VEHICLE PERMIT

Houston Code of Ordinances ch. 46, art. II, div. 2

in effect

Houston Code of Ordinances § 46-61 Definitions.

Sec. 46-61. - Definitions. As used in this division, the following words and terms shall have the meanings assigned to them in this section: Operator means the person who is or will be principally in charge of the day-to-day operations of a permittee or applicant for a permit. Principal means the operator and also includes in the case of a proprietorship the proprietor and proprietor's spouse, in the case of a partnership each partner, and in the case of a corporation each corporate officer or director. For any other form of entity, the term shall include the equivalent persons as determined by the director. (Ord. No. 2014-754, § 2(Exh. A), 8-6-2014; Ord. No. 2019-669, § 25, 9-4-2019)

Houston Code of Ordinances § 46-62 Required.

Sec. 46-62. - Required. (a) It shall be unlawful for any person to operate or drive or cause to be operated or driven any taxicab upon and over the streets of the city unless a current permit has been issued for the taxicab by the director in accordance with this article. (b) It is an affirmative defense to prosecution under this section that the taxicab is not being operated for the purpose of serving any passenger in exchange for consideration unless the trip originated in a jurisdiction outside the city in which the taxicab is operated in compliance with all applicable laws. The provisions of this section shall not be construed to authorize a taxicab from another jurisdiction to originate any passenger service trip within the city. (Ord. No. 2014-754, § 2(Exh. A), 8-6-2014)

Houston Code of Ordinances § 46-63 Reserved.

Houston Code of Ordinances § 46-64 Application for permit—Form.

Sec. 46-64. - Application for permit—Form. (a) An application for a permit shall be submitted on forms to be furnished by the director and the applicant shall furnish the following information with each application, which shall be sworn to before a notary public or conform to minimum state law requirements for unsworn declarations: (1) The applicant's name, mailing address (and street address if different), and telephone number (which information a permittee shall keep current); (2) The name and form of business under which the service will be operated (if a partnership or corporation, a copy of the partnership agreement or articles of incorporation must be attached). (3) Criminal history information for every principal as required by the director to determine compliance with section 1-10 of this Code. (4) Evidence that the applicant has a place of business within the metropolitan area from which the applicant's taxicab business is or will be operated and that use of the proposed location is in compliance with any applicable deed restrictions. (5) Evidence that the operator is either a United States citizen or an alien legally residing in the United States with the legal right to engage in employment in the United States. (6) Any additional information that may be reasonably requested by the director. Each application shall be accompanied by an application filing fee. The filing fee established by city council is stated in the city fee schedule and is not subject to the annual fee increase established in section 1-13 of this Code. The application filing fee is non-refundable. (Ord. No. 2014-754, § 2(Exh. A), 8-6-2014; Ord. No. 2019-669, § 27, 9-4-2019; Ord. No. 2021-804, § 9, 9-15-2021)

Houston Code of Ordinances § 46-65 Permit issuance procedure.

Sec. 46-65. - Permit issuance procedure. (a) The director shall initially review each application for issuance or amendment of a permit to determine whether the application is complete and all required information has been provided. If not, the director shall return the application and advise the applicant of the deficiencies. (b) The director shall review complete applications to determine whether the applicant has met all applicable requirements of this article and of other applicable provisions, including section 1-10 of this Code. If so, the director shall issue the permit without conducting a hearing. If, based upon the review, the director determines that one or more requirements may not have been met, the director shall afford the applicant the right to a hearing before acting on the application. (c) Prior to the denial of an application, the director shall afford the applicant notice of the proposed grounds for denial and that the applicant may, within 15 business days following the date of deposit of the notice in the mail request a hearing. Where the grounds are based in whole or in part upon section 1-10 of this Code, the hearing shall conform to the requirements of section 1-9 of this Code with respect to those grounds. (d) In the event that the director approves the permit, issuance shall be subject to compliance with this article, including, but not limited to, payment of any required fees, inspection of vehicles to be utilized, and submission of proof of insurance. (e) A permit does not entitle the permittee to act as the driver of covered vehicles. A separate license is required for that purpose pursuant to sections 46-14 and 46-15 of this Code. (Ord. No. 2014-754, § 2(Exh. A), 8-6-2014; Ord. No. 2016-736, § 19, 10-5-2016; Ord. No. 2019-669, § 28, 9-4-2019; Ord. No. 2021-804, § 9, 9-15-2021)

Houston Code of Ordinances § 46-66 Transfer of permit.

