Second Regular Session Seventy-third General Assembly STATE OF COLORADO REVISED This Version Includes All Amendments Adopted on Second Reading in the Second House LLS NO. 22-0894.01 Jery Payne x2157 SENATE BILL 22-144 Senate Committees House Committees Transportation & Energy State, Civic, Military, & Veterans Affairs A BILL FOR AN ACT C ONCERNING THE PROVISION OF T RANSPORTATION SERVICES BY A101 TRANSPORTATION NETWORK CO MPANY NOT IN CONNECTION102 WITH A BUSINESS OPERATED FOR PROFIT .103 Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov .) Current law regulates transportation network companies, which are commonly known as ridesharing companies, and the services they provide. Current law exempts services provided under a contract between a ridesharing company and a school, a school district, the federal government, a state, a political subdivision of a state, or a tax-exempt HOUSE Amended 2nd Reading April 27, 2022 HOUSE Amended 2nd Reading April 27, 2022 SENATE Amended 3rd Reading March 17, 2022 SENATE Amended 2nd Reading March 16, 2022 SENATE SPONSORSHIP Zenzinger, Cooke, Coram, Gardner, Ginal, Hisey, Liston, Lundeen, Priola, Smallwood, Sonnenberg, Woodward HOUSE SPONSORSHIP Kipp and Rich, Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment. Capital letters or bold & italic numbers indicate new material to be added to existing statute. Dashes through the words indicate deletions from existing statute. entity. The bill removes these exemptions, so that ridesharing companies that contract with these entities will be regulated in the same manner as other types of ridesharing companies and services. Be it enacted by the General Assembly of the State of Colorado:1 SECTION 1. In Colorado Revised Statutes, 40-10.1-602, amend2 (6); and add (2.5) and (2.6) as follows:3 40-10.1-602. Definitions. As used in this part 6, unless the4 context otherwise requires:5 (2.5) "SCHOOL" MEANS A PUBLIC SCHOOL THAT ENROLLS6 STUDENTS IN ANY OF THE GRADES OF KINDERGARTEN THROUGH TWELFTH7 GRADE.8 (2.6) "STUDENT" MEANS AN INDIVIDUAL ENROLLED IN A SCHOOL.9 (6) (a) "Transportation network company services" or "services"10 means the provision of transportation by a driver to a rider with whom the11 driver is matched through a transportation network company.12 (b) The term "TRANSPORTATION NETWORK COMPANY SERVICES "13 OR "SERVICES" does not include services provided either directly by or14 under contract with USING VEHICLES OWNED OR LEASED BY a political15 subdivision or other entity exempt from federal income tax under section16 115 of the federal "Internal Revenue Code of 1986", as amended. 