2017 -- H 5644

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LC001569

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2017

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A N   A C T

RELATING TO PUBLIC UTILITIES AND CARRIERS

     

     Introduced By: Representatives Jacquard, Ruggiero, and Vella-Wilkinson

     Date Introduced: March 01, 2017

     Referred To: House Corporations

     (Attorney General)

It is enacted by the General Assembly as follows:

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     SECTION 1. Title 39 of the General Laws entitled "PUBLIC UTILITIES AND

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CARRIERS" is hereby amended by adding thereto the following chapter:

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CHAPTER 14.3

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NATIONAL CRIMINAL RECORDS CHECK – HACKNEY OPERATORS LICENSE

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     39-14.3-1. Definitions.

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     As used in this chapter:

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     (1) "Applicant" means an individual who seeks a hackney operator's license for the first

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time or a renewal of one previously issued by the division.

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     (2) "Conviction" means, in addition to judgments of conviction entered by a court

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subsequent to a finding of guilty or a plea of guilty, those instances where the defendant has

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entered a plea of nolo contendere and has received a sentence of probation and those instances

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where a defendant has entered into a deferred sentence agreement with the attorney general.

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     (3) "Disqualifying information" means information produced by a national criminal

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records check pertaining to conviction for the following crimes: murder; voluntary manslaughter;

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involuntary manslaughter; first-degree sexual assault; second-degree sexual assault; third-degree

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sexual assault; first degree child molestation sexual assault; second degree child molestation

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sexual assault; any offense under chapter 67 of title 11; assault on persons sixty (60) years of age

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or older, assault with intent to commit specified felonies (murder, robbery, rape, burglary, or the

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abominable and detestable crimes against nature); felony assault; patient abuse; neglect or

 

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mistreatment of patients; burglary; first-degree arson; robbery; felony drug offenses; felony

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obtaining money under false pretenses; felony embezzlement; abuse, neglect and/or exploitation

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of adults with severe impairments; exploitation of elders; felony larceny; felony banking law

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violations; duty to stop in accidents, resulting in injury; duty to stop in accidents, resulting in

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serious bodily injury; duty to stop in accidents, resulting in death; driving so as to endanger,

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resulting in death; driving so as to endanger, resulting in personal injury; driving so as to

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endanger, resulting in physical injury; driving under influence of liquor or drugs; refusal to

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submit to chemical test; driving under the influence of liquor or drugs, resulting in death; driving

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under the influence of liquor or drugs, resulting in serious bodily injury.

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     (4) "Division" means the division of public utilities and carriers.

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     (5) "Driver" means an individual seeking to become a transportation network operator,

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TNC operator or TNC driver as defined in §39-14.2-1.

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     (6) "Hackney operator's license" means a special license, commonly referred to as a "blue

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card" issued by the division, authorizing the holder thereof to transport passengers as

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contemplated in chapters 14 and 14.1 of title 39.

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     39-14.3-2. National criminal records check.

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     (a) Notwithstanding any other provisions of the general laws to the contrary, an applicant

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or a driver shall undergo a national criminal records check that shall include fingerprints

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submitted to the Federal Bureau of Investigation (FBI) by the bureau of criminal identification of

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the department of attorney general, the state police or a municipal law enforcement agency. The

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national criminal records check shall be processed prior to issuance of the hackney's operators'

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license to the applicant or the commencement of services by the driver.

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     (b) The bureau of criminal identification of the department of attorney general, the state

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police or a municipal law enforcement agency shall inform the applicant, in writing, of the nature

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of the disqualifying information; and, without disclosing the nature of the disqualifying

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information, shall notify the division, in writing, that disqualifying information has been

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discovered.

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     (c) An applicant against whom disqualifying information has been found may provide a

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copy of the national criminal records check to the division. The division shall make a judgment

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regarding the issuance of the hackney's operators' license.

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     (d) In those situations in which no disqualifying information has been found, the bureau

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of criminal identification of the department of attorney general, the state police or a municipal

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law enforcement agency shall inform the applicant and the division, in writing, of this fact.

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     (f) The division shall maintain on file evidence that national criminal records checks have

 

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been initiated on all applicants and drivers on or after January 1, 2018, and the results of those

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checks.

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     (g) The applicant and driver shall be responsible for the cost of conducting the national

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criminal records check through the bureau of criminal identification of the department of attorney

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general, the state police or a municipal law enforcement agency.

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     SECTION 2. Sections 39-14.2-5 and 39-14.2-7 of the General Laws in Chapter 39-14.2

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entitled "Transportation Network Company Services" are hereby amended to read as follows:

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     39-14.2-5. Permit required of transportation network company.

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     (a) No person shall operate a TNC in the state until that person shall have applied for and

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obtained a permit from the division; provided, that any transportation network company operating

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in the state before the effective date of this chapter [Nov. 3, 2016] may continue to operate in the

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state until the division creates a permit process as required pursuant to this section, and provides a

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reasonable period in which to apply and obtain a permit.

