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  Date of enactment: May 1, 2015
2015 Assembly Bill 143   Date of publication*: May 2, 2015
* Section 991.11, Wisconsin Statutes: Effective date of acts. "Every act and every portion of an act enacted by the legislature over the governor's partial veto which does not expressly prescribe the time when it takes effect shall take effect on the day after its date of publication."
2015 WISCONSIN ACT 16
An Act to amend 194.01 (1) and 194.01 (2); and to create 340.01 (23g) (b) 4., 440.08 (2) (a) 69m. and subchapter IV of chapter 440 [precedes 440.40] of the statutes; relating to: regulation of transportation network companies, providing an exemption from emergency rule procedures, granting rule-making authority, and providing a penalty.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
16,1 Section 1. 194.01 (1) of the statutes is amended to read:
194.01 (1) "Common motor carrier" means any person who holds himself or herself out to the public as willing to undertake for hire to transport passengers or property by motor vehicle upon the public highways. The transportation of passengers in taxicab service or in commuter car pool or van pool vehicles that are designed to carry less than 8 passengers, including the driver, or in a school bus under s. 120.13 (27) or in a motor vehicle being used to provide transportation network services, as defined in s. 440.40 (7), is not transportation by a common motor carrier.
16,2 Section 2. 194.01 (2) of the statutes is amended to read:
194.01 (2) "Contract motor carrier" means any person engaged in the transportation by motor vehicle over a regular or irregular route upon the public highways of property for hire, including the transportation of buildings, as defined in s. 348.27 (12m) (a) 1. The transportation of property in a motor vehicle being used subject to subch. IV of ch. 440 is not transportation by a contract motor carrier.
16,3 Section 3. 340.01 (23g) (b) 4. of the statutes is created to read:
340.01 (23g) (b) 4. A motor vehicle being used to provide transportation network services, as defined in s. 440.40 (7).
16,4 Section 4. 440.08 (2) (a) 69m. of the statutes is created to read:
440.08 (2) (a) 69m. Transportation network company: March 1 of each odd-numbered year.
16,5 Section 5. Subchapter IV of chapter 440 [precedes 440.40] of the statutes is created to read:
CHAPTER 440
SUBCHAPTER IV
transportation network companies
440.40 Definitions. In this subchapter:
(1) "Digital network" means any Internet site or online-enabled application, software, or system that permits the prearrangement of transportation network services.
(2) "Licensed company" means a transportation network company that is licensed under s. 440.415.
(3) "Participating driver" means an individual who does all of the following:
(a) Pays a fee to a transportation network company to be connected to a passenger for the purpose of engaging in transportation network services.
(b) Uses a personal vehicle to engage in transportation network services for compensation.
(4) "Passenger" means an individual who uses a transportation network company's digital network to connect to a participating driver for transportation network services, and, unless the context requires otherwise, includes all other persons in that individual's party who accompany that individual in the participating driver's personal vehicle in connection with those transportation network services.
(5) "Personal vehicle" means a motor vehicle that satisfies all of the following conditions:
(a) A participating driver owns, leases, or is otherwise authorized to use the motor vehicle.
(b) The motor vehicle is not a taxicab, limousine, shuttle, or other for-hire vehicle or a commercial motor vehicle, as defined in 49 CFR 390.5.
(6) "Transportation network company" means a business that, for compensation, uses a digital network to connect passengers to participating drivers for the purpose of providing transportation network services to those passengers. "Transportation network company" does not include a taxicab, limousine, shuttle, or other for-hire vehicle service.
(7) "Transportation network services" means transportation provided to a passenger in the participating driver's personal vehicle. A participating driver is considered to be engaged in transportation network services beginning when the participating driver accepts a passenger's request for transportation received through a transportation network company's digital network, continuing while the participating driver transports that passenger in the participating driver's personal vehicle, and ending when that passenger, or the last person in that passenger's party, whichever occurs later, exits the participating driver's personal vehicle. "Transportation network services" does not include transportation in a taxicab, limousine, shuttle, or other for-hire vehicle.
440.41 License required. (1) No person may operate a transportation network company in this state unless the transportation network company is a licensed company.
(2) No person may engage in transportation network services in this state unless the person is a participating driver for a licensed company. A licensed company is not considered to control, direct, or manage a participating driver or that participating driver's personal vehicle used for engaging in transportation network services, except as provided in this subchapter or in a written agreement between the licensed company and the participating driver.
440.415 Licensure of transportation network companies. (1) Initial license. The department shall grant a license to operate a transportation network company in this state to an applicant for licensure if the department determines that all of the following requirements are met:
(a) The applicant submits an application to the department on a form prescribed by the department. The application shall include the applicant's name, address, tax identification number, and any other information required by the department by rule.
