AN ACT

 

1Amending Title 66 (Public Utilities) of the Pennsylvania
2Consolidated Statutes, in general provisions, further
3providing for definitions; in powers and duties, further 
4providing for power of commission to require insurance; in 
5contract carrier by motor vehicle and broker, further
6providing for declaration of policy and definitions; and
7providing for transportation network services.

8The General Assembly of the Commonwealth of Pennsylvania
9hereby enacts as follows:

10Section 1. The definition of "common carrier by motor
11vehicle" in section 102 of Title 66 of the Pennsylvania
12Consolidated Statutes is amended by adding a paragraph and the
13section is amended by adding definitions to read:

14§ 102. Definitions.

15Subject to additional definitions contained in subsequent
16provisions of this part which are applicable to specific
17provisions of this part, the following words and phrases when
18used in this part shall have, unless the context clearly
19indicates otherwise, the meanings given to them in this section:

20* * *

1"Common carrier by motor vehicle." Any common carrier who or
2which holds out or undertakes the transportation of passengers
3or property, or both, or any class of passengers or property,
4between points within this Commonwealth by motor vehicle for
5compensation, whether or not the owner or operator of such motor
6vehicle, or who or which provides or furnishes any motor
7vehicle, with or without driver, for transportation or for use
8in transportation of persons or property as aforesaid, and shall
9include common carriers by rail, water, or air, and express or
10forwarding public utilities insofar as such common carriers or
11such public utilities are engaged in such motor vehicle
12operations, but does not include:

13* * *

14(10) A person or entity that is any of the following:

15(i) A transportation network company.

16(ii) A transportation network company driver.

17* * *

18"Personal vehicle." A vehicle operated by its owner or a
19person authorized by the owner to operate the vehicle and who is
20listed as a household member on the insurance policy for the
21vehicle.

22"Providing transportation network services." The time period
23during which a transportation network services driver has a
24transportation network company's digital application open and is
25available to receive requests for transportation network
26services. For purposes of this definition, "available to receive
27requests for transportation network service" includes the time
28period where the transportation network company driver is
29waiting for a request for transportation or is waiting to pick
30up a passenger and from the time a passenger is picked up until

1the passenger safely exits the vehicle.

2* * *

3"Transportation network company." A company that uses a
4digital network to connect a passenger with a transportation
5network company driver for the purpose of transportation between
6points within this Commonwealth.

7"Transportation network company driver." An individual who
8uses the individual's personal vehicle to provide to passengers
9transportation that is arranged electronically through a
10transportation network company.

11"Transportation network service."

12(1) A service which meets all of the following:

13(i) Matches a passenger and driver electronically in
14advance.

15(ii) Is rendered on an exclusive basis.

16(iii) Is characterized by an individual offering
17transportation to a passenger in the individual's
18personal vehicle through a digital network.

19(2) The term includes any digital applications that
20facilitate communications between a transportation network
21company, a transportation network company driver and
22passengers.

23* * *

24Section 2. Section 512 of Title 66 is amended to read:

25§ 512. Power of commission to require insurance.

26(a) Authority.--The commission may, as to motor carriers,
27prescribe, by regulation or order, such requirements as it may
28deem necessary for the protection of persons or property of
29their patrons and the public, including the filing of surety
30bonds, the carrying of insurance, or the qualifications and

1conditions under which such carriers may act as self-insurers
2with respect to such matters. All motor carriers of passengers,
3whose current liquid assets do not exceed their current
4liabilities by at least $100,000, shall cover each and every
5vehicle, transporting such passengers, with a public liability
6insurance policy or a surety bond issued by an insurance carrier
7or a bonding company authorized to do business in this
8Commonwealth, in such amounts as the commission may prescribe,
9but not less than $5,000 for one and $10,000 for more than one
10person injured in any one accident.

11(b) Coverage requirements for transportation network
12companies.--The liability insurance maintained by a
13transportation network company on each network company driver
14shall be in an amount not less than $35,000 to cover liability
15for bodily injury, death or property damage incurred in an
16accident arising from transportation network services. The
17$35,000 minimum coverage may be provided as split coverage in
18the amounts of $15,000 bodily injury per person, $30,000 bodily
19injury per accident and $5,000 property damage per accident.
20This coverage shall include first party medical benefits in the
21amount of $25,000 and first party wage loss benefits in the
22amount of $10,000 for passengers and pedestrians. Except as to
23the required amount of coverage, these benefits shall conform to
2475 Pa.C.S. Ch. 17 (relating to financial responsibility). First
25party coverage of the driver of certificated vehicles shall meet
26the requirements of 75 Pa.C.S. § 1711 (relating to required
27benefits).

28(c) Options for coverage.--The coverage requirements in
29subsection (b) may be met by one of the following:

30(1) A transportation network company maintaining such

1insurance on its own.

2(2) With any combination of a policy maintained by a
3transportation network company and a policy maintained by a
4transportation network company driver that is specifically
5written for the purpose of providing transportation network
6services. A transportation network company shall assume
7financial responsibility for that portion of any damages not
8covered under a policy maintained by a transportation network
9company driver where a person is legally entitled to recover
10such damages for an injury arising out of the maintenance or
11use of a vehicle while providing transportation network
12services.

