Analysis by the Legislative Reference Bureau
This bill eliminates the authority of local governments to regulate and license
operators of taxicabs and taxicab businesses and instead requires that taxicab
companies and taxicab dispatch services be licensed by the state.

Under current law, a common council of a city or a village or town board may
regulate and license chauffeurs and operators of taxicabs used for hire; may regulate
and license a taxicab business by licensing each taxicab used for hire; and may
prohibit any person from operating any motor vehicle for taxicab purposes upon the
highways of the city, village, or town unless the person is licensed as a chauffeur and
operator and unless the taxicab business is licensed by the licensing of each taxicab.
Subject to certain exceptions, this bill prohibits a city, village, town, or county from
enacting or enforcing an ordinance or from adopting or enforcing a resolution that
regulates a taxicab company or taxicab dispatch service or its drivers in connection
with taxicab services.
The bill instead provides that no person may own or operate a taxicab company
or taxicab dispatch service unless the taxicab company or dispatch service is licensed
by the Department of Safety and Professional Services. The bill also prohibits any
individual from operating a motor vehicle as a taxicab unless the taxicab is affiliated
with a licensed taxicab company or dispatch service. The bill exempts from the
licensure requirements individuals who operate taxicabs as employees of or
independent contractors for taxicab companies, as well as individuals who are
independent owner-operators of taxicabs affiliated with licensed taxicab dispatch
services.
The bill requires DSPS to grant a license to an applicant for licensure as a
taxicab company or dispatch service if certain application requirements are
satisfied, including that the taxicab company or dispatch service pays an initial
licensure fee determined by DSPS using a sliding scale. A license entitles the license
holder to operate the taxicab company or dispatch service to provide trips to
passengers throughout the state, without geographic limitation.
The bill includes a number of requirements applicable to a licensed taxicab
company or dispatch service, including all of the following:
1. A taxicab dispatch service must disclose its fare calculation method and rates
on its Internet site. If a taxicab is not affiliated with a taxicab dispatch service, the
taxicab company must have the fare calculation method and rates for the taxicab
disclosed inside the taxicab.
2. A taxicab company or dispatch service must ensure that each taxicab is
equipped with a device that can calculate a passenger's fare in a location visible to
the passenger. A taxicab company or dispatch service may also, however, use a
digital network to calculate a passenger's fare and transmit that fare to the
passenger's mobile device.
3. In addition to other nondiscrimination and accessibility requirements, a
taxicab company or dispatch service must have in place a policy of nondiscrimination
on the basis of trip origin or destination, race, color, national origin, religious belief
or affiliation, sex, disability, age, sexual orientation, or gender identity with respect
to passengers and prospective passengers.
4. A taxicab company or dispatch service must have in place a “zero tolerance”
policy prohibiting drivers from using alcohol, or any other intoxicant that may render
the driver incapable of safely driving, while the driver is driving for the taxicab
company or dispatch service.

5. A taxicab company or dispatch service must ensure that each driver is
licensed to drive and is able to safely operate any vehicle to be used as a taxicab.
The bill requires each vehicle used as a taxicab to satisfy certain requirements,
including being marked as a taxi and marked with the name of the taxicab company
or dispatch service with which it is affiliated. The bill also specifies that the owner
of a vehicle used as a taxicab is required to satisfy the minimum requirements for
automobile insurance that apply to vehicle owners generally.
The bill authorizes DSPS to conduct investigations and hold hearings to
determine whether a violation of the bill's provisions, a related rule promulgated by
DSPS, or any other law that substantially relates to the operation of a taxicab
company or dispatch service has occurred. The bill further authorizes DSPS to
discipline a licensed taxicab company or dispatch service, and any person who
violates the bill's provisions or a related rule promulgated by DSPS may be subject
to a fine not to exceed $1,000.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB918,1 1Section 1. 121.53 (5) (c) of the statutes is amended to read:
AB918,3,32 121.53 (5) (c) A taxicab regulated by a municipal ordinance under s. 349.24
3subch. I of ch. 474 when used to transport pupils.
AB918,2 4Section 2. 194.01 (1) of the statutes is amended to read:
AB918,3,125 194.01 (1) “Common motor carrier" means any person who holds himself or
6herself out to the public as willing to undertake for hire to transport passengers or
7property by motor vehicle upon the public highways. The transportation of
8passengers in taxicab service or in commuter car pool or van pool vehicles that are
9designed to carry less than 8 passengers, including the driver, or in a school bus
10under s. 120.13 (27) or in a motor vehicle being used to provide transportation
11network services, as defined in s. 440.40 474.40 (7) or in taxicabs, as defined in s.
12474.10 (3)
, is not transportation by a common motor carrier.
AB918,3 13Section 3. 194.01 (2) of the statutes is amended to read:
AB918,4,6
1194.01 (2) “Contract motor carrier" means any person engaged in the
2transportation by motor vehicle over a regular or irregular route upon the public
3highways of property for hire, including the transportation of buildings, as defined
4in s. 348.27 (12m) (a) 1. The transportation of property in a motor vehicle being used
5subject to subch. IV of ch. 440 I or II of ch. 474 is not transportation by a contract
6motor carrier.
