DMV Transportation Network
Company Stakeholder Study
VML Transportation Policy
Committee Meeting
July 24, 2014
Transportation Network Company
Study
• Emergence of new app based, for-hire, passenger
transportation services operating primarily in
Northern VA , such as Uber and Lyft
• HB 908 and SB 531 initiated during 2014 Session
- pursued on behalf of Uber
- designed to change certain licensing
requirements of contract passenger carriers
• Legislative study charge – determine whether
current law is sufficient to regulate these services
or whether the law needs to be updated to
address the new transportation models
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Study Approach
Initial meetings with study stakeholders
Survey of stakeholders and those involved in for-hire
transportation
Research of TNC models and other states’ legislation
DMV team meetings and identification/development of
concepts
Individual stakeholder meetings to review concepts
Representatives from insurance industry, localities,
taxi/limousine and charter bus industry, TNC’s (Uber, Lyft,
Sidecar), law enforcement
Review of stakeholder feedback and revisions to concept
Meetings with stakeholders for finalization of concept
Draft report and legislation for review October 2014
Final report and legislation to Transportation Chairs by
December 1, 2014
Colorado Concept
• Created a new, separate regulatory scheme for TNCs
• Companies must register with Colorado Public Utilities
Commission (PUC) and obtain a permit
• Sets insurance requirements, during prearranged ride
and when logged into app without a ride, with
requirements changing after 7/1/15
• Criminal background checks every 5 yrs, driving record
checks every 3 yrs
• TNC annual vehicle inspections, exterior marking
identifying vehicle for-hire
• Unclear on locality authority (Denver laws apply only to
drivers)
VA Taxicab Association
• Original submittal basically required that TNCs apply
for and comply with existing licensing requirements.
New submittal 7/16 as outlined below
• New category “transportation network common
carrier”
• Primary insurance 24/7
• Nationwide fingerprint based criminal background
check on drivers every 2 yrs
• Vehicles VA registered, inspected and have DMV issued
plate or decal
• Localities do not regulate TNCs, but maintain all
current local taxi regulations
Free Market Concept
Principles
• Allow free market to drive market entry and
pricing
• Provide reasonable level of public safety and
consumer protection
• State & local resources available to administer
and enforce requirements
• Provide a level playing field for all passenger
transportation services
Free Market Concept
• Collapse existing carrier authority types into one Commercial
Passenger Carrier (CPC). Carrier maintains responsibility for vehicle
• Create new authority type, Transportation Network Passenger
Carrier (TNPC). Carrier never maintains responsibility for vehicle.
• Eliminate some current requirements for new CPC authority
and create some new requirements for both passenger carrier
types
• Evaluating Colorado insurance option. Coverage whenever
the app is on
• Criminal background check every 5 yrs and driving record
checks yearly
• Vehicles registered and designated for dual use by DMV
• No local regulation
Next Steps
• Analysis of feedback from stakeholder
sessions
• Development of new framework
• Meetings with Stakeholders – leadership team
representing all stakeholder groups