Renegade LV limo owner loses bid for licensing
Wednesday, Sept. 30, 1998 | 11:08 a.m.
The owner of a one-vehicle limousine company accused the Nevada Transportation Services Authority of kowtowing to existing operators after the panel dismissed his application for an intrastate permit.
But authority member Paul Christensen and its transportation manager, Dennis Colling, said John West of AAA Limousine Service of Las Vegas lost his licensing request Tuesday because he continuously missed deadlines for submittal of requested background information.
This is just the latest chapter in a simmering feud pitting small, independent limousine services against the year-old authority.
West is vice president of the Independent Limousine Owners/Operators Association, a group of uncertified Southern Nevada companies that has sued the state because it believes it is too difficult to get licensed. Members say the law protects existing large companies by allowing them to challenge applicants they deem unfit based on "public convenience and necessity."
"I have a license that covers me in 48 states that I received from the Federal Highway Administration," West said. "I can go to Hoover Dam but not the Mirage. I just think that's so ludicrous it's unbelievable."
West, who has operated his interstate business for two years, applied for an intrastate permit last September with plans to expand to 10 limousines. But some of Southern Nevada's largest limousine and taxicab companies filed petitions challenging his application. They claimed approval of West would adversely affect competition.
Richard Gull, general manager of Bell Trans and Presidential Limousine, wrote in one such petition: "Petitioners believe and allege that no demonstrable public benefit would result from the proposed service by applicant and that the result of granting the proposed authority would be a severe adverse economic impact upon these petitioners."
Earlier this month, the Sun reported Bell Trans objected to a proposal by a quadriplegic resident who sought a license for a limousine for other wheelchair-bound people. Bell Trans argued in that case it already provides similar services, even though it conceded none of its limousines can accommodate a wheelchair in the passenger compartment.
West strongly disagreed that the Southern Nevada market is already saturated with limousine services. He said Denver, which handles about 22 million airport passengers annually, has more than 70 licensed limousine services but that Las Vegas, with 30 million-plus visitors, has fewer than 10 companies.
"I get numerous calls from people who want local jobs (rides) because they can't find a limousine," West said. "This past Saturday I got over 30 calls. This is a very underserved market. When we have major conventions like COMDEX and the Consumer Electronics Show, they are so underserved we have cab lines that are four hours long."
West conceded he asked the authority to delay a July hearing on his application so he could gather more financial information on his company to appease opponents to his petition. But he said he decided against submitting additional information after his attorneys and accountants informed him he already provided the state with sufficient data.
But Colling said West missed a series of deadlines for submitting requested information, leading the authority's staff to recommend in August that his licensing application be dismissed.
"The argument is that every time we had a deadline to get information he never met them," Colling said. "What does that say about him being a good regulatory citizen if he can't comply with deadlines? Are they going to do this to their customers, show up late all the time?"
Likewise, Christensen said West had only himself to blame for what turned out to be a year-long hearing process.
"It just bothers me that people claim in court that I'm delaying hearings but they're the ones asking for continuances," Christensen said. "He never told us he wasn't going to send (new) financial information in to us."
The three-member Transportation Authority was created by the state Legislature in 1997 after lawmakers decided to divide the Public Service Commission into separate entities regulating transportation and utilities. The authority immediately made a priority out of cracking down on unlicensed limousine operators.
West and fellow independent operators have fought back but he said he wasn't sure whether he would reapply for an intrastate permit. Having already spent close to $15,000 in legal and consulting fees to apply for a permit, West said he likely will challenge the authority's action in Clark County District Court.
"The goal is to get the laws changed and to stop the harassment going on at this time," West said. "There is no one these people on the authority answer to. They are both judge and jury. The only recourse is to go to judicial review."
Christensen declined to offer an opinion on the fairness of existing laws.
"If they want to sue somebody, they should sue the Legislature for the laws," he said. "It's immaterial what I think."
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