The TLC held a public hearing on the proposal at 10 a.m. Thursday, August 13, 2026, at 33 Beaver Street in Manhattan. Written comments closed the same day. The rule remains proposed, so licensees must continue following the current fee, inspection, drug-testing and penalty requirements.

What the proposed rule would change

The proposal would eliminate the $25 replacement fee for certain TLC driver licenses, including taxicab, paratransit and commuter-van driver licenses covered by the amended rules.

It would also repeal several $50 penalties tied to reporting a lost or stolen license, replacing an unreadable license and updating a license photo when it no longer matches the driver’s appearance. The proposal would not eliminate separate TLC charges for misuse of a license, including fraud or misrepresentation.

The measure would remove the $200 penalty for licensed TLC drivers who complete required annual drug testing more than 30 days late. The annual testing requirement would remain. Under the proposal’s explanation, drivers who miss the deadline are already suspended until they successfully complete the test.

For missed inspections, the proposal would replace specified fines for taxicabs and for-hire vehicles with suspension until compliance. For a taxicab, the proposed penalty would be suspension until compliance. For a for-hire vehicle, the vehicle owner’s license would be suspended until a defect is corrected or the vehicle passes the required inspection, including any applicable state Department of Transportation inspection.

MRP+ transfers would remain conditional

The proposal also addresses medallions that have received assistance through MRP+, the supplemental loan-deficiency guaranty connected to New York City’s Medallion Relief Program.

A medallion owner or the owner’s estate that received an MRP+ grant could transfer the medallion to an eligible immediate family member. The listed family relationships include a legally married spouse or domestic partner, a biological or adopted child, and certain children of a surviving spouse or partner. The recipient would have to provide documentation establishing the family relationship and assume the MRP+ obligations.

The transfer would require approval from the participating lender. Loan payments in arrears would have to be brought up to date before the transfer, and the transaction would still have to comply with TLC ownership rules.

A separate provision would allow an existing partnership that owns one or more medallions to remove a partner if all partners agree, the participating lender approves, any overdue loan payments are brought current and the ownership change is recorded by the TLC.

Why TLC proposed the changes

The agency says the proposal responds to Mayor’s Executive Order 11, issued January 14, 2026. The order directed city agencies to review fees and penalties affecting small businesses and identify reforms that could reduce undue hardship.

TLC said many of its licensees—including drivers operating vehicles for hire, vehicle owners and some base owners—are small-business operators. The proposal is intended to reduce selected administrative costs while retaining core safety and compliance requirements.

What has not happened yet

The official rulemaking record lists the measure as proposed. The available records do not establish that the TLC has adopted the changes, held a final commission vote or announced an implementation date.

That means taxi, for-hire vehicle, paratransit and commuter-van licensees should continue following the existing rules while the proposal remains pending. Any potential savings would depend on final adoption and a licensee’s particular fee, penalty or compliance situation.

What to watch next

The next meaningful update would be an official TLC rulemaking action, commission record or final implementation notice. Later hearing materials and commission-meeting records may show whether the proposal is adopted, revised or withdrawn after public comments.

Sources

• NYC Taxi and Limousine Commission proposed rule
• NYC Rules rulemaking docket
• The City Record hearing notice