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General Assembly Substitute Bill No. 1180
January Session, 2023
AN ACT CONCERNING RIDESHARE AND DELIVERY DRIVER
MINIMUM STANDARDS.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. (NEW) (Effective July 1, 2023) As used in this section and 1
sections 2 to 5, inclusive, of this act: 2
(1) "Transportation network company" has the same meaning as 3
provided in section 13b-116 of the general statutes; 4
(2) "Transportation network company driver" has the same meaning 5
as provided in section 13b-116 of the general statutes; 6
(3) "Prearranged ride" has the same meaning as provided in section 7
13b-116 of the general statutes; 8
(4) "Passenger" means an individual or individuals who use a digital 9
network to connect with a transportation network company driver to 10
receive a prearranged ride between points chosen by the individual or 11
individuals; 12
(5) "Third-party delivery company" means a company, corporation, 13
partnership, trust, association, sole proprietorship or similar 14
organization that operates in this state and uses a digital network to 15
offer or arrange the sale and delivery of groceries, food, beverages, 16 Substitute Bill No. 1180
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commercial goods or other items prepared by another entity and the 17
delivery or pickup of food and beverages from not fewer than ten 18
separately owned and operated food service establishments; 19
(6) "Third-party delivery company driver" means an individual who 20
is not an employee of a third-party delivery company but uses the 21
digital network of a third-party delivery company to provide 22
prearranged deliveries of groceries, food, beverages, commercial goods 23
or other items; 24
(7) "Digital network" has the same meaning as provided in section 25
13b-116 of the general statutes; 26
(8) "Network company" means a transportation network company 27
or a third-party delivery company. "Network company" does not 28
include a business entity that maintains a digital network where either 29
(A) less than seven and one-half per cent of the services provided on 30
such digital network are rideshare services, or (B) less than ten 31
thousand service requests fulfilled on such digital network are for 32
rideshare services; 33
(9) "Network worker" means an individual who (A) is a 34
transportation network company worker or a third-party delivery 35
company worker, and (B) provides services for such transportation 36
network company or third-party delivery company through a digital 37
network; 38
(10) "Trip" means a transportation service where a network worker 39
either (A) picks up a passenger at a location set up by such passenger 40
and delivers such passenger to a different location requested by such 41
passenger, or (B) picks up items selected by a user of a digital network 42
from a business or private residence and delivers such items to another 43
location requested by such user; 44
(11) "Passenger transport time" means the period of time during 45
which a driver is actively transporting a passenger in the 46
transportation network company vehicle; 47 Substitute Bill No. 1180
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(12) "Delivery transit time" means the period of time between the 48
(A) network worker's acceptance of a delivery trip on the digital 49
network, and (B) delivery of items to the user's requested location; 50
(13) "Dispatch time" means the period of time a driver spends 51
traveling from a dispatch location to a pick-up location, but does not 52
include any time when a passenger cancels a trip or the transportation 53
network driver begins a trip or service through the digital platform, 54
and for shared rides; 55
(14) "Dispatch platform time" means the period a driver spends 56
traveling from the first dispatch location to the first passenger or item 57
pick-up location; 58
(15) "Active solicitation time" means the period of time a network 59
worker spends logged in to the digital platform, if a network company 60
engage in the practice of logging workers out of the digital platform, 61
immediately upon the completion of a trip. "Active solicitation time" 62
includes the period of time a network worker spends returning to a 63
location where such worker may solicit another trip or delivery; 64
(16) "Multi-apping" means the act by a network worker where such 65
worker logs in to multiple digital networks in order to solicit trips or 66
deliveries from multiple network companies; 67
(17) "Return time" means the period of time when a network worker 68
is returning to the state after a passenger or delivery drop-off in a 69
neighboring state without a passenger or delivery; and 70
(18) "User" means an individual or individuals who use a digital 71
network to connect with a third-party delivery company driver to 72
receive a prearranged delivery of groceries, food, beverages, 73
commercial goods or other items between points chosen by the 74
