A06661 Summary:

BILL NOA06661
 
SAME ASNo Same As
 
SPONSORCahill
 
COSPNSRMorelle, Ryan, Fahy, McDonald, Lupardo, Pretlow, Hunter, Jean-Pierre, Jenne, Kearns, Lifton, Magnarelli, Solages, Stirpe, Thiele, Wallace, Peoples-Stokes, Rivera, Niou, Jaffee
 
MLTSPNSRD'Urso, Lopez, Steck
 
Add Art 44-B 1691 - 1700, amd 370, 600 & 601, V & T L; add 3435-b & 3455, amd 5102, 5106, 2305, & 3425, Ins L; amd 160-cc, 160-ff & 160-jj, Exec L; amd 181, Gen Muni L; amd 1101, 1131, 1132, 1133 & 1136, Tax L
 
Relates to the regulation of transportation network company services; establishes the New York State TNC Accessibility Task Force; and establishes the local transit assistance fund.
Go to top    

A06661 Actions:

BILL NOA06661
 
03/10/2017referred to insurance
Go to top

A06661 Committee Votes:

Go to top

A06661 Floor Votes:

There are no votes for this bill in this legislative session.
Go to top

A06661 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A6661
 
SPONSOR: Cahill (MS)
  TITLE OF BILL: An act to amend the vehicle and traffic law, the insurance law, the executive law, the tax law, the state finance law and the general municipal law, in relation to the regulation of transporta- tion network company services; to establish the New York State TNC Accessibility Task Force; and to establish the local transit assistance fund   PURPOSE: To authorize and regulate Transportation Network Companies to operate within the state of New York outside of New York City by establishing minimum insurance requirements, authorizing localities to regulate TNC vehicles, add TNC drivers to the New York Black Car Operators' Injury Compensation Fund, Inc. and apply sales tax.   SUMMARY OF PROVISIONS: Section 1 sets forth the legislative intent to enhance transportation options within New York State. Section 2 of the bill would add a new Article 44-B to the vehicle and traffic law to allow for Transportation Network Companies (TNC) to oper- ate in New York State outside of the City of New York. It establishes minimum insurance requirements, $75,000 for death and bodily injury per person, $150,000 for death and bodily injury per incident, and $25,000 for property as well as a $200,000 excess liability insurance policy while the driver is logged in and has not agreed to provide a ride. Once the driver has offered to provide a ride or has a passenger in the vehi- cle a $1.5 million liability insurance policy would provide coverage. This section also sets forth licensing requirements, provides standards for decals to be affixed to TNC vehicles, provides for criminal back- ground checks of TNC drivers, requires TNCs to adopt a policy of non- discrimination, and requires TNCs to implement and maintain a policy of providing accessibility to passengers with a disability and the accommo- dation of service animals. This section would also authorize the New York state department of motor vehicles to impose a civil penalty of up to $20,000 on TNCs which are engaging in repeated illegal acts. Section 3 of the bill would amend section 370 of the vehicle and traffic law to provide that TNC drivers regulated pursuant to Article 44-B of the vehicle and traffic law shall not be deemed to be engaging in the business of transporting passengers for hire if the individual does so solely as a TNC driver. Section 4 of the bill would amend section 600 of the vehicle and traffic law to require TNC drivers, at the time an incident involving property damage or personal injury occurred, to produce proof of insurance and disclose whether he or she was logged on to a digital network and avail- able to transport passengers or was engaging in a prearranged trip. Section 4-a of the bill of the bill would amend section 601 of the vehi- cle and traffic law to require TNC drivers, at the time an incident involving injury to an animal occurred, to produce proof of insurance and disclose whether he or she was logged on to a digital network and available to transport passengers or was engaging in a prearranged trip. Section 5 of the bill would add section 3435-b to the insurance law to prohibit private auto insurers to cancel or nod-renew auto insurance policies solely based on TNC activity. Section 6 of the bill would add sections 3455 and 3456 to the insurance law to authorize insurers to issue group insurance coverage to TNCs. Section 6-a of the bill would amend section 5102 of the insurance law to include any insurance company or self-insurer who provides the financial security required under Article 44-B of the vehicle and traffic law in the definition of insurer. Section 7 of the bill would amend section 5106 of the insurance law to provide that the first insurer to which notice of claim is filed shall be responsible for the payment of no fault benefits. Section 8 of the bill would amend section 2305 the insurance law to require insurance coverage of TNCs regulated pursuant to Article 44-B of the vehicle and traffic law to be subject to prior approval. Section 9 of the bill would amend section 3425 of the insurance law to provide that the operation of a TNC vehicle shall not be included by auto insurers in determining whether such vehicle is being used for predominately non-business purposes. Section 10, 11 and 12 of the bill would amend section 160-cc, section 160-ff and 160-jj of the executive law to add TNC drivers to the New York Black Car Operators' Injury Compensation Fund, Inc. Section 13 of the bill would amend section 181 of the general municipal law to authorize localities to regulate TNC vehicles and drivers in the same manner as they are currently authorized to regulate taxicabs and liveries. Section 14, 14-a, 14-b, 14-c, and 14-d of the bill would amend section 1101, 1131, 1132, 1133, and 1136 of the tax law to impose a sales tax on TNCs provided transportation and also imposes sales tax collection obli- gations on TNCs. Section 15 of the bill would create a taskforce to analyze and advise on how to maximize effective and integrated transportation services throughout the entire state for persons with disabilities in the TNC market. Section 16 sets forth a severability clause. Section 17 sets forth the effective date.   JUSTIFICATION: On April 24, 2014, transportation network company (TNC) Lyft launched operations in this state in the cities of Buffalo and Rochester. Less than three months later the department of financial services (DFS) issued a letter, dated July 8, 2014, that ordered Lyft to-cease and desist operations in New York mainly on the grounds that Lyft was violating New York insurance and financial services laws. This bill seeks to address the concerns raised by DFS and to allow TNCs to operate in upstate New York by authorizing insurers to issue group insurance coverage to TNCs thereby allowing such companies to purchase and provide adequate insurance coverage for the vehicles enrolled in a company's network. This bill also establishes a regulatory framework, to ensure that consumers and TNC drivers are adequately protected when engaged in TNC activity. This bill also preserves the worldwide tradition, existing for over 150 years, of governing personal commercial transportation at the local level. Communities are best suited to determine levels of regulation for driver qualification, access for people with disabilities, local customs, taxation, if any, and many other factors that can vary from one community to another in our very diverse state.   LEGISLATIVE HISTORY: New Bill.   FISCAL IMPLICATIONS: To be determined.   EFFECTIVE DATE: Ninety days after enactment; provided that sections 14, 14-a, 14-b, 14-c, and 14-d of this act shall take effect on September 1, 2017.
Go to top

