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Hybrid Mandate for Taxis Reversed: Judge says Boston Rule Violated Act of Congress Owners no Longer Need to Buy New Cars by 2015

Hybrid Mandate for Taxis Reversed: Judge says Boston Rule Violated Act of Congress Owners no Longer Need to Buy New Cars by 2015

By: Jonathan Saltzman

A federal judge struck down yesterday a year-old rule requiring Boston cab owners to buy new energy-efficient hybrid cars by 2015, ruling that Mayor Thomas M. Menino’s initiative violated an act of Congress.

US District Court Judge William G. Young sided with taxi owners who had argued that the mandate to green the entire fleet of 1,825 licensed cabs would cost them thousands of dollars and put many out of business.

The city, Young wrote, had infringed on the Energy Policy and Conservation Act of 1975, which establishes fuel economy standards for vehicles and forbids local officials from setting up their own standards.

In an unusual introduction to his ruling, Young related that his 10-year-old grandson had heard arguments recently on the case and asked him: “Why can’t Boston do what it wants with its taxis? It’s for the environment.”

“The answer, Cam, is that the Congress of the United States, pursuing national goals it considers important, has forbidden Boston from taking this initiative on behalf of its citizens,” Young wrote.

The 17-page ruling, which resembled a recent decision by a federal judge in New York blocking a push for hybrid cabs there, delighted the Boston Taxi Owners Association, the plaintiffs.

“We think the judge made the right decision,” said Paul H. Merry, the association’s lawyer. “The cab operators have wanted from day one to support the city’s efforts to protect the environment. But those efforts need to be conducted in a way that does not deprive people of jobs.”

He said he suspects the city will appeal the ruling to the US Court of Appeals for the First Circuit, but hopes that the Menino administration will meet with cab drivers to discuss a less onerous way to improve fuel economy for taxis.

William F. Sinnott, the city’s corporation counsel, said he needs to talk with the Police Department’s Hackney Carriage Unit, which regulates the taxi industry, before he can say whether the city will appeal.

“We appreciate Judge Young’s thoughtful consideration of the issue,” Sinnott said. “We’re reviewing his memorandum and order, and we will meet with our clients shortly and assess our next steps.”

Sinnott said the city might agree to negotiate a settlement out of court, saying, “We’re always amenable to discussions.”

Merry said cab drivers might take steps to replace gas-guzzling taxis with more fuel-efficient cars if the city relaxes other rules it has recently imposed.

He said, for example, that some cab owners have had problems after installing required credit card machines in their vehicles. Some of the machines have malfunctioned, he said, requiring repairs that take hours or days.

“That costs people money,” Merry said.

Raphael Ophir, a Jamaica Plain plaintiff in the lawsuit, said he and other cab drivers favor the greening of the fleet. But they objected to a rule that they had to buy new hybrids, instead of less expensive used ones, and that said that other fuel-efficient cars were unacceptable.

“Let people choose what they are comfortable with,” said Ophir, 60, who owns three hackney medallions and leases them to several cab drivers. “If somebody wants to buy a hybrid, buy a hybrid. If someone wants to buy a regular Camry, buy a regular Camry.”

Supporters of the rule were undeterred by Young’s decision.

George Bachrach, president of the Environmental League of Massachusetts, said he hopes the city will appeal the decision or ask Congress to amend the federal law to allow local communities to impose fuel economy standards. If that fails, however, he said, market realities will ultimately result in a fleet of hybrid taxis.

“With or without government intervention, the taxi fleet will convert to energy-efficient vehicles,” said Bachrach, who testified at city hearings in support of the rule. “It’s in [cab drivers’] own economic interest.”

Menino and Police Commissioner Edward F. Davis announced the requirement for new hybrids last August as part of an effort to improve the condition of taxis. (The city also raised fares to among the highest in the nation to offset high gas prices.) Cab owners are required to replace taxis every six years to maintain the condition of the fleet.

Traditionally, most cabs in Boston are used Ford Crown Victorias, usually former police cars outfitted with new radios, partitions, and other taxi features. Cab drivers say they can buy such cars for as little as $4,000, although the city says the price ranges from $7,500 to $10,000.

After the new rule was adopted, cab owners pleaded unsuccessfully for the right to buy used hybrids or other fuel-efficient vehicles. That flexibility would save them money not only on the price of the vehicle, but also on the cost of insurance, which can run as high as $14,000 to $20,000 a year for a new Toyota Camry hybrid, cab owners said.

Two months ago, Boston cab drivers were buoyed when US District Court Judge Paul A. Crotty blocked a similar effort in New York. Those regulations promoted hybrid taxis by reducing the rates cab owners could charge drivers for leasing nonhybrid taxis. Mayor Michael R. Bloomberg has appealed.

Then, on July 23, Young granted the cab drivers’ request for a temporary injunction after Boston refused to hold off implementation of the plan while he considered whether the hybrid rule was legal.