HB509 Alabama 2015 Session

Summary

Primary Sponsor

Jack Williams

Republican

Session

Regular Session 2015

Title

Transportation, operation of transportation network company, provided for, Alabama Public Service Commission to issue permits and promulgate rules, fares, insurance coverage and disclosure requirements, driver qualifications, background checks, state vehicle safety requirements, record keeping

Summary

HB509 would authorize and regulate transportation network companies (TNCs) in Alabama, with state rules on permits, insurance, driver qualifications, vehicle safety, and rider protections.

What This Bill Does

If passed, the bill would require the Alabama Public Service Commission to issue annual permits for TNCs (with a $5,000 fee) and adopt rules. It would set fare disclosure and require electronic receipts to riders, establish minimum auto insurance requirements for drivers and the TNC, and require driver background checks and annual vehicle safety inspections. It would classify TNC drivers as independent contractors under certain conditions, mandate recordkeeping, prohibit cash payments and street hails, and implement nondiscrimination and accessibility provisions, while preempting local taxes or licensing on TNCs.

Who It Affects

• TNC drivers and their personal vehicles would face background checks, driving history reviews, minimum age requirements, annual vehicle safety inspections, and insurance coverage rules; they would be treated as independent contractors under defined conditions and subject to recordkeeping requirements.
• TNC riders and the general public would benefit from fare disclosure, electronic receipts, protection against discrimination and the requirement for accessible services where possible, as well as a ban on cash payments and street hails.

Key Provisions

• Section 3: Establishes a permit requirement for operating a TNC and a $5,000 annual permit fee to the Alabama Public Service Commission, along with the commission issuing rules.
• Sections 8-9: Sets mandatory auto insurance for TNC drivers and/or TNCs with specified minimum coverage (idle/available vs. during a prearranged ride) and outlines insurer responsibilities and coordination among insurers.
• Sections 11-12: Requires pre-approval driver qualifications (background checks, driving history, age minimum, valid license) and annual safety inspections of the driver's personal vehicle used for rides.
• Sections 13-19: Prohibits street hails and cash payments, requires electronic payments, enforces nondiscrimination and accessibility obligations, preserves records for a defined period, and states local governments cannot impose taxes or licenses on TNCs or drivers; also confirms drivers can be independent contractors under the act.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Transportation