A06661 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          6661
 
                               2017-2018 Regular Sessions
 
                   IN ASSEMBLY
 
                                     March 10, 2017
                                       ___________
 
        Introduced  by M. of A. CAHILL, MORELLE, RYAN, FAHY, McDONALD, SANTABAR-
          BARA, LUPARDO, PRETLOW, HUNTER, JEAN-PIERRE,  JENNE,  KEARNS,  LIFTON,
          MAGNARELLI, SOLAGES, STIRPE, THIELE, WALLACE -- read once and referred
          to the Committee on Insurance
 
        AN  ACT  to  amend  the  vehicle and traffic law, the insurance law, the
          executive law, the tax law, the state  finance  law  and  the  general
          municipal law, in relation to the regulation of transportation network
          company  services;  to  establish the New York State TNC Accessibility
          Task Force; and to establish the local transit assistance fund
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1.  Legislative  intent. The purpose of this act is to expand
     2  access to important and enhanced transportation  options  for  residents
     3  and  visitors throughout the State, while ensuring the safety, reliabil-
     4  ity, and cost-effectiveness of those services within the  State  of  New
     5  York.
     6    §  2.  The  vehicle and traffic law is amended by adding a new article
     7  44-B to read as follows:
     8                                 ARTICLE 44-B
     9                   TRANSPORTATION NETWORK COMPANY SERVICES
    10  Section 1691. Definitions.
    11          1692. General provisions.
    12          1693. Financial responsibility of transportation network  compa-
    13                  nies.
    14          1694. Disclosures.
    15          1695. Insurance provisions.
    16          1696. Driver and vehicle requirements.
    17          1697. Maintenance of records.
    18          1698. Audit procedures; confidentiality of records; data access.
    19          1699. Criminal   history   background  check  of  transportation
    20                  network company drivers.
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD10657-01-7

        A. 6661                             2
 
     1          1700. Controlling authority.
     2    §  1691.  Definitions.  As  used  in  this article: 1. "Transportation
     3  network company vehicle" or "TNC vehicle" means a vehicle that is:
     4    (a) used by a transportation network company driver to provide  a  TNC
     5  prearranged trip originating in the state of New York; and
     6    (b)  owned,  leased or otherwise authorized for use by the transporta-
     7  tion network company driver.
     8    (c) such term shall not include:
     9    (i) a taxicab, as defined in section one hundred forty-eight-a of this
    10  chapter and section 19-502 of the administrative code of the city of New
    11  York, or as otherwise defined in local law;
    12    (ii) a livery vehicle, as defined in section one hundred  twenty-one-e
    13  of this chapter, or as otherwise defined in local law;
    14    (iii)  a  black  car,  limousine,  or  luxury limousine, as defined in
    15  section 19-502 of the administrative code of the city of New York, or as
    16  otherwise defined in local law;
    17    (iv) a for-hire vehicle, as defined in section 19-502 of the  adminis-
    18  trative  code  of the city of New York, or as otherwise defined in local
    19  law;
    20    (v) a bus, as defined in section one hundred four of this chapter;
    21    (vi) any motor vehicle weighing more than six  thousand  five  hundred
    22  pounds unloaded;
    23    (vii)  any  motor vehicle having a seating capacity of more than seven
    24  passengers; and
    25    (viii) any motor vehicle subject to section three hundred  seventy  of
    26  this chapter.
    27    2.  "Digital  network" means any system or service offered or utilized
    28  by a transportation network company that enables TNC  prearranged  trips
    29  with transportation network company drivers.
    30    3.  "Transportation  network  company" or "TNC" means a person, corpo-
    31  ration, partnership,  sole  proprietorship,  or  other  entity  that  is
    32  licensed  pursuant  to  this  article and is operating in New York state
    33  exclusively using a digital network to  connect  transportation  network
    34  company passengers to transportation network company drivers who provide
    35  TNC prearranged trips.
    36    4.  "Transportation  network  company driver" or "TNC driver" means an
    37  individual who receives  connections  to  potential  passengers  from  a
    38  transportation  network  company,  and  uses  a  TNC vehicle to offer or
    39  provide a TNC prearranged trip to transportation network company passen-
    40  gers upon connection through a digital network controlled by a transpor-
    41  tation network company in exchange for compensation or payment of a fee.
    42    5. "Transportation network company passenger" or "passenger"  means  a
    43  person  or  persons  who  use a transportation network company's digital
    44  network to connect with a  transportation  network  company  driver  who
    45  provides  TNC  prearranged  trips  to  the  passenger in the TNC vehicle
    46  between points chosen by the passenger.
    47    6. "TNC prearranged trip" means the provision of transportation  by  a
    48  transportation  network  company  driver to a passenger provided through
    49  the use of a TNC's digital network:
    50    (a) beginning when a transportation network company driver  accepts  a
    51  passenger's request for a trip through a digital network controlled by a
    52  transportation network company;
    53    (b)  continuing while the transportation network company driver trans-
    54  ports the requesting passenger in a TNC vehicle; and
    55    (c) ending when the last requesting passenger  departs  from  the  TNC
    56  vehicle.

