HF 2882

as introduced - 93rd Legislature (2023 - 2024) Posted on 03/15/2023 09:09am

A bill for an act
relating to transportation; governing transportation network companies, including
to impose an assessment and establishing reporting requirements; establishing an
account; appropriating money; amending Minnesota Statutes 2022, sections
221.012, subdivisions 25, 38; 221.031, subdivision 3b; proposing coding for new
law in Minnesota Statutes, chapter 221.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2022, section 221.012, subdivision 25, is amended to read:

Subd. 25.

Motor carrier.

"Motor carrier" means a person engaged in the for-hire
transportation of property or passengers. "Motor carrier" does not include a person providing
transportation described in section 221.025, a building mover subject to section 221.81, deleted text begin or deleted text end
a person providing limousine service as defined in section 221.84 new text begin , or a person performing
or providing for transportation service under section 221.845 new text end .

Sec. 2.

Minnesota Statutes 2022, section 221.012, subdivision 38, is amended to read:

Subd. 38.

Small vehicle passenger service.

(a) "Small vehicle passenger service" means
a service provided by a person engaged in the for-hire transportation of passengers in a
vehicle designed to transport seven or fewer persons, including the driver.

(b) In the metropolitan area as defined in section 473.121, subdivision 2, "small vehicle
passenger service" also includes for-hire transportation of persons who are certified by the
Metropolitan Council to use special transportation service provided under section 473.386,
in a vehicle designed to transport not more than 15 persons including the driver, that is
equipped with a wheelchair lift and at least three wheelchair securement positions.

(c) Small vehicle passenger service does not include a motor carrier of railroad employees new text begin ,
or service provided by a transportation network company, as defined in section 65B.472,
subdivision 1 new text end .

Sec. 3.

Minnesota Statutes 2022, section 221.031, subdivision 3b, is amended to read:

Subd. 3b.

Passenger transportation; exemptions.

(a) A person who transports
passengers for hire in intrastate commerce, who is not made subject to the rules adopted in
section 221.0314 by any other provision of this section, must comply with the rules for
hours of service of drivers while transporting employees of an employer who is directly or
indirectly paying the cost of the transportation.

(b) This subdivision does not apply to:

(1) a local transit commission;

(2) a transit authority created by law; or

(3) persons providing transportation:

(i) in a school bus as defined in section 169.011, subdivision 71;

(ii) in a Head Start bus as defined in section 169.011, subdivision 34;

(iii) in a commuter van;

(iv) in an authorized emergency vehicle as defined in section 169.011, subdivision 3;

(v) in special transportation service certified by the commissioner under section 174.30;

(vi) that is special transportation service as defined in section 174.29, subdivision 1,
when provided by a volunteer driver, as defined in section 65B.472, subdivision 1, paragraph
(h), operating a private passenger vehicle as defined in section 169.011, subdivision 52;

(vii) in a limousine the service of which is licensed by the commissioner under section
221.84; deleted text begin or
deleted text end

(viii) in a taxicab, if the fare for the transportation is determined by a meter inside the
taxicab that measures the distance traveled and displays the fare accumulated new text begin ; or
new text end

new text begin (ix) in a TNC vehicle as provided under section 221.845 new text end .

Sec. 4.

new text begin [221.845] TRANSPORTATION NETWORK COMPANIES; ASSESSMENT.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b) "Digital network" has the meaning given in section 65B.472, subdivision 1.
new text end

new text begin (c) "Prearranged ride" has the meaning given in section 65B.472, subdivision 1.
new text end

new text begin (d) "Shared ride" means a prearranged ride in which, prior to the commencement of the
ride, a passenger requests through the digital network to share the ride with one or more
passengers and each passenger is charged a fare that is based on sharing the ride, regardless
of whether the passenger actually shares any part of the ride.
new text end

new text begin (e) "Transportation network company" or "TNC" has the meaning given in section
65B.472, subdivision 1.
new text end

new text begin (f) "Transportation network company driver" or "driver" has the meaning given in section
65B.472, subdivision 1. Transportation network company drivers are not common carriers.
new text end

new text begin (g) "Transportation network company rider" or "rider" has the meaning given in section
65B.472, subdivision 1.
new text end

new text begin (h) "Transportation network company vehicle" or "TNC vehicle" has the meaning given
to "personal vehicle" in section 65B.472, subdivision 1.
new text end

new text begin (i) "Vehicle miles traveled" means miles driven by a transportation network company
driver who is logged onto a digital network and is engaged in a prearranged ride.
new text end

new text begin (j) "Zero-emission vehicle" means a motor vehicle that does not emit exhaust gas or
produce emissions from the onboard source of vehicle power.
new text end

new text begin Subd. 2. new text end

new text begin Transportation network company account; appropriation. new text end

new text begin (a) A
transportation network company account is established in the special revenue fund. The
account consists of the amount deposited under subdivision 5 and funds donated, allotted,
transferred, or otherwise provided to the account.
new text end

new text begin (b) Funds in the account are annually appropriated to the commissioner for the
administrative costs to implement this section.
new text end

new text begin Subd. 3. new text end

new text begin Assessment. new text end

new text begin (a) An assessment is imposed for each prearranged ride at a rate
of:
new text end

new text begin (1) 1.5 percent of the total of the fares, for a shared ride;
new text end

new text begin (2) 1.5 percent of the fare, for a ride in a zero-emission vehicle; or
new text end

new text begin (3) two percent of the fare, for a ride other than as provided in clauses (1) and (2).
new text end

new text begin (b) A transportation network company may charge a rider for the cost or proportional
share of the assessment.
new text end

new text begin (c) The assessment must be rounded down to the nearest $0.01.
new text end

new text begin Subd. 4. new text end

new text begin TNC reporting and remittance. new text end

new text begin (a) By the 21st of each month, a transportation
network company must report the following information to the commissioner:
new text end

new text begin (1) the total number of rides during the previous month, with a breakout on rides that
originated and rides that terminated in each city or town;
new text end

new text begin (2) the total vehicle miles traveled during the previous month, with breakouts on:
new text end

new text begin (i) miles traveled within each city or town; and
new text end

new text begin (ii) the time of day for each vehicle mile traveled; and
new text end

new text begin (3) the total amounts due for the previous month from the assessment under subdivision
3.
new text end

new text begin (b) By the 21st of each month, a transportation network company must remit to the
commissioner the amount due from assessments under this section.
new text end

new text begin (c) A transportation network company must provide the information and remittance
under this subdivision in the manner specified by the commissioner.
new text end

new text begin Subd. 5. new text end

new text begin Distribution of funds. new text end

new text begin The commissioner must deposit the revenue received
under this section as follows:
new text end

new text begin (1) an amount in the transportation network company account that does not exceed the
total annual cost of implementing this section in the fiscal year, including collection,
administration, and enforcement; and
new text end

new text begin (2) of the remainder:
new text end

new text begin (i) 60 percent in the highway user tax distribution fund;
new text end

new text begin (ii) 36 percent in the metropolitan area transit account under section 16A.88; and
new text end

new text begin (iii) four percent in the greater Minnesota transit account under section 16A.88.
new text end

new text begin Subd. 6. new text end

new text begin Information. new text end

new text begin The commissioner must maintain on a department website
information on: (1) transportation network company operations, including annual totals for
rides originating and terminating in each city or town and vehicle miles traveled; and (2)
prearranged ride assessments, including total annual deposits as provided under subdivision
5.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2023, except that subdivision 3
is effective January 1, 2024, and subdivision 4 is effective February 1, 2024.
new text end