Why TNCs Will Be Regulated Like Taxis–Historically Speaking

With the advent of transportation network companies, or TNCs, as they are labeled by the state of California, there has been considerable discussion, legislative action, and lawsuits regarding their attempts to operate without being subject to local taxi, sedan, limousine, or private-for-hire regulations. Indeed, across almost every continent, Uber has attempted to simply disregard local city and airport rules and regulations established for all commercial ground passenger transportation carriers. Uber argues that it is not a transportation company but rather a technology company, and so by definition it is not subject to commercial vehicle regulations. As a result, fierce and expensive legal and legislative battles have been bitterly fought. However, these legal proceedings rarely address just why there are regulations for commercial vehicles and their drivers. It is therefore incumbent upon public officials to learn from this phenomenon and design a taxi system that provides drivers a fair income opportunity and maximum utilization from vehicles, to offer and maintain a high level of service at reasonable rates to residents and visitors alike. A best guess is that the industry will experience a form of hybrid taxi/TNC type transportation firm that offers both services in competition with national TNC brands for a while, but that ultimately there will be re-regulation and TNCs will be included within the local regulatory framework. There may be an opportunity for statewide or even national taxi/TNC regulations, but as in the past, drivers will be vetted, entry will be restricted, and public safety in the form of commercial liability insurance for all drivers will be standard requirements.

• Record URL:
  http://www.intrans.iastate.edu/mtc/index.cfm/research/project/project/-268491858
• Record URL:
  http://www.intrans.iastate.edu/research/documents/research-reports/why_TNCs_regulated_like_taxis_w_cvr.pdf
• Record URL:
  http://www.intrans.iastate.edu/research/documents/research-reports/STL_taxi_limo_study_w_cvr.pdf
• 
• Supplemental Notes:
  • Metropolitan St. Louis Taxicab Commission ($25,000.00) University of Missouri - Saint Louis ($20,000.00) USDOT/OST-R ($30,000.00) Total: $75,000.00

Language

• English

Project

• Status: Completed
• Funding: $75000.00
• Contract Numbers:

  DTRT13-G-UTC37

• Sponsor Organizations:

  Midwest Transportation Center

  Iowa State University
  2711 S Loop Drive, Suite 4700
  Ames, IA  United States  50010-8664

  Metropolitan St. Louis Taxicab Commission

  2628 Delmar
  St. Louis, MO  United States  63103

  University of Missouri, St. Louis

  One University Boulevard
  St. Louis, MO  United States  63121-4400

  Department of Transportation

  Office of the Assistant Secretary for Research and Technology
  1200 New Jersey Avenue, SE
  Washington, DC  United States  20590
• Performing Organizations:

  Midwest Transportation Center

  Iowa State University
  2711 S Loop Drive, Suite 4700
  Ames, IA  United States  50010-8664

  University of Missouri, St. Louis

  One University Boulevard
  St. Louis, MO  United States  63121-4400
• Principal Investigators:

  Mundy, Ray

• Start Date: 20150101
• Expected Completion Date: 20180330
• Actual Completion Date: 0
• Source Data: RiP Project 39378

Subject/Index Terms

• TRT Terms: Best practices; Economics; Ground transportation; Insurance; Regulation; Ridesharing; Taxi services
• Subject Areas: Economics; Highways; Law; Passenger Transportation; Vehicles and Equipment;

Filing Info

• Accession Number: 01560381
• Record Type: Research project
• Source Agency: Midwest Transportation Center
• Contract Numbers: DTRT13-G-UTC37
• Files: UTC, RIP
• Created Date: Apr 14 2015 1:00AM