Sec. 46-66. - Transfer of permit. A permit initially applied for on or after the effective date of this ordinance may not be transferred. (Ord. No. 2014-754, § 2(Exh. A), 8-6-2014; Ord. No. 2016-736, § 20, 10-5-2016; Ord. No. 2019-669, § 29, 9-4-2019; Ord. No. 2021-804, § 10, 9-15-2021)

Houston Code of Ordinances § 46-67 Insurance as prerequisite.

Sec. 46-67. - Insurance as prerequisite. (a) Before any taxicab permit shall be issued to any person, or before renewal of any permit shall be granted, the applicant shall file an insurance policy evidencing insurance coverage complying with the requirements contained in subsection (b) below or give proof that he has qualified as a self-insurer, as the term is defined in the Texas Motor Vehicle Safety Responsibility Act as now in force or hereafter amended. (b) The insurance required in subsection (a) shall be in the form of commercial auto liability coverage in no less than the minimum coverage amounts specified in the Texas Motor Vehicle Safety Responsibility Act issued by either a company listed as an authorized auto liability lines carrier on the Texas Department of Insurance's List of Authorized Insurance Companies or a surplus lines insurer listed on the Texas Department of Insurance's list of Eligible Surplus Lines Insurance Companies. The eligible surplus lines insurance company is required to have a Best's Rating of at least B+ and a Best's Financial Size Category of Class VI or better according to the most current edition of Best's Key Rating Guide, Property-Casualty, United States. Additionally, the insurance policy must include an endorsement requiring 30 days' written notice of termination or cancellation to the director and an endorsement requiring ten days' written notice of non-payment to the director. In the event that a policy terminates or is cancelled without replacement, then each permit to which it pertains shall be suspended, and those taxicabs may not be operated. If a proper replacement policy is not provided to the director on or before the 10 th business day after the date of termination or cancellation of the policy, the permit shall automatically terminate. Proof of insurance coverage shall be maintained at all times and shall be accepted only in the authorized form approved by the Texas Department of Insurance for that purpose. (c) A permittee will be in compliance with subsection (b) if a licensee with whom the permittee contracts obtains insurance that fulfills the standards articulated in subsection (b); however, it shall be the duty of the permittee to ensure that the licensee maintains the aforementioned valid insurance policy at all times. Additionally, upon no fewer than five days' notice, the director may require the permittee to provide access to records that demonstrate proof of financial responsibility and compliance with the insurance requirements articulated in this section. (d) If an insurance policy maintained by a licensee under subsection (c) has lapsed or does not provide the coverage required by this section, the permittee shall provide the coverage required by this section, regardless of whether the licensee maintains insurance adequate to cover any portion of the claim. (Ord. No. 2014-754, § 2(Exh. A), 8-6-2014; Ord. No. 2016-736, § 21, 10-5-2016; Ord. No. 2025-1050, § 8, 12-17-2025)

Houston Code of Ordinances § 46-68 Fee.

Sec. 46-68. - Fee. (a) The annual fee for each permit under this division is stated for this provision in the city fee schedule. After payment of the initial annual permit fee, the annual permit fee shall be paid to the department on or before April 1 of each calendar year. The annual permit fee may be paid in advance to the department in three installments on or before April 1, May 1, and June 1 of each calendar year in amounts prescribed in the city fee schedule. To be eligible for installment payments, the first installment payment must be paid on or before April 1. In the event the permit is issued for a period of time less than one year, the fee shall be prorated, payable at the rate stated for this provision in the city fee schedule for each month or fraction thereof remaining in the calendar year, not to exceed the full amount of the annual fee. (b) There shall be no fee for replacement of a vehicle with another vehicle of equivalent capacity, except as provided by section 46-18 of this Code, if applicable. (c) The permit fee is non-refundable. (Ord. No. 2014-754, § 2(Exh. A), 8-6-2014; Ord. No. 2016-736, § 38, 10-5-2016; Ord. No. 2019-669, § 30, 9-4-2019; Ord. No. 2021-804, § 11, 9-15-2021)

Houston Code of Ordinances § 46-69 Reserved.

