Called a "Criteria for a Compromise solution," the SFCDA plan would:
- Maintain the principles of one driver per medallion and a minimum driving requirement of 800 hours per year.
- Continue to issue most medallions at no cost to those on the waiting list.
- Consider transferring a small number of medallions at a fixed rate with adjustments for inflation.
- Give drivers on The List the right to purchase (or decline to purchase) the transferred medallions on a first come first serve basis.
- Provide Low interest loans for the drivers as well as help in making a down payment on the loan.
- Insure that the fixed price be calculated in such a way that a new medallion holder would be able to increase his or her monthly income after making payments on the loan without working more than 40 hours per week.
- Guarantee that a percentage of any transfer fee would go to a driver's fund.
- Medallion holders who are 65, have held an A-Card for 20 years or have completed the driving requirement for 10 years would no longer have a driving requirement. This would put them in the same situation that Pre-K medallion holders have now.
- Medallion holder could retire by paying a flat monthly fee of no more than $500 a month. Part of the fee would be contributed to a driver's fund.
The "Drivers Investment Fund" would be created for the benefit of all drivers, not just medallion holders. It would be more like a stock or a bond than a pension plan and would help drivers to invest in their futures.
The details of the plan haven't been worked out but it would work "something like this."
- Each driver would contribute $5 per shift.
- This could come from a 25 cent drop increase on the meter.
- A percentage from the transfer of medallions could also be contributed to the fund.
- Retiring medallion holders might also contribute to the fund.
- A driver could cash out only after completing 5 years of the driving requirement within a 6 year period.
- Every driver would have an account and could cash out any time after completing their requirement.
- Once cashed out, a driver couldn't cash out again for another 5 years.
- 200 Retired MH = $1.2 million per year.
- 300 Retired MH = $1.8 million per year.
- 400 Retired MH = $2.4 million per year.