BILL NUMBER: AB 650	AMENDED
	BILL TEXT

	AMENDED IN SENATE  AUGUST 31, 2016
	AMENDED IN SENATE  AUGUST 19, 2016
	AMENDED IN SENATE  AUGUST 15, 2016
	AMENDED IN SENATE  AUGUST 2, 2016
	AMENDED IN SENATE  JUNE 23, 2016
	AMENDED IN SENATE  MAY 27, 2016
	AMENDED IN SENATE  APRIL 14, 2016
	AMENDED IN SENATE  SEPTEMBER 4, 2015

INTRODUCED BY   Assembly Member Low
    (   Coauthor:  
Assembly Member   Santiago   )


                        FEBRUARY 24, 2015

    An act to amend, repeal, and add Section 85 of the Code
of Civil Procedure, to amend and repeal Sections 53075.6, 53075.61,
53075.7, 53075.8, and 53075.9 of, and to amend, repeal, and add
Section 53075.5 of, the Government Code, to amend Section 830.7 of
the Penal Code, to amend Section 5353 of, to amend, repeal, and add
Sections 5411.5, 5412.2, 5413.5, and 120269 of, and to add Chapter
8.5 (commencing with Section 5451) to Division 2 of, the Public
Utilities Code, and to amend, repeal, and add Sections 1808.1,
12523.6, 21100, 21100.4, and 27908 of the Vehicle Code, relating to
transportation.   An act to amend Section 53075.5 of,
and to add Sections 53075.71 and 53075.72 to, the Government Code,
relating to transportation. 



	LEGISLATIVE COUNSEL'S DIGEST


   AB 650, as amended, Low.  Public Utilities Commission:
regulation of taxicabs.   Taxicab transportation
services.  
   Existing law requires every city or county to adopt an ordinance
or resolution in regard to taxicab transportation service and
requires each city or county to provide for a policy for entry into
the business of providing taxicab transportation service,
establishment or registration of rates for the provision of taxicab
transportation service, and a mandatory controlled substance and
alcohol testing certification program for drivers, as specified.
 
   This bill would make those provisions inapplicable to a city or
county, other than the City and County of San Francisco, on the date
upon which the Director of Finance notifies the Speaker of the
Assembly and the President pro Tempore of the Senate of the
completion of a state reorganization of transportation duties from
the Public Utilities Commission to other agencies, if taxicab
transportation services are included in the reorganization. The bill
would require taxicab transportation services and taxicab drivers to
be subject to rules or regulations adopted by cities and counties as
they existed on July 1, 2016, except for requirements specified in
the bill that would apply to cities and counties, including charter
cities and counties, other than the City and County of San Francisco.
By imposing new duties on local governments, this bill would impose
a state-mandated local program. The bill would declare that its
provisions are a matter of statewide concern and not a municipal
affair. The bill would declare the intent of the Legislature that,
among other things, regulation of taxicab transportation services
shall be modernized and moved to one state agency.  
   This bill would make legislative findings and declarations as to
the necessity of a special statute for the City and County of San
Francisco.  
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.  
   This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.  
   Existing law provides for regulation of various types of passenger
carriers by the Public Utilities Commission, including passenger
stage corporations and charter-party carriers of passengers. Existing
law, among other transportation services, provides for regulation of
limousines and transportation network companies by the commission as
charter-party carriers of passengers. Existing law requires every
city and county to adopt an ordinance to regulate taxicab service
within its jurisdiction, and exempts taxicab service from commission
regulation.  
   This bill would enact the Taxicab Transportation Services Act and
provide, effective January 1, 2018, for the statewide regulation of
taxicab transportation services by the commission, except taxicab
transportation services originating in the City and County of San
Francisco, which would continue to be locally regulated but would be
subject to a requirement for taxicab carriers to monitor the driving
records of taxicab drivers. The bill would provide for issuance of
permits by the commission elsewhere in the state to taxicab carriers
authorizing carriers to operate. The bill would specify the
requirements that taxicab drivers in commission jurisdiction must
meet. The bill would enact various provisions relating to insurance,
vehicle inspections, monitoring of taxicab drivers, and other matters
relating to taxicab carriers in commission jurisdiction. The bill
would require the commission to require the disclosure of fares, fees
and rates, as specified. The bill would prohibit entities from
providing taxicab transportation services in commission jurisdiction
without the required permit, and would provide for the commission to
investigate and take action against unlicensed activity. The bill
would require the commission to adopt a general order pertaining to
taxicab carriers, and would authorize peace officers to enforce the
provisions of the bill and the general order. The bill would specify
certain fees to be imposed by the commission on taxicab carriers.
 