Houston Code of Ordinances § 46-70 Term; renewal; temporary vehicles.

Sec. 46-70. - Term; renewal; temporary vehicles. (a) A taxicab permit issued under this division shall be valid for a one-year permit term commencing April 1 and extending through the succeeding March 31. A permit may be renewed each year on forms promulgated by the director and by payment of the annual fee as provided in section 46-68 of this Code. (b) In addition to the vehicles regularly operated by a permittee, the permittee may place one or more vehicles into use on a temporary basis from time to time to meet seasonal or unexpected needs in accordance with this subsection. The director shall issue temporary certification decals for a term of 30 consecutive calendar days to commence on the date of issuance at the fee stated for this provision in the city fee schedule per vehicle, per certification decal, upon the permittee's provision to the director of proof of the identity of the vehicle to be used. Proof of identity shall include verification that the vehicle is in compliance with all requirements of this division and proof that it is insured as required in section 46-67 of this Code and has been inspected and approved for use as provided in section 46-23 of this Code within six months preceding the date the temporary certification decal is issued. If the permittee's insurance policy on file with the director pursuant to section 46-67 of this Code also covers the vehicles that will be placed in service on a temporary basis, no additional proof of insurance is required. (Ord. No. 2014-754, § 2(Exh. A), 8-6-2014; Ord. No. 2019-669, § 32, 9-4-2019; Ord. No. 2021-804, § 13, 9-15-2021)

Houston Code of Ordinances § 46-71 Reserved.

Houston Code of Ordinances § 46-72 Transfer of permits.

Sec. 46-72. - Transfer of permits. (a) When used in this section, the following words and terms shall have the meanings assigned to them in this subsection: Transfer means any sale, lease, lease assignment, or other arrangement by contract or otherwise whereby a permittee allows another person on a temporary or permanent basis to make use of one or more permits that are held by the permittee except an arrangement in the nature excepted in subsection (b). (b) The terms of this section do not apply to a license, lease, or subcontractor arrangement in conformity with section 46-17 of this Code between a permittee and an individual driver-operator that allows the driver-operator to operate a taxicab under one of the permittee's permits, provided that the permittee remains fully responsible to the city for the driver's compliance with this chapter. (c) A permit may only be transferred to: (1) A person who is an existing permittee; or (2) A qualified applicant under section 46-65 of this Code. (d) Any transfer to a person who is not an existing permittee shall be subject to an application to be filed in the same manner as under section 46-65 of this Code for a permit application and shall only be allowed to the extent that the applicant is determined to be qualified thereunder. Every transfer must be approved in advance by the director. A nonrefundable transfer fee shall be paid by the transferee at the time of application or upon transfer of the permit by the director. Any permit issued in conjunction with a permit computation conducted in 2017 or later is subject to the nonrefundable transfer fee. The transfer fee shall be five percent of the purchase price. (e) A permit that is subject to a suspension or revocation proceeding may not be transferred, nor may a suspended permit be transferred during the period of suspension. (Ord. No. 2014-754, § 2(Exh. A), 8-6-2014; Ord. No. 2015-997, §§ 16, 17, 39, 10-14-2015; Ord. No. 2016-736, §§ 22, 23, 10-5-2016; Ord. No. 2019-669, § 33, 9-4-2019)

Source: City of Houston, Code of Ordinances and City Charter (Municode Library, library.municode.com)URL: https://library.municode.com/tx/houston/codes/code_of_ordinances?nodeId=COOR_CH46VEHI_ARTIITA_DIV2VEPEFetched: 10/26/2026