AB 1422, as amended, Cooper. Transportation network companies.
Existing law, the Passenger Charter-party Carriers’ Act, provides for the regulation of transportation network companies by the Public Utilities Commission, and imposes specified requirements for liability insurance coverage for those transportation network companies and their participating drivers, as defined. A violation of the act is generally a crime. Existing law defines a “transportation network company” to mean an organization, including, but not limited to, a corporation, limited liability company, partnership, sole proprietor, or any other entity, operating in California that provides prearranged transportation services for compensation using an online-enabled application or platform to connect passengers with drivers using a personal vehicle.
This bill wouldbegin delete requireend deletebegin insert
provide thatend insert a transportation network companybegin insert is eligible and requiredend insert to participate in the Department of Motor Vehicles’ pull-notice system to regularly check the driving records of a participating driver regardless of whether the participating driver is an employee or an independent contractor of the transportation network company. Because a violation of this requirement would be a crime, the bill would impose a state-mandated local program.
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 no reimbursement is required by this act for a specified reason.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.
The people of the State of California do enact as follows:
Section 5444 is added to the Public Utilities Code, 2immediately following Section 5443, to read:
begin deleteA end deletebegin insertNotwithstanding any limitations contained in Section
41808.1 of the Vehicle Code, a end inserttransportation network companybegin insert is
5eligible to participate andend insert shall participate in the pull-notice system
6established pursuant to Section 1808.1 of the Vehicle Code to
7regularly check the driving records of a participating driver
8regardless of whether the participating driver is an employee or
9an independent contractor of the transportation network company.
No reimbursement is required by this act pursuant to
11Section 6 of Article XIII B of the California Constitution because
12the only costs that may be incurred by a local agency or school
13district will be incurred because this act creates a new crime or
14infraction, eliminates a crime or infraction, or changes the penalty
15for a crime or infraction, within the meaning of Section 17556 of
16the Government Code, or changes the definition of a crime within
17the meaning of Section 6 of Article XIII B of the California
18Constitution.
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