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MAY 2021 Vol.22 No. 5
An Insider’s Look at Both NYC TLC Regulated Industries
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An Insider’s Look at Both NYC TLC Regulated Industries
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FUND PAYS FOR RIDES FOR SCARED ASIAN
NEW YORKERS
TLC CHIEF SPARS WITH AG, COMPTROLLER ON MEDALLION BAILOUTS
NYC LAUNCHES $30M AD PUSH TO LURE BACK TOURISTS
GETTING BACK TO LIFE WITHOUT PANDEMIC-
RELATED ANXIETY
www.taxiliverytimes.com
PROTECT YOURSELF AND HELP STOP HATE CRIMES
PROTECT YOURSELF AND HELP STOP HATE CRIMES
PROTÉJASE Y AYUDE A DETENER LOS DELITOS POR DISCRIMINACIÓNPROTÉJASE Y AYUDE A DETENER LOS DELITOS POR DISCRIMINACIÓN
2 • TAXI & LIVERY TIMES • MAY 2021
ALL
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MAY 2021 • TAXI & LIVERY TIMES • 3
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RESOURCES AND ADVICE FOR DEALING WITH THE SPIKE IN HATE CRIMES
RECURSOS Y CONSEJOS PARA HACER FRENTE AL AUMENTO DE
LOS DELITOS POR DISCRIMINACIÓN
BY NEIL WEISS
EDITOR’S NOTES4 • TAXI & LIVERY TIMES • MAY 2021
Aunque los informes de “delitos por discriminación antiasiáticos” han aparecido en las noticias recientemente, el inspector del Departa-mento de Policía de Nueva York (NYPD) Tommy Ng, comandante en jefe de la fuerza especial para delitos por discriminación contra asiáticos de la ciudad, dijo a WABC New York que “ocurren desde hace bastante tiempo”. Esto, por supuesto, no sorprende a muchas de las personas de nuestra industria que han sido intimidadas, insultadas y agredidas sim-plemente por su apariencia o su vestimenta.
Según la policía, para mediados de abril, se reportaron 40 delitos por discriminación antiasiáticos en Nueva York, motivados específica-mente por la raza de las víctimas, una cifra que es al menos un 30 % más alta que la cantidad total de delitos por discriminación en todo 2020. Muchos de los delitos fueron motivados por la pandemia de COVID-19, incluidos informes de personas que gritaban insultos racis-tas y tosían o escupían intencionalmente a las víctimas, un nuevo fenó-meno horrible que, al menos en parte, puede atribuirse a la retórica racista lanzada por personas en los niveles más altos de nuestro gob-ierno.
Los expertos concuerdan en que, sea cual sea la cantidad, en reali-dad es mucho mayor que cualquier cifra reportada porque muchas per-sonas, especialmente los inmigrantes, tienen miedo de presentarse ante la policía.
Según un artículo de Patch New York City, “Si es víctima de un delito por discriminación en la ciudad de Nueva York, o ve o escucha uno, puede llamar al 911 para denunciarlo a la policía. Si no habla in-glés, diga el nombre del idioma que habla en inglés y se le conectará con un traductor (es posible que deba esperar). Luego se le pedirá que indique su ubicación y describa lo que está sucediendo... y que propor-cione tantos detalles como sea posible sobre el aspecto de los agresores, qué dijeron y qué ocurrió”.
Quienes deseen permanecer anónimos, llamen a la línea para in-formantes de Crime Stoppers del NYPD al 800-577-TIPS para aportar datos. También puede denunciar actos de prejuicio o discriminación a la Comisión de Derechos Humanos de la Ciudad de Nueva York, disponible en línea aquí.
De acuerdo a las leyes del estado de Nueva York, se comete un delito por discriminación cuando una víctima es escogida intencionalmente debido a su raza, color de piel, nacionalidad, ascendencia, género, re-ligión, práctica religiosa, edad, discapacidad u orientación sexual. Para obtener más información sobre lo que se define como delito por discrim-inación en Nueva York, haga clic aquí.
Although reports of “anti-Asian hate crimes” have been in the news recently, NYPD Inspector Tommy Ng, commanding of-ficer of the city’s Asian Hate Crimes Task Force, told WABC New York they have “been happening for quite some time.” This, of course, comes as no surprise to many of the people in our indus-try who have been targeted, insulted and assaulted simply for the way they look or dress.
According to police, by mid-April, there were 40 reported anti-Asian hate crimes in NYC, motivated specifically by the vic-tims’ race – a number that is at least 30% higher than the total number of hate crimes in all of 2020. Many of the crimes were motivated by COVID-19, including reports of people shouting racist slurs and intentionally coughing or spitting on victims, a horrific new phenomenon that can at least be partially blamed on racist rhetoric spewed by people at the highest levels of our government.
Experts agree that, whatever the number, it’s actually much higher than any reported figure because a lot of people – partic-ularly immigrants – are afraid to come forward to police.
According to an article in Patch New York City, “If you are the victim of a hate crime in New York City, or see or hear one, you can call 911 to report it to the police. If you do not speak English, say the name of the language that you speak in English, and you will be connected to a translator (you may have to hold). You will then be asked to state your location and describe what is happening… and give as much detail as possible about what they looked like, said, and what happened.”
For those who wish to remain anonymous, call the NYPD Crime Stoppers tip line at 800-577-TIPS to leave a tip. You can also report acts of bias or discrimination to the New York City Commission on Human Rights, available online here.
According to New York State law, a hate crime is committed when a victim is intentionally selected because of their race, skin color, national origin, ancestry, gender, religion, religious prac-tice, age disability or sexual orientation. To learn more about what is defined as a hate crime in New York, click here.
EDITOR: Neil Weiss Email: [email protected]
714 Crestbrook Ave. Cherry Hill, N.J. 08003
Tel: 800-723-9119/856-751-0656
PUBLISHER: David Pollack E-mail:[email protected]
Phone: 718-706-TAXI (8294)
ADV. SALES MGR./ ART & DESIGN:
Michele Norton: 856-262-2368
TRANSLATIONS: The Language Center and NYC TLC
CONTRIBUTING WRITERS:
Matthew Daus, Esq. Larry Fisher
Dawood Mian David Pollack
Steven J. Shanker, Esq. Michael Spevack, Esq.
IN T
HIS
IS
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Editor’s Notes ................................................4
From Where I Sit ............................................6
Questions & Comments ................................7
Taxi News ......................................................8
Livery News..................................................10
Features ........................................................14
Directory ......................................................17
ITAR Outlook By Matthew W. Daus ............20
Defensive Driving ........................................26
The Fishbowl By Larry Fisher ......................23
The Taxi Attorney By Michael Spevack ......28
News ............................................................29
Copyright © 2021 by TAXI & LIVERY TIMES. All rights reserved. Neither this newspaper nor any part therof may be reproduced, copied, or transmitted in any form, without the express written permission of the publishers. The copyright is extended to the design and text created for advertisements. This publication is not responsible for errors in advertisement beyond the cost of the space occupied by the error. Bylined articles represent the sole opinion of the writer and are not necessarily in accordance with the views of TAXI & LIV-ERY TIMES. This Publication reserves the right to limit or refuse advertising it deems objectionable. TAXI & LIVERY TIMES is published monthly at a sub-scription rate of $48 per year.
An Insider’s Look at Both NYC TLC Regulated Industries
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MAY 2021 • TAXI & LIVERY TIMES • 5
Las víctimas de un delito por discriminación pueden obtener ayuda legal gratuita en la guía de Documented (Documentados) y apoyo de salud mental confidencial y gratuito a través de NYC Well, que lo conecta con profesionales que hablan más de 200 idiomas llamando al 888-692-9355. También puede enviar el mensaje de texto WELL (9355) al 65173, o chatear con alguien en línea haciendo clic aquí.
En medio de todos los terribles delitos por discriminación recientes, hace poco se encendió una luz de esperanza en la ciudad de Nueva York cuando una mujer llamada Maddy Park inició un fondo con USD 2,000 de su propio dinero para ofrecer “viajes gratuitos en taxi para asiáticos —particularmente mujeres, ancianos y personas que se identifican como LGBTQ— si se sienten inseguros” al viajar en transporte público o ir caminando a algún lugar. Según ABC7 New York, en unos pocos días llovieron donaciones por más de USD 100,000, de personas de todas las razas y grupos étnicos de todo el país, para financiar más viajes.
Aquellos que necesiten transporte pueden visitar la cuenta de In-stagram de la Sra. Park en Cafe Maddie Cab o solicitar fondos aquí.
Nuestra industria se encuentra en una posición única para con-tribuir a que las calles de la ciudad de Nueva York sean más seguras. Los conductores han servido durante mucho tiempo como ojos y oídos de la policía de Nueva York, y animo a todos los conductores a “hablar si ven algo”. Los conductores también son responsables de su propia se-guridad, por lo que insto a todos a informarse a través de clases como las "Clases Cinco Estrellas" gratuitas del sindicato de conductores in-dependientes (Independent Drivers Guild, IDG), que enseñan métodos para reducir las situaciones potencialmente peligrosas.
Sohail Rana, organizador sénior que administra Connecticut y Nueva Jersey para el IDG, y conductor de vehículos de alquiler (For-Hire Vehicle, FHV) durante casi tres décadas, también alienta a los con-ductores a instalar cámaras web en sus autos para protegerse y los insta a comunicarse con el IDG para obtener consejos importantes. Obtenga más información sobre el IDG aquí.
Por primera vez en un año, las cosas están mejorando genuina-mente para los sectores de transporte y turismo de la ciudad de Nueva York, y muchos neoyorquinos se sienten aliviados de poder regresar pronto a las actividades “normales” que se perdieron desde que irrumpió la pandemia. Todo esto debería equivaler a más actividad para los con-ductores, lo cual es claramente una buena noticia. Pero mientras tanto, manténgase a salvo, tenga a mano los números de teléfono importantes y busque asesoramiento gratuito de organizaciones como IDG. ◊◊◊
Victims of a hate crime can get free legal help at Docu-mented’s guide and free, confidential mental health support through NYC Well, which connects you to professionals that speak more than 200 languages at 888-692-9355. You can also text WELL (9355) to 65173, or chat with someone online by click-ing here.
Amid all of the terrible, recent hate crimes, a beacon of light recently shone on NYC when a woman named Maddy Park started a fund with $2,000 of her own money to provide “free cab rides for Asian women, elderly Asians, and Asians who identify as LGBTQ if they feel unsafe” riding public transportation or walking somewhere. According to ABC7 New York more than $100,000 in donations poured in within days, from people of all races and ethnicities, from across the nation, to fund more rides.
Those in need of a ride can visit Ms. Park’s Instagram ac-count at Cafe Maddie Cab or request funds here.
Our industry is in a unique position to help make New York City’s streets safer. Drivers have long served as the eyes and ears of the NYPD, and I encourage all drivers to “say something if you see something.” Drivers are also responsible for their own safety, so I urge you all to educate yourselves through classes like the Independent Drivers Guild’s (IDG’s) free “Five-Star Classes,” which teach methods for deescalating potentially dan-gerous situations.
Sohail Rana, a senior organizer managing Connecticut and New Jersey for the IDG – and an FHV driver for almost three decades – also encourages drivers to install webcams in their cars for protection and urges them to reach out to the IDG for important advice. Learn more about the IDG here.
For the first time in a year, things are genuinely looking up for NYC’s tourism and transportation sectors, and many New Yorker’s are relieved that they will soon be able to return to “nor-mal” activities they’ve missed since the pandemic hit. All of this should equate to more business for drivers, which is clearly good news. But in the meantime, please stay safe, keep important phone numbers handy, and seek out free advice from organiza-tions like the IDG. ◊◊◊
Rami Yazar
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6 • TAXI & LIVERY TIMES • MAY 2021
FROM WHERE I SITBY “TAXI DAVE” POLLACK
David “Taxi Dave” Pollack is an industry veteran, spokesperson and advocate for drivers in New York City. He can be reached via email at [email protected]. He encourages people with comments or questions to reach out to him, and each month we publish those letters, comments and photos.
One would think that, after all of the taxes we’ve paid on each gallon of gaso-line, I would be able to announce that every highway is finally perfect – with no need for money to pave new road surfaces or pothole repairs, no need for more money to build new roads/highways, no more money to replace or repair bridges, no more money to install better road signs, and no more money for snow-plow-ing all roads. I mean, just last year in New York, the state sold over 5,800,000 gallons of gasoline with a state tax of over 40 cents. In 2021 the New York State gaso-line tax went up to 42.70 cents per gallon, so surely the $247 million dollars collected will pay for every infrastructure product ever conceived.
If only… For decades, all the state gasoline
taxes earmarked for state highways and roads have been diverted to the financially wasteful Transportation-Octopus, the MTA. Most of the gasoline tax money goes towards mass transit paying for subways, buses and commuter railroads like AM-TRACK, NJ Transit and the Long Island Railroad… with no strings attached. It is no wonder the Governor gives the MTA whatever new taxes they can dream up – whether it be the sale of your New York state home, your cell phone, your energy bills, etc.
You get the picture: Legalized Scams to take your hard-earned dollars. The gov-
ernor of New York gets $900 million in discretionary funding from the Port Au-thority, but that is a discussion for an-other day and another time.
People are fed up with these legalized scams. Why do I call the gasoline tax a scam and the MTA a scam agency? Be-cause the MTA has received enough money to have the entire subway system rebuilt twice with a subway system that could be better than Moscow’s (80 cents/ride) and a bus system better than Hong Kong’s (starting at $2.70).
New York is in over its head regarding bureaucratic nepotism, with outside con-tracts going to insider family members, the Governor controls and frivolous spend-ing practices imbedded into its mantra.
But let’s get back to the state’s gaso-line tax. New York doesn’t have the high-est gasoline tax, California does at $.6305 cents per gallon. Combine that with a 7% state sales tax and viola, they too pay through the nose.
Of course, California is much larger than New York in size and population. Pennsylvania is next with a 58.7 cent tax on a gallon of gasoline, followed by Illinois at 52.16 cents, and New Jersey at 50.7 cents (up from 41.40 cents in 2020).
One would think that Hawaii, a state where EVERYTHING must be shipped from our mainland would have the high-est gasoline tax, but they are the sixth most expensive at 46.84 cents per gallon
– and believe me, their roads are impecca-bly maintained. Next comes New York at 42.7 cents per gallon, as New Yorkers used five million gallons in 2020. You do the math.
