House
File
96
-
Introduced
HOUSE
FILE
96
BY
PETTENGILL
A
BILL
FOR
An
Act
providing
for
the
regulation
of
transportation
network
1
companies,
and
providing
penalties.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
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Section
1.
NEW
SECTION
.
321N.1
Short
title.
1
This
chapter
shall
be
known
and
may
be
cited
as
the
2
“Transportation
Network
Company
Act”
.
3
Sec.
2.
NEW
SECTION
.
321N.2
Definitions.
4
As
used
in
this
chapter,
unless
the
context
otherwise
5
requires:
6
1.
“Local
authorities”
means
local
authorities
as
defined
7
in
section
321.1.
8
2.
“Participating
driver”
or
“driver”
means
a
person
who
9
operates
a
motor
vehicle
in
connection
with
a
transportation
10
network
company’s
online-enabled
application
or
platform
to
11
offer
or
provide
riders
with
transportation
network
company
12
services.
“Participating
driver”
does
not
include
a
person
13
who
provides
services
for,
or
who
is
under
contract
with,
a
14
political
subdivision
or
other
entity
exempt
from
federal
15
income
tax
under
section
115
of
the
Internal
Revenue
Code.
A
16
participating
driver
is
not
required
to
be
an
employee
of
a
17
transportation
network
company.
18
3.
“Transportation
network
company”
or
“company”
19
means
a
person
operating
in
this
state
that
provides
20
prearranged
transportation
services
for
compensation
using
21
an
online-enabled
application
or
platform
to
connect
riders
22
with
participating
drivers.
“Transportation
network
company”
23
does
not
include
a
motor
carrier
as
defined
in
section
325A.1,
24
a
private
carrier
as
defined
in
section
325A.1,
a
charter
25
carrier
as
defined
in
section
325A.12,
a
common
carrier,
a
26
taxicab
service,
a
transportation
service
arranged
through
27
a
transportation
broker,
a
ridesharing
arrangement,
a
28
transportation
service
provided
over
fixed
routes
at
regular
29
intervals,
or
a
political
subdivision
or
other
entity
exempt
30
from
federal
income
tax
under
section
115
of
the
Internal
31
Revenue
Code.
A
transportation
network
company
is
not
required
32
to
own,
control,
operate,
or
manage
a
motor
vehicle
operated
by
33
a
participating
driver.
34
4.
“Transportation
network
company
insurance”
means
a
35
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liability
policy
that
covers
a
participating
driver’s
operation
1
of
a
motor
vehicle
while
providing
transportation
network
2
company
services
or
in
connection
with
a
transportation
network
3
company’s
online-enabled
application
or
platform.
4
5.
“Transportation
network
company
rider”
or
“rider”
means
5
a
passenger
being
transported
by
a
participating
driver
in
6
a
motor
vehicle
that
complies
with
the
requirements
of
this
7
chapter.
“Transportation
network
company
rider”
includes
a
8
person
or
group
of
persons
who
use
a
transportation
network
9
company’s
online-enabled
application
or
platform
to
communicate
10
with
a
participating
driver
to
obtain
transportation
network
11
company
services
in
the
driver’s
motor
vehicle.
12
6.
“Transportation
network
company
services”
or
“services”
13
means
the
transportation
of
a
rider
by
a
driver
with
whom
the
14
rider
was
matched
through
a
transportation
network
company’s
15
online-enabled
application
or
platform.
16
Sec.
3.
NEW
SECTION
.
321N.3
Regulatory
power
——
local
17
authorities
——
permits.
18
1.
Notwithstanding
any
other
provision
of
law
to
the
19
contrary,
transportation
network
companies
are
governed
20
exclusively
by
this
chapter.
21
2.
A
local
authority
shall
not
subject
a
transportation
22
network
company
or
participating
driver
to
rate,
entry,
23
operational,
or
common
carrier
requirements,
or
any
other
24
requirements,
except
as
set
forth
in
this
chapter.
A
local
25
authority
may
enact
an
ordinance
consistent
with
this
chapter
26
relating
to
the
administration
of
this
chapter
by
the
local
27
authority,
including
but
not
limited
to
ordinances
relating
to
28
permits,
penalties,
safety
requirements,
and
proof
of
financial
29
liability
coverage.
30
3.
A
taxicab
or
shuttle
service
provider
that
ceases
to
31
provide
taxicab
or
shuttle
services
and
begins
to
provide
32
transportation
network
company
services
pursuant
to
this
33
chapter
shall
not
be
subject
to
local
ordinances
regulating
34
taxicab
or
shuttle
services.
35
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4.
If
a
rider
files
a
complaint
with
a
local
authority
1
against
a
transportation
network
company
or
participating
2
driver,
the
local
authority
may
inspect
the
company’s
records
3
as
is
reasonably
necessary
to
investigate
and
resolve
the
4
complaint.