13(d) Duty of transportation network companies.--It shall be
14the sole and exclusive responsibility of a transportation
15network company to ensure that the coverage required by
16subsection (b) is in force prior to permitting a transportation
17network company driver to provide transportation network company
18services through the transportation network company's digital
19network. Each policy maintained pursuant to subsection (b)
20shall:

21(1) Provide primary liability coverage for incidents
22involving a transportation network company driver while
23providing transportation network company service.

24(2) Include a duty of the insurer to defend against
25claims made against a transportation network company driver
26or the owner of a personal vehicle used to provide
27transportation network services.

28(e) Waiver of liability prohibited.--

29(1) No transportation network company or transportation
30network company driver may request or require a passenger to

1sign a waiver of potential liability for losses of personal
2property or injury.

3(2) No transportation network company may request or
4require a transportation network company driver to sign a
5waiver of potential liability for losses of personal property
6or injury.

7Section 3. Paragraph (2) of the definition of "contract
8carrier by motor vehicle" in section 2501(b) of Title 66 is
9amended by adding a subparagraph to read:

10§ 2501. Declaration of policy and definitions.

11* * *

12(b) Definitions.--The following words and phrases when used
13in this part shall have, unless the context clearly indicates
14otherwise, the meanings given to them in this subsection:

15* * *

16"Contract carrier by motor vehicle."

17* * *

18(2) The term "contract carrier by motor vehicle" does
19not include:

20* * *

21(x)  A transportation network company or
22transportation network company driver.

23Section 4. Title 66 is amended by adding a chapter to read:

24CHAPTER 25A

25TRANSPORTATION NETWORK SERVICES

26Sec.

2725A01. Definitions.

2825A02. Exclusions.

2925A03. Requirements for transportation network companies.

3025A04. Requirements for transportation network company drivers.

125A05. Vehicle requirements.

225A06. Rates and forms of compensation.

325A07. Regulations.

425A08. Assessments.

5§ 25A01. Definitions.

6(Reserved).

7§ 25A02. Exclusions.

8Transportation network services and transportation network
9drivers are not:

10(1) A "call or demand service," "taxicab service" or
11"limousine service" for purposes of 53 Pa.C.S. § 5701
12(relating to definitions).

13(2) A "motor carrier" of passengers, "common carrier,"
14"contract carrier" or "broker" under this title.

15(3) A "ridesharing arrangement" or ridesharing operator
16pursuant to the act of December 14, 1982 (P.L.1211, No.279),
17entitled "An act providing for ridesharing arrangements and
18providing that certain laws shall be inapplicable to
19ridesharing arrangements."

20§ 25A03. Requirements for transportation network companies.

21(a) License required.--No person or corporation shall engage
22in the business of a transportation network company in this
23Commonwealth unless the person or corporation holds a license
24issued by the commission.

25(b) License application and issuance.--An application for a
26transportation network company license must be made to the
27commission in writing, be verified by oath or affirmation and be
28in such form and contain such information as the commission may,
29by its regulations, require. A license shall be issued to any
30applicant if it is found that the applicant meets all of the

1requirements of subsection (c) and is fit, willing and able to
2conform to the provisions of this title and the lawful orders
3and regulations of the commission under this title.

4(c) Service standards and requirements for transportation
5network companies.--Any applicant seeking a license under this
6section shall do all of the following as a condition of receipt
7of a license:

8(1) Maintain accurate records including the make, model
9and license number of personal vehicles used by
10transportation network company drivers to provide
11transportation network services.

12(2) Maintain accurate records of all transportation
13network company drivers providing services arranged through
14the transportation network company's digital network.

15(3) Implement a zero-tolerance policy on the use of
16drugs and alcohol while a transportation network company
17driver is providing transportation network services. Any
18transportation network company driver who is the subject of a
19passenger complaint alleging a violation of the zero-
20tolerance policy shall be immediately suspended. The
21suspension shall last until such time as the complaint
22investigation is completed. The following shall be provided
23on a transportation network company's Internet website:

24(i) Notice of the zero-tolerance policy.

25(ii) The procedures a passenger may use to report a
26complaint about a transportation network company driver
27with whom the passenger was matched and the passenger
28reasonably suspects who was under the influence of drugs
29or alcohol during the course of the transportation.

30(d) Conditions for retaining license.--Prior to permitting

1any person to provide transportation network services, a
2transportation network company shall comply with the following
3duties, which shall be conditions for retaining the license:

4(1) Establish a driver training program designed to
5ensure that each transportation network company driver safely
6operates the driver's vehicle while transporting passengers.

7(2) Obtain and review a criminal history research report
8for each transportation network company driver. The criminal
9history research report shall be a national criminal
10background check, including the national sex offender
11database. Any person who has been convicted:

12(i) within the last seven years of driving under the
13influence of drugs or alcohol; or

14(ii) at any time for fraud, a sexual offense, use of
15a motor vehicle to commit a felony, a crime involving
16property damage or theft, acts of violence or acts of
17terrorism;

18shall not be permitted to be a transportation network company
19driver.