This explains why revolution is in the air: People are fed up with paying gasoline taxes only to be taxed on toll roads, only to be taxed on bonds for local and state governments to exist, only to be taxed on every phone call, every drink, every morsel of food.
If we could only feed our hungry and quench their thirst and provide a home for every American, maybe taxes would be worth the struggle. I for one am totally fed up with being over-taxed on everything. Our governments have caved in to the MTAs of the world, who pay off politicians with discretionary funds and contribu-tions, and who have a nepotistic-over-priced contract agenda.
Each and every expense always trick-les up to taxpayers like you and me. It is disgusting that, with the billions of dollars collected nationally, we have not solved hunger nor homelessness. Instead, we have destroyed what is left of the middle class, yet our governments still raise gaso-line taxes and tolls every year.
Damn, our governments cannot even fix our current roads and bridges, even though there was enough tax money to repave every road and replace every bridge from New York to California. ◊◊◊
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MAY 2021 • TAXI & LIVERY TIMES • 7
“Taxis have played a central role in the fab-ric of urban transportation for more than a century, with the first city taxi dating back over 115 years… One of the ways taxis can be better situated to navigate a constantly evolving industry is through a universalized platform approach that gives consumers ac-cess to all forms of available transportation. By opening up integration opportunities for various providers of taxis, for-hire vehicles, ride-share vehicles, and other modes of transportation through open platforms or services, all parties can benefit. For taxis, a universal platform approach to booking travel is especially important, as it makes it possible for drivers and everyone in the taxi industry to compete on the same playing field with other forms of transportation.”
– Amos Tamam _____________________________________
“A new class-action lawsuit says a decade of negligence and corruption by New York City officials destroyed the value of yellow taxi medallions, and demands $2.5 billion in restitution. The suit alleges city officials were in 2011 warned the medallion market would collapse by TLC staffer Gary Roth, who wrote a memo made public in 2019 warning that ‘if the price of medallions dropped sig-nificantly, it could force recent medallion buy-ers underwater.’ Despite Roth’s findings, the TLC continued to auction off new medallions for sky-high prices, the suit says.”
– Clayton Guse and Noah Goldberg _____________________________________
“The NYC taxi industry will never be the
same after the pandemic. There will be fewer yellow taxis, more surcharges, and foreclo-sures/bankruptcies.”
– Taxi Solomon
“An Uber driver was assaulted as a re-sult of a group attacking him because he would only take four passengers as man-dated by TLC Rules. Please encourage driv-ers that when they see any potential threat it is best to comply with a group to avoid any conflict. Based on other recent assaults it is not wise to call for assistance if the incident has not escalated, which encouraged the group to attempt to confiscate the driver’s phone and assault the driver. It is not worth the risk of bodily harm to stand up for a TLC rule or for personal preferences in a poten-tially problematic situation.”
– Bertram Merling _____________________________________
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An Insider’s Look at Both NYC TLC Regulated Industries
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8 • TAXI & LIVERY TIMES • MAY 2021
TAXI NEWS
A new class action lawsuit that in-tends to blame plummeting yellow taxi medallions values on “a decade of negli-gence and corruption by New York City of-ficials” is asking for $2.5 billion in restitution. The suit alleges a years-long scheme by the city to “artificially” inflate yellow cab medallion prices it sold at auc-tion by lying about their value. From 2004 to 2014, medallion sales netted city coffers $855 million, the suit says.
The city is being blamed for allowing Uber and Lyft to add tens of thousands of new For-Hire Vehicles, crowding city streets and creating supply and demand
issues that caused medallion prices to tank.
The city’s taxi medallion program was launched in 1937 to rein in the growing number of cabs on city streets. The num-ber of yellow cabs was fixed at 11,787 for decades – although, in 1996, the city began auctioning new medallions, allow-ing that number to grow to 13,500 over the course of years.
The suit, as filed, names two medal-lion owners as plaintiffs, although lawyers are hoping that more cabbies will join the case. It alleges that city officials were warned in 2011 that the medallion market
would collapse by TLC staffer Gary Roth, who wrote a memo made public in 2019 warning that “if the price of medallions dropped significantly, it could force recent medallion buyers underwater.”
Despite Roth’s findings, the TLC con-tinued to auction off new medallions for sky-high prices, the suit says. It also claims that city officials deliberately lied when they advertised medallions as air-tight investments and did nothing to stop bid-rigging by taxi medallion owner Evgeny Friedman.
Source: New York Daily News
NYC TAXI DRIVERS TO FILE CLASS ACTION LAWSUIT AGAINST NYC OVER MEDALLION VALUES
New York City is launching a $30 mil-lion tourism advertising campaign in June to revive industries that have been gutted by coronavirus pandemic lockdowns, Mayor Bill de Blasio announced in April.
The campaign aims to boost Gotham’s hotel, restaurant, arts, entertainment and taxi industries, as well as bring back some 400,000 jobs connected to tourism.
“We need to let people know we’re open for business. It’s safe to come here… to this city that’s been so heroic during this cri-sis,” said de Blasio, who called it “the largest campaign ever to promote tourism in New York City and it will remind people this is the place to be.”
The campaign is being funded through federal stimulus money, according to City Hall. Typically, the city spends around $3 million annually in tourism advertising.
“Tourism has been an important part of life for this city, an important part of our economy – hundreds of thousands of jobs depend on tourism,” said de Blasio.
Fred Dixon, president and CEO of the city’s tourism bureau NYC & Company, explained that the “major comprehensive marketing and advertising campaign” will kick off in June with the message that “all five boroughs are open, vibrant and ready to safely welcome back visitors and busi-ness events.”
“We’re going to do all we can to accel-erate tourism’s recovery,” said Dixon, who noted that the campaign will also “target international travel markets as those begin to open back up.”
In the run-up to the campaign, Dixon said, the city is encouraging New Yorkers to take “an active role in the recovery by
inviting friends and family to plan a visit.” The tourism campaign announcement
comes more than a year after the COVID-19 pandemic struck and decimated the city’s hospitality industry. In March, city hotel occupancy data reported an uptick and foot traffic in Times Square showed that tourists were starting to filter back into the Big Apple, but the stats were a far cry from where those figures were before the COVID-19 pandemic.
NYC & Company projects that 36.4 million people will visit the Big Apple in 2021, recovering more than 50% of the record 66.6 million tourists that came in 2019.
By 2024, officials expect the city to ex-ceed its 2019 visitor record with an antici-pated 69.3 million visitors.
Source: New York Post
NYC LAUNCHES $30M AD PUSH TO LURE BACK TOURISTS
In October 2019, the New York City Taxi and Limousine Com-mission (TLC) approved the Tesla Model 3 as the first Electric Ve-hicle (EV) to be eligible to become a yellow cab in New York City. It took another year before the first Model 3 yellow cab actually hit an NYC street, but a growing number of cabbies have shown an in-terest in making the jump to electric – citing savings on fuel and maintenance.
Savas Tsitiridis, president of United Taxi Management, said he sees opportunity in EVs and recently announced that his company has begun the process of adding four more Tesla Model 3 electric cars to its fleet. Tsitiridis even installed a Chargepoint charging station in his com-pany’s lot to charge the new EVs.
Source: Electrek
UNITED TAXI TO ADD NEW TESLA MODEL 3 YELLOW CABS IN NYC
MAY 2021 • TAXI & LIVERY TIMES • 9
LIVERY NEWS8 STEPS TO CREATE A
HEALTHY ROUTINE Trabajar, pagar las cuentas, limpiar, cocinar, ir de compras, hacer ejercicio, dormir lo suficiente y cuidar a los niños son algunas de las cosas que millones de estadounidenses hacen cada día y es fácil sentirse abrumado. Puede parecer imposible hacer todo, y además cuidarse a sí mismo, especialmente si ya está luchando con un problema de salud mental como la depresión o la ansiedad. Al crear rutinas, organizamos nuestros días de tal manera que ocu-parnos de las tareas y de nosotros mismos se convierte en un patrón que facilita hacer las cosas sin tener que pensar mucho en ellas.
Datos Rápidos
• Cuando se trata de la dieta, el sueño y el ejercicio, tener rutinas buenas y fuertes está relacionado con una mejor salud mental y física.
• Las personas con más rutinas diarias tienen menores niveles de angustia cuando enfrentan problemas de salud o eventos negativos en su vida.
• Se requiere un promedio de 66 días para que un compor-tamiento se convierta en automático (un hábito), pero para al-gunas personas puede tomar hasta 8 meses y 1/2. ¡No se rinda!
Consejos Para El Éxito • Cree una rutina adecuada para usted. No todos tenemos
los mismos horarios o responsabilidades y algunos de nosotros tenemos más dificultades con ciertos aspectos de la vida diaria que otros. Todas las rutinas saludables deben incluir una ali-mentación balanceada, ejercicio y suficiente descanso, pero no hay dos rutinas exactamente iguales. De hecho, su rutina puede no ser exactamente igual todos los días.
• Empiece con algo pequeño. Cambiar la rutina diaria de una sola vez probablemente no dará resultados duraderos. Selec-cione algo pequeño cada semana para trabajar en ello. Podría ser añadir algo nuevo y positivo, o eliminar un mal hábito. Los pequeños cambios se suman.
• Agregue a sus hábitos existentes. Probablemente ya tiene algunos hábitos en su rutina, como tomar una taza de café por la mañana. Intente añadir nuevos hábitos a los ya existentes. Por ejemplo, si quiere leer más, puede dedicar diez minutos a leer mientras toma el café (en lugar de tomarlo camino al tra-bajo).
• Realice intercambios. Piense en las cosas que hace durante el día que no son tan saludables y cámbielas por mejores com-portamientos. Por ejemplo, si se siente cansado por las tardes y come bocadillos azucarados para reanimarse rápidamente, intente dar una caminata rápida para que su sangre bombee y fluyan las endorfinas. O si a veces toma algunos tragos de be-bidas alcohólicas después de un largo y estresante día, pruebe tomar un té caliente en su lugar.
• Planifique con anticipación. Cuando los días se vuelven ag-itados, puede que se sienta tentado a omitir las nuevas partes de su rutina diaria. Al hacer cosas como preparar las comidas con anticipación, elegir por la noche la ropa que se pondrá para ir a trabajar el día siguiente, o tener una opción alternativa de ejercicio en casa para los días en que no puede ir al gimnasio lo ayuda a prepararse para el éxito incluso cuando está apu-rado.
• Dedique tiempo a las cosas que disfruta. Aunque solo sea 15 minutos al día, reserve tiempo para hacer algo que le parezca divertido o relajante: liberará en su cuerpo mensajeros químicos que son buenos para su salud física y mental.
• Tome recompensas por las pequeñas victorias. Establezca metas y celebre cuando las alcance. ¿Ha añadido una rutina de ejercicio a su semana y ha hecho ejercicio todos los días como lo planificó en las últimas semanas? ¡Merece un premio! Mire una película que haya querido ver o pruebe un nuevo video-juego.
• No se sienta culpable si omite un día. Hacer cambios en la vida puede ser difícil y quizás a veces se olvide de hacer algo que es nuevo en su rutina. No tiene que ser perfecto, solo in-tente hacerlo mejor al día siguiente. Source: Mental Health America
CREANDO RUTINAS SALUDABLES
Work, paying bills, cleaning, cooking, shopping, exercising, getting enough sleep, and taking care of children are just some of the things millions of Americans do each day and it is easy to be overwhelmed. It can feel impossible to get everything done, let alone take care of yourself – especially if you’re already struggling with a mental health concern like depression or anxiety. By cre-ating routines, we organize our days in such a way that taking care of tasks and ourselves becomes a pattern that makes it easier to get things done without having to think hard about them.
Fast Facts
• When it comes to diet, sleep and exercise, having good, strong routines is linked to improved mental and physical health.
• People with more daily routines have lower levels of distress when facing problems with their health or negative life events.
• It takes an average of 66 days for a behavior to become auto-matic (a habit), but for some people it can take as long as 8 1/2 months. Don’t give up!
Tips for Success • Create the routine that is right for you. We don’t all have
the same schedules or responsibilities and some of us struggle with certain parts of daily life more than others. All healthy routines should include eating a nutrition-rich diet, exercis-ing, and getting enough sleep, but no two routines will be ex-actly the same. In fact, your routine may not even be exactly the same every day.
• Start small. Changing up your day-to-day routine all at once probably won’t end up with lasting results. Pick one small thing each week to work on. It could be adding something new and positive, or cutting out a bad habit. Small changes add up.
• Add to your existing habits. You probably already have some habits worked into your routine, like drinking a cup of coffee in the morning. Try adding new habits to existing ones. For instance, if you want to read more, you could set aside ten minutes to read while you have your coffee (instead of drink-ing it on your drive to work).
• Make swaps. Think about the things you do during the day that aren’t so healthy and swap them with better behaviors. For example, if you feel sluggish in the afternoons and eat sugary snacks for a quick pick-me-up, try taking a brisk walk instead to get your blood pumping and endorphins flowing. Or if you find yourself having a few alcoholic drinks after a long stressful day, try sipping hot tea instead.
• Plan ahead. When life gets hectic, you may be tempted to skip out on the new parts of your daily routine. By doing things like prepping meals ahead of time, picking out an outfit the night before work, or having an alternate home workout option for the days you can’t make it to the gym, you help set yourself up for success even when you’re hurried.
• Make time for things you enjoy. Even if it’s just 15 minutes a day, set aside time to do something you find fun or relaxing – it will release chemical messengers in your body that are good for your physical and mental health.
• Reward yourself for small victories. Set goals and cele-brate when you reach them. Have you added exercise to your weekly routine and worked out every day as planned for the last couple weeks? Treat yourself! Watch a movie you’ve been wanting to see or try out that new video game.
• Don’t beat yourself up if you miss a day. Making life changes can be hard and you might forget to do something that is new to your routine every once in a while. You don’t have to be perfect, just try to do better the next day. Source: Mental Health America
10 • TAXI & LIVERY TIMES • MAY 2021
MAY 2021 • TAXI & LIVERY TIMES • 11
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12 • TAXI & LIVERY TIMES • MAY 2021
“LIKE” US ON FACEBOOK FOR BREAKING NEWS! OR VISIT US ONLINE AT WWW.TAXILIVERYTIMES.COM
An Insider’s Look at Both NYC TLC Regulated Industries
&
A terrifying rise in Asian hate crimes across the country has shocked the conscience of America and left many of Asian descent feeling vulnerable. While riding on a train, a woman named Maddy Park came up with the idea of raising money to help scared Asian Americans get around town safely, and her plan took off.