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     (b) No application for a permit may be granted or renewed unless the division determines

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that, at a minimum, each applicant for a permit has verified the following:

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     (1) That the applicant has a sufficient oversight process in place to ensure that every

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vehicle providing transportation network services through its digital network possesses adequate

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insurance coverage;

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     (2) That the applicant has submitted to the division information on the internal or third-

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party background check entity and its data collection process to ensure compliance with the

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requirements established in § 39-14.2-7(b) and (c). The required information and the process for

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submitting such information shall be established through regulations promulgated by the division;

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     (3) That the applicant has sufficient oversight processes in place to ensure that each TNC

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driver using the applicant's digital network:

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     (i) Has submitted to a background check conducted by the applicant that includes a

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review of local and national criminal records, sex offender records, and driving records associated

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with each driver; and

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     (ii) Submitted the application requirement of § 39-14.2-7(b)(1).; and

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     (iii) Has submitted to a national criminal records check pursuant to §39-14.3-2.

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     (c) The application fee and annual renewal fee shall be five thousand dollars ($5,000) for

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a TNC with fewer than 50 active TNC drivers; ten thousand dollars ($10,000) for a TNC with at

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least 50, but fewer than 200, active TNC drivers; and thirty thousand dollars ($30,000) for a TNC

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with at least 200 active TNC drivers at the time of application or permit renewal and only after

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the division satisfactorily determines that the applicant meets the requirements for a TNC set

 

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forth in this chapter, and as set forth in any rules or regulations promulgated in accordance with §

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39-14.2-3.

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     (d) All permits issued under this section shall be renewed before the close of business on

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December 31 of each calendar year. All revenue collected under this section shall be deposited

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into the transportation network services reserve account as provided in § 39-14.2-6.

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     (e) Permits issued under this chapter shall not be transferred without the consent of the

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division.

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     (f) The sale or other transfer of a controlling percentage of the capital stock or

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membership interests of a TNC, whether by merger, stock sale, or otherwise, or the sale or

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transfer of more than fifty percent (50%) of the value of the assets of a TNC, shall be deemed a

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change of control, not a transfer, and shall not be subject to the restrictions in subsection (d). The

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phrase "controlling percentage" means the ownership of, and the right to vote, stock or interests

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possessing more than fifty percent (50%) of the total, combined voting power of all classes of

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TNC's capital stock or interests issued, outstanding, and entitled to vote for the election of

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directors.

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     39-14.2-7. Transportation network company operators or TNC operators, TNC

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drivers.

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     (a) No individual shall provide TNC services or transport TNC riders in a personal

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vehicle until the individual shall have first submitted to required, periodic background checks

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conducted through the TNC in accordance with subsection (b).

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     (b) Prior to permitting an individual to accept trip requests through its digital network, a

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TNC shall:

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     (1) Require the individual to submit an application to the TNC. The application shall

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include the individual's name; address; age; driver's license number; photocopy or electronic copy

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of the driver's license; motor-vehicle registration for the personal vehicle that the individual

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intends to use to provide prearranged rides; automobile liability insurance; and other information

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as may be required by the TNC.

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     (2) Conduct, or have a third party accredited by the National Association of Professional

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Background Screeners conduct, a local and national criminal background check for each

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applicant that shall include:

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     (i) Multi-state/multi-jurisdictional criminal records locator or other similar commercial

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nationwide database with validation (primary source search); and

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     (ii) Dru Sjodin National Sex Offender Public Website; and

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     (3) Obtain and review, or have a third party obtain and review, a driving history research

 

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report for such driving applicant.

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     (4) Require an individual to submit to a national criminal records check pursuant to §39-

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14.3-2.

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     (c) The TNC shall certify that the required background checks verify that the applicant

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meets the following criteria:

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     (1) Has not had more than three (3) moving violations in the prior three-year (3) period,

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or one of the following major violations in the prior three-year (3) period:

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     (i) Attempting to evade the police;

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     (ii) Reckless driving or driving on a suspended; or

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     (iii) Revoked license;

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     (2) Has not, in the past seven (7) years, been convicted of or pleaded nolo contendere to

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any of the following:

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     (i) Driving under the influence of drugs or alcohol;

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     (ii) Felony fraud;

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     (iii) Sexual offenses;

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     (iv) Use of a motor vehicle to commit a felony;

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     (v) Felony crimes involving property damage and/or theft; or

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     (vi) Acts of violence or felony acts of terror;

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     (3) Is not a match in the Dru Sjodin National Sex Offender Public Website;

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     (4) Possesses a valid driver's license;

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     (5) Possesses proof of registration for the motor vehicle to be used to provide prearranged

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rides or TNC services;

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     (6) Possesses proof of automobile liability insurance, that satisfies the financial-

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responsibility requirement for a motor vehicle under § 31-47-2(13)(i)(A), for the motor vehicle(s)

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to be used to provide prearranged rides or TNC services; and

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     (7) Is at least nineteen (19) years of age.

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     (d) TNC operators may be affiliated with or may "partner" with more than one properly

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permitted transportation network company to provide TNC services.

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     SECTION 3. This act shall take effect on January 1, 2018.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO PUBLIC UTILITIES AND CARRIERS

***

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     This act would require a national criminal records check from applicants for licenses to

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become drivers for a transportation network company or a transportation network company driver

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or hackneys.

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     This act would take effect on January 1, 2018.

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LC001569

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