5
5.
a.
A
person
shall
not
operate
a
transportation
network
6
company
in
this
state
without
a
permit.
7
b.
A
local
authority
may
issue
a
permit
to
a
transportation
8
network
company
if
the
company
satisfies
the
requirements
of
9
this
chapter
and
pays
an
annual
fee,
as
determined
by
local
10
ordinance,
equal
to
the
reasonable
costs
to
the
local
authority
11
of
regulating
transportation
network
companies
divided
by
the
12
number
of
transportation
network
companies
operating
within
the
13
jurisdiction
of
the
local
authority.
14
c.
A
local
authority
shall
determine
the
form
and
manner
of
15
an
application
for
a
transportation
network
company
permit.
16
d.
A
local
authority
may
deny
a
transportation
network
17
company
permit
application
or
refuse
to
renew
a
permit
if
the
18
transportation
network
company
has
not
paid
a
civil
penalty
19
assessed
by
the
local
authority.
20
e.
A
local
authority
may
suspend,
revoke,
alter,
or
amend
a
21
permit
issued
to
a
transportation
network
company.
22
f.
A
local
authority
may
assess
a
civil
penalty
against
a
23
transportation
network
company
or
a
participating
driver
only
24
as
provided
in
this
chapter.
25
Sec.
4.
NEW
SECTION
.
321N.4
Insurance.
26
1.
Notwithstanding
any
other
provision
of
law
to
the
27
contrary,
this
chapter
governs
the
requirements
of
insurance
28
policies
issued
to
a
transportation
network
company
or
a
29
participating
driver
and
the
obligations
of
the
parties
to
the
30
insurance
policies.
31
2.
A
transportation
network
company
or
a
participating
32
driver
shall
maintain
transportation
network
company
insurance
33
as
required
by
this
section.
A
transportation
network
company
34
shall
file
proof
of
any
transportation
network
company
35
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insurance
maintained
by
the
company,
or
by
a
driver
with
the
1
transportation
network
company,
with
the
local
authority
in
2
the
city
or
county
in
which
the
driver
will
be
providing
3
transportation
network
company
services.
4
3.
From
the
moment
in
which
a
participating
driver
accepts
5
a
request
from
a
rider
over
the
transportation
network
6
company’s
online-enabled
application
or
platform
until
the
7
moment
the
driver
completes
the
transaction
on
the
company’s
8
online-enabled
application
or
platform
or
the
ride
is
complete,
9
whichever
is
later,
the
transportation
network
company
10
insurance
shall
provide
for
coverage
in
all
of
the
following
11
amounts:
12
a.
One
million
dollars
for
death,
bodily
injury,
and
13
property
damage
resulting
from
any
one
accident.
14
b.
Uninsured
motorist
coverage
and
underinsured
motorist
15
coverage
in
the
amounts
required
under
section
516A.1.
16
c.
Collision
physical
damage
coverage
and
comprehensive
17
physical
damage
coverage
in
the
amounts
carried
by
the
18
participating
driver
for
operation
of
the
motor
vehicle
for
19
purposes
other
than
those
stated
in
this
chapter,
unless
the
20
insurer
providing
the
coverage
for
operation
of
the
motor
21
vehicle
for
purposes
other
than
those
stated
in
this
chapter
is
22
also
providing
transportation
network
company
insurance
to
the
23
driver.
24
4.
a.
Subject
to
paragraph
“b”
,
the
requirements
of
25
subsection
3
may
be
satisfied
by
any
of
the
following:
26
(1)
Transportation
network
company
insurance
maintained
by
27
the
participating
driver.
28
(2)
Transportation
network
company
insurance
maintained
by
29
the
transportation
network
company.
30
(3)
A
combination
of
subparagraphs
(1)
and
(2).
31
b.
Insurance
maintained
pursuant
to
paragraph
“a”
,
32
subparagraph
(1)
or
(3),
shall
satisfy
the
requirements
of
this
33
section
only
if
the
transportation
network
company
verifies
34
that
the
participating
driver
maintains
transportation
network
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company
insurance
and
the
policy
covers
the
driver’s
operation
1
of
the
motor
vehicle
in
connection
with
the
transportation
2
network
company’s
online-enabled
application
or
platform.
3
5.
From
the
moment
in
which
a
participating
driver
logs
4
on
to
the
transportation
network
company’s
online-enabled
5
application
or
platform
until
the
driver
accepts
a
request
6
from
a
rider
over
the
company’s
online-enabled
application
or
7
platform,
and
from
the
moment
in
which
the
driver
completes
8
the
transaction
on
the
company’s
online-enabled
application
or
9
platform
or
the
ride
is
complete,
whichever
is
later,
until
10
the
driver
accepts
another
request
from
a
rider
over
the
11
company’s
online-enabled
application
or
platform
or
logs
off
12
the
online-enabled
application
or
platform,
the
transportation
13
network
company
insurance
shall
provide
for
coverage
in
all
of
14
the
following
amounts:
15
a.