Park said she read numerous reports of hate crimes against Asian New Yorkers, and decided to put up $2,000 of her own money to start @CafeMaddyCab on Instagram – which offers to pay for cab rides for Asian American senior citizens or Asian women who don’t feel safe and can’t afford them. Park acknowledges that she can afford a taxi but knows many people who cannot.
“Last week I took the train,” she said. “It was a 30-minute commute, and I realized every minute of that com-mute I was terrified. I was scared that any moment in time someone might say a racial slur or attack me. Worst of all, I thought that if something were to happen to me, nobody would stand up. [So], I just said look, I have $2,000, if you need a ride, just charge me on Venmo.”
Donations quickly started pouring in to help support her cause – more than $100,000 in just the first two days. People from across the nation, from all races and ethnicities sent her messages and money. “It really opened my eyes to how many people are actually supporting the Asian community in New York City,” she said.
Historically, such crimes have been difficult to accurately track because people are often afraid to come forward, mak-ing it nearly impossible to establish an accurate baseline, ac-cording to Russell Jeung,a Professor at San Francisco State University and co-founder of Stop AAPI Hate, which has been tracking incidents nationwide since the start of the pandemic.
Jeung says there’s a surge in “racism,” but that’s sepa-rate from the higher number of hate crimes now being re-ported.
“I say there’s two trends,” he said. “We’ve always experi-enced violence for those of us who live in urban areas, and so that’s been consistent. And then there’s last year’s trend of pandemic racism.”
It extends beyond blatant violence, Jeung adds: “We are now tracking coughing and spitting incidents that make up 7% of our cases. I don’t think people were coughing and spit-ting on their fellow humans in 2019.”
Sources: ABC7 New York, WABC New York
LIVERY NEWS
WOMAN RAISES MONEY TO PAY FOR RIDES FOR SCARED ASIAN NEW YORKERS AMID
SPIKE IN HATE CRIMESUn aterrador aumento de los delitos contra asiáticos por
motivos de discriminación o xenofobia en todo el país ha con-mocionado a la conciencia de Estados Unidos y sumido en un estado de vulnerabilidad a muchas personas de origen asiático. Mientras viajaba en tren, a una mujer llamada Maddy Park se le ocurrió la idea de recaudar dinero para ayudar a los norteamericanos de origen asiático atemoriza-dos a circular por la ciudad de manera segura, y su plan ar-rancó.
La Sra. Park dijo que leyó numerosos informes de delitos por discriminación contra neoyorquinos asiáticos y decidió aportar $ 2,000 de su propio dinero para comenzar @Cafe-MaddyCab en Instagram, que ofrece pagar viajes en taxi a personas mayores asiático-norteamericanas o mujeres asiáti-cas que no se sienten seguras y no pueden pagarlos. La Sra. Park es conciente de que ella puede pagar un taxi, pero conoce a muchas personas que no pueden hacerlo.
“La semana pasada tomé el tren”, dijo. “Fue un viaje de 30 minutos y me di cuenta de que cada minuto de ese viaje estuve aterrorizada. Tenía miedo de que en cualquier mo-mento alguien pudiera decir un insulto racial o agredirme. Lo peor de todo es que pensé que si me pasaba algo, nadie me defendería. [Entonces], simplemente dije mire, tengo USD 2,000, si necesita que lo lleven, solo cóbreme por Venmo”.
Pronto comenzaron a llegar donaciones para apoyar su causa: solo en los dos primeros días más de USD 100,000. Personas de todo el país, de todas las razas y grupos étnicos le enviaron mensajes y dinero. “Realmente me abrió los ojos a cuántas personas apoyan de hecho a la comunidad asiática en la ciudad de Nueva York”, comentó.
Históricamente, estos delitos han sido difíciles de ras-trear con exactitud porque las personas a menudo tienen miedo de presentarse, por lo que es casi imposible establecer una referencia precisa, según Russell Jeung, profesor de la Universidad Estatal de San Francisco y cofundador de Stop AAPI Hate, que viene haciendo un seguimiento de incidentes en todo el país desde el inicio de la pandemia.
Jeung afirma que el "racismo" se ha intensificado, pero eso es independiente de la mayor cantidad de delitos por dis-criminación que ahora se denuncian.
“Yo sostengo que hay dos tendencias”, dijo. “Los que vivi-mos en áreas urbanas siempre hemos experimentado violen-cia, de modo que eso ha sido constante. Y luego está la tendencia de racismo pandémico del año pasado”.
Esto va más allá de la violencia flagrante, añade Jeung: Ahora estamos rastreando los incidentes de toser y escupir que representan el 7 % de nuestros casos. No creo que la gente tosiera y escupiera a sus congéneres en 2019”.
Fuentes: ABC7 New York, WABC New York
MUJER RECAUDA DINERO PARA PAGAR VIAJES DE NEOYORQUINOS ASIÁTICOS ATEMORIZADOS ANTE UN AUMENTO DE
DELITOS POR DISCRIMINACIÓN
MAY 2021 • TAXI & LIVERY TIMES • 13
A un hombre se le cortó la pierna por debajo de la rodilla cuando un vehículo deportivo utilitario (SUV) lo inmovilizó con-tra un vehículo de alquiler (For-Hire Vehicle, FHV) del que acababa de bajar en Brooklyn, informó la policía. La víctima de 33 años bajó del FHV en Elton St. y Atlantic Ave. en el este de Nueva York justo antes de que una SUV Lexus chocara contra el automóvil, el 25 de marzo aproximadamente a las 8:25 p. m.
Los médicos trasladaron a la víctima al Hospital de la Uni-versidad de Brookdale, donde se encontraba en estado grave pero estable.
Según la policía, una mujer de 58 años conducía la camioneta Lexus hacia el oeste por Atlantic Ave. cuando em-bistió a la víctima, dijo la policía. La conductora fue llevada al Jamaica Hospital con heridas leves. El gran daño en la parte delantera de la SUV Lexus sugiere que la velocidad incidió en la colisión.
El conductor del FHV no resultó herido. Fuente: New York Daily News
LIVERY NEWSA UN HOMBRE SE LE CORTA LA PIERNA AL SALIR DE FHV
EN BROOKLYN
MAN’S LEG SEVERED STEPPING OUT OF FHV
IN BROOKLYNA man’s leg was severed below the knee when an
SUV pinned him against a For-Hire Vehicle he had just exited in Brooklyn, police said. The 33-year-old victim stepped out of the FHV at Elton St. and Atlantic Ave. in East New York just before a Lexus SUV slammed into the car, at about 8:25pm on March 25.
Medics took the victim to Brookdale University Hos-pital, where he was in serious but stable condition.
A 58-year-old woman was driving the Lexus west on Atlantic Ave. when she hit the victim, police said. She was taken to Jamaica Hospital with minor injuries. Heavy damage to the front end of the Lexus suggests speed was a factor in the collision.
The FHV driver was not hurt. Source: New York Daily News
If you or someone you know is suffering from de-pression, there is a free, confidential helpline called NYC Well that is always available and ac-cessible in 200 languages. You can call 1-888-NY-CWell, or text “WELL” to 65173. However, if you are ever in immediate danger of harming yourself or others, please call 911.
CONFIDENTIAL HELPLINE
14 • TAXI & LIVERY TIMES • MAY 2021
FEATURESHOW TO CLEAN A TACKY FILM
FROM YOUR WINDSHIELDDuring the spring and sum-
mer, you may find an unhappy surprise awaiting you if you park outside: sticky tree sap on your windshield. This tacky film can be very difficult to remove, even with ammonia-based and vine-gar-based automotive glass cleaners that otherwise work very well.
The best way to remove this substance is a glass cleaner and one or two applications of rubbing alcohol (just the standard stuff in your medicine cabinet will do).
Apply the alcohol liberally to a clean, high-quality paper towel. Then rub the windshield and let it dry. If there is still a bit of cloudiness on the windshield, re-peat the alcohol application a sec-ond time. Follow this with a liberal dose of glass cleaner and
some new paper towels. As with all cleaning jobs, it is
best to avoid direct sunlight and to always try a small section first, just in case something unex-pected happens.
For the inside of a windshield, try a cleaner specifically designed for auto windshields and clean paper towels. Two applications are usually all you need.
For newer vehicles: Before you spray the inside of a wind-shield, cover any sensors or aper-tures related to head-up displays and auto lighting and wipers. That will avoid damage from dripping cleaner. Also, keep your spray and your hands away from the auto-braking cameras in the area of the rearview mirror.
Source: Torque News
For information on how to meet our adoptable pets, please e-mail [email protected],
call 516-883-7575 or visit animalleague.org/adopt.
Every year, an estimated 2 million homeless pets are
euthanized. Our goal: a no-kill world where all homeless pets
find loving homes. Here are some sweet, beautiful animals that
desperately need a home. #GetYourRescueOn
The World’s Largest No-Kill Animal Rescue and Adoption Organization
Goober is an XL love-bug who charms everyone he meets. This big guy is 5 years old but don't tell him because he still thinks he is a puppy. His ideal home would be pet parents who are experienced with large dogs and older children to play with. He loves to play with toys and snack on treats, while he waits for you to come here and bring him home! #GetYourRescueOn
Audrey is an amazing dog who came to us in mid-December and gave birth to a litter of puppies on Christmas Eve. Her puppies were adopted and now it's this wonderful mama dog's turn to get a home. She would love a house with a yard in a quiet neighbor-hood so she can spend her time lying in the sun. After all her hard work raising puppies she is ready for some TLC with you! #GetYourRescueOn
Trebek is a shy young tabby looking for a nurturing human who will give him the time he needs to settle into his home. We are seeking a calm, predictable household with older children and adults with fearful cat experience to help him succeed. Tre-bek may not have all the answers to your questions, but he’ll sure have fun helping you find them! #GetYourRescueOn
MAY 2021 • TAXI & LIVERY TIMES • 15
FEATURE
EMERGENCY CARE: WHEN AND WHERE YOU NEED IT
Sometimes it’s easy to know a situation is an emergency. You or a loved one can’t breathe, is bleeding, or can’t move a body part. Other times, the signs aren’t so obvi-ous or debilitating. You think they’ll go away, or you don’t want to bother the emer-gency room doctors with something minor.
What should you do? Call 911 or head to the nearest emergency room.
Be sure to seek emergency treatment if you have:
• Chest pain that may be accompanied by sweating, shortness of breath, spreading pain, nausea, vomiting, dizziness, or a fast or irregular heart-beat
• Symptoms of a stroke, including sud-den numbness or weakness of the face, arm or leg, especially on one side of the
body, confusion, trouble speaking or understanding, trouble seeing in one or both eyes, trouble walking, dizzi-ness, loss of balance or coordination
• Sudden, severe headache with no known cause
• Bleeding that doesn’t stop after 15 minutes of direct pressure
• Sudden severe pain and swelling in a joint
• Difficulty breathing • Passing out (fainting) • Swallowing poison • Choking • Broken bones • Bites, human or from some animals • Gaping wounds (meaning the edges
don’t come together) Source: Virtua Health
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16 • TAXI & LIVERY TIMES • MAY 2021
FEATUREGETTING BACK TO LIFE WITHOUT
PANDEMIC-RELATED ANXIETYVOLVER A LA VIDA SIN ANSIEDAD
RELACIONADA A LA PANDEMIAAs more people receive vaccines, life as we knew it before
the pandemic is starting to return. We are seeing restrictions relax on travel and businesses,
small gatherings are allowed, and many are eager to get back to normal routines and activities. But after more than a year with limited places to go and things to do, some people may feel anxious and hesitant about stepping back into everyday activi-ties.
As the world slowly returns to normal, some can feel anxious about even simple, everyday activities when they haven’t done them for a long time. Plus, the safe spaces we created in our homes during the height of the pandemic may now make us feel less safe and more fearful when stepping outside the bubbles we’ve created.
To a certain extent, COVID-related distress manifests in much the same way as any other response to any other stressful activity. Some emotional signs of distress may include increased irritability, anger, intense sadness, or even emotional numbing.
Behavioral changes may include a loss of interest in things once enjoyed, social withdrawal, and increased use of substances such as tobacco and alcohol. Some common physical effects of distress can also include changes in appetite, fatigue, difficulty concentrating, and poor sleep. Other manifestations may include increased headaches, muscle tension, and stomach problems.
Understanding your feelings and taking deliberate steps to deal with situations that cause fear and anxiety can help. A few tips may be helpful as you navigate your way back into the world.
Dealing With Your Feelings
The first steps to dealing with any feelings of fear and anx-iety is to realize that those feelings are normal. Then focus on controlling those things you can, and acknowledge what things you can’t.
“Some of the things under your control include physical dis-tancing, wearing a mask, and washing your hands,” says Philip J. Fizur, PsyD, a clinical health psychologist at Cooper Univer-sity Health Care. “But you can take it even further and control things like eating well (although the occasional indulgence can be a nice way of coping), exercising regularly, building good sleeps habits, and avoiding excessive use of substances like al-cohol and tobacco.”
For anything outside of your control, mindfulness-based in-terventions can help build your comfort, flexibility, and ability to adapt to situations that cause fear and anxiety. By staying connected to what is happening in the present moment, we re-engage our senses and our anxiety tends to decrease.
To get back into daily routines and activities you previously enjoyed, Dr. Fizur suggests focusing on a specific activity or sit-uation you need to get reacclimated to – going back into an office to work or just going to the grocery store, for example – and making a plan to take small, actionable steps to get back in the swing of things. Try to make it a habit again.
“Taking this approach can be helpful by allowing the process of natural habituation to occur, but also helps us to bolster our sense of control and strengthen our ability to process our emo-tions,” Dr. Fizur says.
Helping Others Deal with COVID-Related Anxiety
If you notice that a family member or friend struggling with pandemic-related anxiety, simply pointing out that you’ve no-ticed some changes in them and asking how they are doing could help. Just the question serves as an invitation for them to talk about their feelings. It’s important not to pressure loved ones into expressing their feelings. Rather, you should just reinforce that you are there for them when they are ready to talk, or if they need help.
