AN ACT

 

1Amending Titles 53 (Municipalities Generally), 66 (Public
2Utilities) and 75 (Vehicles) of the Pennsylvania Consolidated
3Statutes, in taxicabs and limousines in first class cities,
4further providing for definitions; in general provisions,
5further providing for definitions; in powers and duties, 
6further providing for assessment for regulatory expenses upon 
7public utilities and for power of commission to require 
8insurance; in contract carrier by motor vehicle and broker,
9further providing for declaration of policy and definitions;
10providing for transportation network services; in general
11provisions, further providing for definitions; and, in
12registration of vehicles, further providing for application
13for registration.

14The General Assembly of the Commonwealth of Pennsylvania
15hereby enacts as follows:

16Section 1. The definitions of "call or demand service," 
17"taxicab service" and "limousine service" in section 5701 of
18Title 53 of the Pennsylvania Consolidated Statutes are amended
19to read:

20§ 5701. Definitions.

21The following words and phrases when used in this chapter
22shall have the meanings given to them in this section unless the
23context clearly indicates otherwise:

1* * *

2"Call or demand service" or "taxicab service." Local common
3carrier service for passengers, rendered on either an exclusive
4or nonexclusive basis, where the service is characterized by the
5fact that passengers normally hire the vehicle and its driver
6either by telephone call or by hail, or both. The term does not
7include limousine service. The term shall not include 
8transportation network services as defined in 66 Pa.C.S. § 102 
9(relating to definitions).

10* * *

11"Limousine service."

12(1) Except as provided in paragraph (2), a motor vehicle
13providing any of the following services:

14(i) Local, nonscheduled common carrier service for
15passengers on an exclusive basis for compensation.

16(ii) Common carrier service for passengers for
17compensation:

18(A) from any airport, railroad station or hotel
19located in whole or in part in a city of the first
20class; or

21(B) to any airport, railroad station or hotel
22located in whole or in part in a city of the first
23class from a point within the city of the first
24class.

25(2) The term does not include any of the following:

26(i) Taxicab service.

27(ii) Service that was otherwise exempt from the
28jurisdiction of the Pennsylvania Public Utilities 
29Commission prior to the effective date of this
30subparagraph.

1(iii) Other paratransit service.

2(iv) Employee commuter van pooling.

3(v) A vehicle with a seating capacity of 16 or more
4persons, including the driver.

5(vi) Transportation network services as defined in
666 Pa.C.S. § 102 (relating to definitions).

7* * *

8Section 2. The definitions of "common carrier" and "motor
9carrier" in section 102 of Title 66 are amended, the definition
10of "common carrier by motor vehicle" is amended by adding a
11paragraph and the section is amended by adding definitions to
12read:

13§ 102. Definitions.

14Subject to additional definitions contained in subsequent
15provisions of this part which are applicable to specific
16provisions of this part, the following words and phrases when
17used in this part shall have, unless the context clearly
18indicates otherwise, the meanings given to them in this section:

19* * *

20"Common carrier." Any and all persons or corporations
21holding out, offering, or undertaking, directly or indirectly,
22service for compensation to the public for the transportation of
23passengers or property, or both, or any class of passengers or
24property, between points within this Commonwealth by, through,
25over, above, or under land, water, or air, and shall include
26forwarders, but shall not include contract carriers by motor
27vehicles, or brokers, or any bona fide cooperative association
28transporting property exclusively for the members of such
29association on a nonprofit basis. The term shall not include a 
30transportation network company or transportation network company
 

1driver.

2"Common carrier by motor vehicle." Any common carrier who or
3which holds out or undertakes the transportation of passengers
4or property, or both, or any class of passengers or property,
5between points within this Commonwealth by motor vehicle for
6compensation, whether or not the owner or operator of such motor
7vehicle, or who or which provides or furnishes any motor
8vehicle, with or without driver, for transportation or for use
9in transportation of persons or property as aforesaid, and shall
10include common carriers by rail, water, or air, and express or
11forwarding public utilities insofar as such common carriers or
12such public utilities are engaged in such motor vehicle
13operations, but does not include:

14* * *

15(10) A person or entity that is any of the following:

16(i) A transportation network company.

