91-14UPN

Decision (Applicant claims “urgent public need”)
Application #
Trade Name (s)
Principals
Address
Current Licence
Application
Summary
Board Decision
91-14UPN Applicant Kalum Kabs Ltd.
Kalum Kabs
HALBAUER, Bryan James
4449 Lakelse Avenue, Terrace BC V8G 1P1
71936
Add reverse trip authority to Service 1
A. The panel is not satisfied that there is an urgent public need
for the service proposed in this application.
B. The application will be published.
Decision Date
Panel Chair
May 27, 2014
Brenda Brown
I.
Introduction & “Urgent Public Need” Request
The applicant is requesting authority to add reverse trip authority to its Service 1 of the terms
and conditions of its special authorization PT licence 71936. This would allow Kalum Kabs to
pick up passengers in Kitimat (and other locations in BC) and bring them to the Northwest
Regional Airport (YXT) or Terrace if the cost of the trip is billed to an active account that was
set up before the trip was arranged. The applicant also requested authorization to provide
services under a contract.
The principal and sole director, Bryan Halbauer, has owned and operated Kalum Kabs Ltd. since
August 2013. The applicant reports that due to the economic and industrial growth in the area,
the authorized taxi service in Kitimat, Kevin Barry dba Coastal Taxi (“Coastal Taxi”), is no longer
able to meet the demand of corporate clients in Kitimat.
The applicant holds a passenger transportation licence with 2 authorizations: General and
Special. Under its Special Authorization, Kalum Kabs is authorized to operate 19 taxis.
Passengers may originate in Terrace and points within 48 road kilometers from within the City
Page 1
of Terrace. This includes YXT. It may not pick up passengers outside its originating area.
Therefore, the company may only drop off passengers in Kitimat, not pick them up.
Under its General Authorization, the company currently operates two 15 passenger vans, and is
not restricted in where it can pick up and drop off passengers.
Two taxi companies are licensed to pick up passengers in Kitimat. Coastal Taxi is authorized to
provide taxi service with 13 vehicles within 33 kilometers of the District of Kitimat. It currently
is operating 12 taxis. With some limitations, Coastal Taxi may also pick up passengers at YXT
and take them to Kitimat. Christopher Knight is authorized to operate 1 vehicle within the
District of Kitimat only; no service can be provided to or from YXT.
II.
Relevant Legislation & Board Policy
Division 3 of the Passenger Transportation Act (the “Act”) applies to this application.
The Act requires the Registrar of Passenger Transportation to forward applications for Special
Authorization licences to the Passenger Transportation Board (Board).
The Act also requires the Board to publish notice of applications and consider submissions. If
the Board is satisfied that there is an “urgent public need for the service proposed in the
application” it does not need to publish the application or consider submissions.
Section 28(1) of the Act says that the Board may approve the application, if the Board considers
that:
(a) there is a public need for the service the applicant proposed to provide under any special
authorization.
(b) the applicant is a fit and proper person to provide that service and is capable of
providing that service, and
(c) the application, if granted, would promote sound economic conditions in the passenger
transportation business in British Columbia.
III.
Reasons
I will first examine the matter of “urgent public need”. If I find that there is an urgent public
need for the service, I will then consider the applicant’s fitness and whether approval of the
application will promote sound economic conditions in the transportation business.
Page 2
Application Decision
Passenger Transportation Board
If I do not find that there is an “urgent public need” for the service, the application will be
published and proceed through the regular process.
1. Is there an urgent public need for the service proposed in the application?
Board Policy
“Urgent” is relative to the public’s need, not the applicants. It is an exception to the public
process for considering applications. Applicants are expected to demonstrate to the board that
there is an urgent public need for the application to be processed without notice or
consideration of submissions.
In considering “urgent public need” the Board may consider such things as:
•
•
•
•
Whether other licensees are available to provide the service to the public
Whether there is a real public demand for the service
How the “urgency” came to exist
Whether any of the “urgency” was due to the applicants’ delay.
If the Board processes an application on the basis of “urgent public need”, it may impose a time
limit on the licence that is less than one year and may require an applicant to submit a full
application through regular Board processes.
The applicant supplied a list of 30 corporate clients requiring pick-ups in Kitimat. Each of the
clients listed has a charge account with Kalum Kabs. It provided a letter from one corporate
client who indicates that a contract is in place for transportation between Kitimat and the
Kitimat-Terrace airport. A copy of a contract with another Kitimat based corporate client was
also included that was signed in March, 2014.
The applicant further added that processing this application is an urgent matter as it has been
informed that 3 more camps are to open in the next few weeks. Each camp may be staffed by
over 6,000 workers, meaning a further 18,000 people in the area. These employees will require
reliable transportation between the Northwest Regional Airport (YXT) and Kitimat and camp
locations in the area. This creates the urgency as the applicant needs time to prepare for this
Page 3
Application Decision
Passenger Transportation Board
increase. The applicant noted that two trips from Kitimat had to be refused as the cover letter
for the application was being written.
The applicant claims that Coastal Taxi is also a client. When Coastal Taxi is unable to provide
service it will call Kalum Kabs to pick-up pre-booked clients. Kalum Kabs wants to “formalize”
the ability to do reverse pickups in Kitimat.
Board Analysis and Findings
Does an urgent public need exist for amending the current licence to add reverse trip authority
to serve corporate clients that have a contract with the applicant?
As indicated in the application material, the applicant has many contracts with corporate clients
that require pick-ups outside the originating area. However the origin of the contracts is
unclear. When and how were they negotiated? I find that any urgency has developed due, in
part, to the applicant’s delay in making this application or in entering into contracts prior to
obtaining appropriate authorization. I also note that there is an established taxi service in the
Kitimat area. There is no supporting documentation from Coastal Taxi supporting Kalum Kabs’
assertion that Coastal Taxi regularly calls Kalum Kabs to handle overflow business.
The applicant’s claims regarding the 3 planned camps are not supported with documents from
objective sources and it is not clear whether the camps exist yet.
I find that the application for the licence amendment to add reverse authority does not meet the
requirement of urgent public need.
Licence holders and other interested parties should have an opportunity to make submissions
on the application. I am instructing that the application be published and processed on a
priority basis.
I also note that Kalum Kabs has applied for a limited reverse trip authorization (i.e. limited by
the requirement to charge the trip to an established account). This would not authorize pick up
of any passengers unless they were already an account client of Kalum Kabs. An unlimited
reverse clause would allow Kalum Kabs to pick up client account passengers anywhere in its
destination area and take them to its originating area.
Page 4
Application Decision
Passenger Transportation Board
IV.
Conclusion
For the reasons above, this application will be published and proceed through the regular
application process.
Page 5
Application Decision
Passenger Transportation Board

Download Report