individual or individuals. 75
Sec. 2. (NEW) (Effective July 1, 2023) (a) On and after July 1, 2023, a 76
network worker shall receive a minimum per-trip compensation 77 Substitute Bill No. 1180
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equivalent to the greater of (1) eighty-five per cent of each fare charged 78
to the passenger, provided any taxes, fees or surcharges imposed on 79
trips and any tips paid to a network worker by a passenger or user 80
shall not be included in the calculation of such compensation; or (2) the 81
minimum pay provided in subsection (b) of this section. 82
(b) Except as otherwise provided in subsection (a) of this section, 83
network companies shall compensate network workers in accordance 84
with the following minimum pay: (1) For transportation network 85
company drivers, the sum of (A) a minimum of one dollar and thirty 86
cents per mile traveled by such driver during dispatch time and 87
passenger transport time, and (B) a minimum of sixty cents per minute 88
worked by such driver during dispatch time and passenger transport 89
time; and (2) for third-party delivery service drivers, the sum of (A) a 90
minimum of one dollar and thirty cents per mile traveled by such 91
driver during dispatch time and until project completion time, and (B) 92
a minimum of sixty cents per minute worked by such driver during 93
dispatch time and until project completion time. Minimum pay 94
established in this section shall also be provided to network workers 95
for miles traveled and minutes worked during return time. For 96
purposes of this subsection, return time shall end upon the arrival of 97
the network worker in the state, or once a reasonable amount of time 98
for the network worker to return to the state has elapsed. 99
(c) Not later than September 30, 2023, and annually thereafter, the 100
Labor Commissioner shall examine the adequacy and need for 101
revisions to the network worker minimum pay established in 102
subsection (b) of this section. In conducting such examination, the 103
commissioner shall take into account the (1) rate of inflation, (2) 104
current consumer price index for urban wage earners and clerical 105
workers, (3) current price per gallon for gas, and (4) current price for 106
the charging of electric motor vehicles. The commissioner shall submit 107
an annual report of the results of such examination and any 108
recommendations for legislation, in accordance with the provisions of 109
section 11-4a of the general statutes, to the joint standing committee of 110 Substitute Bill No. 1180
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the General Assembly having cognizance of matters relating to labor 111
and public employees. 112
Sec. 3. (NEW) (Effective July 1, 2023) (a) When a passenger or user 113
cancels a trip, a network company shall compensate a network worker 114
for any milage, fees, tolls and time incurred by such network worker 115
from the acceptance of a trip until cancellation of such trip. 116
(b) A network company shall compensate a network worker for (1) 117
any fees or costs incurred by a network worker for general wear and 118
tear, any damage from passengers and cleaning fees for such network 119
worker's motor vehicle, and (2) fees and tolls incurred by such network 120
worker while traveling between states. 121
(c) (1) A network worker shall receive mileage reimbursement at a 122
rate to be established by the Labor Commissioner. 123
(2) On and after July 1, 2023, and until the Labor Commissioner 124
establishes reimbursement rates pursuant to subdivision (1) of this 125
subsection, the mileage reimbursement standard for such network 126
workers shall be (A) for a network worker's active solicitation time, the 127
standard mileage rate established by the Internal Revenue Service, and 128
(B) for all miles driven by a network worker during passenger 129
transport time or delivery transport time, one hundred fifty per cent of 130
such standard mileage rate. 131
Sec. 4. (NEW) (Effective July 1, 2023) (a) Upon the conclusion of each 132
trip, each network company shall transmit an initial receipt and a 133
finalized receipt to the network worker for such trip or portion of such 134
trip. An initial receipt, containing an estimate of the information 135
required pursuant to subdivisions (1) to (9), inclusive, of this 136
subsection, shall be transmitted to a network worker not later than five 137
minutes after completion of such trip. A receipt containing the 138
finalized payment calculations of such information shall be 139
transmitted to a network worker not later than twenty-four hours after 140
completion of such trip. Such electronic receipts shall include, but need 141 Substitute Bill No. 1180
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not be limited to, the following information: (1) The total amount of 142
passenger platform time, (2) the total mileage driven during such 143
