2015 - 2016 LEGISLATURE
ASSEMBLY SUBSTITUTE AMENDMENT 2,
TO ASSEMBLY BILL 143
April 14, 2015 - Offered by Representatives Subeck,
Sargent, Zepnick, Kahl,
Wachs, Spreitzer, Hebl, C. Taylor and Hintz.
1An Act to amend
194.01 (1) and 194.01 (2); and to create
340.01 (23g) (b) 4., 2
440.08 (2) (a) 69m. and subchapter IV of chapter 440 [precedes 440.40] of the 3
statutes; relating to: regulation of transportation network companies,
4providing an exemption from emergency rule procedures, granting
5rule-making authority, and providing a penalty.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
194.01 (1) of the statutes is amended to read:
"Common motor carrier" means any person who holds himself or 8
herself out to the public as willing to undertake for hire to transport passengers or 9
property by motor vehicle upon the public highways. The transportation of 10
passengers in taxicab service or in commuter car pool or van pool vehicles that are 11
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
2network services, as defined in s. 440.40 (7),
is not transportation by a common motor 3
194.01 (2) of the statutes is amended to read:
"Contract motor carrier" means any person engaged in the 6
transportation by motor vehicle over a regular or irregular route upon the public 7
highways of property for hire, including the transportation of buildings, as defined 8
in s. 348.27 (12m) (a) 1. The transportation of property in a motor vehicle being used
9subject to subch. IV of ch. 440 is not transportation by a contract motor carrier.
340.01 (23g) (b) 4. of the statutes is created to read:
(b) 4. A motor vehicle being used to provide transportation 12
network services, as defined in s. 440.40 (7).
440.08 (2) (a) 69m. of the statutes is created to read:
(a) 69m. Transportation network company: March 1 of each 15
Subchapter IV of chapter 440 [precedes 440.40] of the statutes is 17
created to read:
transportation network companies
In this subchapter:
"Digital network" means any Internet site or online-enabled application, 23
software, or system that permits the prearrangement of transportation network 24
"Licensed company" means a transportation network company that is 2
licensed under s. 440.415.
"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 5
passenger for the purpose of engaging in transportation network services.
(b) Uses a personal vehicle to engage in transportation network services for 7
"Passenger" means an individual who uses a transportation network 9
company's digital network to connect to a participating driver for transportation 10
network services, and, unless the context requires otherwise, includes all other 11
persons in that individual's party who accompany that individual in the 12
participating driver's personal vehicle in connection with those transportation 13
"Personal vehicle" means a motor vehicle that satisfies all of the following 15
(a) A participating driver owns, leases, or is otherwise authorized to use the 17
(b) The motor vehicle is not a taxicab, limousine, shuttle, or other for-hire 19
"Transportation network company" means a business that, for 21
compensation, uses a digital network to connect passengers to participating drivers 22
for the purpose of providing transportation network services to those passengers. 23
"Transportation network company" does not include a taxicab, limousine, shuttle, or 24
other for-hire vehicle service.
"Transportation network services" means transportation provided to a 2
passenger in the participating driver's personal vehicle. A participating driver is 3
considered to be engaged in transportation network services beginning when the 4
participating driver accepts a passenger's request for transportation received 5
through a transportation network company's digital network, continuing while the 6
participating driver transports that passenger in the participating driver's personal 7
vehicle, and ending when that passenger, or the last person in that passenger's party, 8
whichever occurs later, exits the participating driver's personal vehicle. 9
"Transportation network services" does not include transportation in a taxicab, 10
limousine, shuttle, or other for-hire vehicle.
11440.41 License required.
No person may operate a transportation 12
network company in this state unless the transportation network company is a 13
No person may engage in transportation network services in this state 15
unless the person is a participating driver for a licensed company. A licensed 16
company is not considered to control, direct, or manage a participating driver or that 17
participating driver's personal vehicle used for engaging in transportation network 18
services, except as provided in this subchapter or in a written agreement between the 19
licensed company and the participating driver.
20440.415 Licensure of transportation network companies. (1) Initial
The department shall grant a license to operate a transportation network 22
company in this state to an applicant for licensure if the department determines that 23
all of the following requirements are met:
(a) The applicant submits an application to the department on a form 25
prescribed by the department. The application shall include the applicant's name,
address, tax identification number, and any other information required by the 2
department by rule.
(b) The applicant is a transportation network company.
(c) The applicant demonstrates to the satisfaction of the department that it 5
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 7
(a) The renewal date for a license granted under sub. (1) is 9
specified in s. 440.08 (2) (a) 69m. A renewal application shall be submitted to the 10
department on a form prescribed by the department and shall include any 11
information required by the department by rule.
(b) The renewal application for a licensed company shall include a renewal fee 13
of $5,000 or the renewal fee determined by the department under s. 440.03 (9) (a), 14
if any, whichever is less.
Each licensed company shall maintain an agent for service of 16
process in this state.
17440.425 Fare disclosures.
Each licensed company shall do all of the 18
Disclose its fare calculation method on its Internet site.
Inform each prospective passenger or the prospective passenger's 21
authorized representative of all applicable fare rates.
Give each prospective passenger or the prospective passenger's authorized 23
representative the option to receive an estimated fare before the passenger enters 24
a participating driver's personal vehicle for transportation network services.
1440.427 Establishment of base rate; ban on surge pricing. (1)
licensed company shall establish a base fare rate for each geographic region within 3
this state in which the licensed company operates.
A licensed company may not establish a base fare rate under sub. (1) more 5
than once every 3 months.
A licensed company may not at any time charge a passenger a fare rate that 7
exceeds the base fare rate established under sub. (1).
8440.43 Identification of participating drivers.
Each licensed company 9
shall make available to each prospective passenger or the prospective passenger's 10
authorized representative, on the licensed company's digital network, a photograph 11
of the participating driver and the license plate number of the participating driver's 12
personal vehicle before the passenger enters the participating driver's personal 13
vehicle for transportation network services.
14440.435 Electronic receipt.
Within a reasonable time after transportation 15
network services have been provided, the licensed company facilitating the services 16
shall transmit an electronic receipt for the services to the passenger or the 17
passenger's authorized representative that contains all of the following:
The origin and destination of the trip.