        A. 6661                             3

     1    7. "Group policy" means an insurance policy issued pursuant to section
     2  three thousand four hundred fifty-five of the insurance law.
     3    §  1692.  General provisions.  1. Neither a TNC nor a TNC driver shall
     4  be deemed to be a common carrier,  as  defined  in  subdivision  six  of
     5  section  two of the transportation law, or a contract carrier of passen-
     6  gers by motor vehicle, as defined in subdivision nine of section two  of
     7  the  transportation  law,  or a motor carrier, as defined in subdivision
     8  seventeen of section two of the transportation law.  Neither a TNC nor a
     9  TNC driver shall be  deemed  to  provide  taxicab  or  for-hire  vehicle
    10  service and provided, further, no TNC driver shall be required to regis-
    11  ter  the TNC vehicle that such TNC driver uses for TNC prearranged trips
    12  as a commercial or for-hire vehicle pursuant to section four hundred one
    13  of this chapter.
    14    2. A TNC may not operate in the state of New York without first having
    15  obtained a license issued by the department in a  form  and  manner  and
    16  with  applicable  fees as provided for by regulations promulgated by the
    17  commissioner.  As a condition of obtaining a license,  a  TNC  shall  be
    18  required  to  submit  to  the  department proof of a group policy issued
    19  pursuant to section three thousand four hundred fifty-five of the insur-
    20  ance law, including excess insurance  coverage.  Failure  of  a  TNC  to
    21  obtain  a  license  before operation, pursuant to this subdivision shall
    22  constitute a misdemeanor.   No license shall  be  suspended  or  revoked
    23  except upon notice to the TNC and after an opportunity to be heard.
    24    3. A TNC must maintain an agent for service of process in the state of
    25  New York.
    26    4. On behalf of a TNC driver, a TNC may charge a fare for the services
    27  provided  to  passengers;  provided  that, if a fare is collected from a
    28  passenger, the TNC shall disclose to such passenger the  fare  and  fare
    29  calculation  method  on its website and within the digital network prior
    30  to charging such fare. The TNC shall  also  provide  passengers,  before
    31  such  passengers  enter  a  TNC vehicle, with the applicable rates being
    32  charged and an estimated fare for such TNC prearranged trip through  the
    33  TNC's digital network.
    34    5.  A  TNC's digital network shall display a picture of the TNC driver
    35  providing the TNC prearranged trip, and shall disclose the make,  model,
    36  color and license plate number of the TNC vehicle utilized for providing
    37  the  TNC  prearranged trip to the passenger before such passenger enters
    38  such TNC vehicle.
    39    6. Within a reasonable period of time following the  completion  of  a
    40  trip,  a  TNC  shall  transmit an electronic receipt to the passenger on
    41  behalf of the TNC driver that lists:
    42    (a) The origin and destination of the trip;
    43    (b) The total time and distance of the trip;
    44    (c) An itemization of the total fare paid, if any; and
    45    (d) The TNC operating license number.
    46    7. A TNC driver shall not solicit or accept street hails.
    47    8. A TNC shall adopt a policy prohibiting solicitation  or  acceptance
    48  of cash payments for the fares charged to passengers for TNC prearranged
    49  trips  and  notify  TNC  drivers of such policy.   TNC drivers shall not
    50  solicit or accept cash payments from passengers.
    51    9. A TNC shall not include a mandatory arbitration clause  as  defined
    52  in  section  three  hundred ninety-nine-c of the general business law in
    53  any contract to which a passenger or TNC driver  is  a  party  and  such
    54  clause  shall  be  proscribed  pursuant to section three hundred ninety-
    55  nine-c of the general business law. For the purposes  of  this  subdivi-
    56  sion,  any  contract to which a TNC driver or passenger is a party shall