17(ii) A transportation network company driver.

18* * *

19"Motor carrier." A common carrier by motor vehicle, and a
20contract carrier by motor vehicle. The term shall not include a 
21transportation network company or transportation network company 
22driver.

23* * *

24"Transportation network company." A company that uses a
25digital network to connect a passenger with a transportation
26network company driver for the purpose of transportation.

27"Transportation network company driver." An individual who
28uses the individual's personal vehicle to provide a ride for a
29passenger arranged electronically through a transportation
30network company.

1"Transportation network company vehicle." A vehicle used by
2a transportation network company driver to provide
3transportation network services.

4"Transportation network service." A service which meets all
5of the following:

6(1) Matches a passenger and driver electronically in
7advance.

8(2) Is rendered on an exclusive basis.

9(3) Is characterized by an individual offering a ride to
10a passenger in the individual's personal vehicle through a
11digital network.

12Section 3. Sections 510(a) introductory paragraph and 512 of
13Title 66 are amended to read:

14§ 510. Assessment for regulatory expenses upon public
15utilities.

16(a) Determination of assessment.--Before November 1 of each
17year, the commission shall estimate its total expenditures in
18the administration of this part for the fiscal year beginning
19July of the following year, which estimate shall not exceed
20three-tenths of 1% of the total gross intrastate operating
21revenues of the public utilities or transportation network 
22companies in accordance with section 2608 (relating to 
23commission costs) under its jurisdiction for the preceding
24calendar year. Such estimate shall be submitted to the Governor 
25in accordance with section 610 of the act of April 9, 1929 
26(P.L.177, No.175), known as "The Administrative Code of 1929." 
27At the same time the commission submits its estimate to the 
28Governor, the commission shall also submit that estimate to the
29General Assembly. The commission or its designated
30representatives shall be afforded an opportunity to appear

1before the Governor and the Senate and House Appropriations
2Committees regarding their estimates. The commission shall
3subtract from the final estimate:

4* * *

5§ 512. Power of commission to require insurance.

6(a) Motor carriers.--The commission may, as to motor
7carriers, prescribe, by regulation or order, such requirements
8as it may deem necessary for the protection of persons or
9property of their patrons and the public, including the filing
10of surety bonds, the carrying of insurance, or the
11qualifications and conditions under which such carriers may act
12as self-insurers with respect to such matters. All motor
13carriers of passengers, whose current liquid assets do not
14exceed their current liabilities by at least $100,000, shall
15cover each and every vehicle, transporting such passengers, with
16a public liability insurance policy or a surety bond issued by
17an insurance carrier or a bonding company authorized to do
18business in this Commonwealth, in such amounts as the commission
19may prescribe, but not less than $5,000 for one and $10,000 for
20more than one person injured in any one accident.

21(b)  Transportation network companies.--The commission may,
22in respect to transportation network companies, promulgate
23regulations or issue orders establishing requirements necessary
24for the protection of persons or property of their patrons and
25the public, including the carrying of insurance as required
26under section 2603 (relating to service standards and
27requirements of transportation network companies).

28Section 4. The definition of "broker" in section 2501(b) of
29Title 66 is amended and paragraph (2) of the definition of
30"contract carrier by motor vehicle" is amended by adding a

1subparagraph to read:

2§ 2501. Declaration of policy and definitions.

