AUSTIN, Texas (April 19, 2017) – The R Street Institute welcomes today’s vote by the Texas House of Representatives to approve H.B. 100, legislation to create uniform rules across the state governing the ridesharing industry.
Sponsored by state Rep. Chris Paddie, R-Marshall, the bill represents a commonsense approach to safety regulation that applies equitable protections for consumers and businesses alike. It also would serve to pre-empt certain destructive local rules that have driven transportation network companies like Uber and Lyft from some of Texas’ largest cities.
“Before Rep. Paddie’s bill, local ridesharing policy sometimes had disastrous results, as was the case in Austin,” said Josiah Neeley, R Street’s Southwest region director. “The current piecemeal system forced TNCs to enact costly, unnecessary fingerprinting background checks in Austin, but not, say, in Dallas. Texas now joins 40 others states in adopting reasonable and universal regulations.”
H.B. 100 requires TNCs to submit drivers to name-based local, state and national criminal background checks and reviews of applicants’ driving records. Airports would maintain latitude to create rules for TNC pickups and drop-offs.
R Street is a nonprofit, nonpartisan public policy research organization whose mission is to promote free markets and limited, effective government. It has headquarters in Washington, D.C. and five regional offices across the country. Its website is www.rstreet.org.