Some other strategies to help family members and loved ones:
A medida que más personas reciben vacunas, la vida tal como la conocíamos antes de la pandemia está empezando a regresar. Es-tamos viendo que las restricciones en los viajes y los negocios se re-lajan, pequeñas reuniones están permitidas, y muchos están ansiosos por volver a las rutinas y actividades normales. Pero de-spués de más de un año con lugares limitados a donde ir y cosas que hacer, algunas personas pueden sentirse ansiosas e indecisos acerca de volver a las actividades cotidianas.
A medida que el mundo vuelve lentamente a la normalidad, al-gunos pueden sentirse ansiosos incluso por actividades cotidianas simples cuando no las han hecho durante mucho tiempo. Además, los espacios seguros que creamos en nuestros hogares durante el apogeo de la pandemia ahora pueden hacernos sentir menos seguros y más temerosos al salir de las burbujas que hemos creado.
Hasta cierto punto, la angustia relacionada con COVID se man-ifiesta de la misma manera que cualquier otra respuesta a cualquier otra actividad estresante. Algunos signos emocionales de angustia pueden incluir mayor irritabilidad, enojo, tristeza intensa o incluso entumecimiento emocional.
Los cambios de comportamiento pueden incluir una pérdida de interés en cosas que antes disfrutaba, aislamiento social y un mayor uso de sustancias como el tabaco y el alcohol. Algunos efectos físicos comunes de la angustia también pueden incluir cambios en el apetito, fatiga, dificultad para concentrarse, y falta del sueño. Otras manifestaciones pueden incluir aumento de dolores de cabeza, ten-sión muscular y problemas estomacales.
Comprender sus sentimientos y tomar medidas deliberadas para lidiar con situaciones que causan miedo y ansiedad puede ayudar. Algunos consejos pueden ser útiles mientras navegas por su camino de regreso al mundo.
Lidiando con sus Sentimientos
Los primeros pasos para lidiar con cualquier sentimiento de miedo y ansiedad es darse cuenta de que estos sentimientos son nor-males. Entonces concéntrate en controlar esas cosas que puedas y reconocer lo que no puedes.
“Algunas de las cosas bajo su control incluyen distanciamiento físico, usar una máscara y lavarse las manos”, dice Philip J. Fizur, PsyD, un psicólogo clínico de salud en Cooper University Health Care. “Pero puedes llevarlo aún más lejos y controlar cosas como al-imentarse bien (aunque la indulgencia ocasional puede ser una buena manera de sobrellevarlo), hacer ejercicio regularmente, con-struir buenos hábitos de sueño y evitar el uso excesivo de sustancias como el alcohol y el tabaco”.
Para cualquier cosa fuera de su control, las intervenciones basadas en la atención que pueden ayudar a construir su comodidad, flexibilidad y la capacidad para adaptarse a situaciones que causan miedo y ansiedad. Al mantenernos conectados con lo que está suce-diendo en el momento presente, re-involucrar nuestros sentidos y nuestra ansiedad tiende a disminuir.
Para volver a las rutinas y actividades diarias que usted dis-frutaba previamente, el Dr. Fizur sugiere enfocarse en una actividad o en una situación específica a la que necesita volver a incorporar – el volver a la oficina para trabajar o simplemente ir al supermer-cado, por ejemplo – y hacer un plan para tomar pequeños pasos prác-ticos para volver al ritmo de las cosas. Trata de que sea un hábito de nuevo.
“Tomar este enfoque puede ser útil al permitir que se produzca el proceso de habituación natural, pero también nos ayuda a reforzar nuestro sentido de control y fortalecer nuestra capacidad para proce-sar nuestras emociones”, dice el Dr. Fizur.
Ayudar a otros a lidiar con la ansiedad relacionada con COVID
Si usted observa que un miembro de la familia o amigo está luchando con la ansiedad relacionada con la pandemia, simplemente señalando que has notado algunos cambios en ellos y preguntar cómo están haciendo podría ayudar. Sólo la pregunta sirve como una invitación para que hablen de sus sentimientos. Es importante no presionar a sus seres queridos para que expresen sus sentimientos. Más bien, sólo debe reforzar que usted está allí para ellos cuando están listos para hablar, o si necesitan ayuda.
Algunas otras estrategias para ayudar a los miembros de la fa-milia y a sus seres queridos:
MAY 2021 • TAXI & LIVERY TIMES • 17
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REPRESENTATIVES AND ATTORNEYS Michael Spevak, Esq.
97-77 Queens Blvd., Suite 1120 Rego Park, NY 11374
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36-16 Skillman Avenue Long Island City, NY 11101
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New York, NY 10036 (212) 279-3166
Taxi Fleet Management
54-11 Queens Blvd. Woodside, NY 11377
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United Taxi 657 10th Avenue
New York, NY 10036 (212) 977-4590
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Long island City, NY 11104 (718) 392-4600
White & Blue Group 35-11 43rd Avenue
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TLC# A0327 Yellow Taxi Garage 42-30 11th Street
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• Acknowledge and support their struggle. • Ask if they want advice (and only give it when asked) or just
need space to vent and feel validated. • Listen more than you talk. • Resist the urge to judge or impose your own beliefs. • Relate to what they are going through if you can – without
taking over the conversation. • Reinforce your openness to help them. • Encourage them to seek professional help if their distress is
interfering with their quality of their life. • Offers suggestions of resources that may help – but only if
they ask for them. If you or a loved one is feeling reluctant to leave the house, or
washing hands and surfaces far beyond public health recommen-dations, or constantly checking on the well-being of loved ones, may suggest an anxiety-related illness caused by COVID that may require professional help.
Resources if You or a Loved One Need Extra Support
Often the best way to deal with pandemic-related anxiety and fear is to stay connected to your family members and friends. But if you need additional support, Dr. Fizur notes there are other re-sources available that may help.
• COVID Coach – a free app for everyone produced by Veterans Affairs that supports self-care and mental health during the pandemic
• FACE COVID – a structured guide (as a downloadable PDF) to putting steps in place to respond to the COVID pandemic
• Find a Therapist – a resource from Psychology Today to find professional help
• Therapist referrals – you can call the number on the back of your insurance card for referrals Source: Cooper Health
• Reconocer y apoyar su lucha. • Pregunta si quieren un consejo (y solo lo dan cuando se les pre-
gunte) o simplemente necesitan espacio para desahogarse y sentirse validados.
• Escucha más de lo que tú puedas hablar. • Resista al el impulse de juzgar o imponer tus propias creencias. • Relacionarse con lo que está pasando si usted puede– sin hacerse
al mando de la conversación. • Refuerce su disponibilidad para ayudarles. • Anímelos a buscar ayuda profesional si la angustia está inter-
firiendo con calidad de vida de ellos. • Ofrece sugerencias de recursos que pueden ayudar – pero solo si
ellos lo piden. Si usted o un ser querido se siente reacio a salir de la casa, o lavarse
las manos y las superficies mucho más allá de las recomendaciones de salud pública, o verificar constantemente el bienestar de sus seres queri-dos, puede sugerir una enfermedad relacionada con la ansiedad causada por COVID que puede requerir ayuda profesional.
Recursos en Caso que Usted o un Ser Querido Necesitan Apoyo Adicional
A menudo, la mejor manera de lidiar con la ansiedad y el miedo rela-cionados con la pandemia es mantenerse conectado con los miembros de su familia y amigos. Pero si necesita apoyo adicional, el Dr. Fizur señala que hay otros recursos disponibles que pueden ayudar.
• COVID Coach – una aplicación gratuita para todos los casos pro-ducido por Asuntos de Veteranos que apoya el autocuidado y la salud mental durante la pandemia
• FACE COVID – una guía estructurada (como PDF descargable) para poner en marcha pasos para responder a la pandemia del COVID
• Find a Therapist– en el recurso de Psychology Today puede encon-trar ayuda profesional
• Referido a Terapeutas – Usted puede llamar al número en la parte de atrás de su tarjeta de seguro de salud para un referido Source: Cooper Health
18 • TAXI & LIVERY TIMES • MAY 2021
Credit: Breuer lab / Brown University FEATURE
AS UBER & LYFT RECRUIT NEW DRIVERS, SOME EXISTING DRIVERS ARE UPSET
“We want drivers to take advantage of higher earnings now because this is likely a temporary situation.”
- Uber CNN Business recently published an
article about Uber’s (and Lyft) recent push to recruit new drivers in order to meet surging demand as the pandemic subsides. In certain markets driver earnings are bouncing back aggressively with reports of drivers from Phoenix to Philadelphia earning above $25 per hour and in some cases as high as $40 per hour. (Note: these figures include tips and are before expenses so repre-sent a gross wage vs. a net wage). A sim-ple glance on several NYC focused Uber/Lyft Driver Facebook pages also reveals that drivers here are being of-fered promotions, which was more com-mon when the apps were rapidly growing from 2014 to 2018.
One of the main themes of the article is Uber / Lyft have historically used driver incentives to lure people on their platforms, temporarily inflate their earnings and then ultimately not care about driver earnings when they no longer have a driver shortage. This in turn makes existing drivers, especially
those who worked through the pandemic upset.
“If they oversaturate with drivers, that means we're sitting longer, we're idling. There's still wear and tear on our cars but we're not getting any rides…I take it as an insult. What about your drivers that put themselves in jeopardy that you paid nothing extra to during the pan-demic?”
- Angela Davis, Phoenix-based driver Uber believes it’s inaccurate to por-
tray the dynamic in that way and the ar-ticle cites an official spokesperson who notes that incentives sometimes vary based on location and other factors but not tenure. In addition, the spokesper-son notes there are some earnings guar-antees for new or returning drivers, meaning the company will "top off the promised amount" if the driver doesn't earn enough to meet the promised guar-antee.
NYC Dynamics
As is almost always the case, the NYC ridehailing market has different dynamics then the rest of the country
because of its unique rules and regula-tions (i.e. driver minimum pay stan-dard). While we have personally seen drivers come off the Uber / Lyft driver waitlist, which started back in April 2019, I think that will be relatively short-lived as the word about increased earnings combined with the pandemic subsiding will get more drivers back on the road. My prediction is by the Fall, as enhanced unemployment benefits go away, the driver waitlist will return along with the driver scheduler (perhaps the scheduler will make an appearance in early 2022 vs. this year).
So, enjoy the driver shortage while it lasts, but we don’t think it will last long given (1) for-hire vehicle supply is lim-ited now (i.e. TLC Plate cap), (2) the minimum pay standard ensures ele-vated wages and (3) the return of the driver scheduler (Lyft effectively has a similar mechanism to Uber) will convert the NYC market into one that consists mostly of full-time drivers who will stick with a platform for the longer term due to improved earnings visibility.
What do you think? Have we got this wrong?
Link to CNN article
BY DAWOOD MIAN
CNN Business reports on Uber & Lyft's recent initiatives to attract more drivers back as passenger demand returns. What does it mean for the NYC for-hire transport market?
The TLCMKT Newsletter is written by Dawood Mian, Founder & CEO of TLCMKT. He covers the NYC ridehailing industry and related news. Search TLCMKT for TLC cars, parts, service, accessories, reviews & more. Find great deals at TLCMKT.COM.
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MAY 2021 • TAXI & LIVERY TIMES • 19
FEATURE
THE TLC IS AT IT AGAINIf a deadly pandemic, a massive downturn in
transportation on a scale never before seen, and then getting hit by new Port Authority Permit fees weren’t enough to deal with, the New York City Taxi & Limousine Commission (TLC) is at it again. When I say “it,” I am referring to new and more regula-tions.
The desire of the TLC to continuously add new regulations seems to be without bounds. I will dis-cuss each one separately.
First, we have the TLC’s proposed rule that seeks to classify High-Volume For-Hire Service (HVFHS) licenses as a type of base license to be reg-ulated separately from Black Car base licenses. This would supposedly eliminate the need for HVFHSs to hold any separate or additional base licenses.
There are a few issues with this proposed rule and I must point them out because they don’t jump off the page and slap you in the face.
As the Commission’s rules currently read, a HVFHS is a Commission-licensed business that fa-cilitates or otherwise connects passengers to For-Hire Vehicles (FHVs) by prearrangement, including through one or more licensed FHV bases, using a passenger-facing booking tool, and that dispatches or facilitates the dispatching of 10,000 or more trips in the City per day. (See 35 RCNY 59D-03(d)).
Currently, a HVFHS must not dispatch any trip other than through a TLC-licensed FHV base. [See 35 RCNY 59D-09(b)]. Such a FHV base can be a Black Car, Luxury Limousine or Livery base.
Additionally, at the present time, a HVFHS that is a Black Car or Luxury Limousine base must become a member of the Black Car Fund. [See 35 RCNY 59B-12(b)(1)]. Similarly, a HVFHS that is a Livery base must become a member of the Livery Fund.
Under proposed rule 35 RNCY 59D-20(e), a HVFHS shall not hold any For-Hire Base License other than a High-Volume For-Hire Service License. Also, per proposed rule 35 RNCY 59A-03(b), a black car may affiliate with a Black Car base or with a HVFHS.
Surprisingly, nowhere in the proposed rules is there a provision that permits a Livery Vehicle to af-filiate with a HVFHS. The proposed rule offers no reason or rationale for not permitting a Livery Ve-hicle to affiliate with a HVFHS. Yet, there is no pro-hibition placed upon a HVFHS from dispatching to a Livery vehicle. The proposed rules can be found at this link: https://www1.nyc.gov/assets/tlc/down-loads/pdf/high-volume-base-classification-2021-05-04.pdf
In practice today, when a HVFHS that is a Liv-ery base (and member of the Livery Fund) dis-patches to a Livery vehicle, the Livery driver is covered for workers’ compensation via the Livery Fund in the event the driver is involved in an acci-dent. However, for reasons we hope are a simple oversight, under the proposed rule, a HVFHS is re-quired to be a member of the Black Car Fund, but not a member of the Livery Fund. Furthermore, under the proposed rule, allowing a HVFHS to dis-patch to a Livery vehicle while eliminating the need for a HVFHS to be a member of the Livery Fund, means there would be no workers’ compensation coverage for a Livery driver via the Livery Fund.