Coverage
for
bodily
injury
or
death
equal
to
or
greater
16
than
the
amounts
required
under
section
321A.1,
subsection
11.
17
b.
Uninsured
motorist
coverage
and
underinsured
motorist
18
coverage
in
the
amounts
required
under
section
516A.1.
19
c.
Collision
physical
damage
coverage
and
comprehensive
20
physical
damage
coverage
in
the
amounts
carried
by
the
21
participating
driver
for
operation
of
the
motor
vehicle
for
22
purposes
other
than
those
stated
in
this
chapter,
unless
the
23
insurer
providing
the
coverage
for
operation
of
the
motor
24
vehicle
for
purposes
other
than
those
stated
in
this
chapter
is
25
also
providing
transportation
network
company
insurance
to
the
26
driver.
27
6.
The
requirements
of
subsection
5
may
be
satisfied
by
any
28
of
the
following:
29
a.
Transportation
network
company
insurance
maintained
by
30
the
participating
driver.
31
b.
Transportation
network
company
insurance
maintained
by
32
the
transportation
network
company
that
provides
financial
33
liability
coverage
in
the
event
the
participating
driver’s
34
insurance
under
paragraph
“a”
has
ceased
to
exist
or
has
35
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been
canceled,
or
the
participating
driver
does
not
maintain
1
transportation
network
company
insurance.
2
c.
A
combination
of
paragraphs
“a”
and
“b”
.
3
7.
Where
the
transportation
network
company
insurance
4
maintained
by
a
driver
to
satisfy
the
requirements
of
this
5
section
lapses,
is
canceled,
fails
to
provide
coverage,
denies
6
a
claim,
or
ceases
to
exist
for
any
reason,
the
transportation
7
network
company
insurance
of
the
transportation
network
company
8
shall
maintain
the
coverage
required
by
this
section
beginning
9
with
the
first
dollar
of
a
claim.
10
8.
An
insurer
providing
transportation
network
11
company
insurance
to
a
transportation
network
company
or
a
12
participating
driver
shall
defend
and
indemnify
the
insured.
13
Coverage
pursuant
to
a
transportation
network
company
insurance
14
policy
shall
not
be
contingent
on
the
denial
of
a
claim
by
15
another
insurer
of
the
insured
covered
by
the
transportation
16
network
company
insurance.
17
9.
a.
From
the
moment
in
which
a
participating
driver
18
logs
on
to
the
transportation
network
company’s
online-enabled
19
application
or
platform
until
the
driver
logs
off
the
20
online-enabled
application
or
platform
or
the
rider
exits
the
21
vehicle,
whichever
is
later,
all
of
the
following
apply:
22
(1)
The
participating
driver’s
or
the
motor
vehicle
owner’s
23
insurance
policy
shall
not
provide
coverage
to
the
driver,
the
24
vehicle
owner,
or
a
third
party,
unless
the
policy
explicitly
25
provides
for
coverage
during
the
period
of
time
this
paragraph
26
“a”
is
applicable,
with
or
without
a
separate
premium,
or
the
27
policy
contains
an
amendment
or
endorsement
that
explicitly
28
provides
for
coverage
during
the
period
of
time
this
paragraph
29
“a”
is
applicable,
and
a
separate
premium
is
charged.
30
(2)
The
insurer
of
the
participating
driver
or
the
motor
31
vehicle
owner
shall
not
have
the
duty
to
defend
or
indemnify
32
claims
related
to
transportation
network
company
services,
33
unless
the
policy
explicitly
provides
for
coverage
during
the
34
period
of
time
this
paragraph
“a”
is
applicable,
with
or
without
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a
separate
premium,
or
the
policy
contains
an
amendment
or
1
endorsement
that
explicitly
provides
for
coverage
during
the
2
period
of
time
this
paragraph
“a”
is
applicable,
and
a
separate
3
premium
is
charged.
4
b.
Notwithstanding
any
other
provision
of
law
to
the
5
contrary,
an
insurer
may
offer
an
insurance
policy,
or
an
6
amendment
or
endorsement
to
an
existing
policy,
that
covers
the
7
operation
of
a
private
passenger
vehicle,
station
wagon-type
8
vehicle,
sport
utility
vehicle,
or
a
similar
type
of
vehicle,
9
with
a
passenger
capacity
of
eight
persons
or
less,
including
10
the
driver,
used
to
provide
transportation
network
company
11
services,
only
where
the
policy
explicitly
provides
for
12
coverage
during
the
period
of
time
paragraph
“a”
is
applicable,
13
with
or
without
a
separate
premium,
or
the
policy
contains
an
14
amendment
or
endorsement
that
explicitly
provides
for
coverage
15
during
the
period
of
time
paragraph
“a”
is
applicable,
and
a
16
separate
premium
is
charged.