        A. 6661                             4
 
     1  be considered a written contract for the sale or  purchase  of  consumer
     2  goods.
     3    10.  A  TNC  shall use all available technology to prevent TNC drivers
     4  from accepting prearranged trips from potential passengers located with-
     5  in a city with a population of one million or more.
     6    11. In the event that a TNC driver maintains insurance satisfying  the
     7  coverage  requirements  pursuant to section sixteen hundred ninety-three
     8  of this article, a TNC shall not collect funds from such TNC driver  for
     9  the payment of TNC group policy premiums.
    10    12.  Whenever a TNC shall engage in repeated illegal acts or otherwise
    11  demonstrate persistent illegality in violation of  any  local  laws  and
    12  ordinances  adopted  pursuant  to  section one hundred eighty-one of the
    13  general municipal law, the department may impose a civil penalty, not to
    14  exceed twenty thousand dollars, against a licensed TNC. No penalty shall
    15  be levied without providing the TNC notice  and  an  opportunity  to  be
    16  heard.
    17    13.  Whenever a TNC shall engage in repeated illegal acts or otherwise
    18  demonstrate persistent illegality in  the  carrying  on,  conducting  or
    19  transaction  of  business,  an  application  may be made by the attorney
    20  general, in the name of the people of the state of New York, to a  court
    21  or  justice  having jurisdiction to issue an injunction, and upon notice
    22  to the TNC of not less than five days, to enjoin or restrain the contin-
    23  uance of such business activity or illegal acts.  If it shall appear  to
    24  the  satisfaction  of  the  court or justice that the TNC has engaged in
    25  such persistent illegality, an injunction may be issued by the court  or
    26  justice,  enjoining  and restraining any further illegal activity by the
    27  TNC, without requiring proof that any person has, in fact  been  injured
    28  or  damaged  thereby. In any proceeding the court may make allowances to
    29  the attorney general as provided in paragraph six of subdivision (a)  of
    30  section  eighty-three hundred three of the civil practice law and rules,
    31  and direct restitution.
    32    14. Nothing in this article shall apply to cities with a population of
    33  one million or more.
    34    § 1693.  Financial responsibility of transportation network companies.
    35  1. A TNC driver, or TNC on the TNC driver's behalf through a group poli-
    36  cy, shall maintain insurance that recognizes that the driver  is  a  TNC
    37  driver and provides financial responsibility coverage:
    38    (a)  while the TNC driver is logged onto the TNC's digital network and
    39  is available to receive transportation requests but is not engaged in  a
    40  TNC prearranged trip; and
    41    (b) while the TNC driver is engaged in a TNC prearranged trip.
    42    2.  (a)  The  following  automobile financial responsibility insurance
    43  requirements shall apply at all times while a TNC driver is logged  onto
    44  the  TNC's  digital  network  and is available to receive transportation
    45  requests but is not engaged in a TNC prearranged trip: insurance against
    46  loss from the liability imposed by law for  damages,  including  damages
    47  for  care  and loss of services, because of bodily injury to or death of
    48  any person, and injury to or destruction of property arising out of  the
    49  ownership,  maintenance, use or operation of a personal vehicle or vehi-
    50  cles within this state, exclusive of interest and costs, with respect to
    51  each such occurrence, of at least seventy-five thousand dollars  because
    52  of  bodily  injury  to  or  death of one person in any one accident and,
    53  subject to said limit for one person, to a limit of at least one hundred
    54  fifty thousand dollars because of bodily injury to or death  of  two  or
    55  more persons in any one accident, and to a limit of at least twenty-five
    56  thousand  dollars  because  of  injury  to or destruction of property of

        A. 6661                             5
 
     1  others in any one accident provided, however, that such policy need  not
     2  be for a period coterminous with the registration period of the personal
     3  vehicle insured, and coverage in satisfaction of the financial responsi-
     4  bility  requirements  set  forth  in section three thousand four hundred
     5  twenty of the insurance law, article fifty-one of the insurance law, and
     6  such other requirements or regulations that may apply for  the  purposes
     7  of  satisfying the financial responsibility requirements with respect to
     8  the use or operation of a motor vehicle.
     9    (b) The coverage requirements of paragraph (a) of this subdivision may
    10  be satisfied by any of the following:
    11    (i) insurance maintained by the TNC driver; or
    12    (ii) insurance provided through a group policy maintained by the  TNC;
    13  or
    14    (iii) a combination of subparagraphs (i) and (ii) of this paragraph.
    15    (c)  A TNC shall also maintain insurance coverage that provides excess
    16  coverage insuring the TNC and the TNC driver in the amount of  at  least
    17  two hundred thousand dollars per occurrence to cover any liability aris-
    18  ing  from a TNC driver's use of a TNC vehicle in connection with a TNC's
    19  digital network within the period specified in this  subdivision,  which
    20  liability  exceeds the required coverage limits in paragraph (a) of this
    21  subdivision.
    22    3. (a) The following  automobile  financial  responsibility  insurance
    23  requirements shall apply at all times while a TNC driver is engaged in a
    24  TNC  prearranged trip: insurance against loss from the liability imposed
    25  by law for damages, including damages for care  and  loss  of  services,
    26  because  of  bodily  injury  to or death of any person, and injury to or
    27  destruction of property arising out of the ownership, maintenance,  use,
    28  or  operation  of  a  personal  vehicle  or  vehicles within this state,
    29  subject to a limit, exclusive of interest and  costs,  with  respect  to
    30  each  such  occurrence,  of  at  least one million five hundred thousand
    31  dollars because of bodily injuries, death and property damage, provided,
    32  however, that such policy need not be for a period coterminous with  the
    33  registration  period  of  the  personal vehicle insured, and coverage in
    34  satisfaction of the financial responsibility requirements set  forth  in
    35  section three thousand four hundred twenty of the insurance law, article
    36  fifty-one  of  the  insurance  law, and such other requirements or regu-
    37  lations that may apply for the  purposes  of  satisfying  the  financial
    38  responsibility  requirements  with  respect to the use or operation of a
    39  motor vehicle.
    40    (b) The coverage requirements of paragraph (a) of this subdivision may
    41  be satisfied by any of the following:
    42    (i) insurance maintained by the TNC driver; or
    43    (ii) insurance provided through a group policy maintained by the  TNC;
    44  or
    45    (iii) a combination of subparagraphs (i) and (ii) of this paragraph.
    46    4.  A TNC shall, upon entering into a contractual agreement with a TNC
    47  driver, provide notice to the TNC driver that he or she may  need  addi-
    48  tional insurance coverage including motor vehicle physical damage cover-
    49  age  as described in paragraph nineteen of subsection (a) of section one
    50  thousand one hundred thirteen of the insurance law if  the  TNC  vehicle
    51  being  used by the TNC driver is subject to a lease or loan. A TNC shall
    52  also prominently post this notice on its website.
    53    5. If insurance maintained by a TNC driver  pursuant  to  subdivisions
    54  two  and  three  of  this  section  has  lapsed  or does not provide the
    55  required coverage, then the group  policy  maintained  by  a  TNC  shall

