Las Vegas Limousines - Whitepaper


Southern Nevada's independent limousine operators are being driven out of business by an unfair and irrational state-imposed licensing system. These drivers have spotless driving records, and they operate safe, insured, and inspected vehicles. Yet despite meeting every objective requirement to open a business, Nevada's Transportation Services Authority ("TSA") refuses to issue these drivers licenses to operate.

Under the current anti-competitive law, an applicant has to show his business will not adversely affect any existing company. In other words, any new company has to prove that it won't compete with existing companies. Denied state licenses, these would-be entrepreneurs are regularly subjected to enormous fines (up to $22,000), vehicle impoundments, and even criminal prosecutions.

What we want is to open entry into the Southern Nevada limousine industry to anyone who is fit and able to operate safely. Nevada state government should keep the regulations that protect the riding public, but it should remove language that allows the TSA to keep out new competition in Nevada's limousine industry. To accomplish this, the current licensing regime needs only to be amended as follows:

1.) Remove requirement that applicants prove no adverse affect to competitors.

2.) Remove the right of competing companies to intervene in the application process and defeat qualified applicants.

3.) Create a presumption in favor of granting licenses, creating an objective system that presumes an applicant will be granted a certificate upon proof of adequate insurance, satisfactory completion of a vehicle inspection, and a clean driving record.

4.) Remove power to immediately impound vehicles for alleged violation.

5.) Remove anti-competition language from declaration of legislative purpose.

The above presents an opportunity for Nevada to showcase how it is removing government-imposed barriers to honest enterprise. This would encourage those drivers who want to work within the system, while still allowing state regulators to crack down on unsafe, unscrupulous drivers.

Without these changes Southern Nevadan's are relegated to a system that neither serves the interests of the riding public nor protects the rights of honest would-be entrepreneurs. Nevada's transportation industry will continue to suffer numerous consumer complaints of poor quality service, long waiting times, and lack of choice.

With these changes Southern Nevada's limousine industry will experience a renaissance that will result in vast consumer choice, higher quality service, lower waiting times, and satisfied customers all of which will be provided under safe, regulated conditions.

Nevada's legislators owe it to their constituents to provide this vastly improved and efficient system especially when it comes at such a small price. All that is required is to remove the anti-competitive shackles of the past and allow the people to do what they do best-to choose those services that best meet their needs.

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