17
10.
During
the
investigation
of
a
claim,
a
transportation
18
network
company
or
its
insurer
shall
cooperate
with
the
19
other
insurers
involved
in
the
investigation
to
facilitate
20
the
exchange
of
information,
including
but
not
limited
21
to
the
dates
and
times
during
which
an
accident
occurred
22
involving
a
participating
driver,
and
the
times
during
which
23
the
participating
driver
was
logged
on
to
the
transportation
24
network
company’s
online-enabled
application
or
platform.
25
11.
A
participating
driver
shall
carry
proof
of
26
transportation
network
company
insurance
coverage
at
all
27
times
during
which
the
driver
is
operating
the
motor
vehicle
28
in
connection
with
a
transportation
network
company’s
29
online-enabled
application
or
platform.
In
the
event
of
an
30
accident,
a
participating
driver
shall
provide
the
proof,
upon
31
request,
to
a
peace
officer
and
any
party
to
the
accident.
32
Sec.
5.
NEW
SECTION
.
321N.5
Other
motor
vehicle
33
requirements.
34
1.
On
behalf
of
a
transportation
network
company,
a
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96
mechanic
certified
by
the
national
institute
for
automotive
1
service
excellence
or
other
nationally
recognized
certifying
2
organization
shall
conduct
a
safety
inspection
of
the
3
motor
vehicle
of
a
person
before
the
company
permits
the
4
person
to
act
as
a
participating
driver.
Thereafter,
a
5
mechanic
certified
by
the
national
institute
for
automotive
6
service
excellence
or
other
nationally
recognized
certifying
7
organization
shall
conduct
a
safety
inspection
of
the
motor
8
vehicle
at
least
once
per
year.
A
safety
inspection
required
9
by
this
subsection
shall
ensure
the
motor
vehicle
complies
with
10
the
applicable
safety
requirements
for
the
permit
issued
by
the
11
applicable
local
authority
pursuant
to
section
321N.3.
12
2.
A
transportation
network
company,
or
a
third
party
on
13
behalf
of
a
transportation
network
company,
shall
retain
an
14
accurate
safety
inspection
record
for
the
motor
vehicle
of
a
15
participating
driver
for
at
least
fourteen
months
after
the
16
safety
inspection
was
conducted.
17
3.
A
motor
vehicle
used
to
provide
transportation
network
18
company
services
shall
display
an
exterior
mark
designating
19
the
vehicle
as
a
vehicle
eligible
to
provide
transportation
20
network
company
services
pursuant
to
this
chapter
and
any
local
21
ordinance
adopted
by
the
applicable
local
authority
pursuant
22
to
section
321N.3.
23
Sec.
6.
NEW
SECTION
.
321N.6
Driver
requirements.
24
1.
Before
permitting
a
person
to
act
as
a
participating
25
driver
on
its
online-enabled
application
or
platform,
a
26
transportation
network
company
shall
verify
that
the
person
has
27
all
of
the
following
qualifications:
28
a.
The
person
is
at
least
twenty-one
years
of
age.
29
b.
The
person
possesses
a
valid
Iowa
driver’s
license.
30
c.
The
person
possesses
a
valid
proof
of
financial
liability
31
coverage
card
as
defined
in
section
321.1,
subsection
54B,
32
for
the
motor
vehicle
to
be
used
for
providing
transportation
33
network
company
services.
34
d.
The
person
possesses
a
valid
Iowa
registration
for
the
35
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17
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96
motor
vehicle
to
be
used
for
providing
transportation
network
1
company
services.
2
e.
After
October
1,
2015,
the
person
possesses
proof
that
3
the
person
is
medically
fit
to
drive,
if
such
proof
is
required
4
by
an
ordinance
adopted
by
the
applicable
local
authority
5
pursuant
to
section
321N.3.
6
2.
a.
Before
permitting
a
person
to
act
as
a
participating
7
driver
on
its
online-enabled
application
or
platform
for
the
8
first
time,
and
every
three
years
thereafter,
a
transportation
9
network
company
shall
review
a
report
on
the
driving
history
10
of
the
person.
A
person
with
any
of
the
following
shall
not
11
qualify
to
be
a
participating
driver:
12
(1)
More
than
three
moving
violations
in
the
three-year
13
period
preceding
the
person’s
application
to
qualify
to
be
a
14
participating
driver.
15
(2)
One
or
more
moving
violations
punishable
by
more
than
a
16
scheduled
fine
in
the
three-year
period
preceding
the
person’s
17
application
to
qualify
to
be
a
participating
driver.
