By United States. Coast Guard
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Eventually, additions to the initial ICC legislation gave the federal government the right, through regulation, to control the entry, exit, rate making, and financial dealings of US railroads. Motor carriers were added as Part II of this Act in 1935. , moving products from one state to another. In order to regulate these movements, the Interstate Commerce Commission (ICC) was created to regulate entry through “certificates of convenience and necessity”, set rates on movements through rate hearings, and administer to the overall financial health of the industry.
Thus, most states passed some form of intrastate transportation regulation that often included local taxi service or, in the case of some major cities such as New York, provided for these cities to regulate intra-city or local taxi operations. 1â•… State Regulation Similar to the federal level ICC mentioned above, these state laws created Public Service Commissions, or similarly named authorities, to regulate intrastate transportation. In many states, this also included the regulation of local taxi services although the typical taxi company served mainly one city or provided the authority for cities to set up their own taxi regulatory schemes.
Another very important reason for regulating taxi services is the public image that is conveyed to residents and visitors alike (quality controls), although these may be applied individually or as a sub-set of more comprehensive controls. In this respect, the taxi conveys a very strong image of a city, with a number of authorities seeking to enhance a reputation or feel from the quality of their cabs. Community leaders want their city to be considered progressive and “upscale”. They want to be viewed as places where people can live and enjoy the amenities within the community.