NYC, taxi workers reach agreement on medallion relief program

Local News

NEW YORK — New York City’s yellow taxi drivers will receive some relief after an agreement has been made with city officials and medallion lenders.

The City, the New York Taxi Workers Alliance (NYTWA) and Marblegate Asset Management, the largest medallion lender, struck a deal to supplement the City’s Medallion Relief Program with a City-funded deficiency guarantee to achieve greater principal reduction and lower monthly payments.

Marblegate will restructure outstanding loans to a principal balance of $200,000, which will be constituted as a $170,000 guaranteed loan, in addition to a $30,000 grant from NYC, according to the agreement.

The terms of the new loan include a 5% interest rate and a 20-year, fully amortizing term, which will cap debt service payments at $1,122 per month for eligible medallion owners.

“Some New Yorkers have really suffered a lot over recent years and our taxi drivers have been right in the middle of a very, very difficult situation. I have to say, when you think about this city, you think about the heart and soul of the city, you think about working people, taxi drivers play a special role in the life of the city, the history of the city.,” Mayor Bill de Blasio said during his Thursday press briefing.

Senate Majority Leader Chuck Schumer, who has been working to get yellow taxi drivers medallion relief, commended the mayor and the NYTWA for their advocacy in getting a relief deal set up.

The deal comes on the 15th day of a hunger strike set up by cab drivers. Dozens of yellow cab drivers launched a hunger strike last month, arguing that they said it was needed to so they get help with their dire financial situation.

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