18
b.
A
transportation
network
company,
or
a
third
party
on
19
behalf
of
a
transportation
network
company,
shall
retain
an
20
accurate
driving
history
report
for
a
participating
driver
for
21
at
least
three
years
after
the
last
time
the
participating
22
driver
logged
on
to
the
transportation
network
company’s
23
online-enabled
application
or
platform.
24
3.
a.
Before
permitting
a
person
to
act
as
a
participating
25
driver
on
its
online-enabled
application
or
platform
for
the
26
first
time,
and
every
five
years
thereafter,
a
transportation
27
network
company
shall
perform
a
state
criminal
history
28
background
check
and
a
national
criminal
history
background
29
check
on
the
person.
The
company
may
charge
the
person
a
30
fee
for
performing
the
background
checks
required
by
this
31
subsection.
A
person
shall
not
qualify
to
be
a
participating
32
driver
if
any
of
the
following
are
true:
33
(1)
The
person
has
been
convicted
of,
or
has
pled
guilty
to,
34
violating
section
321J.2
or
321J.2A,
or
any
equivalent
law
of
35
-9-
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1566YH
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86
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17
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96
another
state,
in
the
seven-year
period
preceding
the
person’s
1
application
to
qualify
to
be
a
participating
driver.
2
(2)
The
person
has
been
convicted
of,
or
has
pled
guilty
3
to,
a
felony
in
the
five-year
period
preceding
the
person’s
4
application
to
qualify
to
be
a
participating
driver.
5
(3)
The
person
has
been
convicted
of,
or
has
pled
guilty
6
to,
an
offense
against
property,
an
offense
involving
unlawful
7
sexual
behavior,
or
an
offense
involving
violence.
8
b.
A
transportation
network
company,
or
a
third
party
on
9
behalf
of
a
transportation
network
company,
shall
retain
an
10
accurate
criminal
history
record
for
a
participating
driver
11
for
at
least
five
years
after
the
criminal
history
background
12
checks
were
performed.
13
4.
A
participating
driver
shall
not
provide
services
to
14
a
rider
unless
a
transportation
network
company
has
matched
15
the
driver
to
the
rider
through
the
company’s
online-enabled
16
application
or
platform.
A
driver
shall
not
solicit
or
accept
17
requests
from
a
rider
in
any
other
manner,
including
a
request
18
from
a
rider
hailing
the
driver
from
the
street.
19
5.
A
participating
driver
shall
not
offer
transportation
20
network
company
services
for
more
than
sixteen
hours,
or
21
provide
transportation
network
company
services
for
more
than
22
twelve
hours,
in
any
one
twenty-four-hour
period.
23
6.
A
transportation
network
company
shall
implement
24
a
policy
prohibiting
the
use
of
drugs
or
alcohol
by
a
25
participating
driver
while
the
driver
is
logged
on
to
the
26
transportation
network
company’s
online-enabled
application
27
or
platform,
or
while
the
driver
is
providing
transportation
28
network
company
services.
The
transportation
network
company
29
shall
make
the
policy
available
on
its
internet
site
and
30
online-enabled
application
or
platform.
31
Sec.
7.
NEW
SECTION
.
321N.7
Disclosure
requirements.
32
1.
A
transportation
network
company
shall
disclose
all
of
33
the
following
information
to
a
participating
driver
in
writing
34
prominently
placed
in
the
company’s
terms
of
service,
which
35
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86
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17
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96
the
driver
shall
sign,
either
physically
or
electronically,
1
before
logging
on
to
the
company’s
online-enabled
application
2
or
platform
for
the
first
time:
3
a.
The
amounts
and
terms
of
liability
coverage
provided
by
4
the
company
to
the
driver
while
the
driver
operates
a
motor
5
vehicle
in
connection
with
a
transportation
network
company’s
6
online-enabled
application
or
platform.
7
b.
That
the
driver’s
personal
motor
vehicle
liability
policy
8
may
not
provide
coverage
when
the
driver
operates
a
motor
9
vehicle
in
connection
with
a
transportation
network
company’s
10
online-enabled
application
or
platform.
11
c.
That
if
the
driver’s
motor
vehicle
has
a
lien
against
12
it,
the
driver
shall
notify
the
lienholder
that
the
driver
13
is
operating
the
vehicle
in
connection
with
a
transportation
14
network
company’s
online-enabled
application
or
platform.
15
2.
A
transportation
network
company
shall
make
available
to
16
prospective
riders
and
drivers
the
method
for
determining
the
17
fares
and
rates
charged,
and
the
option
to
receive
an
estimated
18
fare.
19
3.
