Las Vegas Taxi Driver Blog and Forum

With the passage of the Constitutional Amendment changing Nevada’s minimum wage law, Nevada Labor Commissioner Michael Tanchek announced changes in requirements for minimum wage and overtime affecting Nevada employers.

“With the new law going into effect on November 28th, it is essential to get information concerning the changes out to employers as soon as possible,” Tanchek said.

The amendment sets up a two-tiered minimum wage system for Nevada. Employer’s who make a qualified health insurance plan available to their employees can pay a minimum wage of $5 .15 per hour.

Employers who don’t make a qualified plan available will have to pay at least $6.15 per hour. A qualified plan has to provide coverage for the employees and their dependents and the cost to the employee cannot exceed 10% of the employees gross taxable income.

The amendment increases the number of employees who are entitled to be paid minimum wage. According to Tanchek, the only exemption allowed under the new amendment is for employees who are under the age of eighteen who are employed by nonprofit organizations for after school or summer employment or employed as trainees for a period not longer than 90 days. Employers who hire employees who were previously exempt under the statutes will need to make the necessary payroll adjustments. Domestic service employees, outside salespersons, agricultural employees, taxicab and limousine drivers, and casual baby sitters will no longer be exempt from the minimum wage. In addition, the special minimum wage for severely handicapped persons with certificates issued by the Rehabilitation Division of the Department of Employment, Training and Rehabilitation was not included among the exemptions.

“While that amendment didn’t set any minimum wage for the after school, summer employment, or trainee exemption, the federal government does have such a rate and employers will still need to follow the federal guidelines for those employees,” Tanchek said.

Another significant change resulting from the new amendment is to increase the coverage of Nevada’s daily overtime requirement. Employee’s who are paid less than one and a half times the minimum wage must be paid overtime when they work more than eight hours in a work day.

Employees who are offered a qualifying health insurance plan will be entitled to daily overtime if they make $7.725 or less per hour. However, employees who are not offered a qualifying plan will have to be paid overtime on a daily basis if their hourly rate is less than $9.225 per hour.

“Now that the minimum wage is set by the people under the Constitution rather than the Labor Commissioner under the statutes, we need to follow the Constitution,” Tanchek said.

For more information, log on to www.leg.state.nv.us/NRS/NRS- 608.html

This article was originally published in the December 2006 edition of the Las vegas Taxicab trade magazine “Trip Sheet”.

Here are most of the rules you should know about Las Vegas Taxicabs.

• Taxi drivers must obey the passenger’s directions as it relates to route taken. “Long Hauling” occurs when a taxi driver takes the least direct route without the passenger’s permission.
• Use of the I-215 tunnel ( The TUNNEL) from McCarran airport is NEVER the shortest route to ANY Las Vegas Strip hotel. It maybe quicker, but it is never shorter to use the tunnel. If your driver asks if you would like the quick route, and you agree, he is in the right to use the tunnel, otherwise you are being long hauled without consent.
• All taxicab companies are required to maintain a lost-and-found Department for items left in taxicabs. Always make note of the Cab number when using a taxi in case you leave something behind.
• All passengers must wear a seat belt while in a taxicab.
• The maximum number of passengers permitted in a Las Vegas taxicab is five (5). Many cabs cannot hold more than 4 so let your Hotel doorman know your party’s size when requesting service.
• Nevada law requires Las Vegas taxicabs to have air conditioning and heat.
• Las Vegas taxi drivers are NEVER permitted to smoke if there are passengers in the taxicab. If you want to smoke in a taxi the driver must agree. You are allowed to take your open beer or cocktail on your ride in a taxi. Passengers who marinate in perfume should not use taxis, thank you.
• Taxi passengers can only be charged the amount shown on the taxi meter. Fares must be paid in US Currency. Two cab companies in Las Vegas accept credit cards (Desert and A Cab). If using one of the other 14 companies you will need cash to pay your fare and tip.
• Taxicab passengers CANNOT be charged for the loading/unloading or transporting of their luggage. However remember we are not a moving service and if you have excessive luggage or cargo from a Trade Show, seek the assistance of multiple cabs if possible. Tip extra and you should have no issues.
• Tips or gratuities to taxi drivers in Las Vegas are optional and NOT required. However the IRS (Internal Revenue Service) by agreement with Cab Companies taxes drivers on Tips and assumes the average patron is tipping 23% of the fare. For good service on the typical ride, tip between $3 and $5 and you will never have a pissed off cabbie. Drivers depend on Tips for upwards of 50% of their income so it is very important to us. For more on tipping refer to this article  “How much to tip a cab driver?”.
• “High Flagging” occurs when a taxi driver transports a passenger without engaging the taxi meter. These side deals may seem attractive, but doing so voids vehicle insurance coverage. Thus you are making taking the Biggest Gamble of your trip by agreeing to pay the driver off the meter. Don’t do it, it is not worth it and illegal.
• It is a crime to enter a Las Vegas taxicab without sufficient funds to pay the fare. This would also mean it is illegal to use a Taxi and expect to pay the meter by obtaining funds from a friend at the end of your trip. Your driver must agree to those terms at the start of the ride. If you do not tell your driver and he does not agree to these payment terms, you are committing a crime using a taxi without funds to pay the meter in your pocket.
• A Las Vegas taxi driver may refuse service, if a passenger gives no specific address or destination, is intoxicated to the point of being sick, or the person seeking transport appears to be a potential safety risk. A driver is in the wrong to deny transport based on excuses like, “they do not go there”, or “they are waiting on a legal taxi stand for a “personal”. If you feel the driver is discriminating against you, take note of the cab number and other details and file a complaint with Taxicab Authority. Nevada Taxicab Authority enforcement personnel are on duty 24 hours-a-day, 365 days-a-year. TA Cops are sworn officers and carry guns.
• A taxi passenger in Las Vegas must be given a completed receipt if they request one from the driver. The driver is only required to write the fare amount, date and cab number on a receipt.
• Baby seats are not required in Las Vegas taxicabs, but can be used if the passengers bring their own. It is against the Law for a child to ride in the front seat of a taxicab. Kids go in the back always.
• All Las Vegas taxis charge the same amount regardless of how many people are in the cab up to five passengers. The fare is for all. There is no by the head charges for taxis. If the taxi is being shared, the driver can reset the meter if different drop-offs result. This is unusual and parties usually work out payment and tip between themselves and the driver accepts one final commingled fare at the final destination.
• All fares originating from McCarran Airport pay an additional County Tax, currently between $1.20 and $1.80.
• For details on taxi rates refer to Las Vegas Taxi Fares.