AB918,4 7Section 4 . 194.41 (6) (b) 1. of the statutes is renumbered 194.41 (6) (b).
AB918,5 8Section 5 . 194.41 (6) (b) 2. of the statutes is repealed.
AB918,6 9Section 6. 340.01 (23g) (b) 4. of the statutes is amended to read:
AB918,4,1110 340.01 (23g) (b) 4. A motor vehicle being used to provide transportation
11network services, as defined in s. 440.40 474.40 (7).
AB918,7 12Section 7 . 346.935 (4) (b) of the statutes is amended to read:
AB918,4,1913 346.935 (4) (b) This section does not apply to passengers in a limousine or in
14a motor bus who possess any bottle or receptacle containing alcohol beverages that
15has been opened, on which the seal has been broken or the contents of which have
16been partially removed or released if the vehicle is operated by a chauffeur holding
17a valid license and endorsements authorizing operation of the vehicle as provided in
18ch. 343 and is in compliance with any local ordinance or regulation adopted under
19s. 349.24
.
AB918,8 20Section 8. 349.24 of the statutes is repealed.
AB918,9 21Section 9 . 440.03 (9) (a) (intro.) of the statutes is amended to read:
AB918,4,2522 440.03 (9) (a) (intro.) Subject to pars. (b) and (c) and s. 474.115 (4), the
23department shall, biennially, determine each fee for an initial credential for which
24no examination is required, for a reciprocal credential, and for a credential renewal
25by doing all of the following:
AB918,10
1Section 10. 440.08 (2) (a) 69. of the statutes is created to read:
AB918,5,32 440.08 (2) (a) 69. Taxicab company or dispatch service: March 1 of each
3odd-numbered year.
AB918,11 4Section 11. Subchapter IV (title) of chapter 440 [precedes 440.40] of the
5statutes is renumbered subchapter II (title) of chapter 474 [precedes 474.40].
AB918,12 6Section 12. 440.40 of the statutes is renumbered 474.40, and 474.40 (2) and
7(6), as renumbered, are amended to read:
AB918,5,98 474.40 (2) “Licensed company" means a transportation network company that
9is licensed under s. 440.415 474.415.
AB918,5,15 10(6) “Transportation network company" means a business that, for
11compensation, uses a digital network to connect passengers to participating drivers
12for the purpose of providing transportation network services to those passengers.
13“Transportation network company" does not include a taxicab , company, as defined
14in s. 474.10 (4), a taxicab dispatch service, as defined in s. 474.10 (5), or a
limousine,
15shuttle, or other for-hire vehicle service.
AB918,13 16Section 13. 440.41 of the statutes is renumbered 474.41.
AB918,14 17Section 14. 440.415 of the statutes is renumbered 474.415, and 474.415 (1) (c),
18as renumbered, is amended to read:
AB918,5,2119 474.415 (1) (c) The applicant demonstrates to the satisfaction of the
20department that it satisfies all applicable requirements under ss. 440.42, 440.44,
21440.45, and 440.48
474.42, 474.44, 474.45, and 474.48.
AB918,15 22Section 15. 440.42 of the statutes is renumbered 474.42.
AB918,16 23Section 16. 440.425 of the statutes is renumbered 474.425.
AB918,17 24Section 17. 440.43 of the statutes is renumbered 474.43.
AB918,18 25Section 18. 440.435 of the statutes is renumbered 474.435.
AB918,19
1Section 19. 440.44 of the statutes is renumbered 474.44.
AB918,20 2Section 20. 440.445 of the statutes is renumbered 474.445.
AB918,21 3Section 21. 440.45 of the statutes is renumbered 474.45.
AB918,22 4Section 22. 440.455 of the statutes is renumbered 474.455.
AB918,23 5Section 23. 440.46 of the statutes is renumbered 474.46.
AB918,24 6Section 24 . 440.465 of the statutes is renumbered 474.465, and 474.465 (1),
7as renumbered, is amended to read:
AB918,6,138 474.465 (1) Section 349.24 does not apply to a transportation network company
9or to a participating driver engaged in transportation network services or the
10participating driver's personal vehicle used for those services.
No city, village, town,
11or county may enact or enforce an ordinance or adopt or enforce a resolution that
12regulates a transportation network company or its participating drivers and their
13personal vehicles in connection with transportation network services.
AB918,25 14Section 25. 440.48 of the statutes is renumbered 474.48.
AB918,26 15Section 26. 440.49 of the statutes is renumbered 474.49, and 474.49 (2)
16(intro.), as renumbered, is amended to read:
AB918,6,2017 474.49 (2) Discipline. (intro.) Subject to the rules promulgated under s. 440.03
18(1), the department may reprimand a licensed company or deny, limit, suspend, or
19revoke a license granted under s. 440.415 474.415 if the department finds that an
20applicant for licensure or a licensed company has done any of the following:
AB918,27 21Section 27. 440.495 of the statutes is renumbered 474.495.