Upon
completion
of
a
prearranged
ride,
a
transportation
20
network
company
shall
transmit
an
electronic
receipt
to
the
21
rider
by
electronic
mail
or
text
message
containing
all
of
the
22
following
information:
23
a.
The
point
of
origin
and
the
destination
of
the
24
prearranged
ride.
25
b.
The
total
duration
and
distance
of
the
prearranged
ride.
26
c.
The
total
fare
charged
to
the
rider,
including
the
base
27
fare
and
any
additional
charge
incurred
for
the
duration
or
28
distance
of
the
prearranged
ride.
29
d.
The
driver’s
name
and
telephone
number.
30
4.
A
transportation
network
company
shall
make
available
to
31
riders
a
customer
support
telephone
number
on
its
internet
site
32
and
online-enabled
application
or
platform.
33
Sec.
8.
NEW
SECTION
.
321N.8
Refusal
of
service.
34
1.
If
a
participating
driver
and
a
prospective
rider
35
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1566YH
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86
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17
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96
are
matched
through
a
transportation
network
company’s
1
online-enabled
application
or
platform,
the
company
and
driver
2
shall
provide
services
to
the
rider
in
a
nondiscriminatory
3
manner.
The
driver
shall
not
refuse
to
provide
services
to
a
4
rider
unless
any
of
the
following
apply:
5
a.
The
rider
is
acting
in
an
unlawful,
disorderly,
or
6
dangerous
manner.
7
b.
The
rider
is
unable
to
care
for
himself
or
herself
and
is
8
not
in
the
care
of
a
responsible
companion.
9
c.
The
driver
has
already
committed
to
providing
services
10
to
another
rider.
11
2.
A
participating
driver
shall
immediately
report
the
12
driver’s
refusal
to
provide
services
to
a
rider
pursuant
13
to
subsection
1
to
the
transportation
network
company.
A
14
transportation
network
company
shall
annually
report
all
such
15
refusals
to
provide
services
by
participating
drivers
within
16
the
jurisdiction
of
a
local
authority
to
the
local
authority
in
17
a
form
and
manner
determined
by
the
local
authority.
18
3.
A
transportation
network
company
shall
not
impose
any
19
additional
fare,
rate,
or
fee
on
a
rider
with
a
physical
20
or
mental
disability
because
of
the
rider’s
disability.
A
21
participating
driver
shall
permit
a
service
dog
or
assistive
22
animal,
as
defined
in
section
216C.11,
to
accompany
a
rider
on
23
a
prearranged
ride.
24
4.
Within
ten
days
of
a
rider
submitting
a
complaint
to
25
a
local
authority
that
a
participating
driver
has
violated
a
26
provision
of
this
section,
the
local
authority
shall
report
the
27
complaint
to
the
transportation
network
company
for
which
the
28
driver
provides
services.
29
5.
A
transportation
network
company
is
not
liable
for
a
30
participating
driver’s
violation
of
a
provision
of
this
section
31
unless
the
driver’s
violation
has
been
previously
reported
to
32
the
company
in
writing
and
the
company
failed
to
reasonably
33
address
the
driver’s
violation.
34
6.
The
local
authority
may
assess
a
civil
penalty
of
up
to
35
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1566YH
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86
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17
H.F.
96
five
hundred
fifty
dollars
to
a
transportation
network
company
1
or
a
participating
driver
for
a
violation
of
this
section.
2
Sec.
9.
Section
321.1,
subsection
8,
Code
2015,
is
amended
3
by
adding
the
following
new
paragraph:
4
NEW
PARAGRAPH
.
j.
A
participating
driver,
as
defined
in
5
section
321N.2,
is
not
a
chauffeur.
6
Sec.
10.
Section
325A.1,
subsections
6,
7,
and
13,
Code
7
2015,
are
amended
to
read
as
follows:
8
6.
“Motor
carrier”
means
a
person
defined
in
subsection
8,
9
9,
or
10
,
but
does
not
include
a
transportation
network
company
10
or
a
participating
driver,
as
defined
in
section
321N.2
.
11
7.
“Motor
carrier
certificate”
means
a
certificate
issued
12
by
the
department
to
any
person
transporting
passengers
on
any
13
highway
of
this
state
for
hire
,
other
than
a
transportation
14
network
company
or
a
participating
driver,
as
defined
in
15
section
321N.2
.
This
certificate
is
transferable.
16
13.
“Private
carrier”
means
a
person
who
provides
17
transportation
of
property
or
passengers
by
motor
vehicle,
18
is
not
a
for-hire
motor
carrier
or
a
transportation
network
19
company
or
a
participating
driver,
as
defined
in
section
20
321N.2
,
or
transports
commodities
of
which
the
person
is
21
the
owner,
lessee,
or
bailee
and
the
transportation
is
a
22
furtherance
of
the
person’s
primary
business
or
occupation.