There are approximately 7,800 licensed taxi drivers in Las Vegas. On a typical evening there are close to 2,000 taxis working Las Vegas, 95% of them working the four mile stretch known as the Strip.

There are approximately 3,100 vehicles in the Las Vegas taxi fleet. The Nevada Taxicab Authority has been in existence since 1969. TA is separate State Agency which does nothing but else but watch over the Las Vegas taxi Industry.

It’s that time of the Year again for MAGIC! one huge clothing show.Every August and February the fashion industry converges on Las Vegas for the most influential event in the business – the MAGIC Marketplace.

MAGIC International is a subsidiary of Advanstar Communications, the world’s largest and most widely recognized organizer of trade shows for the apparel industry producing the MAGIC Marketplace in Las Vegas featuring MAGIC, WWDMAGIC, MAGIC kids and Sourcing at MAGIC as well as sister shows PROJECT and POOL.

MAGIC Marketplace

Monday - Wednesday
August 25 - August 27, 2008
Sourcing begins Sunday, August 24th at 10:00 AM
Hours:  8:00 AM-6:00 PM

Las Vegas Convention Center

3150 Paradise Road
Las Vegas, NV 89109

Las Vegas Hilton
3000 Paradise Road
Las Vegas, NV 89109

The MAGIC Marketplace consists of:
MAGIC
Men’s Apparel, Footwear and Accessories
Central and South Halls, Las Vegas Convention Center

WWDMAGIC
Women’s Apparel, Footwear and Accessories
North Hall, Las Vegas Convention Center & the Las Vegas Hilton

MAGIC kids
Children’s Apparel, Footwear and Accessories
North Hall, Las Vegas Convention Center

Sourcing at MAGIC
International Apparel Contract Manufacturers,
Fabric & Trim Manufacturers, and Service Providers
South Hall, First Level, Las Vegas Convention Center

The August MAGIC Convention is the first in the new 3 day format. Sister shows Project and Pool run concurrently. In addition to moving to a more efficient three-day format, this year MAGIC also implemented a number of other show improvements, including:

• Organizing three market-specific (women’s, men’s and streetwear) events on show site for targeted networking opportunities.
• Offering new exhibitor seminars in 2008 to help them maximize the MAGIC experience;
• Presenting an on-show-site new buyer seminar to help retailers navigate the show floor and introduce them to MAGIC’s retail relations team; and
• Hosting regional meet and greet events for exhibitors and retailers.
• MAGIC will continue to attract retailers with existing services that no other trade show matches, including: a strong Retail Relations team, a President’s Club and a Buyer’s Suite.

Nevada Taxicab Authority has allocated an extra 150 or so taxis to service the show.

Copy of Original Document: Letter to Las Vegas Hotels concerning their part in Illegal Limousine Solicitation Activities.

STATE OF NEVADA
DEPARTMENT OF BUSINESS AND INDUSTRY
OFFICE OF THE DIRECTOR

June 27, 2008

Robert Goldstein, President
Venetian & Palazzo Resort Hotel Casinos
3355 Las Vegas Blvd. South
Las Vegas, NV 89109

Re: Resort Property Doormen

Dear Mr. Goldstein,

The purpose of this letter is to apprise you of future regulatory enforcement actions that may affect employees who work within your property’s valet parking and transportation areas.

