State agencies cracking down on limousine industry

Wednesday, Aug. 6, 2003 | 9:48 a.m.

CARSON CITY -- Two government agencies are joining forces to crack down on rogue limousine operators in Clark County -- those who are not licensed, who undercut fares or who give kickbacks to lure customers away from taxicabs.

The agencies also will be looking for so-called "poacher" limousines that come in from other states and steal business from Nevada operators.

The state Transportation Services Agency and the Taxicab Authority will conduct the crackdown, officials said Tuesday.

The transportation agency has six investigators for 1,227 licensed limousines The agency has only limited police power and must also regulate household movers, towing companies and tour buses, according to chairwoman Sandra Lee Avants.

The Taxicab Authority has 37 investigators working in Clark County.

Charlie Frias, owner of A-NLV Cab and Las Vegas Limousine, applauded the move.

"The increase in enforcement efforts will better protect our industry from illegal operators who compete for fares without maintaining insurance or safe vehicles," Frias said.

Taxicab Authority Administrator Yvette Moore, Avants and TSA Commissioner Kimberly Maxson-Rushton met with regulators of the state Gaming Control Board last week, looking for support to deter hotel employees from seeking kickbacks from limo drivers to steer customers away from taxicabs.

Avants, who became chairman of the TSA three months ago, said this was the first step in getting a cooperative effort going to solve the problem. Her agency also regulates the taxicab industry outside of Clark County.

Testimony during the 2003 Legislature spotlighted the turmoil in the limousine industry. Transportation companies called for a moratorium on issuing new permits for limousines in Clark County. The call was rejected.

Instead, the Legislature passed a bill designed to slow the growth of the limousine business. Those that had applications already filed were allowed to process them before the TSA. Companies that file new applications would be limited to two limousines.

The new law also ordered a study, to be financed by the industry, on the possibility of setting up an allocation system of limousines, like the one in effect in the taxicab industry.

The new law also imposed a $100 annual fee on each limousine. Avants said she intends to use that money to hire additional investigators.