(b) The applicant is a transportation network company.
(c) The applicant demonstrates to the satisfaction of the department that it satisfies all applicable requirements under ss. 440.42, 440.44, 440.45, and 440.48.
(d) Notwithstanding s. 440.03 (9) (a), the applicant pays an initial licensure fee of $5,000.
(2) Renewal. (a) The renewal date for a license granted under sub. (1) is specified in s. 440.08 (2) (a) 69m. A renewal application shall be submitted to the department on a form prescribed by the department and shall include any information required by the department by rule.
(b) The renewal application for a licensed company shall include a renewal fee of $5,000 or the renewal fee determined by the department under s. 440.03 (9) (a), if any, whichever is less.
440.42 Agent. Each licensed company shall maintain an agent for service of process in this state.
440.425 Fare disclosures. Each licensed company shall do all of the following:
(1) Disclose its fare calculation method on its Internet site.
(2) Inform each prospective passenger or the prospective passenger's authorized representative of all applicable fare rates.
(3) Give each prospective passenger or the prospective passenger's authorized representative the option to receive an estimated fare before the passenger enters a participating driver's personal vehicle for transportation network services.
440.43 Identification of participating drivers. Each licensed company shall make available to each prospective passenger or the prospective passenger's authorized representative, on the licensed company's digital network, a photograph of the participating driver and the license plate number of the participating driver's personal vehicle before the passenger enters the participating driver's personal vehicle for transportation network services.
440.435 Electronic receipt. Within a reasonable time after transportation network services have been provided, the licensed company facilitating the services shall transmit an electronic receipt for the services to the passenger or the passenger's authorized representative that contains all of the following:
(1) The origin and destination of the trip.
(2) The total time and distance of the trip.
(3) An itemization of the total fare paid, if any.
440.44 Zero tolerance for use of drugs or alcohol. (1) Policy. Each licensed company shall develop, implement, and make available on its Internet site a policy prohibiting any participating driver from using alcohol, or any other intoxicant that may render the participating driver incapable of safely driving, while the participating driver is engaged in transportation network services for the licensed company or is logged on to the licensed company's digital network.
(2) Complaints. (a) Each licensed company shall develop, implement, and make available on its Internet site, complaint procedures for reports of suspected violations of the policy under sub. (1).
(b) Upon receipt of a complaint concerning a violation of a licensed company's policy under sub. (1), the licensed company shall immediately suspend the participating driver and investigate the complaint. The suspension shall continue until the complaint is resolved.
(c) Each licensed company shall maintain all records of each investigation under par. (b), including the results of that investigation and any action taken based on that investigation, for at least 2 years after the date the complaint was received by the licensed company.
440.445 Certain requirements for participating drivers and their personal vehicles. (1) Application. Before a licensed company allows an individual to be a participating driver for the licensed company, the licensed company shall do all of the following:
(a) Require the individual to submit an application to the licensed company that includes at least all of the following:
1. The individual's name, address, and age.
2. A copy of the individual's driver's license.
3. The individual's driving history.
4. Proof of motor vehicle registration for each personal vehicle the individual will use to engage in transportation network services through the licensed company.
5. A copy of the individual's automobile liability insurance policy for each personal vehicle the individual will use to provide transportation network services through the licensed company.
(b) Conduct, or have a 3rd party conduct, a local and national criminal background check for the individual that includes all of the following:
1. A multistate and multijurisdictional criminal records locator or other similar commercial nationwide database with validation.
2. A national sex offender registry database.
(c) Obtain and review a driving history research report for the individual.
(2) Who may not be a participating driver. (a) A licensed company may not allow any of the following individuals to be a participating driver for the licensed company:
1. An individual who has had more than 3 moving violations, as defined in s. 343.01 (2) (cg), in the past 3 years, or one conviction in the past 3 years for an offense listed under s. 351.02 (1) (a).
2. An individual who, in the last 7 years, committed an offense that resulted in a suspension, revocation, or other conviction counted under s. 343.307 (1) or was convicted of a sex offense, as defined in s. 301.45 (1d) (b), or of any crime involving fraud, theft, damage to property, violence, acts of terror, or the use of a motor vehicle in the commission of a felony.
3. An individual whose information is contained in the sex offender registry under s. 301.45 or on the National Sex Offender Public Website.
4. An individual who does not possess a valid driver's license.
5. An individual who does not possess proof of motor vehicle registration for each personal vehicle the individual intends to use to engage in transportation network services.
6. An individual who does not possess proof of automobile liability insurance for each personal vehicle the individual intends to use to engage in transportation network services.
7. An individual who is not at least 19 years of age.
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