84R11186 JTS-F

By: Eltife S.B. No. 1555

A BILL TO BE ENTITLED

AN ACT

relating to the regulation of transportation network companies; requiring an occupational permit.

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

SECTION 1. Subtitle C, Title 14, Occupations Code, is amended by adding Chapter 2402 to read as follows:

CHAPTER 2402. TRANSPORTATION NETWORK COMPANIES

Sec. 2402.001. DEFINITIONS. In this chapter:

(1) "Department" means the Texas Department of Licensing and Regulation.

(2) "Transportation network company" means an entity that:

(A) uses a digital network or software application service to connect passengers to transportation network services provided by transportation network drivers;

(B) does not own, control, operate, or manage vehicles used to provide transportation network services; and

(C) is not a taxicab or for-hire vehicle company.

(3) "Transportation network driver" means an individual who:

(A) provides transportation network services using a motor vehicle that is owned, leased, or otherwise authorized for use by the individual; and

(B) is not a taxicab or for-hire vehicle driver.

(4) "Transportation network services" means transportation of a passenger between points chosen by the passenger and prearranged with a transportation network driver through the use of a transportation network company's digital network or software application. The term includes services beginning from the acceptance of a request for transportation received through the transportation network company's digital network or software application service and terminating when the passenger exits the transportation network driver's vehicle.

Sec. 2402.002. LICENSE REQUIRED. A person may not operate a transportation network company in this state without obtaining and maintaining a license issued by the department.

SECTION 2. This Act takes effect September 1, 2015.