platform time, (3) the total mileage driven during passenger or 144
delivery pick-up time, (4) the fare charged to the passenger or user, (5) 145
the rate of pay, including, but not limited to, the rate per minute, rate 146
per mile, percentage of passenger fare and any applicable price 147
multiplier or variable pricing policy in effect for the trip, (6) tip 148
compensation, (7) gross payment, (8) net payment after deductions, 149
fees, tolls, surcharges, lease fees or other charges, and (9) itemized 150
deductions or fees, including any tolls, surcharges, commissions, lease 151
fees and other charges. 152
(b) Each network company shall maintain a digital copy of each 153
initial receipt and finalized receipt and make such receipts available 154
for download to the network worker to whom such receipts were 155
transmitted, for a period of three years thereafter. 156
(c) A network company shall provide each network worker with a 157
weekly summary of the trips such network worker made during the 158
previous week. Such weekly summary shall contain the following 159
information: (1) The network worker's total passenger or user platform 160
time, (2) the total mileage driven by the network worker during 161
passenger or user platform time, (3) the total amount of passenger or 162
delivery fares, (4) the network worker's total tip compensation, (5) the 163
network worker's gross compensation itemized by (A) rate per minute, 164
including the average rate across all trips, (B) rate per mile, including 165
the average rate across all trips, and (C) any other method used to 166
calculate pay, including, but not limited to, base pay, percentage of 167
passenger fare, or any applicable price multiplier or variable pricing 168
policy in effect for the trip, (6) the network worker's net payment after 169
deductions, fees, tolls, surcharges, lease fees or other charges, and (7) 170
the itemized deductions or fees from the network worker's payment, 171
including all tolls, surcharges, commissions, lease fees and other 172
charges. 173
Sec. 5. (NEW) (Effective July 1, 2023) Each network company shall, 174 Substitute Bill No. 1180
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not later than five minutes after a trip's completion for an initial 175
electronic receipt and not later than twenty-four hours of a trip's 176
completion for a finalized electronic receipt, transmit to the passenger 177
or user receipts that list the following on behalf of the driver: (1) The 178
date and time of the trip, (2) the passenger or delivery pick-up and 179
passenger or delivery drop-off locations for the trip, (3) the total 180
duration and distance of the trip, (4) the driver's first name, (5) the 181
total fare paid, itemizing all charges and fees, and (6) the compensation 182
paid to the driver, including all relevant factors contributing to 183
compensation. 184
Sec. 6. (NEW) (Effective July 1, 2023) (a) Any network worker 185
aggrieved by a violation of section 2 or 3 of this act may bring a civil 186
action in the Superior Court to recover damages, civil penalties and 187
such equitable and injunctive relief as the court deems appropriate. 188
Any individual who prevails in such civil action may be awarded 189
attorney's fees and costs to be taxed by the court. 190
(b) A network company that knowingly violates any provision of 191
section 2 or 3 of this act shall be liable to the affected network worker 192
in the amount of one hundred dollars per violation. 193
Sec. 7. (NEW) (Effective July 1, 2023) The Labor Commissioner may 194
adopt regulations in accordance with chapter 54 of the general statutes 195
to implement the provisions of sections 1 to 6, inclusive, and sections 8 196
and 9 of this act. 197
Sec. 8. (NEW) (Effective July 1, 2023) (a) Not later than January 1, 198
2024, and annually thereafter, each network company shall register 199
with the Labor Department, in a form and manner prescribed by the 200
Labor Commissioner. Such registration shall include, (1) the network 201
company's name, business address and telephone number, (2) if the 202
network company is registered in another state, the name, address and 203
telephone number of the company's agent for service of process in this 204
state, (3) the name, address and telephone number of a person at the 205
network company who will serve as the main contact for the Labor 206 Substitute Bill No. 1180
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Commissioner, (4) information sufficient to demonstrate that the 207
network company is in compliance with the provisions of this section 208
and sections 2 and 3 of this act, and any regulations adopted pursuant 209
to section 7 of this act, and (5) trip and revenue data described in 210
subsection (b) of this section. 211
(b) Each network company shall submit trip and revenue data as 212
part of its annual registration that includes: 213
(1) For each trip dispatch by the network company, (A) the motor 214
