Agenda item

            The Committee considered the undernoted report:

 

“Relevant Background Information

 

      The Department of the Environment (DoE) is currently seeking views on proposals to introduce a new Bus Operator Licensing system in Northern Ireland. Currently the DoE through the Driver and Vehicle Agency (DVA) is responsible under the Transport Act (NI) 1967 for granting a Roads Service License (RSL) to passenger transport operators who wish to carry passengers by road for reward. The RSL applies to a vehicle (buses and minibuses) designed or adapted to carry nine or more passengers for hire or reward. 

 

      The Roads Service License is composed of two elements: fitness to operate within the industry and the routes or services operated by approved licence holders. Currently DoE and the Department for Regional Development (DRD) share responsibility for this area of Transport Policy. 

 

      The current Transport Act also provides for a permanent exemption from licensing through the 10B permit system. This system was introduced for voluntary groups carrying out a range of activities associated with education, religion, social welfare and other activities that benefit the community whereby permits can be issued by a range of designated bodies.  District councils along with Education and Library boards and Health and Social Services Boards are among the designated bodies that are entitled to grant permits in relation to the use of small buses under Section 10B of the Transport Act.

 

      Under the current shared responsibility the DoE has the powers to regulate the bus services industry in terms of the criteria that must be met to enter the industry (i.e. those applicable to the bus operator).

 

      The responsibility for controlling the routes and services that an operator can provide is carried out in consultation with the DRD.

 

      Under public transport reform it is proposed to separate the current powers over operators and the routes or services. The consultation document proposes that the DoE will retain the policy and legislative responsibility to license bus operators, based on their suitability, with the DRD taking over responsibility for the policy and legislation relating to the routes or services. Whilst the DRD intend to bring forward new legislation on services, it should be noted that it does not form part of this consultation.

 

Key Issues

 

      The consultation outlines proposals by DoE to replace the existing Roads Service License system. The Department aims to create a more modern bus operator licensing regime, which is flexible, transparent and supports fair competition.

 

      The Department has a number of options:

 

      Option 1 – Do nothing

 

      The DRD reform of public transport will remove the responsibility from DoE for the route/service element of bus licensing leaving the operator element and the 10B permit scheme to continue.

 

      Option 2 - A single licensing Regime

 

      Create a single licensing scheme for all. The existing operator licensing regime would be extended to cover all bodies currently operating under 10B.

 

      Option 3 – New 3 Tier Licensing Regime

 

      Tier 1 would be full bus operator licensing and would essentially take the same form and have largely similar requirements as the existing operator element to the roads service license. A full license would cover a bus operator for all potential commercial bus transport services.

 

      Tier 2 would make greater use of restricted operator licenses. An applicant would have to meet the same standards for operator ‘repute’, vehicle and driver licensing requirements necessary for a full license but les stringent financial and competence requirements. The Tier 2 license would restrict the operator to minibuses (9-16 passenger seats). These operators would be able to pay their drivers and cover their operating costs.

 

      Tier 3 would be a scheme with similar aims and objectives as 10B permits but would take the form of a license rather than an exemption. The applicant would be responsible for ensuring that repute requirements are met. The Department suggests that Groups operating appropriately within the 10B permit would be unlikely to notice any difference. Transport would be an ancillary activity for the group, not the main function.

 

      The Department has in the consultation document indicated that it would consider Option 3 to be the preferred solution.

 

      The consultation documents provide further detail in relation to Tier 3 – Voluntary Groups Operator License

 

-     Repute – an applicant would be responsible for ensuring that repute requirements are met.

-     Operating centre – operators must have a suitable operating centre to keep vehicles when they are not in use (vehicles are not permitted to be parked overnight on pubic roads)

 

      Vehicles requirements must:

 

-     have an appropriate vehicle test certificate

-     have a bus vehicle excise duty disc (TAX)

-     have appropriate insurance for their type of operation; and

-     be properly maintained.

 

      Drivers will also be required to have the appropriate category of driving license. Under the permit/license the voluntary groups can only transport their own members and cover the running costs.

