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Cab company assailed over lobbying tactics

Driver says he was offered lease discount to phone lawmakers

Published March 29, 2007 at midnight

An independent Yellow Cab driver says a supervisor offered him and other cabbies up to $110 if they'd call state lawmakers and urge them to kill a taxi deregulation bill up for a hearing today.

In a sworn statement, Yellow Cab driver Mengisteab Desta said a supervisor offered to knock off two days of lease fees for drivers who called lawmakers.

A company executive Wednesday denied cabbies were offered payment.

The allegation hits as the House Transportation and Energy Committee votes on House Bill 1114 this morning.

Meanwhile, a political watchdog group says it will ask the secretary of state to investigate whether Yellow Cab paid drivers to call lawmakers in violation of lobbyist registration laws.

Failing to register as a lobbyist is a misdemeanor with a maximum punishment of a year in jail and a $5,000 fine.

"Our concern is that Yellow Cab is using its leverage with its cab drivers to pressure them to call legislators and oppose the bill - regardless of whether they believe it's a good thing or not," said Chantell Taylor, director of Colorado Citizens for Ethics in Government. "It appears to be an end run around state lobbyist registration requirements."

Denver Yellow Cab President Brad Whittle said the firm's independent contractor drivers were encouraged to call key committee members. But he rejected claims that drivers were given discounts on leases they pay to drive under the Yellow Cab name or to rent vehicles.

"It sounds pretty outlandish," Whittle said. "I don't think we'd be in business very long if we offered free weeks or free days to our drivers to make phone calls."

Sponsored by Rep. Jerry Frangas, D-Denver, HB 1114 would require the state Public Utilities Commission to issue unlimited operating certificates to taxi firms as long as they meet certain standards. Companies would also be required to charge reasonable fares and offer accessible cabs for the disabled.

Desta, who supports the bill, said his supervisor showed him a one-page "Driver Script for Calling Representatives" and offered to reduce his lease fees if he agreed to call lawmakers.

Desta said he refused, but said he saw about five drivers making the phone calls at the firm's Denver headquarters.

Whittle acknowledged his drivers use a written lobbying script, but added that so do independent drivers who belong to Pro Taxi, an alliance of 400 cabbies pushing for industry deregulation.

House Bill 1114

Sponsored by Rep. Jerry Frangas, D-Denver, who says he wants to improve cab service in Denver. The bill would open up competition in the industry, now dominated by three companies. The bill would require the state to issue unlimited licenses to taxi firms as long as they meet safety, insurance and service standards and charge reasonable fares.

Talking points

Examples from the script Yellow Cab gave cabbies to lobby lawmakers to "Please vote NO on (House Bill) 1114." They were asked to pick one of six talking points.

"If taxis are deregulated, the wait at the airport for a trip could go from two to three hours to five to six hours! Why would anyone want that?"

"The current system works - it's not perfect, but it works. Please don't fix something that is not broken."

"When taxis are deregulated, the senior needing to go to the grocery store or the doctor appointment will be the trip that doesn't get taken. There will be plenty (of taxis) in line for the airport trips, which are very profitable."

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