AB918,28 22Section 28. Chapter 474 (title) of the statutes is created to read:
AB918,6,2523 CHAPTER 474
24 taxicabs and Transportation
25 network companies
AB918,29
1Section 29. Subchapter I of chapter 474 [precedes 474.10] of the statutes is
2created to read:
AB918,7,33 CHAPTER 474
AB918,7,64 SUBCHAPTER I
5 Taxicab companies
6 and dispatch services
AB918,7,7 7474.10 Definitions. In this subchapter:
AB918,7,10 8(1) “Driver” means an individual who operates a taxicab for a licensed company
9to take passengers to destinations indicated by the passengers or to provide courier
10services.
AB918,7,12 11(2) “Licensed company" means a taxicab company or taxicab dispatch service
12that is licensed under s. 474.115.
AB918,7,14 13(3) (a) Subject to par. (b), “taxicab” means a motor vehicle having a passenger
14carrying capacity of fewer than 15 persons that is held for public hire.
AB918,7,1515 (b) “Taxicab" does not include any of the following:
AB918,7,1616 1. A motor vehicle operated primarily as a funeral car.
AB918,7,1817 2. A motor vehicle of a car pool or van pool operated by private individuals,
18nonprofit organizations or city, state, or federal governments.
AB918,7,1919 3. A motor vehicle operated primarily as an ambulance.
AB918,7,2020 4. A motor vehicle operated primarily for transporting property.
AB918,7,2221 5. A motor vehicle not designated for use as a taxicab or for public
22transportation under s. 342.06 (1) (h).
AB918,7,2423 6. A personal vehicle, as defined in s. 474.40 (5) (b), that is used to provide
24transportation network services, as defined in s. 474.40 (7).
AB918,8,2
1(4) “Taxicab company” means any business that, for compensation, provides
2transportation to passengers in taxicabs.
AB918,8,5 3(5) “Taxicab dispatch service” means any business that, for compensation,
4connects passengers to drivers of taxicabs for the purpose of providing
5transportation to those passengers.
AB918,8,10 6474.11 License required. (1) No person may own or operate a taxicab
7company or taxicab dispatch service in this state unless the taxicab company or
8taxicab dispatch service is a licensed company. Persons required to be licensed under
9this subsection include an independent owner-operator of a taxicab not affiliated
10with a taxicab dispatch service.
AB918,8,11 11(2) Subsection (1) does not require a license for any of the following:
AB918,8,1312 (a) An individual who operates a taxicab as an employee of, or an independent
13contractor for, a licensed company.
AB918,8,1514 (b) An independent owner-operator of a taxicab affiliated with a taxicab
15dispatch service that is a licensed company.
AB918,8,20 16474.115 Licensure of taxicab companies and taxicab dispatch services.
17(1) Initial license. The department shall, subject to s. 474.19, grant a license to
18operate a taxicab company or taxicab dispatch service in this state to an applicant
19for licensure if the department determines that all of the following requirements are
20met:
AB918,8,2421 (a) The applicant submits an application to the department on a form
22prescribed by the department. The application shall include the applicant's name,
23address, tax identification number, and any other information required by the
24department by rule.
AB918,9,2
1(b) The applicant owns, operates, or proposes to own or operate a taxicab
2company or taxicab dispatch service in this state.
AB918,9,73 (c) The applicant demonstrates to the satisfaction of the department that it
4satisfies all applicable requirements under ss. 474.12, 474.14, 474.145, 474.147, and
5474.15. If the applicant is an individual who will also be a driver for a taxicab
6company, the applicant shall also submit the information identified in s. 474.145 (1)
7to the department.
AB918,9,98 (d) The applicant pays an initial licensure fee determined by the department
9in accordance with the sliding scale under sub. (4).
AB918,9,1210 (e) The applicant provides the department with a list of all taxicabs that are
11affiliated with the taxicab company or taxicab dispatch service, in the manner
12prescribed by the department.
AB918,9,15 13(2) Renewal. The renewal date for a license granted under sub. (1) is specified
14in s. 440.08 (2) (a) 69. A renewal application shall be submitted to the department
15on a form prescribed by the department and shall include all of the following:
AB918,9,1716 (a) The renewal fee determined by the department in accordance with the
17sliding scale under sub. (4).
AB918,9,1918 (b) An updated list of all taxicabs that are affiliated with the taxicab company
19or taxicab dispatch service, in the manner prescribed by the department.
AB918,9,2020 (c) Any other information required by the department by rule.
AB918,9,24 21(3) Effect of license. A license issued under this section shall entitle the
22license holder to operate the taxicab company or taxicab dispatch service to provide
23transportation in taxicabs to passengers throughout this state, without geographic
24limitation.
AB918,10,8
1(4) Licensure fees. Fees for initial taxicab company and taxicab dispatch
2service licenses shall be set by the department by rule using a sliding scale ranging
3from a minimum of $500 to a maximum of $5,000, with the lowest fee to be paid by
4an individual who owns and operates his or her own taxicab company and is the sole
5driver for that taxicab company. Fees for renewing those licenses shall also be set
6by rule using a sliding scale, but the renewal fee for a taxicab company or dispatch
7service of a given size may not exceed the amount of the initial licensure fee for a
8taxicab company or dispatch service of that size.
Loading...
Loading...