Des Plaines imposes moratorium on cab licenses

The Des Plaines City Council this week imposed a six-month moratorium on issuing any new taxicab licenses, a move that buys time to study how the planned casino will impact the city's demand for cabs.

Casino developer Midwest Gaming & Entertainment is conducting the study, and will report back to the city on how it has dealt with the demand for taxis at its other four casinos, City Attorney Dave Wiltse said.

“We really don't know yet how it's going to affect taxicab use in the community,” Wiltse said.

Construction of the $450 million Des Plaines casino and entertainment complex on a 20-acre site off Des Plaines River Road and Devon Avenue began last April. The casino is set to open in late July.

Fearing a proliferation of taxicabs after an influx of new license applications, the city council last March capped the number of taxicab licenses the city will issue yearly at 170.

At present, five registered cab companies — Rosemont, Horizon, American, 303 and Community — collectively operate that many cabs in town. The city has no limit on the number of cab companies allowed to operate or the number of licenses each company could obtain.

A city license entitles a cab to pick up fares in Des Plaines. A cab does not need a license to drop off a passenger within the city limits.

Wiltse said the moratorium would give city staff enough time to research the issue further and help prepare for how it would handle licensing and inspections. At the end of the moratorium — July 1 — staff may recommend changes to the current licensing ordinance.

City officials this week also authorized changing the licensing period from a calendar year to a July 1 through June 30 cycle. Police made the request in order to allow for a majority of inspections to be done during warmer months, Wiltse said.

Under the current ordinance, a company must submit an application to operate cabs in Des Plaines, then pass a background check reviewed by police department, city attorneys, and the city council.

After paying a $1,000 yearly fee, the company is issued a license and can then apply for individual cab licenses for an additional cost of $63 per cab. The city also established a $25 fine for cabdrivers who refuse to pick up seniors or disabled citizens. The fine doubles to $50 for a second offense.