3* * *

4(b) Definitions.--The following words and phrases when used
5in this part shall have, unless the context clearly indicates
6otherwise, the meanings given to them in this subsection:

7"Broker." Any person or corporation not included in the term
8"motor carrier" and not a bona fide employee or agent of any
9such carrier, or group of such carriers, who or which, as
10principal or agent, sells or offers for sale any transportation
11by a motor carrier, or the furnishing, providing, or procuring
12of facilities therefor, or negotiates for, or holds out by
13solicitation, advertisement, or otherwise, as one who sells,
14provides, furnishes, contracts, or arranges for such
15transportation, or the furnishing, providing, or procuring of
16facilities therefor, other than as a motor carrier directly or
17jointly, or by arrangement with another motor carrier, and who
18does not assume custody as a carrier. The term shall not include 
19a transportation network company or a transportation network 
20company driver.

21"Contract carrier by motor vehicle."

22* * *

23(2) The term "contract carrier by motor vehicle" does
24not include:

25* * *

26(x)  A transportation network company or
27transportation network company driver.

28Section 5. Title 66 is amended by adding a chapter to read:

29CHAPTER 26

30TRANSPORTATION NETWORK SERVICES

1Sec.

22601. Definitions.

32602.  Applicability of certain laws and prohibition.

42603.  Service standards and requirements for transportation
5network companies.

62604.  Service standards and requirements for transportation
7network company drivers.

82605.  Transportation network company vehicle requirements.

92606.  Rates and forms of compensation.

102607.  Regulations.

112608.  Commission costs.

12§ 2601. Definitions.

13The following words and phrases when used in this chapter
14shall have the meanings given to them in this section unless the
15context clearly indicates otherwise:

16"License." Proof of the commission's approval authorizing a
17transportation network company to operate a transportation
18network service in this Commonwealth in accordance with this
19chapter. The term does not include a certificate of public
20convenience as described under Ch. 11 (relating to certificates
21of public convenience).

22§ 2602. Applicability of certain laws and prohibition.

23(a) Motor carrier laws.--The following laws and regulations
24of this Commonwealth shall not apply to a transportation network
25company or transportation network company driver:

26(1) This title, except that the commission shall
27regulate transportation network companies, drivers and
28services under this chapter and Chapters 3 (relating to
29public utility commission), 5 (relating to powers and
30duties), 7 (relating to procedure on complaints) and 33

1(relating to violations and penalties).

2(2) 53 Pa.C.S (relating to municipalities generally).

3(3) Laws and regulations containing special insurance
4requirements for motor carriers, except as provided in
5section 2603(a)(3)(vii) (relating to service standards and
6requirements for transportation network companies).

7(4) Laws imposing a greater standard of care on motor
8carriers than that imposed on other drivers or owners of
9motor vehicles.

10(5) Laws and regulations imposing special equipment
11requirements and special accident reporting requirements on
12motor carriers.

13(b) Municipal licenses and taxes.--A municipality may not
14impose a tax on or require a license for a transportation
15network company or transportation network service.

16§ 2603. Service standards and requirements for transportation
17network companies.

18(a)  Requirements for transportation network companies.--

19(1)  A transportation network company may not operate in
20this Commonwealth unless it holds and maintains a license
21issued by the commission.

22(2)  An application for a license shall be made to the
23commission in writing, be verified by oath or affirmation and
24be in the form and contain the information as the commission
25may, by regulation or order, require.

26(3)  A license shall be issued to a transportation
27network company applicant if the commission is satisfied that
28the applicant will do all of the following:

29(i) Maintain accurate records of all transportation
30network company drivers providing services arranged

1through the transportation network company's digital
2network. The commission shall determine, by regulation or
3order, the appropriate time period for which the
4transportation network company shall retain the records
5of all transportation network company drivers.

6(ii) Establish a driver training program designed to
7ensure that each transportation network company driver
8safely operates the driver's vehicle prior to the driver
9being permitted to offer transportation network services
10through the transportation network company. The following
11shall apply to the driver training program:

12(A)  Each transportation network company shall
13file its driver training program with the commission
14upon application for a license to provide a
15transportation network service.

16(B)  The commission shall establish, through
17regulation or order, the components each driver
18training program must include at a minimum.

19(C)  Each transportation network company must
20file an annual report with the commission on the
21number of transportation network company drivers
22currently providing service for the transportation
23network company that became eligible and completed
24the driver training program.