Each Livery driver will be left to the mercy of the Black Car Fund in their interpretation of the Ex-ecutive Law that created the Black Car Fund in the event a Livery driver is involved in an accident. This is true because the Black Car Fund law does not mandate providing workers’ compensation coverage to Livery drivers; and the Livery Fund does not pro-vide coverage to a FHV driver when the dispatch
originates from a bases that is not a Livery base. Both the Livery Round Table and the ILDBF
believe that the proposed rule should be amended to mandate that each HVFHS become not only a mem-ber of the Black Car Fund, but also that they become a member of the Livery Fund. This is the most logi-cal and prudent course of action for a HVFHS that plans on continuing to dispatch to a Livery driver. Additionally, the Livery Round Table and the ILDBF believe the proposed rule should be amended to permit a Livery vehicle to affiliate with a HVFHS. This will not only solve the problem of the gap in coverage but will also enable Livery drivers to ex-pand their opportunities to obtain dispatches from HVFHS bases.
I personally wrote to Chair Aloysee Heredia Jarmoszuk and requested amendments to the pro-posed rule. I explained the reasoning and also pointed out that the proposed amendment will in no way thwart the goals of the Commission as stated in the TLCs “Statement of Basis and Purpose.” On the other hand, not requiring an HVFHS to become a member of the Livery Fund will create workers’ compensation coverage issues for Livery drivers that can be easily avoided.
Mandating HVFHS bases to become members of the Livery Fund will not place any undue burden on the HVFHS and will in no way change the regu-latory scheme which the Commission seeks to enacts via the proposed regulations. I hope that myself and Dr. Avik Kabessa, the Chair of the Board of Direc-tors of the Livery Fund, are given an audience and opportunity before the May 4, 2021 Commission hearing to discuss these very important issues with the Chair of the TLC.
The second set of proposed rules pertains to trip data submission.
As we know, in 2014, the TLC approved rules that require FHV bases to submit trip records to the TLC. The proposed rules establish new penalties for the violations of a base in failing to submit trip records in a timely fashion, failing to submit com-plete trip records and/or submitting faulty or inac-curate trip data. The submission of trip records is important for keeping passengers safe by informing the TLC of the identity of the driver of a dispatched FHV, preventing driver fatigue and ensuring that those drivers dispatched by High-Volume For-Hire Bases receive the minimum pay provided for in the TLC’s rules.
While I support the continuation of the require-ment to submit trip records, the TLC is merely in-creasing the penalties without any proof that bases are not already submitting their trip records in a complete and timely basis. When a new rule in-creases fines for failure to comply, it is typically done for one of two reasons: Either because the rule is not being followed and higher penalties will likely in-crease compliance or because the TLC is simply looking to expand the pool of money it receives from the occasional base that inadvertently fails to com-ply with the rule. When there is no evidence that there is a problem with compliance with this rule or an explanation in the TLCs “Statement of Basis and Purpose” as to why the penalty should be increased, then it appears to be solely a money grab and not a means of encouraging compliance.
At this point in time, when travel is still drasti-cally down and there is no proof of a lack of compli-ance, I am astonished that the TLC finds this to be an issue that must be addressed right now.
On the other hand, the TLC seems to never find the time to change their rules to omit the portions that are completely outdated in today’s FHV indus-try, such as the requirement for Livery vehicles to
be equipped with an in-vehicle camera system and a trouble light. Those requirements are antiquated as they were only relevant in an FHV industry that has long since evolved.
It’s just another example of adding new rules that make no sense, but not eliminating rules that have no applicability in today’s FHVC industry.
The third and final proposed rule amendment is to the Commission’s adjudications rules regarding the conduct of summary suspension hearings for li-censees.
The TLC recently promulgated rule changes concerning the conduct of summary suspension hearings. The proposed rules further shorten the timeframe for reviewing summary suspensions based upon pending criminal charges in accordance with a recent federal court decision, Nnebe v. Daus.
The Nnebe plaintiffs were taxi drivers who filed a lawsuit under 42 U.S.C. Section 1983 (violation of federal civil rights), alleging that their constitutional rights were violated when their licenses were sus-pended following their arrests and they were not given meaningful post-suspension hearings to con-sider whether their licenses should be reinstated.
That case went on appeal to the Second Circuit Court of Appeals, one level below the Supreme Court of the United States. The Second Circuit Court held that the TLC’s suspension procedures did not afford plaintiffs adequate process because the drivers’ property interests in their licenses was substantial, the risk of erroneous deprivation was unacceptably high, and defendants could institute a more mean-ingful process at minimal financial and administra-tive costs.
The new proposed rules provide that a driver whose license is summarily suspended may request a hearing before an administrative law judge (ALJ) of the New York City Office of Administrative Trials and Hearings (OATH). Following the hearing, the ALJ makes a recommendation to the TLC Chairper-son regarding continued suspension based on whether the driver’s continued licensure pending resolution of the criminal charges presents a public safety risk. The Chairperson reviews the recommen-dation and makes a final decision regarding the dri-ver’s license suspension.
The proposed rule provides for a quicker return of a license for those drivers whose licensure during the pendency of the criminal proceeding is not deemed to be a direct and substantial threat to pub-lic health or safety. The timeframe for an OATH ALJ to issue a recommendation following the hear-ing is reduced from 15 days to 10 days, and the time for the TLC Chair to issue a final decision is reduced from 7 days to 5 days. In accordance with Nnebe v. Daus (U.S. District Court, SDNY, No. 06-cv-4991(RJS), December 31, 2020), the timeframes are being compressed to ensure a speedier resolution of the hearing process, while still permitting sufficient time for careful adjudication.
A hearing is set to be held on these proposed rules on May 4, 2021 at 10:00 am via Zoom. I whole-heartedly recommend that you sign up to speak or that you watch the meeting so you can see the TLC in action (or inaction), while they try to justify their proposed rules and how they react to the comments and opinions of all stakeholders in the industry. The time is now to get involved, to speak up and speak out.
BY STEVEN J. SHANKER, ESQ.
Steven J. Shanker, Esq. is General Counsel to the Livery Roundtable,
Inc. and the New York Independent Livery Driver Benefit Fund.
20 • TAXI & LIVERY TIMES • MAY 2021
IATR OUTLOOK
Since the onset of the pandemic-related shutdowns in March 2020, the transporta-tion industry has been decimated. This is especially true for the executive sedan and limousine companies that rely on corpo-rate travel and related contracts with air-lines and hotels. By January 2021, ridership for the executive sedan (black cars) and limousine sectors were down by 53% and 75%, respectively, compared to the same month one year earlier, in com-parison to ride-hailing services which saw a decline of 42% over the same period.
At the outset of the pandemic, the busi-ness world expected, and certainly hoped, that Q4 of 2020 would bring about a grad-ual return for business. Instead, the resur-gence of COVID-19 resulted in the continuation of travel restrictions, the ces-sation of in-person instruction in many schools, and the scaling back of business operations, especially for restaurants and hotels. Even with the expectation that we will see the various COVID-19 vaccines ad-ministered to essential workers and all willing persons 16 years of age or older in the first half of 2021, the recovery to pre-pandemic levels of business will likely not take place for some time. As a result, lim-ousine, bus and other transportation com-pany leaders continue to adjust their business plans to reflect that the recovery will be slow – and painful.
In this article, I will explore the options that companies have for financing under the most recent COVID-19 relief package and also discuss steps to prepare for merg-ers and acquisitions, as well as bankruptcy filings and options. Now could be the time to assess the past, present, and future, to tighten operations, develop strategic part-nerships and new business lines, engage in joint ventures to consolidate or out-source operations, and possibly contem-plate retirement or passing the torch to others.
COVID-19 Assistance Grants & Loans
On December 27, 2020, the Economic Aid to Hard-Hit Small Businesses, Non-profits and Venues Act (the “Economic Aid Act”) was signed into law, with several up-dates to the loan programs offered by the U.S. Small Business Administration (SBA). First among these for consideration by transportation company operators would be the Paycheck Protection Program (PPP) loans that were funded with $284 billion, and with significant updates and enhancements in the Economic Aid Act. On March 11, 2021, the American Rescue Plan Act of 2021 – a $1.9 trillion relief package – was signed into law, and that
legislation included an additional $7 bil-lion in PPP funding.
The original CARES Act – enacted on March 27, 2020 – created and funded the original PPP, which provided companies, sole proprietors, and independent contrac-tors with SBA-backed loans to be used to retain employees and pay certain non-pay-roll costs. The PPP loans may be 100% for-givable based on the use of the loan proceeds. According to SBA data, the Transportation & Warehousing sector re-ceived 229,565 loans (3.34% of all PPP loans), totaling $17,522,942,736, as of Au-gust 8, 2020, when the first round of the PPP loan program expired.
The SBA and U.S. Treasury Depart-ment released loan application forms for the rebooted PPP loans on January 8, 2021. The PPP loan program re-opened on January 11, 2021, for participating com-munity financial institutions (CFIs) that serve minority-owned and women-owned businesses to begin submitting PPP loan applications for “First Draw” PPP loan borrowers. On January 13, 2021, the “Sec-ond Draw” PPP began. In its guidance, the SBA indicated that the PPP would open to all lenders a few days after the opening for CFIs, and fully re-opened the PPP loan portal on Tuesday, January 19, 2021 to all participating lenders.
If your transportation company is con-sidering a PPP loan, first-time and second-time PPP borrowers may receive a loan amount of up to 2.5 times their average monthly payroll costs (with a cap per em-ployee of $100,000 on an annualized basis) in 2019, 2020, or the year prior to the loan. The maximum loan amount is $10 million for First Draw PPP loan borrowers, and $2 million for Second Draw PPP loan borrow-ers.
Existing PPP borrowers that did not receive loan forgiveness by December 27, 2020, may: (1) reapply for a First Draw PPP Loan if they previously returned some or all of their First Draw PPP Loan funds; or (2) under certain circumstances, request to modify their First Draw PPP Loan amount if they previously did not accept the full amount for which they are eligible. A borrower is generally eligible for a Sec-ond Draw PPP Loan if the borrower: (a) previously received a First Draw PPP Loan and will or has used the full amount only for authorized uses; (b) has no more than 300 employees; and (c) can demon-strate at least a 25% reduction in gross re-ceipts between comparable quarters in 2019 and 2020. For example, a limousine company with gross receipts of $50,000 in the second quarter of 2019 and gross re-
ceipts of $30,000 in the second quarter of 2020, has experienced a revenue reduction of 40% between the quarters, and is there-fore eligible for a Second Draw PPP loan (assuming all other eligibility criteria are met).
PPP borrowers can have their first-draw and second-draw loans completely forgiven if the funds are used for the fol-lowing eligible costs: payroll, rent, covered mortgage interest, utilities, covered worker protection and facility modification expenditures, covered property damage costs, covered payments to suppliers, pay-ments for business software or cloud com-puting services that facilitate business operations, product or service delivery, and numerous back-office functions. To be eli-gible for full loan forgiveness, PPP borrow-ers must spend no less than 60% of the PPP loan funds on payroll over a covered period of their choice between 8 and 24 weeks. Transportation companies should be aware that the U.S. Internal Revenue Service (IRS) will allow businesses that had their PPP loans forgiven to write off expenses paid for with that money – after Congress reversed the prior IRS policy in the recent legislation. As of this writing, May 31, 2021, is the last day to apply for either a First Draw or Second Draw PPP loan.
In addition to the PPP loans, the SBA has other loan programs that might be more generous than traditional business financing. On December 30, 2020, the SBA announced it has extended the deadline to apply for the Economic Injury Disaster Loan (EIDL) program for the COVID-19 pandemic disaster declaration to Decem-ber 31, 2021 (pending the availability of funds). These SBA loans provide working capital funds to small businesses. These loans are offered at a fixed 3.75% interest rate for small businesses, with a nego-tiable term of up to 30 years, and an auto-matic deferment of one year before monthly payments begin. As of December 30, 2020, the SBA reported that it had al-ready approved $197 billion in these low-interest loans.
For transportation companies, the EIDL program offers an advance/grant of $1,000 per employee, for a maximum of $10,000. Prior to the passage of the Eco-nomic Aid Act, the EIDL grant amount would be deducted from any PPP loan for-giveness amount for that business. How-ever, the recent legislation reversed that provision, and any EIDL grant amount will not be factored into any PPP loan for-giveness calculation.
Provisions in the Economic Aid Act
ASSESSING POST-PANDEMIC OPTIONS FOR YOUR TRANSPORTATION COMPANY:
Should I Borrow, Buy, Sell, Merge, File or Retire?
BY MATTHEW W. DAUS, ESQ.
MAY 2021 • TAXI & LIVERY TIMES • 21
now allow businesses up to eight months of principal and interest payments for-given for Section 7(a) and 504 Microloans from the SBA. A Section 7(a) loan, which is received through an SBA lender, is a loan that can be used for working capital, equipment, inventory, and business acqui-sitions. Businesses may borrow up to $5 million at fixed or variable interest rates, as long as they have fewer than 500 em-ployees and less than $7.5 million in aver-age annual receipts. The borrower will have to be a for-profit business based in the United States and not be delinquent on any debt owed to the government. Depend-ing on how the business intends to use the funds, the loans will have a term from 7 to 25 years. Additionally, the Economic Aid Act temporarily reduces or eliminates cer-tain loan fees for the borrower.
The SBA’s 504 Microloan program is geared more toward economic develop-ment and job creation. It is available to purchase commercial real estate, existing buildings, and equipment that will help a business grow. These loans also have a $5 million limit and have similar require-ments to a Section 7(a) loan. However, in-terest rates for these loans are fixed, and the loans have a term from 10 to 20 years depending on the nature of the loan. The Economic Aid Act temporarily eliminates the 504 Microloan fees.
A business with an existing SBA Sec-tion 7(a) or 504 Microloan could receive up to eight months of forgiveness of principal and interest payments, all capped at $9,000 per month. If a business applies for a new SBA Section 7(a) or 504 Microloan, and is approved before September 20, 2021, then, the first six months of princi-pal and interest (up to $9,000 per month) is also forgiven. Those with an existing PPP loan may apply for a Section 7(a) loan or a 504 Microloan.
Given the full or partial forgiveness available from the Economic Aid Act, and the low interest rates and flexibility with terms (except for the PPP loans), trans-portation companies may wish to seek one or more of these SBA-backed loans as part of your 2021 financial planning. Our law firm has already worked with many trans-portation clients on these SBA-backed loans, and this relief has helped to stave off layoffs and pay non-personnel costs through the COVID-19 relief programs. Given the dire circumstances faced by many small companies, we even offered pro bono (free advice) to many mobility companies and even their drivers during these difficult times. What is important though, is to think about when the money runs out – and to start thinking of and im-plementing a game plan for re-opening and the potential business environment in the new post-pandemic normal. There are many options, some of which are discussed in the remainder of this article.
