What happened to the CAB SERVICE we loved?
It was the culmination of many, many factors. Essentially; PennDOT killed it.
But don't worry: we still provide service to PHL, Newark, JFK, and all airports in the Northeast!
In fact, we've actually upgraded. Discover all the new advantages of booking with us here.
END RESULT: $188,000 in Lost Revenue and CHOKED by Stagnant Rates
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We've asked for a rate increase every year; every year we were denied. The LAST time our rates were raised was 2005! Even then it only went from $25 per passenger to $25.50.
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In 2008 they did raise the subsidization rate; for EVERY trip BUT airport trips.
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From an email in June 2017 from PennDOT they stated that "we do not limit trip purpose" but also that "the airport service is a luxury."
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In 2014, they mandated the use of a new software program that was not compatible with our business. That resulted in a loss in revenue of $170,000 per year. It was NOT a "local decision" as they state. It was because the software they mandated we use was not compatible with our business model.
END RESULT:
$51,000 EXPENSE INCREASE
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When PENNDOT decided that ALL of the calls for Senior Shared Ride had to go through ROVER, things got messy.
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Seniors were confused about who to call. ROVER had much longer hold times, and the call center was only open from 7-4 every day and never on the weekends.
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While this is not ROVERS' fault: they charged us to take the calls we used to take ourselves (and still do since they are transferred to us.)
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At first, this was 7% of our total Shared Ride Revenue, or about $26,000 a year.
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In 2018, ROVER said it was costing them more than they thought to take our calls. They stood firm on an increase to 13%, or about $51,000 a year.
END RESULT: $27,000 EXPENSE INCREASE
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INSURANCE: Chester County mandated that we carry a $1 MIllion Dollar Policy, which is insanity. The minimum for cab companies in PA is $35,000.
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As a result, the insurance on each of our cabs was about $3,000 more per car than it would/should have been if Chester County didn't demand such an overabundance of coverage.
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We asked them to reduce it many, many times; we were denied.
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Math:
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