17 (c) "T RANSPORTATION NETWORK COMPANY SERVICES " OR18 " SERVICES" INCLUDES SERVICES PROVIDED UNDER A CONTRACT BETWEEN19 A TRANSPORTATION NETWORK COMPANY AND A POLITICAL SUBDIVISION20 OR OTHER ENTITY EXEMPT FROM FEDERAL INCOME TAX UNDER SECTION21 115 OF THE FEDERAL "INTERNAL REVENUE CODE OF 1986", AS AMENDED.22 SECTION 2. In Colorado Revised Statutes, 40-10.1-105, amend23 (1)(b) and (1)(j) as follows:24 144-2- 40-10.1-105. Transportation not subject to regulation. (1) The1 following types of transportation are not subject to regulation pursuant to2 this article 10.1:3 (b) The transportation of children to and from school,4 school-related activities, and school-sanctioned activities to the extent5 that such THE transportation is provided by VEHICLES OWNED OR6 DIRECTLY LEASED BY a school or school district or the school or school7 district's transportation contractors; EXCEPT THAT THIS SUBSECTION (1)(b)8 DOES NOT APPLY TO TRANSPORTATION NETWORK COMPANY SERVICES9 PROVIDED UNDER A CONTRACT BETWEEN A TRANSPORTATION NETWORK10 COMPANY AND A SCHOOL OR SCHOOL DISTRICT ;11 (j) Transportation performed by the federal government, a state,12 or any agency or political subdivision of either, whether through an13 intergovernmental agreement, contractual arrangement, or otherwise;14 EXCEPT THAT THIS SUBSECTION (1)(j) DOES NOT APPLY TO15 TRANSPORTATION NETWORK COMPANY SERVICES PROVIDED UNDER A16 CONTRACT BETWEEN A TRANSPORTATION NETWORK COMPANY AND THE17 FEDERAL GOVERNMENT , A STATE, OR ANY AGENCY OR POLITICAL18 SUBDIVISION OF EITHER.19 SECTION 3. In Colorado Revised Statutes, 40-10.1-605, add 20 (1)(p), (1)(q), (1)(r), and (10) as follows:21 40-10.1-605. Operational requirements. (1) The following22 requirements apply to the provision of services:23 (p) A TRANSPORTATION NETWORK COMPANY THAT , FOR 24 REMUNERATION FROM A SCHOOL OR SCHOOL DISTRICT , PROVIDES SERVICES25 FOR STUDENTS TO OR FROM A SCHOOL , SCHOOL-RELATED ACTIVITIES, OR26 SCHOOL-SANCTIONED ACTIVITIES SHALL ENTER INTO A CONTRACT WITH27 144 -3- THE APPROPRIATE SCHOOL OR SCHOOL DISTRICT THAT MAY INCLUDE1 SPECIFIC PROVISIONS FOR THE SA FETY OF STUDENT PASSENGERS , AS2 DETERMINED BY THE SCHOOL OR SCHOOL DISTRICT .3 (q) A TRANSPORTATION NETWORK COMPANY THAT , FOR4 REMUNERATION FROM A SCHOOL OR SC HOOL DISTRICT, PROVIDES SERVICES5 FOR STUDENTS TO OR FROM A SCHOOL, SCHOOL-RELATED ACTIVITIES, OR6 SCHOOL-SANCTIONED ACTIVITIES SHALL USE A TECHNOLOGY-ENABLED7 INTEGRATED SOLUTION THAT PROVIDES END-TO-END VISIBILITY INTO THE8 RIDE FOR THE TRANSPORTATION NETWORK COMPANY, THE STUDENT'S9 LEGAL GUARDIAN, AND THE PERSON THAT SCHEDULED THE RIDE. THIS10 SOLUTION MUST ALLOW FOR GLOBAL POSITIONING SYSTEM MONITORING11 OF THE RIDE IN REAL TIME FOR SAFETY-RELATED ANOMALIES.12 (r) A TRANSPORTATION NETWORK COMPANY THAT, FOR13 REMUNERATION FROM A SCHOOL OR SC HOOL DISTRICT, PROVIDES SERVICES14 FOR STUDENTS TO OR FROM A SCHOOL, SCHOOL-RELATED ACTIVITIES, OR15 SCHOOL-SANCTIONED ACTIVITIES SHALL ENSURE THAT EACH DRIVER16 PROVIDING THE SERVICE RECEIVES TRAINING IN MANDATORY REPORTING17 REQUIREMENTS, SAFE DRIVING PRACTICES , FIRST AID AND18 CARDIOPULMONARY RESUSCITATION , EDUCATION ON SPECIAL19 CONSIDERATIONS FOR TRANSPORTING STUDENTS WITH DISABILITIES,20 EMERGENCY PREPAREDNESS , AND SAFE PICK-UP AND DROP-OFF21 PROCEDURES.THE TRANSPORTATION NETWORK COMPANY, NOT THE22 DRIVER, SHALL PAY THE COST OF PROVIDING THE TRAINING. NO LATER23 THAN SEPTEMBER 1, 2022, THE COMMISSION SHALL, IN COORDINATION24 WITH THE DEPARTMENT OF EDUCATION , PROMULGATE RULES PROVIDING25 