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 TLSB 1566YH (7) 86 ns/nh
H.F. 96 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 -1- LSB 1566YH (7) 86 ns/nh 1/ 17
H.F. 96 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 -2- LSB 1566YH (7) 86 ns/nh 2/ 17
H.F. 96 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 -3- LSB 1566YH (7) 86 ns/nh 3/ 17
H.F. 96 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 35 -4- LSB 1566YH (7) 86 ns/nh 4/ 17
H.F. 96 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 -5- LSB 1566YH (7) 86 ns/nh 5/ 17
H.F. 96 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 35 -6- LSB 1566YH (7) 86 ns/nh 6/ 17
H.F. 96 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 35 -7- LSB 1566YH (7) 86 ns/nh 7/ 17
H.F. 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 -8- LSB 1566YH (7) 86 ns/nh 8/ 17
H.F. 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- LSB 1566YH (7) 86 ns/nh 9/ 17
H.F. 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 -10- LSB 1566YH (7) 86 ns/nh 10/ 17
H.F. 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 -11- LSB 1566YH (7) 86 ns/nh 11/ 17
H.F. 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 -12- LSB 1566YH (7) 86 ns/nh 12/ 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- LSB 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 -15- LSB 1566YH (7) 86 ns/nh 15/ 17
H.F. 96 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 -16- LSB 1566YH (7) 86 ns/nh 16/ 17
H.F. 96 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 -17- LSB 1566YH (7) 86 ns/nh 17/ 17