25(iii) Implement a zero tolerance policy on the use
26of drugs or alcohol while a transportation network
27company driver provides transportation network services,
28provide notice of the zero tolerance policy on its
29publicly accessible Internet website and procedures to
30report a complaint about a transportation network company

1driver with whom the passenger was matched and whom the
2passenger reasonably suspects was under the influence of
3drugs or alcohol during the course of the ride and
4immediately suspend the transportation network company
5driver upon receipt of a passenger complaint alleging a
6violation of the zero tolerance policy. The suspension
7shall last the duration of the investigation.

8(iv) Obtain and review, prior to permitting a person
9to act as a transportation network company driver on its
10digital network, a criminal history research report for
11the person. The following shall apply:

12(A)  The criminal history research report shall
13be a national criminal background check, including
14the national sex offender database.

15(B) A person who has been convicted, within the
16past seven years, of driving under the influence of
17drugs or alcohol or of a crime involving property
18damage and theft may not be a transportation network
19company driver.

20(C)  A person who has been convicted at any time
21for fraud, sexual offenses, use of a motor vehicle to
22commit a felony, acts of violence or acts of terror
23may not be a transportation network company driver.

24(v) Obtain and review, prior to permitting a person
25to act as a transportation network company driver on its
26digital network, a driving history research report for
27the person. A person with more than three moving
28violations in the three-year period prior to the check or
29a major violation in the three-year period prior to the
30check may not be a transportation network company

1driver. The commission shall determine, through
2regulation or order, the frequency with which the
3transportation network company must review the driving
4history of each transportation network company driver.

5(vi) Display, on the digital application used by the
6transportation network company to connect transportation
7network company drivers and passengers, a picture of the
8transportation network company driver taken within the
9preceding 12 months, a description of the individual's
10vehicle used in providing transportation network services
11and the license plate number of the vehicle.

12(vii) Maintain commercial liability insurance
13coverage in the amount of not less than $1,000,000 per
14incident, medical payments coverage in the amount of not
15less than $5,000 per incident, comprehensive and
16collision coverage in the amount of not less than $50,000
17per incident and uninsured/underinsured motorist coverage
18in the amount of not less than $1,000,000 per incident
19for incidents involving a transportation network company
20driver while providing transportation network company
21services. The following shall apply:

22(A)  Transportation network companies that file
23with the commission, as provided for under
24subparagraph (ix), at least $1,000,000 of commercial
25liability insurance coverage may operate vehicles
26with a seating capacity of not more than eight
27passengers, including the driver.

28(B)  Transportation network companies that file
29with the commission at least $1,500,000 of commercial
30liability insurance coverage may operate vehicles

1with a seating capacity of no more than ten
2passengers, including the driver.

3(C)  The insurance required under this
4subparagraph must apply as the primary coverage
5regardless of any insurance policy held by the
6transportation network company driver from the time
7at which the transportation network company driver
8opens the digital application used by a
9transportation network company to connect
10transportation network company drivers and
11passengers, until the time at which the
12transportation network company driver closes the
13application or the passenger safely exits the
14vehicle, whichever is later.

15(D)  Notwithstanding any insurance coverage held
16or maintained by the transportation network company
17driver, the transportation network company's
18insurance coverage required under this subparagraph
19shall cover, as the primary insurance coverage, each
20claim arising for an injury from an incident
21involving a transportation network company driver
22while providing transportation network company
23services during the times set forth in clause (C).

24(viii) Direct, prior to permitting a person to act
25as a transportation network company driver on its digital
26network, that the person notify in writing the person's
27personal auto insurance company of the person's intent to
28operate as a driver on the applicant's digital network.
29The applicant shall be required to maintain a copy of
30such notification while the person is a transportation

1network company driver on its digital network and for a
2period of three years following termination of the
3driver's affiliation with the applicant.