 

      The draft Council response to Bus Operator Licensing is outlined in Appendix 1 and a summary is outlined below: 

 

-     The Council welcomes proposals to improve the bus licensing regime in Northern Ireland. This review should form part of a clear process to ensure effective regulation and enforcement of bus operations and services

 

-     The Council has concerns in relation to tour bus operators in BelfastCity Centre. Currently there are a number of operators in the city offering tours   and the apparently unregulated activity is contributing to a negative impression for city visitors. As part of the review of licensing both the number and operations of these service providers should be reviewed and monitored particularly in relation to parking and drop off and pick up.  

 

-     The Council consider that district councils should be consulted on new bus operator licensing, routes and services within their council area

 

-     The Council does not support the proposal for the Department to be the only body with the power to issue permits. Currently designated bodies can issue 10B permits, and District council along with Education and Library boards and Health and Social Services Boards

     

      are among the designated bodies that are entitled to grant permits in relation to the use of small buses under Section 10B of the Transport Act. The Council would request that this flexibility with appropriate guidance and processes remains an element of the system.

 

-     The Council would request clarification on the license cost and competency requirements for the voluntary group licensing permit. The Council would request that measures are in place to ensure that school, church and community groups are not adversely affected by the proposed Tier 3 option.

 

-     The Council would support proposals for enforcement action to be taken where an operator no longer fills the statutory requirements for holding a license; contravenes the conditions of the license; fails to keep any undertakings; uses an unauthorised operating centre; or incurs convictions or prohibitions

 

Recommendations

 

      Members are requested to consider and if appropriate endorse the content of the suggested response to the proposed bus operator licensing set out in Appendix 1.

 

Decision Tracking

 

      Further to agreement, that, if appropriate a response be submitted to the Department of Environment.

 

Timeline:  28 August 2010             Reporting Officer:  Shirley McCay

 

Key to Abbreviations

 

      Department of the Environment (DOE)

      Driver and Vehicle Agency (DVA)

      Roads Service License (RSL)

      Department for Regional Development  - DRD

Appendix 1

 

1.   Do you find Option 1 to be a feasible option for consideration?

 

      The Council recognises that the current bus licensing system needs improvement particularly in relation to service improvements, routes options and enforcement.

 

2.   Do you find Option 2 to be a feasible option for consideration?

 

      The Council would not support the creation of a single licensing scheme for all. This could adversely affect school, church and community groups who unlikely would to be able to meet any increase in financial or competence requirements.

 

3.   Do you find Option 3 to be a feasible option for consideration?

 

      The Council would support a 3 tier system but would request further clarification on the implications of this system for the voluntary bus operator license.

 

4.   Which of the 3 options do you believe to be most viable?

 

      The Council considers Option 3 as the most viable but would require further consideration of the proposals for the voluntary sector to provide assurances that groups and services are not adversely affected. 

 

      The Council have concerns in relation the requirement for voluntary bus operators to have suitable operating centres as this may not always be possible. Also the nature of community work often involves collaboration with other groups therefore the restriction that voluntary groups can only transport their own members appears untenable 

 

5.   In relation to option 3 – Do you agree with the requirements detailed in relation to Tier 1 applicants?

 

      Yes

 

6.   Do you agree with the requirements detailed in relation to Tier 2 applicants?

 

      Yes

 

7.   Do you agree with the requirements detailed in relation to Tier 3 applicants?

 

      The Council would request further clarification on the financial implications for Tier 3 applicants and provisions, to ensure services offered by voluntary groups are not adversely affected. 

 

8.   Do you agree with the proposal of separate carriage of alcohol on buses?

 

      Yes

 

9.   Do you agree that the Department will be the only body with the power to issue permits?

 

      The Council would not support the intention of the Department to bring all tiers of licensing under its control. The Council would suggest that tier 3 license/permit should be retained with a revised number of designated bodies. Designated bodies such as District council along with Education and library boards and Health and Social Services Boards should retain the function to grant permits in relation to the use of small buses for non profit making use.

 

      Currently there are a large number of designated bodies who have authority to issue small bus permits. The Council would support clear guidelines for designated bodies to issue the permit to ensure consistency.

 

10.Do you agree with the proposed five year review period?