23
Sec.
11.
Section
325A.11,
Code
2015,
is
amended
to
read
as
24
follows:
25
325A.11
Passenger
transportation.
26
In
addition
to
the
requirements
of
subchapter
1
,
motor
27
carriers
of
passengers
and
charter
carriers
shall
comply
with
28
the
requirements
of
this
subchapter
.
A
transportation
network
29
company
and
a
participating
driver,
as
defined
in
section
30
321N.2,
need
not
comply
with
the
requirements
of
subchapter
1
31
or
2.
32
Sec.
12.
Section
325A.12,
subsection
3,
Code
2015,
is
33
amended
by
adding
the
following
new
paragraph:
34
NEW
PARAGRAPH
.
e.
A
transportation
network
company
or
a
35
-13-
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1566YH
(7)
86
ns/nh
13/
17
H.F.
96
participating
driver,
as
defined
in
section
321N.2.
1
Sec.
13.
Section
327D.1,
Code
2015,
is
amended
to
read
as
2
follows:
3
327D.1
Applicability
of
chapter.
4
This
chapter
applies
to
intrastate
transportation
by
5
for-hire
common
carriers
of
persons
and
property.
However,
6
this
chapter
does
not
apply
to
regular
route
motor
carriers
7
of
passengers
or
charter
carriers,
as
defined
under
section
8
325A.12
,
or
a
transportation
network
company
or
a
participating
9
driver,
as
defined
in
section
321N.2
.
10
EXPLANATION
11
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
12
the
explanation’s
substance
by
the
members
of
the
general
assembly.
13
This
bill
provides
for
the
regulation
of
transportation
14
network
companies
(TNCs).
15
The
bill
defines
a
TNC
as
a
person
or
entity
that
provides
16
prearranged
transportation
services
for
compensation
using
17
an
online-enabled
application
or
platform
to
connect
riders
18
with
drivers.
It
does
not
include
a
motor
carrier,
a
19
private
carrier,
a
charter
carrier,
a
common
carrier,
a
20
taxicab
service,
a
transportation
service
arranged
through
21
a
transportation
broker,
a
ridesharing
arrangement,
a
22
transportation
service
provided
over
fixed
routes
at
regular
23
intervals,
or
a
political
subdivision.
A
TNC
is
not
required
24
to
own,
control,
operate,
or
manage
a
motor
vehicle
operated
25
by
a
participating
driver.
The
bill
defines
“participating
26
driver”
as
a
person
who
operates
a
motor
vehicle
in
connection
27
with
a
TNC’s
online-enabled
application
or
platform
to
offer
28
or
provide
riders
with
TNC
services.
A
participating
driver
29
is
not
required
to
be
an
employee
of
a
TNC.
The
bill
further
30
defines
“local
authority”,
“transportation
network
company
31
insurance”,
“transportation
network
company
rider”,
and
32
“transportation
network
company
services”.
33
The
bill
provides
local
authorities
with
limited
regulatory
34
power
over
TNCs
and
drivers.
A
local
authority
may
enact
35
-14-
LSB
1566YH
(7)
86
ns/nh
14/
17
H.F.
96
ordinances
consistent
with
the
bill,
including
but
not
1
limited
to
ordinances
related
to
permits,
penalties,
safety
2
requirements,
and
proof
of
financial
liability
coverage.
The
3
bill
permits
local
authorities
to
issue
a
permit
to
a
TNC
if
4
the
TNC
satisfies
the
requirements
of
the
bill
and
pays
an
5
annual
fee.
6
The
bill
requires
TNCs
and
drivers
to
carry
certain
amounts
7
of
liability
coverage
specifically
related
to
providing
TNC
8
services.
TNCs
and
drivers
must
file
proof
of
the
required
9
coverage
with
the
applicable
local
authority.
Where
the
TNC
10
insurance
maintained
by
a
driver
to
satisfy
the
requirements
11
of
the
bill
lapses,
is
canceled,
or
ceases
to
exist
for
any
12
reason,
the
TNC
is
required
to
maintain
coverage
in
the
amounts
13
required
by
the
bill.
The
bill
provides
for
various
terms,
14
conditions,
and
duties
of
the
parties
relating
to
TNC
insurance
15
coverage.
Drivers
are
required
to
carry
proof
of
TNC
insurance
16
coverage
at
all
times
during
which
the
driver
is
operating
17
a
motor
vehicle
in
connection
with
a
TNC’s
online-enabled
18
application
or
platform.
19
Before
a
driver
can
provide
TNC
services,
the
bill
requires
20
the
driver’s
vehicle
to
pass
a
safety
inspection
conducted
by
21
a
certified
mechanic.
After
the
initial
inspection,
annual
22
safety
inspections
are
required.