   The bill would repeal provisions providing for city and county
regulation of taxicab services on January 1, 2018, but would
authorize cities and counties, at their option, to elect to issue
curbside operation permits to taxicab carriers under commission
jurisdiction as of that date, granting exclusive authority to provide
certain types of taxicab transportation services within their
respective jurisdictions, including responding to street hails,
sitting at taxi stands, and picking up at airports. The bill would
authorize cities and counties issuing curbside operation permits to
limit the number of taxicabs that may operate under that authority,
would limit the local regulatory fees that those cities and counties
may charge to $50 per taxicab, and would prohibit the imposition of
taxicab carrier and taxicab driver fees, requirements, and standards
beyond those required by the commission. The bill would also
authorize airports to continue to regulate the provision of taxicab
transportation services to and from airports. The bill would require
cities and counties that license taxicab services as of December 31,
2017, excluding the City and County of San Francisco, to forward to
the commission licensure information for each licensee, as specified,
and would thereby impose a state-mandated local program. The bill
also would make conforming changes to other related provisions.
 
   A violation of the Taxicab Transportation Services Act would be a
crime and in certain cases would also be subject to a civil penalty.
The bill would also require applications for taxicab carrier permits
to be verified under oath, and would require certain statements by
taxicab carriers relative to workers' compensation to be submitted to
the commission under penalty of perjury. The bill would thereby
impose a state-mandated local program by creating new crimes.
 
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.  
   This bill would provide that with regard to certain mandates no
reimbursement is required by this act for a specified reason.
 
   With regard to any other mandates, this bill would provide that,
if the Commission on State Mandates determines that the bill contains
costs so mandated by the state, reimbursement for those costs shall
be made pursuant to the statutory provisions noted above. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 53075.5 of the  
Government Code   is amended to read: 
   53075.5.  (a) Notwithstanding Chapter 8 (commencing with Section
5351) of Division 2 of the Public Utilities Code, every city or
county shall protect the public health, safety, and welfare by
adopting an ordinance or resolution in regard to taxicab
transportation service rendered in vehicles designed for carrying not
more than eight persons, excluding the driver, which is operated
within the jurisdiction of the city or county.
   (b) Each city or county shall provide for, but is not limited to
providing for, the following:
   (1) A policy for entry into the business of providing taxicab
transportation service. The policy shall include, but need not be
limited to, all of the following provisions:
   (A) Employment, or an offer of employment, as a taxicab driver in
the jurisdiction, including compliance with all of the requirements
of the program adopted pursuant to paragraph (3), shall be a
condition of issuance of a driver's permit.
   (B) The driver's permit shall become void upon termination of
employment.
   (C) The driver's permit shall state the name of the employer.
   (D) The employer shall notify the city or county upon termination
of employment.
   (E) The driver shall return the permit to the city or county upon
termination of employment.
   (2) The establishment or registration of rates for the provision
of taxicab transportation service.
   (3) (A) A mandatory controlled substance and alcohol testing
certification program. The program shall include, but need not be
limited to, all of the following requirements:
   (i) Drivers shall test negative for each of the controlled
substances specified in Part 40 (commencing with Section 40.1) of
Title 49 of the Code of Federal Regulations, before employment.
Drivers shall test negative for these controlled substances and for
alcohol as a condition of permit renewal or, if no periodic permit
renewals are required, at such other times as the city or county
shall designate. As used in this section, a negative test for alcohol
means an alcohol screening test showing a breath alcohol
concentration of less than 0.02 percent.
   (ii) Procedures shall be substantially as in Part 40 (commencing
with Section 40.1) of Title 49 of the Code of Federal Regulations,
except that the driver shall show a valid California driver's license
at the time and place of testing, and except as provided otherwise
in this section. Requirements for rehabilitation and for
return-to-duty and followup testing and other requirements, except as
provided otherwise in this section, shall be substantially as in
Part 382 (commencing with Section 382.101) of Title 49 of the Code of
Federal Regulations.
   (iii) A test in one jurisdiction shall be accepted as meeting the
same requirement in any other jurisdiction. Any negative test result
shall be accepted for one year as meeting a requirement for periodic
permit renewal testing or any other periodic testing in that
jurisdiction or any other jurisdiction, if the driver has not tested
positive subsequent to a negative result. However, an earlier
negative result shall not be accepted as meeting the pre-employment
testing requirement for any subsequent employment, or any testing
requirements under the program other than periodic testing.
   (iv) In the case of a self-employed independent driver, the test
results shall be reported directly to the city or county, which shall
notify the taxicab leasing company of record, if any, of positive
results. In all other cases, the results shall be reported directly
to the employing transportation operator, who may be required to
notify the city or county of positive results.
   (v) All test results are confidential and shall not be released
without the consent of the driver, except as authorized or required
by law.
   (vi) Self-employed independent drivers shall be responsible for
compliance with, and shall pay all costs of, this program with regard
to themselves. Employing transportation operators shall be