Should I Buy or Sell? – Either Way, Get Your Shop in Order!
Even with these SBA-backed loans available to transportation companies, such loans often function as stopgap meas-ures as the pandemic affects revenues and
business development. The solution may instead come from strategic transactions such as selling the company, buying an-other company synergistic with the exist-ing business, seeking an equity investment, or even entering into a joint venture. With so many companies in dis-tress and a reduction in the overall mar-ket, the pace for mergers and acquisitions will naturally quicken.
Having handled many transportation company deals over the years as counsel for buyers, sellers and investors in merg-ers, acquisitions, joint ventures and invest-ments, we have seen how complex and time consuming such transactions and the related “due diligence” process can be – even for transactions with smaller dollar values. Clients often prepare simple term sheets for such transactions with the ex-pectation that it will be easy to quickly complete the deal. Unfortunately, that is often not a realistic expectation.
The most frequent source of delay is the seller’s failure to prepare the target company for sale in advance and deal with risks, liabilities, and other matters of con-cern to buyers and investors, such as is-sues with stock ownership, permits and licenses, intellectual property rights, tax matters, debts and guarantees, or pending lawsuits. When these matters are first identified in the course of the buyer’s or in-vestor’s due diligence investigation and raised in the middle of negotiating a trans-action, that often results in extensive de-lays, causes the deal to lose momentum, and sometimes even kills the deal.
Due Diligence and Disclosure Schedules
Due diligence is an important aspect in any transaction and is an extensive process undertaken in order to thoroughly and completely assess the target com-pany’s business, assets, liabilities, capabil-ities, and financial performance. Part of this will be business and financial due dili-gence, in which the buyer will review the target company’s financial statements, ac-counts receivable and accounts payable, and other books and records to determine issues such as:
• Does the business have healthy cash flow?
• Where are the sources for the revenue stream?
• How is the target company calculating its revenues and earnings? Should there be adjustments?
• How reliable are the target company’s financial projections?
• What are the target company’s liabili-ties? Are there any hidden liabilities?
Checklist for legal review of target company contracts
The buyer or investor will have its legal counsel review and prepare a sum-mary report of the target company’s con-tracts to answer questions, such as:
• Does the target company have key cus-tomer or business partner contracts that account for significant portions of its revenue stream? Do these contracts reasonably limit the company’s war-
ranties and liability risks? • Does the target company have leases,
software licenses, or other vendor con-tracts that it depends on for its key as-sets, systems, and rights? Do the contracts convey the ownership and rights that the company purports to have?
• Have employees signed contracts as-signing their business intellectual property rights or agreeing to confi-dentiality, non-solicitation, and/or non-competition covenants?
• Has the company acquired other busi-nesses or entered into joint ventures? What were the key terms?
• When will these contracts expire? Can they be terminated voluntarily and/or for cause?
• Do the contracts have restrictions on assignments, changes in control or other transactions that would be trig-gered by the contemplated sale trans-action?
Checklist for review of target com-pany’s records
The buyer or investor and its legal counsel also customarily undertake other legal and operational due diligence, re-viewing the target company’s books and records to identify issues, such as:
• Are the company’s organizational doc-uments (articles of incorporation, by-laws, operating agreements, board meeting minutes, stock records, etc.) complete?
• Have employee stock options and other equity grants complied with tax laws, including requirements for deferred compensation (e.g., IRC Section 409(A)), incentive stock option status, qualified profits interests, and Section 83(b) elections?
• Is the business in good standing and up to date on its taxes and state fil-ings?
• Does the target company have ade-quate insurance coverage?
• Are there complete employee files, in-cluding as to employment eligibility status? What are employees’ salaries, bonuses, commissions, and benefits?
• Is there an employee handbook? What are the company’s employee policies?
• Are any employees inaccurately char-acterized as independent contractors or as exempt employees under the Fair Labor Standards Act?
• Does the target company have any em-ployee benefit plans or retirement plans?
• Does the target company have any reg-istered or unregistered intellectual property (e.g., trademarks or patents)? What is the status of any applications or registrations for such intellectual property?
• Does the company have any pending or threatened litigation?
• Does the company have any environ-mental hazards or violations? The buyer or investor will also need to
review and understand any permits or business licenses that are required for the
Continued on page 22
22 • TAXI & LIVERY TIMES • MAY 2021
target company to operate and the status of those licenses. This includes operating licenses with federal, state, and local li-censing agencies. Even if the licenses are in good standing, are they transferrable? Assuming they are transferrable, what is the process for regulatory approval to as-sume a license as the new owner? Also, are there any other necessary governmental or agency approvals required in order to transfer the business (including federal antitrust filings under the Hart Scott Rodino Antitrust Improvements Act of 1976)?
The buyer or investor and its tax advi-sors will also want to assess the tax status of the target company by reviewing its fed-eral, state, local, foreign, and other tax re-turns and records. For example, has the target company timely filed all tax returns and paid all taxes due (including all in-come taxes, capital gains taxes, sales and use taxes, transfer taxes, franchise taxes, payroll taxes, etc.)? Has it been filing re-turns and paying taxes in all jurisdictions where it is legally required to file? Has it claimed deductions that it was not entitled to under tax laws? Has it properly with-held payroll taxes from employees? Has it improperly characterized any employees as independent contractors?
Even if the buyer or investor does not conduct careful due diligence on these matters, the definitive acquisition agree-ment will typically have a robust set of representations and warranties that will require the seller and its legal counsel to carefully review these materials and pre-pare schedules that set forth various lists, summaries and disclosures regarding these and other matters. Accordingly, any problems will come to the attention of the buyer or investor sooner or later. When they do, that can cause delays, bring nego-tiations to a halt, and sometimes even kill deals.
Accordingly, if you are looking to sell your company or seek investors in the near future, your business should be reviewed by and discussed with legal counsel now, with an eye towards identifying and re-solving or mitigating weaknesses and risks where possible. This will help maximize company value, as well as the likelihood of closing any future deal that you may se-cure with a buyer or investor.
Transaction Structure – Asset & Stock Purchases & Tax Implications
The information discovered in the due diligence process will also help to structure a sale transaction, such as an asset pur-chase, stock purchase, or merger.
Asset purchase deals can be structured so that the buyer only acquires the target company’s assets and not most or all of its liabilities. This structure is generally pre-ferred by buyers, and it is especially desir-able to them when there are unusual or concerning liabilities identified in due dili-gence. In asset purchase deals, an impor-tant part of the deal structure and negotiation will be determining which, if any, of the target company’s liabilities will be assumed by the purchaser and which
will remain the sole responsibility of the seller. Negotiating the indemnification provisions regarding the above-referred li-abilities will be critical to protecting each party’s expectations.
Although asset purchase structures will generally limit the liabilities assumed by the buyer, there are various exceptions to this, such as environmental and pension liabilities, as well as liability imposed under legal doctrines of successor liability. In some cases, an asset purchase transac-tion is not a viable deal structure, often due to regulatory or contractual con-straints. Such transactions are more com-plex and may take more time to close, particularly if the target company has nu-merous contracts that cannot be assigned without the counterparty’s prior written consent (a common contractual term).
Sellers generally prefer that the trans-action be structured as a stock or member-ship interest purchase, which is simpler. However, these structures do not enable a buyer to exclude any liabilities of the ac-quired business, and so it will be even more important to the buyer to determine and understand the liabilities of the target company. Stock or membership interest purchases require all equityholders to sign the purchase agreement, which may be dif-ficult or impractical for companies with a large number of equityholders or recalci-trant equityholders. In such cases, a merger structure may be preferable, as it only requires the transaction agreement to be signed by the target company and then the sale to be approved by a majority of the board of directors (or similar governing body) and a majority equityholder vote, subject to any special approval rights set forth in the target company’s governing documents. A merger effectively forces a sale by all equityholders, but it may leave dissenting minority holders with “ap-praisal rights” that allow them to chal-lenge in court the value paid in the merger, and perhaps receive some other amount. Merger structures also add some complexities to the deal documents, and the requisite equityholder vote may re-quire advance notice and complex deal summary and disclosure materials.
Furthermore, when structuring a sale transaction it will be important to mini-mize taxes to the maximum extent possi-ble. While asset purchase transactions can provide certain tax benefits for buyers, they may carry adverse tax implications for sellers, particularly if the target com-pany is a corporation (in which case there may be two layers of taxation – one paid by the target company and a second paid by its stockholders). A stock or member-ship interest purchase has only one layer of tax, and it is generally more tax favor-able to the seller. The tax allocation of the purchase price is also an important analy-sis in any transaction, and it may provide certain tax benefits.
By evaluating the various structuring alternatives available before undertaking a formal agreement and identifying your preferred structure, you can increase the chances of setting the other party’s expec-
tations at the onset of the process, so as to ensure that the transaction is structured in a tax-efficient manner to you.
Valuation
From our experience, when determin-ing a price for the sale of a business, it is important to have an accurate and de-tailed basis for valuing the target com-pany, informed by financial due diligence. There are different methodologies for con-ducting a valuation. The method chosen will depend on the information at your dis-posal, as well as the nature of the business and the industry. Some common valuation methodologies include the following:
• Asset-based methods start with the “book value: of a company’s equity. The liquidation value is the net cash that a business would generate if all of its liabilities were paid off and its as-sets were liquidated today. This “liqui-dation” value is more of a baseline, as it does not account for growth poten-tial or future cash flows.
• Discounted cash flow analysis uses the inflation-adjusted future cash flows to project a value for the busi-ness. This valuation methodology is most suited to established and cash-generative companies with long-term business prospects.
• Valuations based upon multiples of revenue are arguably the simplest. It is a popular quick-form method to ex-peditiously value a company and can be a useful metric when comparing companies with different profit levels but similar characteristics in terms of margins, products, markets, and com-petition.
• Valuations based upon multiples of EBITDA, a measure of the financial performance of a company, are also very popular. This enables the compar-ison of earnings of similar companies while excluding any distortions that result from interest, taxation, depreci-ation, or amortization.
• If only a portion of the target company is to be sold, discounts may also apply for lack of control (if a minority inter-est is sold) and/or for lack of mar-ketability (reflecting the difference in liquidity between closely held securi-ties and publicly traded securities). A combination of these or a variety of
other valuation methodologies may ulti-mately be used to settle on the price for the target company. These methodologies are of course only a starting point. Sophisti-cated buyers will also take into account other value considerations, including non-recurring revenue and expenses; market size, competitive landscape, and barriers to entry; competitive advantages from pro-prietary technology, intellectual property rights, or strong brand recognition and loy-alty; businesses scalability costs; customer concentration risks, payment history, and satisfaction; contractual restrictions on the business; and debt and other liabilities.
Finally, the results of the legal due dili-gence described above will help identify
Continued from page 21
MAY 2021 • TAXI & LIVERY TIMES • 23
weaknesses, may significantly increase the risks of the business, and may diminish the value to a prospective buyer. It is im-portant to have skilled professionals guide the acquiring company through the valua-tion process and address pitfalls with as-sessing the value of the target company.
Some Final Thoughts on M&A Due Diligence
Right now, it is very difficult for a com-pany in the transportation sector given the impending uncertainty of when and to what extent business travel and other forms of mobility may return and whether there will be modal shifts affecting the long-term viability of a company. With such uncertainties, not only is it difficult to develop a proper valuation for a trans-portation business as a whole, but even the individual component assets of a company – such as real estate, vehicles as well as in-tellectual property – may be difficult to value given the pandemic.
So how can a company even think about buying, selling, merging, or engag-ing in a joint venture? Rather than think-ing about that end game, now is a good time to begin the process of identifying and cleaning up risks, issues, and problems that would come up in a due diligence ex-ercise, so as to ensure that the business is appealing to prospective buyers and its value is maximized.
You may also want to consider taking measures to consolidate operations and po-tentially outsource responsibilities and functions. Although it is difficult to go down that road if your company has ac-cepted PPP funds and is required to bring back employees, that should not stop you from thinking about making changes once those obligations end. Anything that can be done now to make the balance sheet look better will help your ability to stay in business, as well as your company value.
Should My Company File for Bank-ruptcy? If So, When & What Type?
There are two primary types of busi-ness bankruptcy cases, Chapter 7 and Chapter 11. Below is a brief overview of Chapter 7 and Chapter 11.
Liquidation – Chapter 7 of the
Bankruptcy Code. Chapter 7 of the Bankruptcy Code provides for the orderly and equitable liquidation and distribution of non-exempt assets of the debtor. In ex-change, an “individual” debtor will receive a discharge. Corporations and partner-ships, which are not individuals under the Bankruptcy Code, do not receive dis-charges under Chapter 7. Instead, the cor-porate shell is left with debts, but no assets. A corporation seeking a discharge must file Chapter 11 and confirm a Chap-ter 11 plan.
At the commencement of a Chapter 7 case, a “panel” trustee is appointed by the Office of the United States Trustee (the “U.S. Trustee”) to serve as Chapter 7 trustee of the debtor’s bankruptcy estate. Pursuant to Section 704 of the Bankruptcy Code, the Chapter 7 trustee takes over full control of the debtor’s assets and is
charged with collecting and reducing to money the property of the debtor’s estate and closing such estate as expeditiously as is compatible with the best interests of the parties in interest. Where the debtor is a business entity, the trustee may seek au-thorization of the Bankruptcy Court to temporarily operate the debtor’s business if it would be in the best interest of the es-tate.
Reorganization - Chapter 11 of the
Bankruptcy Code. The purpose of Chap-ter 11 is to permit the debtor to continue to operate while it reorganizes its business and capital structure pursuant to a court-approved plan of reorganization. The Chapter 11 debtor is known as a “debtor in possession” because, unlike in a Chapter 7 case, the debtor remains in possession of the estate assets. Chapter 11 can also be used when management seeks to conduct an orderly liquidation of the debtor’s busi-ness, including a sale of substantially all of the debtor’s assets under a Chapter 11 plan or a sale outside of a plan pursuant to section 363 of the Bankruptcy Code, be-cause it avoids the appointment of a panel trustee and the “fire sale” climate. Whether used for a reorganization or a liq-uidation, Chapter 11 is a valuable tool that allows a debtor to preserve its business and thereby maximize value for all credi-tors. A highlight of some of the key provi-sions of Chapter 11 is below.