A
TNC
must
retain
an
accurate
23
safety
inspection
record
for
the
motor
vehicle
of
a
driver
for
24
at
least
14
months
after
the
safety
inspection
was
conducted.
25
A
motor
vehicle
providing
TNC
services
is
required
to
display
26
an
exterior
mark
designating
the
vehicle
as
a
vehicle
eligible
27
to
provide
TNC
services.
28
To
become
a
driver,
the
bill
requires
that
a
person
must
29
be
at
least
21
years
of
age,
possess
a
valid
Iowa
driver’s
30
license,
possess
a
valid
proof
of
financial
liability
coverage
31
card,
possess
a
valid
Iowa
registration,
and,
after
October
1,
32
2015,
possess
proof
that
the
person
is
medically
fit
to
drive.
33
Persons
with
various
moving
violations
or
criminal
convictions
34
are
excluded
from
eligibility.
A
TNC
must
perform
a
driving
35
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history
check
every
three
years,
and
a
criminal
background
1
check
every
five
years.
A
TNC
must
retain
an
accurate
driving
2
history
report
for
a
driver
for
at
least
three
years
after
the
3
last
time
the
driver
logged
on
to
the
TNC’s
online-enabled
4
application
or
platform,
and
an
accurate
criminal
history
5
record
for
a
driver
for
at
least
five
years
after
the
criminal
6
history
background
check
was
performed.
7
The
bill
prohibits
a
driver
from
soliciting
or
accepting
8
“street
hails”.
A
driver
is
also
prohibited
from
offering
9
services
for
more
than
16
hours,
or
providing
services
for
more
10
than
12
hours,
in
any
one
24-hour
period.
The
bill
requires
11
a
TNC
to
implement
a
policy
prohibiting
the
use
of
drugs
or
12
alcohol
by
a
driver
while
the
driver
is
logged
on
to
the
TNC’s
13
online-enabled
application
or
platform,
or
while
the
driver
is
14
providing
services.
The
TNC
is
required
to
make
the
policy
15
available
on
its
internet
site
and
online-enabled
application
16
or
platform.
17
The
bill
further
requires
a
TNC
to
disclose
certain
18
information
to
drivers,
including
the
amounts
and
terms
of
19
liability
coverage
provided
by
the
TNC
to
the
driver
while
the
20
driver
operates
a
motor
vehicle
in
connection
with
the
TNC’s
21
online-enabled
application
or
platform,
and
the
fact
that
22
the
driver’s
personal
motor
vehicle
liability
policy
may
not
23
provide
coverage
when
the
driver
operates
a
motor
vehicle
in
24
connection
with
a
TNC’s
online-enabled
application
or
platform.
25
If
a
driver’s
motor
vehicle
has
a
lien
against
it,
the
driver
26
must
notify
the
lienholder
that
the
driver
is
operating
the
27
vehicle
in
connection
with
a
TNC’s
online-enabled
application
28
or
platform.
29
The
bill
also
requires
TNCs
to
make
available
the
method
30
of
calculating
fares,
and
the
option
to
receive
an
estimated
31
fare.
After
a
ride,
a
TNC
must
submit
an
electronic
receipt
to
32
the
rider.
In
addition,
a
TNC
must
make
available
to
riders
33
a
customer
support
telephone
number
on
its
internet
site
and
34
online-enabled
application
or
platform.
35
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The
bill
provides
that
TNCs
and
drivers
shall
provide
1
services
to
riders
in
a
nondiscriminatory
manner.
The
bill
2
further
provides
that
a
driver
may
only
refuse
service
to
a
3
rider
if
the
rider
is
acting
in
an
unlawful,
disorderly,
or
4
dangerous
manner,
the
rider
is
unable
to
care
for
himself
or
5
herself
and
is
not
in
the
care
of
a
responsible
companion,
6
or
the
driver
has
already
committed
to
providing
services
to
7
another
rider.
The
bill
requires
a
driver
to
immediately
8
report
to
the
TNC
the
driver’s
refusal
to
provide
services
to
9
a
rider.
The
bill
prohibits
a
TNC
from
imposing
additional
10
fares,
rates,
or
fees
on
a
rider
with
a
physical
or
mental
11
disability
because
of
the
rider’s
disability.
The
bill
also
12
requires
a
driver
to
permit
a
service
dog
or
assistive
animal
13
to
accompany
a
rider
on
a
prearranged
ride.
The
bill
provides
14
that
a
local
authority
may
assess
a
civil
penalty
of
up
to
$550
15
to
a
TNC
or
driver
for
a
violation
of
these
provisions.
16
The
bill
excludes
TNCs
and
drivers
from
various
definitions
17
and
requirements
relating
to
the
transportation
of
passengers
18
for
hire
that
appear
elsewhere
in
the
Code.
19
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