Bill Text: MS SB2564 | 2015 | Regular Session | Introduced


Bill Title: Transportation; regulate transportation network providers.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2015-02-03 - Died In Committee [SB2564 Detail]

Download: Mississippi-2015-SB2564-Introduced.html

MISSISSIPPI LEGISLATURE

2015 Regular Session

To: Highways and Transportation

By: Senator(s) Simmons (13th)

Senate Bill 2564

AN ACT TO CREATE THE MISSISSIPPI TRANSPORTATION NETWORK PROVIDERS ACT; TO DEFINE CERTAIN TERMS USED IN THE ACT; TO REQUIRE TRANSPORTATION NETWORK COMPANIES AND PARTICIPATING DRIVERS TO COMPLY WITH AUTOMOBILE LIABILITY INSURANCE REQUIREMENTS SPECIFIED IN THIS ACT; TO PROVIDE QUALIFICATIONS FOR TRANSPORTATION NETWORK COMPANY DRIVERS; TO REQUIRE A NONDISCRIMINATION POLICY; TO PROVIDE SAFETY REQUIREMENTS; TO PROVIDE CERTAIN OPERATIONAL REQUIREMENTS; TO REQUIRE REGISTRATION WITH THE PUBLIC SERVICE COMMISSION; TO PROVIDE CIVIL PENALTIES FOR VIOLATIONS OF THIS ACT; TO AUTHORIZE THE PUBLIC SERVICE COMMISSION TO ADOPT RULES AND REGULATIONS TO EFFECTUATE THE PURPOSES OF THIS ACT; AND OR RELATED PURPOSES.

     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

     SECTION 1.  Short title.  This act may be cited as the "Mississippi Transportation Network Providers Act."

     SECTION 2.  Definitions.  As used in this act, unless the context clearly requires otherwise:

          (a)  "Transportation network company" or "TNC" means an entity operating in this state that uses a digital network or software application service to connect passengers to transportation network company services provided by transportation network company drivers.  A TNC is not deemed to own, control, operate, or manage the vehicles used by TNC drivers, and is not a taxicab association or a for-hire vehicle owner.

          (b)  "Transportation network company driver" or "TNC driver" means an individual who operates a motor vehicle that is:

              (i)  Owned, leased, or otherwise authorized for use by the individual;

              (ii)  Not a taxicab or for—hire public passenger vehicle; and

              (iii)  Used to provide transportation network company services.

          (c)  "Transportation network company services" or "TNC services" means transportation of a passenger between points chosen by the passenger and prearranged with a TNC driver through the use of a TNC digital network or software application.  TNC services shall begin when a TNC driver accepts a request for transportation received through the TNC's digital network or software application service, continue while the TNC driver transports the passenger in the TNC driver's vehicle, and end when the passenger exits the TNC driver's vehicle.  TNC service is not a taxicab, for—hire vehicle, or street hail service.

     SECTION 3.  Insurance.  (1)  Transportation network companies and participating TNC drivers shall comply with the automobile liability insurance requirements of this section as required.

     (2)  The following automobile liability insurance requirements shall apply from the moment a participating TNC driver logs on to the transportation network company's digital network or software application until the TNC driver accepts a request to transport a passenger, and from the moment the TNC driver completes the transaction on the digital network or software application or the ride is complete, whichever is later, until the TNC driver either accepts another ride request on the digital network or software application or logs off the digital network or software application:

          (a)  Automobile liability insurance shall be in the amount of at least Fifty Thousand Dollars ($50,000.00) for death and personal injury per person, One Hundred Thousand Dollars ($100,000.00)for death and personal injury per incident, and Twenty-five Thousand Dollars ($25,000.00) for property damage.

          (b)  Contingent automobile liability insurance in the

amounts required in paragraph (a) of this subsection (2) shall be maintained by a transportation network company and provide coverage in the event a participating TNC driver's own automobile liability policy excludes coverage according to its policy terms or does not provide at least the limits of coverage required in paragraph (a) of this subsection (2).