4(ix) File with the commission a Form E evidencing
5its commercial insurance coverage and other coverage as
6required under subparagraph (vii). Except for the Form E,
7the commission may not disclose to a third party any
8information related to the insurance policy. A record
9disclosed under this subparagraph shall not be subject to
10disclosure to a third party by the commission, including
11through a request submitted under the act of February 14,
122008 (P.L.6, No.3), known as the Right-to-Know Law.

13(x) Maintain a website that provides a customer
14service telephone number or e-mail address and the
15telephone number of the commission's customer hotline.

16(b)  License.--

17(1) The commission shall prescribe, through regulation
18or order, the privileges, rights and authority provided with,
19and suspension, revocation or renewal requirements for, the
20issuance of a license under this chapter.

21(2) A license under this chapter shall not provide the
22same authority as a certificate of public convenience as
23described under Chapter 11 (relating to certificates of
24public convenience).

25(c)  Inspection of records.--Subject to reasonable
26confidentiality obligations and confidentiality laws, the
27commission may inspect records to investigate compliance with
28the requirements of this chapter and regulations issued under
29section 2606 (relating to rates and forms of compensation).

30(d)  Discrimination in service.--A transportation network

1company may not, in regard to service, make or grant an
2unreasonable preference or advantage to a person, corporation or
3municipal corporation or subject a person, corporation or
4municipal corporation to an unreasonable prejudice or
5disadvantage. A transportation network company may not establish
6or maintain an unreasonable difference, in regard to service,
7between localities or between classes of service. This
8subsection does not prohibit the establishment of reasonable
9classifications of service.

10§ 2604. Service standards and requirements for transportation
11network company drivers.

12(a)  Separate licenses prohibited.--A separate license may
13not be required for a transportation network company driver that
14is approved to provide transportation network services by an
15approved transportation network company.

16(b)  Requirements for transportation network drivers.--A
17transportation network company driver must comply with all of
18the following:

19(1) Each transportation network company driver must pass
20a criminal history search and a driving history search as
21specified in section 2603 (relating to service standards and
22requirements for transportation network companies).

23(2) Each transportation network company driver shall be
24subject to sections 501 (relating to general powers) and 3301
25(relating to civil penalties for violations).

26(3) A transportation network company driver must:

27(i)  Possess a valid driver's license, proof of motor
28vehicle insurance and be at least 21 years of age.

29(ii) Prior to acting as a transportation network
30company driver for any approved transportation network

1company, notify in writing the driver's personal auto
2insurance company of the driver's intent to operate as a
3driver for an approved transportation network company and
4send to the transportation network company a copy of such
5notification.

6(iii)  In the case of an accident, provide proof of
7personal insurance and the transportation network
8company's commercial liability insurance and other
9coverage as required under section 2603(a)(3)(vii). A
10transportation network company driver shall have 24 hours
11to provide proof of the transportation network company's
12commercial liability insurance and other coverage as
13required under section 2603(a)(3)(vii).

14(4) A transportation network company driver may only
15accept a ride arranged through the approved transportation
16network company's digital network and may not solicit or
17accept street-hails or telephone calls.

18§ 2605.  Transportation network company vehicle requirements.

19(a) Authorized vehicles.--A transportation network company
20vehicle must be an automobile or light duty truck that is
21equipped and licensed for use on a public highway, including a
22coupe, sedan, van, minivan, sport utility vehicle, hatchback,
23convertible and pickup truck.

24(b) Age of vehicle.--Unless otherwise permitted by the
25commission, a vehicle may not be operated for purposes of
26providing transportation network services if it is more than
27eight model years old.

28(c) Inspections required.--

29(1) An annual certificate of inspection must be obtained
30from an inspection station approved by the Department of

1Transportation under 67 Pa. Code Ch. 175 (relating to vehicle
2equipment and inspection) for each transportation network
3company vehicle.

4(2) A safety inspection must be conducted by the
5transportation network company or a third party on each
6transportation network company vehicle before the vehicle is
7used to provide transportation network services, and annually
8thereafter.