vehicle license plate number used by a network worker to complete 215
such trip, (B) the date, time and location in which either the passenger 216
or the delivery was picked up by a network worker, and the date, time 217
and location in which such passenger or delivery was subsequently 218
dropped off by such network worker, (C) the total number of 219
passengers or deliveries picked up by a network worker from the 220
location described in subparagraph (B) of this subdivision, (D) the total 221
mileage driven by the network worker during such trip, (E) the date 222
and time such trip was requested by a passenger or user, (F) the total 223
number of stops and deliveries made during such trip, and (G) an 224
itemized fare for such trip including, (i) the amount of the fare, (ii) any 225
toll, surcharge, commission rate or other deduction, (iii) any tip, and 226
(iv) a breakdown of the amount the passenger or user paid for the trip; 227
(2) The total payment, or hourly paid rate, each network worker 228
received for each trip that such network worker completed; 229
(3) The total amount of time each network worker's motor vehicle is 230
connected to the digital network each day; and 231
(4) The amount of time spent by each network worker transporting 232
passengers or deliveries, as well as the time spent each day by such 233
network worker traveling to such passengers or deliveries and time 234
spent by each network worker between trips but not traveling to pick 235
up a passenger or delivery. 236
(c) Each network company shall submit a nonrefundable 237 Substitute Bill No. 1180
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registration fee with its registration in an amount, to be determined by 238
the Labor Commissioner, that is sufficient to cover all costs incurred by 239
the Labor Department in carrying out the requirements of this section. 240
(d) If a network company needs to amend any information 241
contained in its registration that is incorrect or needs to be changed, 242
such network company shall amend its registration by submitting an 243
amendment to the department, in a form and manner prescribed by 244
the Labor Commissioner, not later than thirty days after such network 245
company discovers or reasonably should have known of such change. 246
(e) Any personally and identifiable information or data included in 247
a network company's registration pursuant to subsection (a) of this 248
section shall not be subject to disclosure under section 1-210 of the 249
general statutes, except the Labor Commissioner shall make redacted 250
versions of such data available on the Labor Department's Internet 251
web site for analysis by the public. 252
Sec. 9. (NEW) (Effective July 1, 2023) Not later than January 1, 2024, 253
the Commissioner of Transportation shall communicate with the chief 254
transportation official of New York, Massachusetts, Rhode Island and 255
New Jersey to establish a reciprocity agreement for the purposes of 256
allowing Connecticut network workers to pick up passengers in such 257
other states and to allow network workers of such other states to pick 258
up passengers in Connecticut. 259
This act shall take effect as follows and shall amend the following
sections:
Section 1 July 1, 2023 New section
Sec. 2 July 1, 2023 New section
Sec. 3 July 1, 2023 New section
Sec. 4 July 1, 2023 New section
Sec. 5 July 1, 2023 New section
Sec. 6 July 1, 2023 New section
Sec. 7 July 1, 2023 New section
Sec. 8 July 1, 2023 New section Substitute Bill No. 1180
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Sec. 9 July 1, 2023 New section
Statement of Legislative Commissioners:
Section 1 was rewritten for consistency with standard drafting
conventions, in Section 2(a) "said per cent" was replaced with "such
compensation" for clarity; in Section 2(b) "Network" was replaced with
"Except as otherwise provided in subsection (a) of this section,
network" for consistency with standard drafting conventions, and
"drivers" was changed to "workers" for internal consistency; in Section
2(c) "adjustment" was replaced with "revisions" for consistency with
standard drafting conventions, and "a" was replaced with "an annual"
for clarity; in Section 3(c)(2) "drivers" was changed to "workers",
"driver's" was changed to "worker's", and "driver" was changed to
"worker" for internal consistency; Section 4(a) was rewritten for clarity;
in Section 4(c) "notice" was replaced with "weekly summary" for
internal consistency; in Section 4(c)(1) "or user" was added after
"passenger" for consistency with other sections; Section 4(c)(7)
"driver's" was changed to "network worker's" for internal consistency;
in Section 5 "within" was replaced with "not later than" for consistency
with standard drafting conventions; in Section 8(b) "with the" was
replaced with "as part of its" for consistency with standard drafting
conventions; and in Section 9 "drivers" was changed to "workers" for
internal consistency.
LAB Joint Favorable Subst.