Procedural Overview of Chapter 11
Proceedings. The goal of a Chapter 11 case is the consensual confirmation of a plan of reorganization or plan of liquida-tion. As discussed in further detail below, Chapter 11 plans must satisfy the require-ments of the Bankruptcy Code to be ap-proved or “confirmed.” After the plan is confirmed, the debtor is required to make plan payments or distributions and is bound by the plan’s provisions. The con-firmed plan creates new contractual rights and can create, replace, or supersede pre-bankruptcy contractual rights. Both pre-petition and post-petition creditor claims are satisfied as set forth in the plan. Upon consummation of the plan, the debtor re-ceives a discharge of any debt that arose before the date of confirmation. However, confirmation of a Chapter 11 plan does not discharge the debtor if the plan is a liqui-dation plan.
Under Chapter 11, the debtor is au-thorized to and generally continues to op-erate the business in the ordinary course without bankruptcy court approval. Pur-suant to Section 1104 of the Bankruptcy Code, on the request of a party in interest, the court shall appoint a Chapter 11 trustee for cause, including fraud, dishon-esty, incompetence, or gross mismanage-ment, either before or after the bankruptcy filing, or where appointment of a trustee is in the best interest of the parties in in-terest. Generally, courts will not appoint a Chapter 11 trustee absent a showing of fraud or gross mismanagement.
Key Benefits of Chapter 11. There
are a number of significant benefits to
Chapter 11. Highlights of some of the key benefits are below:
The Automatic Stay: Debtors file for
bankruptcy protection for myriad reasons, but a principal reason is that the filing pro-vides the debtor with immediate protection from a wide variety of collection efforts to collect on debts that arose before the bank-ruptcy petition was filed. Pursuant to Sec-tion 362 of the Bankruptcy Code, the filing of a Chapter 7 or Chapter 11 bankruptcy petition (as well as petitions under certain other chapters of the Bankruptcy Code) op-erates as a stay, applicable to all entities, of a wide range of acts to collect on debts that arose before the bankruptcy petition was filed. The automatic stay is intended to provide a debtor with a breathing spell during its bankruptcy case. If a creditor vi-olates the automatic stay, a bankruptcy court may hold the creditor in contempt of court and award the debtor compensatory damages. In addition, where the violation is willful, the bankruptcy court may award punitive damages.
Sale-Related Provisions of Chapter
11: Although a debtor is authorized to op-erate its business, it may not sell, use, or lease property of the estate outside of the ordinary course of business without court approval. A sale of assets outside the ordi-nary course of business, including a sale of substantially all of a debtor’s assets, may be approved as part of a Chapter 11 plan under Section 1123 of the Bankruptcy Code or prior to a plan under Section 363 of the Bankruptcy Code. When assets are sold in bankruptcy, the assets are typically sold free and clear of all liens, claims, and interests with any liens and interests at-taching to the proceeds of the sale with the same priority they had at the time of the sale.
Advantages of Effectuating a Sale
through Chapter 11: There are a number of key advantages to effectuating a sale through a Chapter 11 bankruptcy process. In fact, many savvy buyers often require that a sale be effectuated through a Chap-ter 11 bankruptcy process to take advan-tage of these benefits. The most notable of these benefits include:
• A reduced risk of later challenges, in-cluding a fraudulent conveyance.
• This form of sales is favored by direc-tors who have no financial stake in the game.
• Assets can generally be sold free and clear of liens, claims and encum-brances (including successor liability claims) and over objections by share-holders and creditors.
• Executory contracts in default can be cured, assumed, and assigned, even if the contract provides otherwise (there are some exceptions, such as certain intellectual property contracts).
• Executory contracts can be rejected, which gives Purchasers the ability to “cherry-pick” which contracts they want to acquire.
• Avoidance of transfer taxes if sold through a plan, which can be a signif-
Continued on page 24
24 • TAXI & LIVERY TIMES • MAY 2021
icant benefit, especially where real es-tate is involved. Small Business Debtors - Subchap-
ter 5 of Chapter 11 of the Bankruptcy Code. Special rules also apply with respect to small business debtors. As of February 20, 2020, newly-enacted subchapter 5 of Chapter 11 became effective. Subchapter 5 modifies certain longstanding provisions of Chapter 11 with respect to certain small business bankruptcy cases. The recently-enacted rules applicable to small business debtors are very favorable to a debtor and debtors will try to find ways for the small business bankruptcy rules to be made ap-plicable to them. Subchapter 5 of Chapter 11 currently applies to debtors with aggre-gate non-contingent liquidated secured and unsecured debts not more than a spec-ified threshold. Until March 27, 2020, the threshold was approximately $2.7 million (excluding debts owed to insiders and af-filiates). However, on March 27, 2020, the CARES Act went into effect, which in-creased the threshold to $7.5 million. This increased threshold for the amount of debt to qualify for Subchapter 5 was scheduled to revert back to $2.7 million; however, the COVID-19 Bankruptcy Relief Extension Act of 2021 was enacted on March 27, 2021 and extended for one year. Therefore, eli-gible financially distressed businesses should give serious consideration to taking advantage of the new law before the pro-gram reverts back to the significantly-lower threshold in March 2022.
Differences/Benefits of Subchapter
5 over traditional Chapter 11: Subchap-ter 5 of Chapter 11 provides numerous ad-vantages when compared to a traditional Chapter 11 bankruptcy filing, including the following:
• The trustee will typically appoint a small business trustee, and there will be no creditors’ committee – which is more direct and avoids the costs of a creditors’ committee.
• In most cases, under Subchapter 5, the debtor transportation company will continue to manage the business oper-ations.
• In a Subchapter 5 case, the “absolute priority rule” does not apply, which generally requires that creditors be paid in the order of their priority. In-stead, Subchapter 5 allows equity holders to retain their equity even if unsecured creditors have not been paid in full.
• There is no obligation to use excess post-bankruptcy petition income for 3-5 years to fund plan payments to cred-itors if fully consensual.
• There is no obligation to employ and pay fees of Subchapter 5 trustee to make plan payments if fully consen-sual.
• Administrative Claims can be paid over time, rather than all at once upon plan confirmation, as is the case in a traditional chapter 11 case. This change will be of particular benefit to any transportation company-debtor
with significant administrative claims. • There also may be a greater ability to
pay contract and lease cure costs over time in connection with a contract and lease assumption. Procedural Benefits: There are also
several procedural differences/benefits of Subchapter 5 over traditional Chapter 11, including:
• There is no obligation to file a separate disclosure statement in connection with the Chapter 11 plan, which saves time and costs.
• The debtor retains exclusive ability to file and confirm a Chapter 11 plan and creditors have no ability to strip the debtor of that right. In a traditional Chapter 11, the debtor retains the ex-clusive right to file a plan for only a limited timeframe and other parties can attempt to shorten that time-frame.
• The trustee is accountable for all prop-erty received, will examine proofs of claim, controls plan distributions if nonconsensual plan, and has a fee equal to 5% of receipts.
• Unsecured creditors’ committees will be very rare in Subchapter 5 cases. The committee can result in consider-able cost savings given that a debtor typically pays for all of the fees and ex-penses of the Committee’s profession-als, including attorneys and financial advisors. Strategic Advantages: For Subchap-
ter 5 cases there are numerous strategic considerations for a transportation com-pany-debtor, including:
• The ability to pay down debt prior to a filing to become eligible for subchapter 5.
• The transportation company-debtor may spin off certain assets/liabilities into a separate legal entity in order to make one or both entities eligible for subchapter 5.
• There is a greater opportunity to pro-pose a sale of all assets to a favored party without a bidding process or creditor consent. Traditional Chapter 11 limits the ability of a debtor to do so under a chapter 11 plan because (i) creditors can seek to terminate plan exclusivity and submit a completing plan, and (ii) at least one impaired creditor class must approve the plan even when it is a “cram down” plan. Given the numerous substantive, pro-
cedural and strategic benefits that a Sub-chapter 5 bankruptcy case provides when compared to a tradition Chapter 11 case, transportation operators that are facing insurmountable debts may want to con-sider the Subchapter 5 option now since the more generous provisions that increase the debt limit to $7.5 million will expire – absent action by the Biden administration and Congress – on March 27, 2022.
What Do I Do Next? Join the Opportunity Registry
Last year, when the PPP loan deadline was extended to August 8, 2020, the trans-portation sector had some early help avail-able in the pandemic. Even so, with the diminished revenues continuing into 2021, we have seen some companies already shut operations or file for bankruptcy. The new funding for PPP loans (including the availability of a second draw), and the en-hancements to the other SBA loan pro-grams discussed above, can provide transportation companies some needed fi-nancial assistance. This may allow trans-portation companies to – at least temporarily – meet payroll and other costs to postpone any decision regarding a total closure or a bankruptcy filing. However, these are only stopgap measures and everyone must be thinking several steps ahead right now. If there is no comeback before the end of 2021, and if your business is not primed for buying, selling, or other options, it may be too late to start the process and your options will be limited.
As an alternative, and based upon the above, transportation companies may want to consider the merits of a merger/ac-quisition or sale, given that no one is able to adequately predict the market in the near-term. Even with a comprehensive vaccination program, work-travel habits may be altered for some time. So, the idea of adjusting business plans to account for the “new normal” should already be under-way. Many companies have already ar-rived at that fork in the road. They should take it – after applying for the PPP loans and other assistance – to travel the road into 2021, 2022, and beyond.
If your company is not involved in net-working with others and you feel like you are on an island – especially with many trade conferences not being able to be held in person this past year – you are NOT alone! Our firm represents large, small, and middle market mobility companies that are interested in buying, selling, merging, and engaging in partnerships with others in light of the new post-pan-demic economy. We keep a confidential in-ventory of clients and other contacts in the industry – which includes whether the company is interested in buying or selling, and what the parameters are – so that we can serve as matchmaker. Non-disclosure-agreements (NDAs) are typically issued, and given the extensive contacts we have around the country and the world, your deal could be waiting right here. There is no obligation to commit to anything, and all inquiries or expressions of interest will remain confidential. Just pick-up the phone, send an email, and help and oppor-tunity is on the way.
Professor Matthew W. Daus, Esq. is President, International Association of Transportation Reg-
ulators (http://iatr.global/); Transportation Technology Chair, City University of New York, Transportation Research Center at The City Col-lege of New York (http://www.utrc2.org/); and Partner and Chairman, Windels Marx Trans-
portation Practice Group (http://windelsmarx.com). He can be reached at
[email protected] or 212.237.1106.
Continued from page 23
MAY 2021 • TAXI & LIVERY TIMES • 25
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Memorial Day Weekend is May 31
• Memorial Day Weekend means police will be setting up DWI checkpoints across the tri-state area. Be patient if you are delayed by one. The police may be removing a drunk driver from the road, who could have endangered you and/or your passengers.
• Warmer weather and a holiday week-end mean you should use extra cau-tion where children may be playing (parks, playgrounds, fire hydrants, etc.).
• Warmer weather can trigger road rage incidents. Keep your vehicle cool so you do not fall victim to road rage. Other drivers are feeling the heat, too.
Bicycle Accidents • Always be prepared to take defensive,
evasive actions if you observe a bicy-cle. There are more bicycles on the street than ever before, which means more accidents – so be extra careful.
• Always respect bicycle lanes and a bi-cyclist’s right to use city streets.
• Bicyclists are supposed to obey the same traffic laws as motorists, but they often attempt dangerous maneu-vers. They may run red lights or stop signs, travel the wrong way on one-way streets, make sudden, unsafe turns, or pass vehicles on the right unsafely, among other unsafe and il-legal acts.
• Always check your side-view mirrors prior to unloading or loading a pas-senger to make sure a bicyclist isn’t attempting to pass in a narrow area.
• Black cars, medallion taxis, and FHVs may be targeted for fraudulent claims by bicyclists. Always call the police and make a report if you are in-volved in an incident or accident with a bicyclist. Do not leave the scene or you can be arrested, even if you know your vehicle didn’t make contact with the bicycle.
• If you are involved in an accident with a bicyclist working as a delivery per-son, please obtain the name of their employer.
Pothole Alert
• Always be on the lookout for potholes as temperatures rise, especially fol-lowing a heavy rain. Potholes can cause severe damage to your vehicle or even injure you and/or your pas-
sengers. • Maintain a slower speed than usual if
you see potholes. If you see a repair crew, there probably are a large num-ber of potholes nearby. Report the lo-cation of any particularly large or dangerous potholes to the Depart-ment of Transportation and your base, so other drivers can be alerted.
Preventive Maintenance • Preventive maintenance saves you
money and helps prevent accidents. • Always visually inspect your vehicle
prior to starting your work shift. Check for any loose metal, sharp edges or other unsafe items – and fix them.
• Maintain the tire pressure recom-mended in your owner’s manual to avoid blowouts. Do not attempt to get record mileage out of tires; it’s too dangerous.
• Always check your fluids (antifreeze, transmission, oil, power steering fluid, windshield wiper fluid) prior to your work shift. A breakdown in an unsafe area (highway or one-way street) can lead to a catastrophic ac-cident.
• Check your emergency blinkers and headlights prior to your work shift.
• Always keep a flashlight, screwdriver, and extra cell phone battery in your glove compartment.
• Always keep an extra set of dry cloth-ing, water, a blanket, and canned food in your trunk.
• Have your brakes checked with every oil change.
• Always check your hood latch prior to your work shift. If your hood flies open while you are driving, it can lead to a catastrophic accident.
• Keep a first aid kit in your vehicle. Open it periodically to make sure you know what each item is for and how to use it.
26 • TAXI & LIVERY TIMES • MAY 2021
DEFENSIVE DRIVING
Bertram Merling is the Loss Control Coordinator for Hereford Insurance Company. He welcomes your questions and comments, and can be reached at 718.361.9191 ext. 7235, or via email at [email protected]
BY BERTRAM MERLING • LOSS CONTROL COORDINATOR, HEREFORD INSURANCE COMPANY
SEASONAL TIPS: MEMORIAL DAY, BIKES, POTHOLES AND PREVENTATIVE MAINTENANCE
“LIKE” TAXI & LIVERY TIMES FOR BREAKING NEWS STORIES
MAY 2021 • TAXI & LIVERY TIMES • 27
THE FISHBOWL
As September came toward a close, the credit union was issued an information sub-poena by the FBI. An agent was assigned the case, and a week after the subpoena was issued, the agent came in person to collect the material. The material consisted mainly of transactions performed by Mr. Najran, loan documents, and miscellaneous data. The agent interviewed the in-house attorney, Charles D. Valvano, for about an hour, confirming the same basic infor-mation that I had given the lady on the phone only two weeks prior.