FOR THE APPROVAL OF THE TRAINING USED, AND THE TRANSPORTATION26 NETWORK COMPANY MUST HAVE THE TRAINING APPROVED BY THE27 144 -4- COMMISSION.1 (10) A TRANSPORTATION NETWORK COMPANY SHALL NOT USE A2 DRIVER TO PROVIDE SERVICES FOR STUDENTS TO OR FROM A SCHOOL ,3 SCHOOL-RELATED ACTIVITIES, OR SCHOOL-SANCTIONED ACTIVITIES FOR4 REMUNERATION FROM A SCHOOL OR SCHOOL DISTRICT IF THE DRIVER HAS5 BEEN CONVICTED OF OR PLED GUILTY OR NOLO CONTENDERE TO AN6 OFFENSE DESCRIBED IN SECTION 22-32-109.8 (6.5).7 SECTION 4. In Colorado Revised Statutes, 40-10.1-608, add (3)8 as follows:9 40-10.1-608. Rules. (3) (a) IN ADDITION TO ANY OTHER RULES10 AUTHORIZED IN THIS PART 6, THE COMMISSION SHALL COORDINATE WITH11 THE DEPARTMENT OF EDUCATION TO PROMULGATE RULES IMPLEMENTING12 MINIMUM SAFETY STANDARDS FOR TRANSPORTATION NETWORK13 COMPANIES, PERSONAL VEHICLES, AND TRANSPORTATION NETWORK14 COMPANY DRIVERS WHEN ENGAGING IN SERVICES PROVIDED UNDER A15 CONTRACT WITH A SCHOOL OR SCHOOL DISTRICT. THE COMMISSION SHALL16 PROMULGATE THE RULES BY SEPTEMBER 1, 2022.17 (b) AT LEAST ONCE EVERY THREE YEARS, THE COMMISSION SHALL,18 IN CONSULTATION WITH THE DEPARTMENT OF EDUCATION, REVIEW AND,19 IF NECESSARY, UPDATE THE RULES PROMULGATED IN ACCORDANCE WITH20 THIS SUBSECTION (3) AS REASONABLY NECESSARY TO ENSURE SAFE21 STUDENT TRANSPORTATION .22 (c) NOTHING IN THIS SUBSECTION (3) PROHIBITS A SCHOOL OR23 SCHOOL DISTRICT FROM SETTING HIGHER STANDARDS FOR TRANSPORTING24 A STUDENT TO OR FROM A SCHOOL, SCHOOL-RELATED ACTIVITY, OR25 SCHOOL-SANCTIONED ACTIVITY.26 SECTION 5. In Colorado Revised Statutes, add 40-10.1-609 as27 144 -5- follows:1 40-10.1-609. Reporting requirements - rules. (1) A2 TRANSPORTATION NETWORK COMPANY SHALL , WITHIN A REASONABLE3 TIME AS DETERMINED BY RULES OF THE COMMISSION, NOTIFY THE4 COMMISSION OF ANY SAFETY OR SECURITY INCIDENTS THAT INVOLVE5 PROVIDING SERVICES FOR STUDENTS TO OR FROM A SCHOOL ,6 SCHOOL-RELATED ACTIVITIES, OR SCHOOL-SANCTIONED ACTIVITIES. THE7 TRANSPORTATION NETWORK COMPANY SHALL SEND THE SAME NOTICE TO8 EACH SCHOOL OR SCHOOL DISTRICT WITH WHICH THE TRANSPORTATION9 NETWORK COMPANY HAS ENTERED INTO A CONTRACT TO PROVIDE10 SERVICES TO STUDENTS TO OR FROM A SCHOOL, SCHOOL-RELATED11 ACTIVITIES, OR SCHOOL-SANCTIONED ACTIVITIES.12 (2) (a) BY SEPTEMBER 1, 2022, THE COMMISSION SHALL13 PROMULGATE RULES REQUIRING A TRANSPORTATION NETWORK COMPANY14 TO REPORT INFORMATION RELATED TO DRIVER BACKGROUND CHECKS ,15 INSURANCE COVERAGE, AND DATA REPORTING, CONSISTENT WITH THE16 TYPE OF SERVICE PROVIDED, AS IT RELATES TO SERVICE FOR STUDENTS. IN17 PROMULGATING THE RULES, THE COMMISSION SHALL COORDINATE WITH18 THE DEPARTMENT OF EDUCATION .19 (b) AT LEAST ONCE EVERY THREE YEARS , THE COMMISSION SHALL,20 IN CONSULTATION WITH THE DEPARTMENT OF EDUCATION, REVIEW AND,21 IF NECESSARY, UPDATE THE RULES PROMULGATED IN ACCORDANCE WITH22 THIS SUBSECTION (2).23 SECTION 6. Safety clause. The general assembly hereby finds,24 determines, and declares that this act is necessary for the immediate25 preservation of the public peace, health, or safety.26 144 -6-