20(3) Obtain and review a driving history research report
21for each transportation network company driver. Any person
22convicted of any of the following within the three years
23immediately preceding the request date of a report shall not
24be permitted to be a transportation network company driver:

25(i) More than three moving violations.

26(ii) A major violation, including attempting to
27evade a police officer, reckless driving or driving with
28a suspended license.

29(4) Maintain insurance as required by section 512
30(relating to power of commission to require insurance) as

1memorialized by the filing of a Form E with the commission.

2(5) Establish and maintain a digital application that:

3(i) Connects transportation network company drivers
4and passengers.

5(ii) Displays for the passenger a photograph of the
6transportation network company driver. The photograph
7must have been taken within the last 12 months.

8(iii) Displays for the passenger a photograph of the
9transportation network company driver vehicle that will
10be used by the transportation network company driver to
11provide service and the vehicle's license plate number.

12(6) Establish and maintain an Internet website that
13provides:

14(i) A customer service telephone number and e-mail
15address or Internet form.

16(ii) The commission's Internet website address.

17(iii) The commission's complaint hotline telephone
18number.

19(7) Maintain the standards required under this
20subsection on an ongoing basis.

21(e) Discrimination prohibited.--No transportation network
22company may unreasonably discriminate against any prospective
23passenger or unreasonably refuse to provide service to a certain
24class of passengers or certain localities.

25(f) Inspection authority.--The commission has the authority
26to inspect the records of a transportation network company to
27investigate compliance with the requirements of this chapter and
28any order or regulation of the commission.

29§ 25A04. Requirements for transportation network company
30drivers.

1(a) Licensing.--No separate license shall be required for a
2transportation network company driver to provide transportation
3network services for a licensed transportation network company.
4Except as otherwise specifically provided, a transportation
5network company driver shall not be subject to this title or 53
6Pa.C.S. (relating to municipalities generally).

7(b) Service requirements for transportation network company
8drivers.--Each transportation network company driver shall:

9(1) Satisfy the requirements for a criminal history and
10diving history record search as provided by section 25A03(c)
11(3).

12(2) Possess a valid driver's license, proof of motor
13vehicle insurance and be at least 21 years of age.

14(3) In the case of an accident, provide:

15(i) Proof of the transportation network company
16driver's personal motor vehicle insurance.

17(ii) Proof of the transportation network company's
18commercial vehicle liability insurance. A transportation
19network company driver shall have 24 hours following an
20accident to provide proof of a transportation network
21company's commercial vehicle liability insurance.

22(c) Limitations.--A transportation network company driver
23shall only provide service as provided by this chapter. A
24transportation network company driver shall not solicit or
25accept street hails or telephone calls requesting
26transportation.

27(d) Discrimination prohibited.--No transportation network
28company driver may unreasonably discriminate against any
29prospective passenger or unreasonably refuse to provide service
30to a certain class of passengers or certain localities.

1§ 25A05. Vehicle requirements.

2(a) Types of vehicles.--Vehicles used by transportation
3network company drivers to provide transportation network
4services may be coupes, sedans and other light-duty vehicles,
5including vans, minivans, sport utility vehicles, hatchbacks,
6convertibles and pickup trucks that are equipped and licensed
7for operation on public roads.

8(b) Certificate of inspection.--Vehicles used by
9transportation network company drivers to provide transportation
10network services shall be inspected annually by an inspection
11station approved by the Department of Transportation pursuant to
1267 Pa. Code Ch. 175 (relating to vehicle equipment and
13inspection). A valid certificate of inspection shall be
14maintained in all vehicles.

15(c) Age of vehicles.--Vehicles used by transportation
16network company drivers to provide transportation network
17service may be no more than ten model years old.

18(d) Commission inspection.--The commission may inspect any
19transportation network company driver vehicle to ensure
20compliance with this section.

21§ 25A06. Rates and forms of compensation.

22(a) Rates.--A transportation network company may offer
23transportation network services at no charge, suggest a donation
24or charge a fare.

25(b) Disclosure.--If a fare is charged, the transportation
26network company shall disclose the method of calculation, the
27applicable rates being charged and the option for a prospective
28passenger to receive an estimated fare before booking the
29transportation.

30(c) Rates not subject to commission review.--The amount of a

1donation or fare received as compensation for transportation
2network services shall not be subject to commission review or
3approval pursuant to Chapter 13 (relating to rates and
4distribution systems).

5(d) Receipts.--Upon completion of transportation provided
6pursuant to this chapter, a transportation network company shall
7transmit an electronic receipt to a passenger's e-mail address
8or mobile application. The receipt shall contain:

9(1) The origination and destination points of the
10transportation.

11(2) The total amount paid by the passenger, if any.

12§ 25A07. Regulations.

13The commission shall make such orders or regulations as
14necessary to implement and enforce this chapter.

15§ 25A08. Assessments.

16Costs incurred by the commission to implement and enforce
17this chapter shall be included in the commission's proposed
18budget and shall be assessed upon a transportation network
19company in accordance with section 510(a) (relating to
20assessment for regulatory expenses upon public utilities).

21Section 5. This act shall take effect in 60 days.