9(3) An inspection under paragraph (2) shall be conducted
10by an individual who is competent and qualified to make an
11inspection to ensure that the equipment is in a safe
12condition to be operated on the highway. The inspection shall
13include the following:

14(i)  Foot brakes.

15(ii)  Emergency brakes.

16(iii)  Steering mechanism.

17(iv)  Windshield.

18(v)  Rear window and other glass.

19(vi)  Windshield wipers.

20(vii)  Headlights.

21(viii)  Tail lights.

22(ix)  Turn indicator lights.

23(x)  Brake lights.

24(xi)  Front seat adjustment mechanism.

25(xii)  The opening, closing and locking of doors.

26(xiii)  Horn.

27(xvi)  Speedometer.

28(xv)  Bumpers.

29(xvi)  Muffler and exhaust system.

30(xvii)  Condition of tires, including tread depth.

1(xviii) Interior and exterior rear view mirrors.

2(xix)  Safety belts for driver and passenger.

3(4)  A commission officer may inspect the transportation
4network company's vehicles to ensure compliance with
5paragraph (3).

6§ 2606.  Rates and forms of compensation.

7(a)  Passenger receipt.--Upon completion of a trip, each
8transportation network company shall transmit an electronic
9receipt to the passenger's e-mail address or mobile application
10documenting the origination and destination of the trip and the
11total amount paid, if any.

12(b)  Fares.--A transportation network company may offer
13transportation network services at no charge, suggest a donation
14or charge a fare. If a fare is charged, a transportation network
15company must disclose the fare calculation method, the
16applicable rates being charged and the option for an estimated
17fare to the passenger before booking the ride. The amount of a
18donation, charge, fare or other compensation provided or
19received for transportation network services shall not be
20subject to review or approval by the commission under Ch. 13
21(relating to rates and distribution systems).

22§ 2607.  Regulations.

23The commission may promulgate regulations and issue orders to
24enforce this chapter.

25§ 2608.  Commission costs.

26The program costs for commission implementation and
27enforcement of this chapter shall be included in the
28commission's proposed budget and shall be assessed upon
29transportation network companies in accordance with section
30510(a) (relating to assessment for regulatory expenses upon

1public utilities).

2Section 6. The definition of "bus" in section 102 of Title
375 is amended to read:

4§ 102. Definitions.

5Subject to additional definitions contained in subsequent
6provisions of this title which are applicable to specific
7provisions of this title, the following words and phrases when
8used in this title shall have, unless the context clearly
9indicates otherwise, the meanings given to them in this section:

10* * *

11"Bus."

12(1) A motor vehicle designed to transport 16 or more
13passengers, including the driver; or

14(2) a motor vehicle, other than a taxicab or limousine,
15designed to transport not more than 15 passengers, including
16the driver, and used for the transportation of persons for
17compensation.

18The term does not include a vehicle used in a ridesharing
19arrangement, as defined in the act of December 14, 1982
20(P.L.1211, No.279), entitled "An act providing for ridesharing
21arrangements and providing that certain laws shall be
22inapplicable to ridesharing arrangements," or a school bus[.] or 
23a motor vehicle designed for carrying not more than 15 
24passengers, exclusive of the driver, that is used as a 
25transportation network company vehicle as defined in 66 Pa.C.S. 
26§ 102 (relating to definitions).

27* * *

28Section 7. Section 1305(b) of Title 75 is amended to read:

29§ 1305. Application for registration.

30* * *

1(b) Evidence of P.U.C. approval for buses and taxis.--Before
2registering any bus or taxi which is required under the laws of
3this Commonwealth to obtain a certificate of public convenience
4from the Pennsylvania Public Utility Commission, the department
5shall require evidence that the certificate has been issued and
6has not been revoked or has not expired. This subsection shall 
7not apply to a transportation network company vehicle as defined 
8in 66 Pa.C.S. § 102 (relating to definitions).

9* * *

10Section 8. This act shall take effect in 60 days.