     (3)  The following automobile liability insurance requirements shall apply from the moment a TNC driver accepts a ride request on the transportation network company's digital network or software application until the TNC driver completes the transaction on the digital network or software application or until the ride is complete, whichever is later:

          (a)  Automobile liability insurance shall be primary and in the amount of One Million Dollars ($1,000,000.00) for death, personal injury and property damage.  The requirements for the coverage required by this paragraph (a) may be satisfied by any of the following:

              (i)  Automobile liability insurance maintained by a participating TNC driver;

              (ii)  Automobile liability company insurance maintained by a transportation network company; or

              (iii)  Any combination of subparagraphs (i) and (ii).

          (b)  Insurance coverage provided under this subsection (3) shall also provide for uninsured motorist coverage and underinsured motorist coverage in the amount of Fifty Thousand Dollars ($50,000.00) from the moment a passenger enters the vehicle of a participating TNC driver until the passenger exits the vehicle.

          (c)  The insurer, in the case of insurance coverage provided under this subsection (3), shall have the duty to defend and indemnify the insured.

          (d)  Coverage under an automobile liability insurance policy required under this subsection (3) shall not be dependent on a personal automobile insurance policy first denying a claim nor shall a personal automobile insurance policy be required to first deny a claim.

     (4)  In every instance when automobile liability insurance maintained by a participating TNC driver to fulfill the insurance obligations of this section has lapsed or ceased to exist, the transportation network company shall provide the coverage required by this section beginning with the first dollar of a claim.

     (5)  This section shall not limit the liability of a transportation network company arising out of an automobile accident involving a participating TNC driver in any action for damages against a transportation network company for an amount above the required insurance coverage.

     (6)  The transportation network company shall disclose in writing to TNC drivers, as part of its agreement with those TNC drivers, the following:

          (a)  The insurance coverage and limits of liability that the transportation network company provides while the TNC driver uses a vehicle in connection with a transportation network company's digital network or software application; and

          (b)  That the TNC driver's own insurance policy may not provide coverage while the TNC driver uses a vehicle in connection with a transportation network company digital network depending on its terms.

     (7)  An insurance policy required by this section may be placed with an admitted Mississippi insurer, or with an authorized surplus line insurer under Sections 83-21-17 through 83-21-31.

     (8)  Any insurance policy required by this section shall satisfy the minimum limits of coverage required by the Mississippi Motor Vehicle Safety Responsibility Law.

     SECTION 4.  Driver requirements.  (1)  Before allowing an individual to act as a TNC driver on its digital platform, the TNC shall:

          (a)  Require the individual to submit an application to the TNC, which includes information regarding his or her address, age, driver's license, driving history, motor vehicle registration, automobile liability insurance, and other information required by the TNC;

          (b)  Conduct, or have a third-party conduct, a local and national criminal history background check for each individual applicant that shall include:

              (i)  Multi-State or Multi—Jurisdictional Criminal Records Locator or other similar commercial nationwide database with validation (primary source search); and

              (ii)  National Sex Offenders Registry database; and      (c)  Obtain and review a driving history research report for the individual.

     (2)  The TNC shall not permit an individual to act as a TNC driver on its digital platform who:

          (a)  Has had more than three (3) moving violations in the prior three-year period, or one (1) major violation in the prior three-year period including, but not limited to, attempting to evade the police, reckless driving, or driving on a suspended or revoked license;

          (b)  Has been convicted, within the past seven (7) years, of driving under the influence of drugs or alcohol, fraud, sexual offenses, use of a motor vehicle to commit a felony, a crime involving property damage, or theft, acts of violence, or acts of terror;

          (c)  Is a match in the National Sex Offenders Registry database;

          (d)  Does not possess a valid driver's license;

          (e)  Does not possess proof of registration for the motor vehicle used to provide TNC services;

          (f)  Does not possess proof of automobile liability insurance for the motor vehicle used to provide TNC services; or

          (g)  Is under nineteen (19) years of age.

     SECTION 5.  Nondiscrimination.  (1)  The TNC shall adopt and notify TNC drivers of a policy of nondiscrimination on the basis of destination, race, color, national origin, religious belief or affiliation, sex, disability, age, sexual orientation, or gender identity with respect to passengers and potential passengers.

     (2)  TNC drivers shall comply with all applicable laws regarding nondiscrimination against passengers or potential passengers on the basis of destination, race, color, national origin, religious belief or affiliation, sex, disability, age, sexual orientation, or gender identity.

