Legislation to provide statewide regulations for transportation network companies (TNC’s) advanced in its latest committee stop in the Florida Senate Tuesday.
St. Petersburg Republican Jeff Brandes‘ bill (SB 340) received only two votes in opposition in clearing the Senate Banking and Insurance Committee, though there were substantial concerns expressed about funding for paratransit that animated the debate.
Noting that there is a hole in disability transportation, Parkland Democrat Gary Farmer offered an amendment that would assess ride-sharing companies one-half of one percent of TNC gross revenues go to the state and then be redistributed to the counties that would pay for disability transportation.
Farmer said that in 14 states, ride-sharing companies had been assessed fees “for one thing or another,” and thus it wasn’t outside the mainstream to do so in Florida.
Miami Republican Rene Garcia called Farmer’s amendment “well-intentioned,” but said the real answer was to address the needs of the state’s Transportation Disadvantaged program.
Garcia said he intended to present a bill or add as an amendment during the session that would allow for operators in the program to cross county lines.
“Unfortunately right now we don’t have that system that’s fully integrated that crosses county lines and so forth,” Garcia said, adding that work has been going on behind the scenes to put that into legislation into place. He also said some local boards aren’t administrating federal and state paratransit funds in the most efficient way.
Farmer’s amendment ultimately went down to defeat.
Along with Farmer, the only other dissenting vote for the entire legislation in the committee came from Panama City Republican George Gainer, who said he didn’t understand why ride-sharing companies needed to be regulated by the state when that wasn’t the case with taxicabs.
“The goal here is to establish the statewide standard in both insurance and background checks, so that both business travelers, residents and tourists, understand that they have seamless transportation options as it relates to this technology,” Brandes told Gainer.
The Florida League of Cities also continues to oppose the legislation, specifying criticizing the background check policy that will require TNC drivers to get background checks only every three years, “which could result in drivers who committed criminal acts still driving for these companies within that window,” said Megan Sirjane-Samples.
The committee did approve two amendments that Brandes added to the legislation, including authorizing seaports to impose pickup fees on rideshare drivers when picking up or dropping riders from ports, as long as they do not exceed what that particular port is charging taxicab companies to pay.
In the original bill, only airports were allowed to charge pickup fees.
The amendment also requires ride-sharing companies to contract with the state’s Department of Financial Services (DFS) to review their insurance and background check process. Specifically, the DFS can impose civil penalties Uber or Lyft if they are noncompliant.
The first violation would result in a $250 penalty for each incidence of noncompliance within a review, and $500 per any repeated noncompliance issues within a report.
The legislation requires Uber and Lyft to carry $100,000 of insurance for bodily injury or death and $25,000 for property damage while a driver is logged onto their app but hasn’t secured a passenger.
While driving a rider, they’re required to have $1 million worth of coverage. The bill also requires transportation network companies to have third parties conduct local and national criminal background checks on drivers.
“The bipartisan vote in the Senate Banking and Insurance Committee is another step toward ensuring Florida doesn’t fall behind the transportation innovation curve,” said Stephanie Smith, senior manager of public policy with Uber.
“We are grateful for Sen. Brandes’ advocacy on this important issue and applaud the Senate Banking and Insurance Committee for approving this legislation,” said Lyft’s Chelsea Harrison, senior policy communications manager for Lyft. “This is a significant step toward a uniform, statewide framework for modern options like Lyft and we look forward to continuing to advocate for expanded consumer choice that keeps public safety first.”
Safety Harbor Republican Chris Sprowls and Tampa Republican Jamie Grant are sponsoring the companion bill moving in the House (CS/HB 221).