This certainly was not the first time the credit union received an information subpoena, so as a matter of course, there was a routine as-pect to the interview. Usually, crime investiga-tions, divorce cases, and money laundering were the causal events triggering these subpoe-nas. Never had we been issued a subpoena on a matter of urgent national security or terror-ism, however.
The FBI agent collected his data and went on his way, saying that if he needed anything else, he would call or return. We heard nothing for weeks. It was as if the case of Mr. Najran was a dead end.
On November 11, Veterans Day, there was a horrible plane crash in the Rockaways, a neighborhood near JFK airport. Many people perished in the crash and a few on the ground as well. I was at home that day, an off day for financial institutions since there is no mail de-livery on national holidays.
Of course, due to the nearness to Septem-ber 11th, there were suspicions that the crash may have been sabotage. This was never borne out by subsequent investigations.
At home, I had a house full of people. My wife was out working that day, and my children both had friends over playing, a total of about seven children in attendance. In addition, in the early afternoon, the two ladies who clean the house weekly came to perform their weekly rit-ual.
Around two o’clock, I noticed out of my liv-ing room picture window that two young men were striding up the sidewalk towards my house, and they bore no resemblance to Jeho-vah’s Witnesses. As they arrived at the front door, I eagerly intercepted them, and said, “What’s up fellas?”
Both men produced a business card, one saying Department of Treasury, ATF division, and the other man’s card said FBI agent. The only interesting item of note was that the name on the FBI’s card was distinctively Russian, Serge Kushner. I thought that it was a bit weird that the “Cold War” had ended only 10 years or so prior, and we are already hiring Russian FBI agents.
What do I know? Didn’t we hire German scientists during and immediately after World War II to beat the Soviet Union to the punch in our search for atomic weapon systems that would be superior to their systems?
I invited the two men in the house, and of-fered them a cup of coffee, which they politely declined. They informed me of the purpose of their visit. The visit was a direct result of my phone call to the FBI hotline only eight weeks before. And they wanted to review the informa-tion. So, I took them out on my porch and told them to fire away.
Their questions were somewhat pedestrian in both depth and breadth, and were basically a reiteration of the information I had given the hotline. The interview took a half-hour and they went on their way.
About a week later, the credit union re-ceived an information subpoena from the US Department of Treasury requesting the same information the FBI inquired about only months prior. That seemed weird, considering they had come to my house in tandem.
Then, about two weeks later, The US Attor-ney’s Office, a third jurisdiction, requested an information subpoena for the same stuff as the other two prior subpoenas.
It was becoming clear that the government didn’t know what they were doing. They were duplicating efforts to get to the bottom of their tips, that one hand didn’t know what the other hand was doing. A real dysfunctional family.
In January, Charles D Valvano, who was acting as the point man for all the requests for the different jurisdictional requests, received a follow-up phone call from the FBI agent who first contacted us in September. The FBI agent said he needed additional documents, maybe going further back in time from his original re-quest. Valvano told him that would not be a problem other than that our computer systems had storage that only went back as far as seven years. Then he asked the FBI agent why we had been inundated with all these different ju-risdictional requests for information regarding this same guy, Mr. Najran.
When the agent heard this, he blew a gas-ket. This was his case, he said, adding that he would be heading over to the credit union as soon as possible.
Within a week, he returned, this time with an associate agent from the FBI. They wanted to speak with me as well as with Mr. Valvano, so there we were, the four of us in Mr. Valvano’s office.
As the researcher was busy obtaining the additional information that they were request-ing, the FBI guys asked me a few questions re-garding the subject of their investigation, Mr. Najran. I told them all I knew, and then I asked them a question: “Did all this interest from the three different jurisdictions come as a result of my one little phone call?”
They shifted around in their seats a bit, and the lead FBI agent asked, “Did you guys ever do a Yahoo or a Google search on this guy?
No, we had never thought to do one – and considering that this was early 2002, it was not yet natural to do internet searches on people the way we do now. But, as the agent asked the question, Mr. Valvano did a Yahoo search… and BINGO!
It was as if the slot machine in the casino lit up. There were at least 30 different hits on this guy, Mr. Najran. Valvano told me to come take a look at this, as the FBI guys smirked.
Holy shit, the fucking mother lode, we thought. It turns out that our Mr. Najran was the UN Spokesman for the Taliban, the then government of Afghanistan, and the protector of Osama Bin-Laden.
Because they were not recognized as a le-gitimate government at the UN, they were not entitled to an ambassador. But clearly, they had a spokesman. Wow. Double WOW.
The agents also questioned us regarding what we knew about one of the taxi brokers in the business who received $250,000 from Mr. Najran. The broker was Pakistani, but always appeared to be just a normal businessman, and never seemed to have a political axe to grind. A friendly relationship, we had with him. And, he was running Mr. Najran’s medallions as a lease agent. That transaction could be innocent, but who knows in this subculture of international intrigue.
As the agents were preparing to leave, I asked a couple more questions. I asked what kind of charges Mr. Najran could possibly face, or would he end up like Al Capone and go to prison on tax evasion charges instead of mur-der, espionage, or racketeering. The agents an-swered that it was likely that tax charges would be pursued and sometimes it is the only avenue in which a conviction can be gained.
Then I asked one final question: “How are we going to know what happens in this case?”
The agent thought carefully about his an-swer and then responded, “Keep an eye on your newspaper, or tv… that’s the best I can tell ya.”
We shook hands, and for months heard nothing.
At the end of the workday, as I was return-ing home on my 45-minute trek, I started think-ing about that comment the agent made about keeping an eye on the papers and television.
And then, remnants of the 1960s paranoia struck. The FBI, especially under the Bush Ad-ministration, would probably not give out this story to any left-wing or centrist media. This was material more likely to fall into the hands of Fox News, or the NY Post, both of which were owned and controlled by Rupert Murdoch, and clearly a right-wing opportunist, hypocritically sensationalist in his journalistic tendencies.
I envisioned the headlines: Melrose Credit Union makes insider loans to Melrose Cab Corp to finance terrorism.
Of course, there wouldn’t be any relation-ship to the truth in the headline, but newspa-pers would be sold, and retractions might come after the fact. The damage, as they say, would already be done.
Our reputation could be jeopardized, and my fantasy of being a great patriotic hero would completely backfire. The whistle-blower would be victimized as the problem, not the solution.
It was a frightening and sobering thought. After all, we learned from our experiences of the ’60s and ’70s, institutional authorities were not to be trusted.
Check in next month for part VI.
TURF BATTLE
Larry Fisher entered the NYC transporta-tion industry in 1982 as a yellow taxi
driver, and has also worked as a black car driver.
In 1987, he became a lender for Progres-sive Credit Union, then took the position
of lending supervisor in 2003 for Melrose Credit Union – which he held until he retired in 2016. Currently, Mr. Fisher is a consultant for his own firm,
LAF Consulting Services Corp. He can be reached at: [email protected].
This is part V of a series that appears exclusively in Taxi & Livery Times.
BY LARRY FISHER
28 • TAXI & LIVERY TIMES • MAY 2021
THE TAXI ATTORNEYBY MICHAEL SPEVACK
Hello everybody… This month I want to talk about the legalization of marijuana in New York State and the TLC’s policy to-ward marijuana with its annual drug test.
By now, most people know that New York State legalized the use of recreational marijuana. Some aspects of the new law go into effect right away and some may take a year or more to phase in.
Please be advised that the TLC has in-formed me that effective April 15, 2021: TLC WILL NO LONGER TEST FOR MARIJUANA IN ITS YEARLY DRUG TEST. The TLC is also immediately drop-ping any current cases it is prosecuting re-garding marijuana use. This is true even if you failed the drug test prior to the le-galization of marijuana in NYS but have not yet been revoked by the TLC.
HOWEVER: If you were previously re-
voked for failing the annual drug test for marijuana, as of the writing of the article on April 15, 2021, you will remain revoked.
I believe that the TLC should allow drivers who previously were revoked for failing the annual drug test for marijuana use to get their TLC licenses back. How-ever, as of now, that is not the TLC’s plan. I hope that policy changes.
Please know that you cannot drive your TLC vehicle or any vehicle while high on marijuana and the TLC will seek to re-voke your TLC license if you are pulled over for driving stoned or buzzed. There is no threshold for marijuana, as there is for alcohol, so if there is any marijuana in your system and you are pulled over while driving you will get arrested. However, what you do on your own time is now not regulated by TLC drug test requirements
as MARIJUANA WILL NOT BE CONSID-ERED AN ILLEGAL DRUG by the TLC for its annual drug test.
Thank you for reading my article. Until next month and always, be well.
Michael Spevack is a 1992 graduate of NYU School of Law and has been a lawyer in good standing in New York State since 1993. He has been helping for-hire vehicle drivers in New York City since 1995, when he opened
his own law firm dedicated to “helping indi-viduals, not large corporations.” Mr. Spevack can be reached at 212.754.1011; he also wel-
comes visitors to his office at: 97-77 Queens Blvd, Suite 1120,
Rego Park, NY 11374.
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MAY 2021 • TAXI & LIVERY TIMES • 29
NEWSUBER ORDERED TO PAY $1.1 MILLION AWARD TO BLIND PASSENGER
Uber was ordered to pay in excess of $1 million to Lisa Irving, a blind Uber rider who brought a claim alleging 14 different incidents of discrimination by Uber drivers. Counsel for Ms. Irving said they believe this may be the largest award ever issued to a blind passenger for repeated driver violations of the Americans With Disabilities Act (ADA) – and they filed a petition to confirm the award in San Francisco Superior Court in April.
The suit was filed after Uber failed to remedy its drivers’ repeated refusals
to provide Ms. Irving (a San Francisco area woman) appropriate transporta-tion on the grounds of her blindness and use of a guide dog. In addition to refusal to provide rides, Uber’s drivers also abandoned Ms. Irving in dangerous places at late hours, verbally abused her (15 times in one instance), and even cut a trip short and falsely claimed she had been delivered to the destination she had specified. At various times, Ms. Irv-ing feared for her safety and was left in potentially life-threatening situations, she said.
The arbitrator in the case concluded: “Uber is liable for each of these inci-dents under the (Department of Justice) interpretation of the ADA, as well as due to Uber’s contractual supervision over its drivers and for its failure to pre-vent discrimination by properly train-ing its workers.”
There are an estimated one million blind people in the United States; roughly 5% of them are believed to work with guide dogs. Sources: Peiffer Wolf Carr Kane & Conway and www.eisingerlawfirm.com
TLC CHIEF SPARS WITH STATE AG AND CITY COMPTROLLER OVER MEDALLION BAILOUTS
Taxi & Limousine Commission (TLC) Chairwoman and Commissioner Aloysee Heredia Jarmoszuk told taxi medallion lenders on a March 31 confer-ence call that she doesn’t think the res-cue plan now working its way through the state Legislature would work. The yellow cab medallion bailout plan is cur-rently being supported by the state at-torney general and the city comptroller.
“The plan itself, at least sounded good, but was not implementable, and would create a myriad of issues and complications especially around foreclo-sures,” Jarmoszuk explained. “And the math just didn’t seem to work out.”
In March, the de Blasio administra-tion announced a plan to allow medal-lion owners to restructure their debt through a $20,000 loan and up to $9,000 in debt payment support through a $65 million fund provided by the federal government in the recent stimulus package.
“We want for this program to achieve meaningful reduction in princi-ple, reduced interest rates and extended amortization periods,” Jarmoszuk told at least six lenders during the confer-
ence call. Taxi drivers who owe more than
$200,000 on their depreciated medallion loan have questioned how $20,000 from the city would motivate any lender to reduce a larger debt amount.
“We need all parties, including all of you, to work together on these restruc-tured loans,” Jarmoszuk replied. “The city is actually committing funds. We’re not going to tell you how to value the medallion asset. We know there isn’t a one-size-fits-all solution for medallion debt.”
During the call, Jarmoszuk rejected the competing plan proposed by the New York Taxi Workers Alliance – and supported by both Attorney General Letitia James and Comptroller Scott Stringer – that calls on the city or the state to create a $125,000 price ceiling for the value of the medallion loan that could be amortized at 4% over 20 years so the medallion owners could pay $757 per month to the lenders.
“It sort of backed into a desired prin-cipal amount and mortgage payment that wasn’t mathematically based,” Jar-moszuk said. “I personally wasn’t able
to understand or explain how that plan would work.”
The attorney general’s office relayed to Crain’s in February that it believed the relief package proposed by the New York Taxi Workers Alliance was the best way to resolve the long-standing fiscal issues plaguing medallion owners.
“This proposal would provide a fis-cally fair and responsible way to sup-port the recovery of the taxi medallion industry by guaranteeing loans written down to no more than $125,000 – which is why I have been working with the city to approve it since last year,” James said.
Stringer also spoke in support of the alliance’s proposal during a March 4 hearing with members of the state Sen-ate.
“The New York Taxi Workers Al-liance has put forward what my office believes is a fiscally sound approach,” the comptroller said. “We have a finan-cial obligation to fix this, and I believe that embracing this plan is the best start.”
Source: Crain’s New York Business
SON VOWS TO CARRY ON DAD’S LEGACY AFTER TRAGIC DEATHIn a tragic second, Delfino Aparicio
Lopez was taken away from his family on April 19 by a stray bullet. The children of 46-year-old Taxi driver say they are proud to let everyone know who their father was.
“He was a selfless hardworking loving man that constantly thought of others,” his son, Ariel Aparicio said.
During a shift as a Taxi driver, Lopez was traveling along Handy Street near
Paul Robeson Boulevard when he was struck by a bullet. He died of his injuries hours later. Police say he wasn’t targeted; he was an innocent bystander who tragi-cally lost his life.
Police arrested 35-year-old Rhadisha Maurrasse on 1st-degree murder and gun charges.
Lopez worked hard to support his fam-ily. It was the most important thing to
him, his eldest son Ariel said, because he wanted his children to have a better life than he did. Ariel, who is 20-years old, is now a junior at Rutgers University where he majors in math and economics.
A GoFundMe page paid for his funeral and is helping to make sure Ariel and his siblings continue their education. By late April, it had grown to more than $13,000.
Source: ABC7 New York
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30 • TAXI & LIVERY TIMES • MAY 2021
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