 

      The Council considers that bus licenses should be reviewed regularly to ensure high quality services for the public.

 

11.Do you agree with the proposal in relation to variation of vehicles on a license, as long as the original authorised number is adhered to?

 

      Yes

 

12.Do you agree with the Departments proposal to publish notices of license application?

 

      The Council would support the publishing of licenses to inform the public on applications for a full, restricted or variation of the licence. However, the Council would request clarification on whether local councils will continue to be informed of roads service licenses and comments requested.  Clarification is also required in relation to the Council’s role as a statutory consultee. 

 

13.Do you agree that the listed bodies should have the ability to make objection on the grounds of fitness, finance and the professional competence of an operator, and environmental/general suitability of an operating centre? (Advertising of the application will afford the opportunity to bodies such as: a prescribed trade union or association, the PSNI, a District Council, DoE Planning Service, DoE NIEA, DRD Roads Service to make an objection to the grant of a license.) 

 

      Yes

 

14.Do you agree with owners/ occupiers in the vicinity of an operating centre would have the ability to make representation to the Department on environmental grounds?

 

      Yes

 

15.Do you agree that any person may complain about the suitability of an operating centre at any time during the license/permit validity?

 

      Yes

 

16.Do you agree with the factors considered in relation to suitability of an operating centre?

 

      Yes

 

17.Do you agree with the proposed conditions which may be applied to a license in relation to environmental conditions?

 

      Yes

 

18.Do you agree with the declaration required with the application form in relation to vehicle maintenance / servicing and compliance with traffic and transport related laws?

 

      The Council would support this undertaking to ensure good quality licensed vehicles. The Council would seek to ensure that mechanism and resources are in place for monitoring and enforcement. Consideration should be given to extending this undertaking to include service offered or conduct of staff – standards, equality etc

 

19.Do you agree with the public enquiry proposals?

 

      The Council would support powers for the Department to hold a public enquiry into an application for an Operators license and hear objections and representations. Clarification is needed on whether the views of councils will be sought in relation to enquires. 

 

20.Do you agree with the Departments proposal on disciplinary actions, and the powers to revoke, suspend or curtail licenses/permits as a result of this?

 

      The Council would support proposals for disciplinary action to be taken where an operator: no longer fills the statutory requirements for holding a license; contravenes the conditions of the license; fails to keep any undertakings; uses an unauthorised operating centre; or incurs convictions or prohibitions.

 

21.Do you agree with the Departments proposals on appeal procedures?

 

      Yes, the Council would support new procedures to allow an applicant or a license holder to appeal the decision of the Department.

 

22.Do you agree with the Departments introduces fees on a cost recovery basis?

 

      The Council has concerns that fees will apply to all the tiers including Voluntary Groups Operator License who operate on a non profit making basis. Clarification will be needed of fee levels and the appropriate level of costs associated with the operation, including appeals. .

 

23.Do you agree with the proposals in relation to impounding of vehicles?

 

      The Council would support the proposals to impound illegally operated buses.

 

24.Do you agree with proposals relating to the strengthening of on road enforcement?

 

      The Council would strongly support strengthening of enforcement procedures in particular in relation to contravention of parking restrictions and prohibitions. 

 

25.Do you agree that the Department must change the NI system of Bus Operator Licensing in order to bring it up to date so that it contributes to the provision of a fair and safe passenger transport industry?

 

      The Council would be generally supportive of the measures to improve the bus licensing system in Northern Ireland. However, the Council would recommend a precautionary approach to changes relating to bus services that operate under the current 10B permit. They offer a valuable service to the community and proposals to include small bus permits under the licensing framework should be subject to further consideration and consultation with the affected groups.”

 

            During discussion in the matter, several Members expressed the view that there was a need for tighter legislation in relation to bus operators and for the development of a charter to direct the way in which the companies provided their services.  In addition, the view was expressed that stringent legislation was required also for those companies offering tours throughout the City centre and the need for these to be regulated by the Northern Ireland Tourist Board to ensure consistency in the information which was being provided about the City, and the provision of high service standards, training and professionalism.

 

            Subject to the inclusion of the foregoing comments, the Committee approved the draft response.