        A. 6661                             6
 
     1  provide  the  coverage required by this section beginning with the first
     2  dollar of a claim and have the duty to defend such claim.
     3    6.  Coverage  under  a group policy maintained by the TNC shall not be
     4  dependent on the denial of a claim by the insurer that issued the insur-
     5  ance policy used to register the TNC vehicle, nor shall that insurer  be
     6  required to first deny a claim.
     7    7.  (a)  Except  as  provided  in paragraph (b) of this subdivision, a
     8  group policy maintained by a TNC pursuant to subparagraph (ii) of  para-
     9  graph  (b)  of subdivisions two or three of this section shall be placed
    10  with an insurer authorized to write insurance in this state.
    11    (b) If a TNC is unable to purchase a group policy pursuant to subpara-
    12  graph (ii) of paragraph (b) of subdivisions two or three of this section
    13  because such insurance is unavailable from authorized insurers  the  TNC
    14  may  acquire such group insurance with an excess line broker pursuant to
    15  section two thousand one hundred eighteen of the insurance law.
    16    (c) The obligation to determine whether the insurance required by this
    17  section is unavailable from insurers authorized to  write  insurance  in
    18  this state shall be made prior to the initial placement and each renewal
    19  of a policy.
    20    8.  A  TNC driver who, while operating a TNC vehicle was either logged
    21  on to the TNC's digital network and available to receive  transportation
    22  requests  but  not engaged in a TNC prearranged trip or was logged on to
    23  the TNC's digital network and was engaged in a TNC prearranged trip, has
    24  in effect the insurance required pursuant to this article, shall not  be
    25  deemed  to  be  in  violation of article six of this chapter during such
    26  time that he or she was either logged on to the  TNC's  digital  network
    27  and  available  to  receive transportation requests but not engaged in a
    28  TNC prearranged trip or was logged on to the TNC's digital  network  and
    29  was engaged in a TNC prearranged trip.
    30    9.  A TNC driver shall carry proof of coverage satisfying subdivisions
    31  two and three of this section with him or her at all times during his or
    32  her use or operation of a TNC vehicle in connection with a TNC's digital
    33  network. Such proof of coverage shall be in such form as the commission-
    34  er shall prescribe, which may be in the form of an insurance identifica-
    35  tion card as defined in section three hundred eleven  of  this  chapter.
    36  Any  insurance  identification card issued pursuant to the provisions of
    37  this article shall be in addition to the insurance  identification  card
    38  required  pursuant to article six of this chapter, and nothing contained
    39  in this article shall be deemed to supersede the  requirements  of  such
    40  article six. Whenever the production of an insurance identification card
    41  is  required  by law, a TNC driver shall (a) produce the insurance iden-
    42  tification card issued pursuant to article six of this chapter and,  (b)
    43  if  such driver either (i) was logged onto the TNC's digital network and
    44  available to receive transportation requests but not engaged  in  a  TNC
    45  prearranged  trip or (ii) was logged on to the TNC's digital network and
    46  was engaged in a TNC prearranged trip, such driver  shall  also  produce
    47  the insurance identification card required pursuant to this article.
    48    10.  The  superintendent  of financial services is authorized to issue
    49  such rules and regulations necessary to implement this section.
    50    11. Nothing in this  section  shall  impose  financial  responsibility
    51  requirements  upon any entities operating as vehicles for hire in a city
    52  with a population of one million or more.
    53    12.  A group policy placed by an excess line  broker  under  paragraph
    54  (b)  of  subdivision seven of this section shall not include a mandatory
    55  arbitration clause in a policy issued pursuant to this section.  Nothing
    56  in  this  section  supercedes  the  mandatory  arbitration  requirements

        A. 6661                             7
 
     1  contained in section five thousand one hundred  five  of  the  insurance
     2  law.
     3    §  1694.  Disclosures.  A TNC shall disclose in writing to TNC drivers
     4  the following before they are allowed to accept  a  request  for  a  TNC
     5  prearranged trip on the TNC's digital network:
     6    1.  The  insurance  coverage,  including the types of coverage and the
     7  limits for each coverage, that the TNC provides  while  the  TNC  driver
     8  uses a TNC vehicle in connection with a TNC's digital network;
     9    2.  That  the  TNC  driver's own automobile insurance policy might not
    10  provide any coverage while the TNC driver is  logged  on  to  the  TNC's
    11  digital  network  and is available to receive transportation requests or
    12  is engaged in a TNC prearranged trip, depending on its terms; and
    13    3. That, if a TNC vehicle has a lien against it,  then  the  continued
    14  use of such TNC vehicle by its TNC driver without physical damage cover-
    15  age may violate the terms of the contract with the lienholder.
    16    §  1695. Insurance provisions. 1.  In a claims coverage investigation,
    17  a TNC and any insurer potentially providing coverage under this  article
    18  shall,  within fifteen days after a claim has been filed, facilitate the
    19  exchange of relevant information with directly involved parties and  any
    20  insurer  of  the  TNC  driver if applicable, including the precise times
    21  that a TNC driver logged on and off of the TNC's digital network in  the
    22  twelve  hour  period immediately preceding and in the twelve hour period
    23  immediately following the accident and disclose to one another  a  clear
    24  description  of  the  coverage, exclusions and limits provided under any
    25  motor vehicle insurance maintained under this article.
    26    2. The commissioner shall  provide  any  and  all  relevant  insurance
    27  coverage information, including coverage required by this article to the
    28  following persons upon request:
    29    (a)  a  person  to whom an accident report pertains or who is named in
    30  such report, or his or her authorized representative; and
    31    (b) any other person or his or her authorized representative  who  has
    32  demonstrated to the satisfaction of the commissioner that such person is
    33  or may be a party to a civil action arising out of the conduct described
    34  in such accident report.
    35    § 1696. Driver and vehicle requirements. 1. (a) At all times, an indi-
    36  vidual acting as a TNC driver shall be permitted by the TNC as follows:
    37    (i) The individual shall submit an application to the TNC, which shall
    38  include information regarding his or her address, age, driver's license,
    39  motor  vehicle  registration,  automobile liability insurance, and other
    40  information required by the TNC;
    41    (ii) The TNC shall conduct a local and national,  criminal  background
    42  check  for  each  applicant  in  accordance with section sixteen hundred
    43  ninety-nine of this article and that shall review:
    44    (A) Whether the applicant is listed on the publicly available New York
    45  state  sex  offender  registry   pursuant   to   section   one   hundred
    46  sixty-eight-q of the correction law; and
    47    (B)  The  United  States  Department  of Justice National Sex Offender
    48  public website;
    49    (iii) The TNC shall obtain  and  review  a  driving  history  research
    50  report  for  such  individual  except as otherwise prohibited by federal
    51  law.
    52    (b) The TNC shall not permit an applicant where such applicant:
    53    (i) fails to meet  all  qualifications  pursuant  to  section  sixteen
    54  hundred ninety-nine of this article;
    55    (ii)  is  a  match in the United States Department of Justice National
    56  Sex Offender Public Website;

