high water? It could happen.?
Pointing out mediation was used in collective bargaining agreements, he said it could not be used here, but called for a facilitator to bring the two sides together, or there would be no progress at all.
?Taxi drivers have to come together,? he said. ?The industry has got to realise ... in 12 months you are going to have this on your plate anyway.
?It?s much better to have a pill you can swallow than one that is going to make you gag.?
In response to the concerns, Sen. Mussenden 550 taxi owners were given a presentation in 2001 on GPS. It was not long after that they rejected the idea.
Since then ?numerous? meetings have been held, he said, with active campaigns from the Transport Control Department and very little response from the industry.
Repeating his call for Government to enforce existing legislation, Sen. Oughton told Sen. Mussenden to take those not complying to court, adding that the previous UBP Government was just as bad at not enforcing the regulations already in place.
?I take your point,? Sen. Mussenden said, but added Government had tried. ?We cannot be faulted for that.?
Sen. Mussenden moved that the bill be read for the second time, but with the two Opposition senators and three Independent senators objecting it could not pass.
