LAX officials calling for more cab proposals

It’s back to the drawing board to decide who will manage taxi service at Los Angeles International Airport:

The airport agency’s board of commissioners voted unanimously Monday to reject both finalists’ contract bids, including that of the current taxi-oversight firm.

Officials who oversee LAX decided instead to seek new proposals, a process that could take about six months, in the meantime leaving the job in the hands of the current operator, Authorized Taxicab Supervision.

City Controller Laura Chick in a January 2007 audit found the company had mismanaged money and had not complied with workers’ compensation rules. Company officials disputed the audit’s findings, but airport officials decided last May to seek bids as a first step in possibly switching management firms before the contract with Authorized Taxicab expires in March 2011.

The contract can be terminated by either the firm or the airport commission with at least 30 days’ notice.

The commission’s 7-0 vote Monday came after two hours of contentious and emotional testimony from about 30 people, mostly taxi drivers. And they split almost evenly in their views about what kind of job Authorized Taxicab is doing.

“This has been one of the most painful meetings in a while,” said Commissioner Joseph Aredas. “Somewhere within all those comments lies the truth we have to find. I think there needs to be further investigation.”

Chick’s audit contended that the company handed out cash to managers of cab companies but couldn’t explain why, paid employees allegedly injured on the job but never filed the required reports with the state, and paid tens of thousands of dollars to lawyers and contractors without sufficient documentation of the services received.

Monday’s testimony illustrated the sharp divide between taxi drivers loyal to Authorized Taxicab and discontented others, who were rallied by the Los Angeles Taxi Workers Alliance.

Noah Ebner, a taxi driver who has worked under Authorized Taxicab at the airport for three years, called the company “a filthy disgrace” at the commission hearing. “The holding lot, where we wait to be dispatched from, is horrible. There are refugee camps that have better accommodations.”

Others said the company has treated them fairly and that they are proud of the clean taxis the firm requires them to maintain.

“There is always room for improvement, but don’t fix something that doesn’t seem broken,” said Boris Rozman, an 18-year taxi driver for L.A. Checker Cab Co.

For the last two decades, Authorized Taxicab and its predecessor agency have managed taxi operations of the nine licensed companies at LAX.

About 2,300 taxis are authorized to operate at the airport, picking up about 1.5 million passengers in 2007. Each time a cab enters the airport, LAX collects $2.50, a fee that generates $3.8 million annually for airport coffers.

LAX management officials recommended that the commission reject both finalists for a new contract -- DAJA International and Authorized Taxicab -- because they were not sure either proposal would improve service.

“We did not take the opportunity to step back and look comprehensively at the strategy that is being applied to how we run our land-side operations at the airport,” said Gina Marie Lindsey, executive director of Los Angeles World Airports, which oversees LAX and the city’s three other airports. “We owe the board that.”

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francisco.varaorta@ latimes.com