        A. 6661                             8

     1    (iii) does not possess a valid New York driver's license, unless  such
     2  applicant  does  possess a valid out of state driver's license and proof
     3  that such applicant is an active duty member of the  armed  services  of
     4  the  United  States  stationed in this state or is a family or household
     5  member of such an active duty member;
     6    (iv)  does  not possess proof of registration for the motor vehicle or
     7  vehicles used to provide TNC prearranged trips;
     8    (v) does not possess proof of automobile liability insurance  for  the
     9  motor vehicle or vehicles used to provide TNC prearranged trips as a TNC
    10  vehicle; or
    11    (vi) is not at least nineteen years of age.
    12    (c)  Upon  review  of all information received and retained by the TNC
    13  and upon verifying that the individual is not disqualified  pursuant  to
    14  this  section  from receiving a TNC driver permit, a TNC may issue a TNC
    15  driver permit to the applicant. The TNC  shall  review  all  information
    16  received  relating  to  such applicant and hold such information for six
    17  years along with  a  certification  that  such  applicant  qualifies  to
    18  receive a TNC driver permit.
    19    (d)  (i)  A  TNC  that  issues  a TNC driver's permit pursuant to this
    20  section shall participate in the New  York  License  Event  Notification
    21  Service  (LENS)  established  by  the department. The LENS shall provide
    22  timely notice to the TNC when any violations are added to a TNC driver's
    23  driving record including but not limited to:
    24    (A) unlawfully  fleeing  a  police  officer  in  a  motor  vehicle  in
    25  violation of sections 270.25, 270.30 or 270.35 of the penal law;
    26    (B)  reckless driving in violation of section twelve hundred twelve of
    27  this chapter;
    28    (C) operating while his or her license or privilege  is  suspended  or
    29  revoked  in  violation  of  section five hundred eleven of this chapter,
    30  excluding subdivision seven of such section;
    31    (D) operating a motor vehicle under the influence of alcohol or  drugs
    32  in violation of section eleven hundred ninety-two of this chapter; and
    33    (E) leaving the scene of an incident without reporting in violation of
    34  subdivision two of section six hundred of this chapter.
    35    (ii)  Upon  such  notice, a TNC may suspend or revoke any TNC driver's
    36  permit only after  considering  the  number  or  severity  of  any  such
    37  violations,  including  such  factors  as  required  by this article for
    38  obtaining a TNC permit, when necessary  to  protect  public  health  and
    39  safety.
    40    (e)  No  person shall operate a TNC vehicle or operate as a TNC driver
    41  unless such person holds a valid TNC driver permit  issued  pursuant  to
    42  this  section.  A violation of this paragraph shall be a traffic infrac-
    43  tion punishable by a fine of not less than seventy-five  nor  more  than
    44  three  hundred  dollars,  or  by  imprisonment for not more than fifteen
    45  days, or by both such fine and imprisonment.
    46    2. A TNC shall implement a zero-tolerance policy regarding a TNC driv-
    47  er's activities while accessing the TNC's digital network.  Such  policy
    48  shall  address  the  issue of operating a vehicle under the influence of
    49  alcohol or drugs while a TNC driver is providing TNC  prearranged  trips
    50  or  is  logged  onto  the TNC's digital network but is not providing TNC
    51  prearranged trips, and the TNC shall provide notice of  this  policy  on
    52  its digital network, as well as procedures to report a complaint about a
    53  TNC  driver  with whom a TNC prearranged trip was commenced and whom the
    54  passenger reasonably suspects was operating a vehicle under  the  influ-
    55  ence of alcohol or drugs during the course of the TNC prearranged trip.

