Transportation Network Company Drivers: Business Licenses - Licensing For Revenue And Regulation - Business & Professions - CA

Section § 16550

This law aims to simplify the business licensing process for drivers of transportation network companies, like those working for rideshare services. It ensures that drivers only need one business license, even if they work in multiple cities or areas.

It is the intent of the Legislature to limit any requirement for a business license imposed by a local jurisdiction on a participating driver for a transportation network company to a single business license, regardless of the number of local jurisdictions in which the participating driver operates.

transportation network company business license local jurisdiction ...

Section § 16550.1

This law provides definitions for terms used in the chapter related to business licenses for prearranged transportation services. It clarifies what a business license is, defines a driver and transportation network company the same way as another section, describes what constitutes a local jurisdiction, and explains what counts as personally identifiable information about a driver collected by a local area, like name, address, email, phone number, and social security number.

For purposes of this chapter, the following definitions apply:

(a) “Business license” includes any license, certificate, fee, or equivalent payment that is required or collected by a local jurisdiction annually, or on some other fixed cycle, as a condition of providing prearranged transportation services in the local jurisdiction.

(b) “Driver” has the same meaning as the definition of driver provided in subdivision (a) of Section 5431 of the Public Utilities Code.

(d) “Personally identifiable information” means individually identifiable information about an individual driver collected by the local jurisdiction from that individual, including, but not limited to, all of the following:

(1) A first and last name.

(2) A residential address, including a street and city name.

(3) An email address.

(4) A telephone number.

(5) A social security number.

(6) Driver income or tax information.

(e) “Transportation network company” has the same meaning as the definition of transportation network company provided in subdivision (c) of Section 5431 of the Public Utilities Code.

business license prearranged transportation services local jurisdiction ...

Section § 16550.2

This law outlines that if a driver needs a business license to work for a ride-sharing company, they only need to get one from their home area, even if they drive in multiple places. If their home area doesn't require a license, they don't need one elsewhere. Additionally, if the driver hasn't worked more than 30 days the previous year, they're not required to get a license. Ride-sharing companies must inform their drivers about these rules. Licenses issued can be valid for a local set period, but not before 2018. Personal info about drivers submitted for licensing won't be online publicly, but license data can be shared between local areas. The law emphasizes that this is a state-level concern, not just local.

(a) Any local jurisdiction that requires a driver to obtain a business license to operate as a driver for a transportation network company may only require that driver to obtain a single business license, regardless of the number of local jurisdictions in which the driver operates.

(b) The driver shall obtain a business license in the local jurisdiction in which the driver is domiciled. If the local jurisdiction does not require a business license to operate as a driver for a transportation network company, the driver shall not be required to obtain a business license for any other jurisdiction.

(1) The driver is compliant with subdivision (b).

(2) The driver has not operated as a driver for more than 30 days in the preceding fiscal year.

(d) Each transportation network company shall notify its drivers of the obligations set forth in this chapter.

(e) Notwithstanding any other law, a business license issued to a driver by a local jurisdiction pursuant to this chapter shall be valid for the period of time determined by the local jurisdiction by law or regulation, except that the local jurisdiction shall not require a driver to obtain a business license that applies for a period before January 1, 2018, or that imposes any penalty or fee on a driver related to the driver’s failure to obtain a business license for providing transportation network services for a period before January 1, 2018.

(f) Personally identifiable information submitted to a local jurisdiction pursuant to this chapter shall not be disclosed on a publicly accessible Internet Web site.

(g) This chapter does not preclude the sharing of business license data among local jurisdictions.

(h) The Legislature finds and declares that allowing the free operation of drivers for transportation network companies across local jurisdictions is a matter of statewide concern and is not a municipal affair as that term is used in subdivision (a) of Section 5 of Article XI of the California Constitution.

transportation network company business license local jurisdiction ...