     (3)  TNC drivers shall comply with all applicable laws relating to accommodation of service animals.

     (4)  A TNC shall not impose additional charges for providing services to persons with physical disabilities because of those

disabilities.

     (5)  A TNC shall provide passengers an opportunity to indicate whether they require a wheelchair-accessible vehicle.  If a TNC cannot arrange wheelchair-accessible TNC service in any instance, it shall direct the passenger to an alternate provider of wheelchair-accessible service, if available.

     (6)  If any political subdivision has requirements for licensed chauffeurs not to discriminate in providing service in underserved areas, TNC drivers participating in TNC services within that political subdivision shall be subject to the same nondiscrimination requirements for providing service in underserved areas.

     SECTION 6.  Safety.  (1)  The TNC shall implement a zero-tolerance policy on the use of drugs or alcohol while a TNC driver is providing TNC services or is logged into the TNC's digital network but is not providing TNC services.

     (2)  The TNC shall provide notice of the zero-tolerance policy on its website, as well as procedures to report a complaint about a driver with whom a passenger was matched and whom the passenger reasonably suspects was under the influence of drugs or alcohol during the course of the trip.

     (3)  Upon receipt of a passenger's complaint alleging a violation of the zero-tolerance policy, the TNC shall immediately suspend the TNC driver's access to the TNC's digital platform, and shall conduct an investigation into the reported incident.  The suspension shall last the duration of the investigation.

     (4)  The TNC shall require that any motor vehicle that a TNC driver will use to provide TNC services meets vehicle safety and emissions requirements for a private motor vehicle in this state.

     (5)  TNCs or TNC drivers are not common carriers, contract carriers or motor carriers, as defined by applicable state law, nor do they provide taxicab or for-hire vehicle service.

     SECTION 7.  Operational.  (1)  A TNC may charge a fare for the services provided to passengers; provided that, if a fare is charged, the TNC shall disclose to passengers the fare calculation method on its website or within the software application service.

     (2)  The TNC shall provide passengers with the applicable rates being charged and the option to receive an estimated fare before the passenger enters the TNC driver's vehicle.

     (3)  The TNC's software application or website shall display a picture of the TNC driver, and the license plate number of the motor vehicle utilized for providing the TNC service before the passenger enters the TNC driver's vehicle.

     (4)  Within a reasonable period of time following the completion of a trip, a TNC shall transmit an electronic receipt to the passenger that lists:

          (a)  The origin and destination of the trip;

          (b)  The total time and distance of the trip; and

          (c)  An itemization of the total fare paid, if any.

     (5)  Dispatches for TNC services shall be made only to eligible TNC drivers under Section 15 of this act who are properly licensed under state law and local ordinances addressing these drivers if applicable.

     (6)  A taxicab may accept a request for transportation received through a TNC's digital network or software application service, and may charge a fare for those services that is similar to those charged by a TNC.

     SECTION 8.  A transportation network company shall not operate in this state unless the transportation network company:

          (a)  Registers with the Public Service Commission as a transportation network company in a manner to be prescribed by the commission; and

          (b)  Appoints an agent for the service of process in this state, to be filed with the Secretary of State.  Any change of the agent or the address or other contact therefor shall be filed within ten (10) days of the effective date of the change.

     SECTION 9.  The Public Service Commission may investigate alleged violations and initiate proceedings relative to a violation of this act or any rules and regulations promulgated pursuant to this act.  The commission shall afford an opportunity for a fair hearing to the alleged violator after giving written notice of the time and place for the hearing.  Failure to appear at any hearing may result in the commission finding the alleged violator liable by default.  Any transportation network company found to have violated this act, or any rule or regulation adopted pursuant thereto, shall be subject to a civil penalty in the amount of One Thousand Dollars ($1,000.00) for the first offense, per driver, and an amount not to exceed Five Thousand Dollars ($5,000.00) for each subsequent offense, per driver.  The commission may issue subpoenas, require the production of relevant documents, administer oaths, conduct hearings, and do all things necessary in the course of investigating, determining and adjudicating an alleged violation.

     SECTION 10.  The Public Service Commission, in consultation with the Department of Insurance, shall promulgate rules and regulations to effectuate the purposes of this act.

     SECTION 11.  This act shall take effect and be in force from and after July 1, 2015.

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