Amended in Senate June 30, 2016

Amended in Assembly April 18, 2016

California Legislature—2015–16 Regular Session

Assembly BillNo. 2763


Introduced by Assembly Member Gatto

February 19, 2016


An act to amend Section 5431 of the Public Utilities Code, relating to transportation.

LEGISLATIVE COUNSEL’S DIGEST

AB 2763, as amended, Gatto. Transportation network companies: personal vehicles.

The Passenger Charter-party Carriers’ Act provides for the regulation of charter-party carriers of passengers by the Public Utilities Commission and includes specific requirements for liability insurance coverage for transportation network companies, which are defined as certain organizations that, using an online-enabled application or platform, connect passengers with drivers using a personal vehicle.

This bill would define a personal vehicle as a vehicle that is used by a participating driver to provide prearranged transportation services for compensation,begin insert with a passenger capacity of eight persons or less, including the driver, thatend insert is owned, leased, begin deleterented,end deletebegin insert rented for a term that does not exceed 30 days, as specified,end insert or otherwise authorized for usebegin delete for any period of timeend delete by the participating driver, meets all inspection and other safety requirements imposed by the commission, and is not a taxicab or a limousine.

Vote: majority. Appropriation: no. Fiscal committee: begin deleteno end deletebegin insertyesend insert. State-mandated local program: no.

The people of the State of California do enact as follows:

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SECTION 1.  

Section 5431 of the Public Utilities Code is
2amended to read:

3

5431.  

For purposes of this article, the following terms have
4the following meanings:

5(a) “Participating driver” or “driver” means any person who
6uses a vehicle in connection with a transportation network
7company’s online-enabled application or platform to connect with
8passengers.

9(b) “Personal vehicle” means a vehicle that is used by a
10participating driver to provide prearranged transportation services
11forbegin delete compensation, isend deletebegin insert compensation that meets all of the following
12requirements:end insert

begin insert

13
(1) Has a passenger capacity of eight persons or less, including
14the driver.

end insert

15begin insert(2)end insertbegin insertend insertbegin insertIsend insert owned, leased,begin delete rented,end deletebegin insert rented for a term that does not
16exceed 30 days,end insert
or otherwise authorized for usebegin delete for any period of
17timeend delete
by the participatingbegin delete driver, meetsend deletebegin insert driver.end insert

18begin insert(3)end insertbegin insertend insertbegin insertMeetsend insert all inspection and other safety requirements imposed
19by thebegin delete commission, and isend deletebegin insert commission.end insert

20begin insert(4)end insertbegin insertend insertbegin insertIsend insert not a taxicab or limousine.

21(c) “Transportation network company” means an organization,
22including, but not limited to, a corporation, limited liability
23company, partnership, sole proprietor, or any other entity, operating
24in California that provides prearranged transportation services for
25compensation using an online-enabled application or platform to
26connect passengers with drivers using a personal vehicle.

27(d) “Transportation network company insurance” means a
28liability insurance policy that specifically covers liabilities arising
29from a driver’s use of a vehicle in connection with a transportation
30network company’s online-enabled application or platform.



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