Delivering $10.4 million in debt cancellation to financially distressed Owners.In total, the program could bring $500 million of debt forgiveness to thousands of Individual Medallion Owners.
As of this week, 1,000 medallion owners have reached out and completed appointments with the TLC’s Owner/Driver Resource Center, beginning the potentially life-altering process of analyzing and renegotiating loans on an individual basis for maximum relief. The TLC anticipates that a significant portion of the renegotiations would take place by the end of the calendar year.
“With 57 Owners having deals in place and 1,000 more in progress, the Medallion Relief Program is having a real impact, not just on paper and in ledgers, but in the lives of people who believed – and continue to believe – in New York City’s present and future,” said Mayor Bill de Blasio. “The MRP is having a stabilizing effect on the market and preserving an institution that has given as much to our city as the women and men who are its backbone.”
“The TLC is fully committed to the success of the Taxi sector and its Medallion Owners/Drivers,” said TLC Commissioner and Chair Aloysee Heredia Jarmoszuk. “We encourage individual Taxi Owners with high medallion-related debt to reach out to the TLC Owner/Driver Resource Center to schedule an appointment. Our offer to collaborate with the entire industry and advocates to preserve and advance Yellow Taxis remains, and we are hopeful that we can still come together to ensure that all available financial resources reach each Owner/Driver in need.”
“Taxi drivers work tirelessly to provide essential transportation for New Yorkers and those that visit our City,” said DCWP Commissioner Peter A. Hatch. “We are pleased to partner with TLC, NYLAG, and others to provide drivers/owners with free legal assistance and financial counseling to help manage and reduce their debt, and give them the tools they need to thrive and achieve financial stability.”
“NYLAG is excited to be moving this work along on behalf of yellow taxi medallion owners,” said Associate Director, Consumer Protection Unit at NYLAG Rose Marie Cantanno. “We know yellow taxicab medallion owners provide a vital function for this city, and we are pleased to be helping ensure that continues for years to come. This week alone has offered the opportunity to move forward over two dozen cases, and with many others to follow!”
Medallion Relief Program
The City of New York will provide $65 million in grants to economically distressed individual medallion owners. This includes $20,000 as a down payment to restructure loan principals and set lower monthly payments, as well as up to $9,000 for monthly debt relief payments.
Many medallion owners will have over $200,000 in debt forgiven, and loan payments reduced to about $1,500 or less per month. Some owners will achieve total debt erasure through settlements.
TLC’s Owner/Driver Resource Center, which offers a range of free financial counseling and legal assistance for TLC Licensees, as well as connecting them with government benefits and health and wellness resources, has already served over 1,000 licensees. TLC Licensees in need of these services can call 311 or visit nyc.gov/taxi to make an appointment.