As you are probably aware, the Nevada Taxicab Authority (TA) regulates the taxicab industry within  Clark  County  and  the  Nevada  Transportation  Authority  (NTA)  regulates,  among  other things, the charter limousine industry statewide.  The two agencies have entered into a cooperative agreement in an effort to combat a sharp increase in unlawful activity including, but not limited to: soliciting passengers in violation of Nevada Administrative Code 706.228, charging non-approved tariff rates in violation of Nevada Administrative Code 706.329, and unlawfully operating as a “broker” of transportation as defined by Nevada Revised Statutes 706.021.

The  NTA  and  TA  have  observed  and/or  received  complaints  concerning  the  aforementioned violations occurring at your property.  Of particular concern is the prevalence of unlawful broker activity.  The observed increase in unlawful conduct in and around passenger loading areas is at minimum  facilitated—and  often  coordinated—by  property  staff.    Passenger  loading  zone coordinators and in particular, doormen, direct passengers to certain limousine and taxicab drivers. In return, the drivers provide “kickbacks” for such business referrals.  This activity is expressly forbidden by the Nevada Administrative Code and Nevada Revised Statutes.  Accordingly, the NTA and TA intend to fulfill our statutory and regulatory duty to issue citations to the individuals who have committed—and continue to commit—these violations.

Please be advised that enforcement officers from the TA and NTA have been instructed to issue a verbal  warning  upon  the  first  instance  that  an  individual  is  observed  unlawfully  brokering transportation services.  A citation will be issued to the individual upon a second or subsequent alleged violation.

We appreciate your time with respect to this matter.  Should you have any questions, please do not hesitate to contact either Taxicab Authority Chief of Enforcement, Joe Dahlia at (702) 668-4000 or Nevada Transportation Authority Chief of Enforcement, Mike Bradford at (702) 486-3303, at your convenience.

Kind Regards,
Mendy K. Elliott, Director
Department of Business and Industry
Andrew J. MacKay, Chairman
Nevada Transportation Authority
Gordon Walker, Administrator
Nevada Taxicab Authority

What is it?

Answer: The inflated hotel room Occupancy Rates.

Occupancy Rates

of selected Resort destinations

Before the Mega Resort Era (pre- 1992), Las Vegas Hotel Occupancy Rates averaged around 80%. So why the double-digit increase in the last 16 years?

Why do occupancy rates in Las Vegas average above 90%? I am not sure why as this issue is a guarded secret, but I can speculate from the statistical evidence and experience the occupancy inflation is the result of adding in rooms not actually being paid for at normal rates, if at all, in the total rented figures.

Complimentary (free) rooms, deep discounted rooms, promotional incentives, upgrades, and other programs which sets aside banks of rooms for VIPs are booked as rented when they likely go empty. I would estimate looking at the figures, at least 12% of all Las Vegas Hotel rooms fall into this marketing category. Booked as occupied, but other than high demand nights, clearly are devoid of actual human guests.

So what if Las Vegas Hotels hold back 10% to 15% of their rooms for high-rollers and other VIPs who may or may not be in town? Why would this be an issue?

The problem with this practice, this intentional inflating of the Occupancy Rates, is that other parties beyond the Hotel Industry may and do rely upon accurate usage figures when assigning service levels, setting price levels and projecting tax revenue streams for their products and services.

State and local Governments, working with the Las Vegas Convention and Visitor’s Authority, tax room rates between 9 and 11%. These tax revenues are split 50-50 between the LVCVA and Nevada Government. LVCVA uses the money to promote Las Vegas and run Convention Centers. Governments build and operate roads, sewers, schools and libraries with their share. The amount split is nearing $500 million dollars annually.

When a false shortage is created from inflated occupancy rates, Hotels can command a higher average room rate. That increases tax revenues along with hotel profits across all their offerings including rooms and all other attractions. I would submit the Biggest Scam in Las Vegas is the manufactured belief there is a big shortage of rooms. With the belief by Vegas visitors that everything is in high demand and everything is in short supply, prices across the board can be raised, and are. If you get visitors believing rooms are tight, it is not hard to imagine a $10 bottle of beer, or a $100 show.

I do not think it is a stretch to see how this false occupancy issue has contributed to the biggest Real Estate Bubble in the United States. Las Vegas property values have dropped an average of 30% this year. The Strip alone has many Condominium projects which are easily 80% vacant because many relied upon what is little more than a fictional picture of demand and supply when building new projects. The Real Estate decline is steepest in Las Vegas because of this demand myth created by the Hotels and the LVCVA.

The LVCVA has an advertising budget close to $90 million dollars which it uses to promote a climate of scarcity wrapped in a cloud of secrecy.

I am a Las Vegas Taxi Driver who operates in a business environment which can simply be called saturated.

Maybe you have heard this from Vegas cabbie…”too many cabs!” or seen news reports of a cabbie protests over “too many cabs!”. I estimate at any given time of day, there are twice 2x as many cabs on the street than there is business to support them. I would submit this is because the regulatory agency which determines the number of the taxis on the street (Taxicab Authority), relies upon the false occupancy rates being churned out by the Hotels and LVCVA. They allocate cabs based on occupancy rates which do not reflect actual real visitors.

The cabs are real, invisible non-existent riders are not.

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