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46 Guidebook for Developing and Managing Airport Contracts 5.2 Definitions Because ground transportation regulations must apply to various providers with different types of operations, a definitions section must be as detailed and complete as possible. Sponsors should define as many relevant terms as possible, even those which may be considered slang or colloquial. See CRP-CD-81 (enclosed herein), Appendix to Chapter 5, Ground Transportation Agreements, for definitions in the PIT Ground Transportation Rules & Regulations. 5.3 Critical Issues in Ground Transportation Issues critical for airport managers to consider when developing ground transportation con- tracts are as follows: Define purpose and areas served Compliance with local licensing Vehicle safety requirements and inspection Vehicle condition and appearance Driver requirements and appearance Permitting Compensation Enforcement Customer services Insurance 5.3.1 Define Purposes and Areas Served All modes of ground transportation may need to have a defined service area on-airport that restricts their movements to areas approved by airport management. These restrictions help an airport control vehicle traffic flow, as well as count trips made by these vehicles if their rate struc- ture includes a per trip fee. See CRP-CD-81 (enclosed herein), Appendix to Chapter 5, Ground Transportation Agreements, for excerpts from the PIT Ground Transportation Rules & Regulations designating the curb area for loading and unloading passengers. 5.3.2 Compliance with Local Licensing Operators of all transportation modes must comply with local ordinances with regard to driver's licenses, vehicle registrations, providing public transportation or transportation for hire, and permits. In some cases, licensing may be complicated in that multiple jurisdictions are served. See CRP-CD-81 (enclosed herein), Appendix to Chapter 5, Ground Transportation Agreements, for an excerpt from the PIT Ground Transportation Rules & Regulations addressing intrastate and interstate regulations. 5.3.3 Vehicle Safety Requirements and Inspection State or local regulations may control; otherwise the contract may set forth maintenance schedules or may provide for periodic inspections. See CRP-CD-81 (enclosed herein), Appendix to Chapter 5, Ground Transportation Agreements, for an excerpt from the SMF Ground Transportation Rules & Regulations regarding vehicle inspections.

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Ground Transportation Agreements 47 5.3.4 Vehicle Condition and Appearance Airport managers understand that for many deplaning passengers, the ground transportation system is one of the first opportunities for a visitor to form an impression of the airport and its community. To help ensure a positive impression, airports are now adopting more restrictive language regarding vehicle condition and appearance. See CRP-CD-81 (enclosed herein), Appendix to Chapter 5, Ground Transportation Agreements, for excerpts from the SMF Ground Transportation Rules & Regulations regarding vehicle appear- ance and vehicle standards. Another way to ensure good vehicle condition is to prohibit vehicles beyond a certain age from operating at the airport. Although it is difficult to place restrictions on the age of very large fleets, such as taxis, it is possible with small fleets such as those providing on-demand van service. Some airports have strict restrictions that vehicles be no more than a certain age. See CRP-CD-81 (enclosed herein), Appendix to Chapter 5, Ground Transportation Agreements, for excerpts from the JAX On-Demand Service Agreement requiring that the vehicles be no less than 3 years old. 5.3.5 Driver Requirements and Appearance Requirements for ground transportation drivers accessing the airport are also becoming more stringent. Some airports specify requirements for licensing and compliance with laws as well as customer service standards such as the following: Require drivers to comply with local laws and regulations as well as airport rules and regulations Require drivers to obey lawful orders and directions of airport law enforcement personnel and other airport officials Possess a valid state driver's license Be registered with the airport operation Understand the airport rules and regulations Be knowledgeable of local geography Be able to communicate with passengers Be courteous to the public at all times Solicitation of passengers Sale of other products No unattended vehicles No deception of the public Provide receipts Display schedule and rate information Credit card acceptance No solicitation of gratuities 5.3.6 Permitting For permit applications, the focus should be on obtaining as much information as reason- ably possible about the companies that would be operating on the airport. In addition to a busi- ness name, corporate officers, owners, and managers must be provided. Attached to a permit application should be all required insurance forms, driver and vehicle information forms, AVI forms, and government certification forms (as required). If the application is accompanied by a Route Sheet describing the proposed hours of service route scheduled for each day of the week, the sponsor can work with an operator to arrive at a schedule that can be accommodated at the airport.

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48 Guidebook for Developing and Managing Airport Contracts Also, requiring credit card information for billing purposes ensures a more consistent cash flow and allows regular billing of the operator for all AVI trips recorded. See CRP-CD-81 (enclosed herein), Appendix to Chapter 5, Ground Transportation Agreements, for excerpts from the CMH Permit Package and Ground Transportation Regulations. 5.3.7 Compensation Airports may receive compensation in the form of concession fees, permit fees, space rents, and/or percentages of revenues. Whenever possible, airports should incorporate technology in the form of an AVI or similar system, because it has been shown that the presence of these reveals significantly more trips to the ground transportation center occurring at the airport than are reported without one. The compensation system requires precise language in order to eliminate confusion for the operator as to how fees are calculated. See CRP-CD-81 (enclosed herein), Appendix to Chapter 5, Ground Transportation Agreements, for excerpts from the BWI Pre-Arranged Shuttle Agreement regarding reporting of gross revenues and the payment of percentage concession fees. 5.3.8 Enforcement Defining violations and enforcing mitigation and penalties can be very difficult without detailed language. See CRP-CD-81 (enclosed herein), Appendix to Chapter 5, Ground Transportation Agreements, for excerpts from the PIT Ground Transportation Rules and Regulations defining acts constitut- ing violations, procedures for issuance of notices of violation, hearings procedures, and penalties. 5.3.9 Customer Service Regardless of the type of service provided, there are various ways to use language in the regu- lations or a contract to ensure superior customer service. See CRP-CD-81 (enclosed herein), Appendix to Chapter 5, Ground Transportation Agreements, for excerpts from the JAX On-Demand Van Services Agreement defining service expectations. 5.3.10 Insurance Ground transportation operations present numerous possibilities for accidents or other events that require the involvement of insurance policies. It is critical that airports require every operator to maintain sufficient coverage. See CRP-CD-81 (enclosed herein), Appendix to Chapter 5, Ground Transportation Agreements, for an excerpt from the SMF Ground Transportation Rules & Regulations regarding insurance requirements.