        A. 6661                             9
 
     1    3. (a) A TNC driver shall not refuse, or deny service to passengers or
     2  potential  passengers on the basis of destination, race, color, national
     3  origin, creed, religious belief, practice or affiliation, sex, disabili-
     4  ty, age, sexual orientation,  gender  identity  or  expression,  genetic
     5  predisposition, marital status, familial status, military status, domes-
     6  tic  violence  victim  status,  or alienage or citizenship status of any
     7  person directly or indirectly.
     8    (b) A TNC shall adopt a policy of non-discrimination on the  basis  of
     9  destination,  race,  color,  national  origin,  creed, religious belief,
    10  practice or  affiliation,  sex,  disability,  age,  sexual  orientation,
    11  gender  identity  or expression, genetic predisposition, marital status,
    12  familial status, military status, domestic violence  victim  status,  or
    13  alienage  or citizenship status with respect to passengers and potential
    14  passengers and notify TNC drivers of such policy.
    15    (c) TNC drivers shall comply with all  applicable  federal  and  state
    16  laws  relating  to  accommodation  of  service animals including but not
    17  limited to section forty-seven of the civil rights law.
    18    (d) A TNC shall implement and maintain a policy and an oversight proc-
    19  ess to  ensure that TNC drivers using  the  TNC's  digital  network  are
    20  providing  accessibility  to  passengers  or potential passengers with a
    21  disability, including passengers requiring wheelchair  accessible  vehi-
    22  cles,  and  accommodation  of service animals as such term is defined in
    23  section one hundred twenty-three-b of the agriculture  and  markets  law
    24  and  shall  to  the extent practicable adopt findings established by the
    25  New York state TNC accessibility task force adopted pursuant to  section
    26  fifteen  of the chapter of the laws of two thousand seventeen that added
    27  this section.  A TNC shall not impose additional charges  for  providing
    28  services to persons with physical disabilities because of those disabil-
    29  ities.
    30    (e)  The New York state division of human rights shall accept, review,
    31  investigate and remedy any potential or actual violations of this subdi-
    32  vision in a form and manner consistent with its authority under  article
    33  fifteen of the executive law.
    34    4. A TNC shall require that any or all motor vehicles that a TNC driv-
    35  er  will  use  as  a  TNC vehicle to provide TNC prearranged trips meets
    36  applicable New York state vehicle safety and emissions requirements,  as
    37  set  forth  in section three hundred one of this chapter, or the vehicle
    38  safety and emissions requirements of the state in which the  vehicle  is
    39  registered.
    40    5.  (a)  A TNC shall issue, to TNC drivers, removable decals to desig-
    41  nate a vehicle as a TNC vehicle operating on such TNC's digital  network
    42  and decals to be firmly affixed to generally identify a vehicle as a TNC
    43  vehicle.  Such  decals  shall  be  in  such form as is prescribed by the
    44  commissioner by rule and regulation, and shall be sufficiently large and
    45  color contrasted as to be readable from the front and rear of the  vehi-
    46  cle  during  daylight  hours  at  a  distance of at least fifty feet and
    47  reflective, illuminated or otherwise patently visible in  the  darkness.
    48  The  removable decals shall be applied to both the front and back panels
    49  of a TNC vehicle at all times while the TNC driver is logged onto a  TNC
    50  digital  network  and the firmly affixed decals shall be applied to both
    51  the front and back panels of a TNC vehicle at all times.   A TNC  driver
    52  who provides TNC services using the digital network of more than one TNC
    53  shall display the respective decals for each TNC digital network the TNC
    54  driver  has logged onto. A TNC driver who ceases to provide services for
    55  a TNC shall return the decals within fourteen days of that cessation  to
    56  the respective TNC.

        A. 6661                            10
 
     1    (b)  A  TNC shall establish procedures to ensure that upon providing a
     2  permit to a TNC driver such driver shall receive and affix  to  the  TNC
     3  vehicle  the  firmly  affixed  generally  identifiable  TNC decal, or to
     4  ensure that a previously issued firmly  affixed  generally  identifiable
     5  TNC  decal has already been affixed to the TNC vehicle prior to allowing
     6  the TNC driver to log onto the digital  network  as  a  TNC  driver  and
     7  accept a prearranged trip. In the event the driver has already affixed a
     8  firmly affixed generally identifiable TNC decal such TNC shall not issue
     9  a subsequent firmly affixed generally identifiable TNC decal.
    10    §  1697.  Maintenance  of  records. A TNC shall maintain the following
    11  records:
    12    1. individual trip records for at least six years from the  date  each
    13  trip was provided; and
    14    2. individual records of TNC drivers at least until the six year anni-
    15  versary  of  the  date on which a TNC driver's relationship with the TNC
    16  has ended.
    17    § 1698. Audit procedures; confidentiality of records; data access.  1.
    18  For  the  sole purpose of verifying that a TNC is in compliance with the
    19  requirements of this article and no more than biannually, the department
    20  shall reserve the right to visually inspect a sample of records that the
    21  TNC is required to maintain, upon request by the department  that  shall
    22  be fulfilled in no less than thirty business days by the TNC. The sample
    23  shall be chosen randomly by the department in a manner agreeable to both
    24  parties. The audit shall take place at a mutually agreed location in New
    25  York.  Any  record  furnished  to the department may exclude information
    26  that would tend to identify specific drivers or passengers.
    27    2. A TNC shall, upon request, furnish  the  department  or  a  county,
    28  town,  city  or  village  with  records  including the dates, times, and
    29  locations of passenger pick-ups and drop-offs, the most  common  pick-up
    30  and  drop-off  locations, and the average number of TNC vehicles on duty
    31  at a given time.
    32    3. (a) The TNC shall establish and  prominently  display  a  complaint
    33  procedure,  including the timeframe for the resolution of complaints, on
    34  the main page of such TNC's  website  or  digital  network  that  allows
    35  passengers  to  file  complaints with the TNC through the TNC's website,
    36  digital network, mobile application, email address, or phone number.
    37    (b) The TNC's website shall also provide a passenger  complaint  tele-
    38  phone number and/or website address for the department.
    39    (c) In response to a specific complaint against any TNC driver or TNC,
    40  the department is authorized to inspect records held by the TNC that are
    41  necessary  to  investigate  and resolve the complaint.   The TNC and the
    42  department shall endeavor to have the inspection take place at a mutual-
    43  ly agreed location in New York. Any record furnished to  the  department
    44  may  exclude information that would tend to identify specific drivers or
    45  passengers, unless the identity of a driver or passenger is relevant  to
    46  the complaint.
    47    4.  The  department  shall  promulgate  regulations  for the filing of
    48  complaints pursuant to this section.
    49    5. The department shall accept complaints filed  by  counties,  towns,
    50  cities  and villages regarding any violations of this article, any regu-
    51  lations promulgated by the department, or any local laws  or  ordinances
    52  adopted  or  amended  pursuant  to section one hundred eighty-one of the
    53  general municipal  law.  The  department  shall  promulgate  regulations
    54  providing  for  the  filing of complaints by counties, towns, cities and
    55  villages, the investigation of such complaints, and the reporting of the

