SENATE BILL REPORT

HB 2516

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As Reported by Senate Committee On:

Financial Institutions & Insurance, February 24, 2016

Title: An act relating to commuter ride-sharing arrangements.

Brief Description: Providing that commercial transportation services providers are not commuter ride-sharing arrangements.

Sponsors: Representatives Kirby, Vick, Griffey and Ormsby.

Brief History: Passed House: 2/10/16, 96-1.

Committee Activity: Financial Institutions & Insurance: 2/24/16, 2/24/16 [DP].

SENATE COMMITTEE ON FINANCIAL INSTITUTIONS & INSURANCE

Majority Report: Do pass.

Signed by Senators Benton, Chair; Angel, Vice Chair; Mullet, Ranking Minority Member; Fain, Hobbs, Litzow, Nelson, Pedersen and Roach.

Staff: Shani Bauer (786-7468)

Background: Legislation enacted in the 2015 session addressed the insurance requirements of commercial transportation services providers, such as Uber. That legislation defined a "commercial transportation services provider" as an entity operating in Washington that uses a digital network or software application to connect passengers to drivers for the purpose of providing a prearranged ride. The definition specifically excludes certain transportation services, including:

Commuter ride sharing is defined in statute generally as a car pool or van pool arrangement where a group of not more than fifteen persons, including the driver, are transported in a passenger motor vehicle between their homes and places of employment. Ride-sharing vehicles are not deemed for hire vehicles and do not fall within the statutory requirements for those vehicles whether or not the ride-sharing operator receives compensation.

Summary of Bill: A commuter ride-sharing or flexible commuter ride-sharing arrangement is excluded from the definition of a commercial transportation services provider.

Appropriation: None.

Fiscal Note: Not requested.

Committee/Commission/Task Force Created: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Staff Summary of Public Testimony: PRO: Enterprise Holdings operates a ride-share program where the driver is not compensated in any way for driving the vehicle. This bill simply clarifies that these commuter ride-sharing arrangements do not constitute commercial transportation services providers.

Persons Testifying: PRO: Jeff Gombosky, Enterprise Holdings.

Persons Signed In To Testify But Not Testifying: No one.