responsible for compliance with, and shall pay all costs of, this
program with respect to their employees and potential employees,
except that an operator may require employees who test positive to
pay the costs of rehabilitation and of return-to-duty and followup
testing.
   (vii) Upon the request of a driver applying for a permit, the city
or county shall give the driver a list of the consortia certified
pursuant to Part 382 (commencing with Section 382.101) of Title 49 of
the Code of Federal Regulations that the city or county knows offer
tests in or near the jurisdiction.
   (B) No evidence derived from a positive test result pursuant to
the program shall be admissible in a criminal prosecution concerning
unlawful possession, sale or distribution of controlled substances.
   (c) Each city or county may levy service charges, fees, or
assessments in an amount sufficient to pay for the costs of carrying
out an ordinance or resolution adopted in regard to taxicab
transportation services pursuant to this section.
   (d) Nothing in this section prohibits a city or county from
adopting additional requirements for a taxicab to operate in its
jurisdiction.
   (e) For purposes of this section, "employment" includes
self-employment as an independent driver. 
   (f) This section shall not apply to a city or county, other than
the City and County of San Francisco, on the date upon which the
Director of Finance notifies the Speaker of the Assembly and the
President pro Tempore of the Senate of the completion of the state
reorganization of transportation duties from the Public Utilities
Commission to other agencies, if taxicab transportation services are
included in the reorganization. 
   SEC. 2.    Section 53075.71 is added to the 
 Government Code   , to read:  
   53075.71.  (a) Notwithstanding any other law, taxicab
transportation services and taxicab drivers shall be subject to rules
or regulations adopted by a city or a county as those rules or
regulations existed on July 1, 2016, except as follows:
   (1) Service charges, fees, or assessments levied on a taxicab
company shall not exceed the amount in effect on July 1, 2016. No new
or additional service charges, fees, or assessments shall be
created.
   (2) Fees for the issuance of taxi driver permits shall not exceed
seventy-five dollars ($75) annually.
   (3) A city or county shall not limit or prohibit prearranged
trips, originated through dispatch, Internet Web site, or
online-enabled application, by a licensed taxicab.
   (4) A city or county may limit the number of taxicab companies or
vehicles that use taxi stand areas, pick up passengers at airports,
or pick up street hails.
   (5) A city or county may set a maximum fare structure for taxicab
transportation services, subject to the following:
   (A) The maximum fares shall not be lower than the fares that
existed on July 1, 2016.
   (B) A city or county shall not limit the ability of a taxicab
transportation service to offer fares lower than the maximum fare
structure.
   (6) A city or county shall not regulate the type of device used by
a taxicab company to calculate fares, including the use of global
positioning system metering as a form of calculating fares. Taxicab
companies shall disclose fares, fees, or rates to the customer before
the customer accepts the ride so that the customer can make a
knowledgeable decision. A taxicab company may disclose fares, fees,
or rates on its Internet Web site or cellular telephone application.
   (7) Local rules and regulations adopted prior to July 1, 2016,
that ensure adequate service levels to all areas of a city's or
county's jurisdiction and promote use of taxicab transportation
services by individuals covered under the Americans with Disabilities
Act of 1990 (Public Law 101-336) shall remain in effect.
   (b) Subdivision (a) applies to a charter city or a charter county,
other than the City and County of San Francisco. 
   SEC. 3.    Section 53075.   72 is added to
the   Government Code  , to read:  
   53075.72.  It is the intent of the Legislature that:
   (a) Regulation of taxicab transportation services shall be
modernized in order for taxicabs to better compete with all for-hire
modes of transportation.
   (b) Taxicab regulation shall be moved from the patchwork of
various local requirements to one state agency to coincide with the
Governor's reorganization of transportation.
   (c) Duties and responsibilities for the regulation of taxicab
transportation services shall be established by state departments
within the agency that handles all other modes of for-hire
transportation.
   (d) The Governor shall propose the specific budget and statutory
changes needed to establish duties and responsibilities to the agency
that handles all other modes of for-hire transportation.
   (e) Conforming changes shall be made to this code and other codes.

   (f) A city or county shall not impose any rule or regulation
governing taxicab transportation services that is inconsistent with
or in addition to the requirements established by state departments
within the agency that handles all other modes of for-hire
transportation. 
   SEC. 4.    The Legislature finds and declares that
taxicabs face a substantial competitive disadvantage due to the
numerous and differing requirements from city to city while all other
modes of for-hire transportation are regulated by one statewide
entity, and, therefore, the regulation of taxicab transportation
services and taxicab drivers is an issue of statewide concern and not
a municipal affair, as that term is used in Section 5 of Article XI
of the California Constitution. Therefore, this act shall apply to
charter cities and charter counties. 
   SEC. 5.    The Legislature finds and declares that a
special law is necessary and that a general law cannot be made
applicable within the meaning of Section 16 of Article IV of the
California Constitution because of the unique medallion system of the
City and County of San Francisco. 
   SEC. 6.   If the Commission on State Mandates
determines that this act contains costs mandated by the state,
reimbursement to local agencies and school districts for those costs
shall be made pursuant to Part 7 (commencing with Section 17500) of
Division 4 of Title 2 of the Government Code.  All matter
omitted in this version of the bill appears in the bill as
introduced|amended in the Senate, August 19, 2016. (JR11)