A taxi medallion, also known as a CPNC (Certificate of Public Necessity and Convenience), is a transferable permit in the United States allowing a

taxicab A taxi, also known as a taxicab or simply a cab, is a type of vehicle for hire with a driver, used by a single passenger or small group of passengers, often for a non-shared ride. A taxicab conveys passengers between locations of their choice ...

driver to operate. Several major cities in the US use these in their taxi licensing systems, including

New York City New York, often called New York City or NYC, is the List of United States cities by population, most populous city in the United States. With a 2020 population of 8,804,190 distributed over , New York City is also the L ...

Boston Boston (), officially the City of Boston, is the state capital and most populous city of the Commonwealth of Massachusetts, as well as the cultural and financial center of the New England region of the United States. It is the 24th- mo ...

Chicago (''City in a Garden''); I Will , image_map = , map_caption = Interactive Map of Chicago , coordinates = , coordinates_footnotes = , subdivision_type = Country , subdivision_name ...

Philadelphia Philadelphia, often called Philly, is the largest city in the Commonwealth of Pennsylvania, the sixth-largest city in the U.S., the second-largest city in both the Northeast megalopolis and Mid-Atlantic regions after New York City. Sinc ...

, and

San Francisco San Francisco (; Spanish language, Spanish for "Francis of Assisi, Saint Francis"), officially the City and County of San Francisco, is the commercial, financial, and cultural center of Northern California. The city proper is the List of Ca ...

. The medallion system is a government-created intentional constraint on the supply of taxicabs, and because cities have historically increased the number of medallions at a slower rate than the growth in demand for taxis, medallions have generally been considered a valuable investment, though recently the increased supply of cars for hire created by

ridesharing companies A ridesharing company (also known as a transportation network company, ride-hailing service; the vehicles are called app-taxis or e-taxis) is a company that, via websites and mobile apps, matches passengers with drivers of vehicles for hire th ...

has been eroding the value of medallions.

Historical prices

Boston

In 2013, the price of a medallion was $625,000. In 2014, that price had risen to around $700,000. Shortly thereafter, however, medallion prices began to sharply decline. According to the Boston Herald, by the end of 2018, the value of a Boston Taxi Medallion had collapsed; after reaching an all-time high in 2014, prices had fallen to around $40,000, representing a 95% loss.

Cambridge

In 2014, a medallion was worth nearly $700,000.

Chicago

The total value of all medallions and assets related to them had a value of $2.5 billion in Chicago in 2013. In 2012, medallion prices ranged from $87,000 to $385,000. In 2015, Chicago's average medallion price was under $230,000, down 30% from 2014. In 2018, they had dropped to a range of $30,000 to $100,000.

New York City

The total value of all medallions and assets related to them had a value of $16.6 billion in New York City in 2013. In 1962, the market value of a medallion was around $25,000. The price rose steadily. In 2005, an individual medallion was around $325,000 while a corporate medallion was approximately $375,000. Around 2010, the market value of a medallion was around $600,000. It peaked around 2013 at over $1,000,000. Between 2014 and 2015, New York City's non-corporate medallion price dropped 45%. In 2015, the price had fallen to approximately $650,000. As of 2018, one could purchase a medallion for less than $200,000. On July 11, 2019, sixteen medallions were offered at auction, three of which sold for $137,000, $136,000 and $138,000, while another thirteen medallions had no bidders. Since many cab drivers took out loans in order to afford medallions when values were high, many have subsequently been forced to declare bankruptcy. In September 2020, Marblegate Management LLC, the largest holder of NYC medallion loans, decided to write off $70 million in debt that indigent cab drivers still owed.

Philadelphia

In 2005, the value of a medallion was roughly $65,000 to $80,000. As of 2018, the value was around $50,000. CALIFORNIA, SAN FRANCISCO 1996 -TAXI MEDALLION SUPPLEMENTAL LICENSEPLATE - Flickr - woody1778a

San Francisco

Prices were once $250,000 but have since declined.

References

External links

City of Chicago (''City in a Garden''); I Will , image_map = , map_caption = Interactive Map of Chicago , coordinates = , coordinates_footnotes = , subdivision_type = Country , subdivision_name ...

websit
information on medallions
{{Taxicabs Licenses Taxis