        A. 6661                            11
 
     1  department's findings to the county, town, city or village that filed  a
     2  complaint.
     3    §  1699.  Criminal  history background check of transportation network
     4  company drivers. 1. The TNC shall conduct a  criminal  background  check
     5  for each applicant.
     6    2.  Upon  the receipt of a criminal conviction record pursuant to this
     7  section, the TNC shall make a determination pursuant to article  twenty-
     8  three-A  of  the  correction law and subdivisions fifteen and sixteen of
     9  section two hundred ninety-six of the executive law as to whether or not
    10  the applicant may be issued a TNC driver's permit. Upon receipt of crim-
    11  inal conviction information, the TNC shall promptly provide  the  appli-
    12  cant  with  a copy of his or her criminal conviction information as well
    13  as a copy of article twenty-three-A of the correction law. The TNC shall
    14  inform such applicant of his or her right  to  seek  correction  of  any
    15  incorrect  information  contained  in  such criminal history information
    16  pursuant to the regulations and procedures established by  the  division
    17  of criminal justice services.
    18    3.  A TNC shall be responsible for all fees associated with the crimi-
    19  nal history check pursuant to subdivision one of this section. Such  fee
    20  shall not be passed on to the applicant.
    21    4.  Any  TNC  found  to have negligently, recklessly, or intentionally
    22  violated any requirements established pursuant to this section, shall on
    23  the first instance, be subject to a civil penalty of not more  than  ten
    24  thousand  dollars.  For any subsequent instance within the period of two
    25  years from any initial violation, such TNC shall be subject to  a  civil
    26  penalty  of  not  more than fifty thousand dollars, or the suspension or
    27  revocation of its TNC license or both.
    28    § 1700. Controlling authority. 1. Notwithstanding any other  provision
    29  of  law,  the regulation of TNCs and TNC drivers is governed exclusively
    30  by the provisions of the chapter of the laws of two  thousand  seventeen
    31  which  added this section and any rules promulgated by the state through
    32  its agencies consistent with such chapter and any local  laws  or  ordi-
    33  nances  adopted or amended pursuant to section one hundred eighty-one of
    34  the general municipal law.
    35    2. Nothing in this article shall authorize any TNC driver to pick-up a
    36  passenger for purposes of a TNC prearranged trip in a city with a  popu-
    37  lation of one million or more.
    38    3.  Nothing  in this article shall: (a) limit the ability of a county,
    39  town, city or village to adopt or amend generally applicable limitations
    40  or restrictions relating to local traffic or parking control as  author-
    41  ized  by state law; or (b) preempt any reciprocity agreements, including
    42  agreements entered into pursuant to section four hundred ninety-eight of
    43  this chapter, between a county, town, city or village  that  relates  to
    44  services  regulated  by  section  one  hundred eighty-one of the general
    45  municipal law.
    46    4. Nothing in this article shall limit  the  ability  of  a  municipal
    47  corporation,  public  benefit  corporation  or other entity that owns or
    48  operates an airport to establish and enforce the duties and responsibil-
    49  ities on airport property of a TNC or TNC driver, which may include, but
    50  not be limited to, the imposition and payment of reasonable fees, by (a)
    51  adopting or amending rules or regulations or (b) entering into contracts
    52  or other agreements  with  a  TNC.  Provided,  however,  that  any  such
    53  contracts,  agreements,  rules or regulations shall not impose any addi-
    54  tional license requirement on a TNC, TNC driver or TNC vehicle.
    55    § 3. Section 370 of the vehicle and traffic law is amended by adding a
    56  new subdivision 8 to read as follows:

        A. 6661                            12
 
     1    8. Notwithstanding any other provision of this article, an  individual
     2  shall  not be deemed to be engaged in the business of carrying or trans-
     3  porting passengers for hire if the individual does so solely as a trans-
     4  portation network company driver in accordance with article forty-four-B
     5  of this chapter.
     6    § 4. Section 600 of the vehicle and traffic law, as amended by chapter
     7  49 of the laws of 2005, is amended to read as follows:
     8    § 600. Leaving  scene  of  an  incident without reporting. 1. Property
     9  damage. a. Any person operating a motor vehicle who, knowing  or  having
    10  cause to know that damage has been caused to the real property or to the
    11  personal property, not including animals, of another, due to an incident
    12  involving  the motor vehicle operated by such person shall, before leav-
    13  ing the place where the  damage  occurred,  stop,  exhibit  his  or  her
    14  license  and  insurance  identification card for such vehicle, when such
    15  card is required pursuant to articles six and eight of this chapter, and
    16  give his or her name, residence, including street and number,  insurance
    17  carrier  and  insurance  identification  information  including  but not
    18  limited to the number and effective dates of said individual's insurance
    19  policy, and license number to the party sustaining  the  damage,  or  in
    20  case  the person sustaining the damage is not present at the place where
    21  the damage occurred then he or she shall report  the  same  as  soon  as
    22  physically  able to the nearest police station, or judicial officer.  In
    23  addition to the foregoing, any such person shall also: (i)  produce  the
    24  proof of insurance coverage required pursuant to article forty-four-B of
    25  this  chapter  if  such  person  is a TNC driver operating a TNC vehicle
    26  while the incident occurred who was either (A) logged on  to  the  TNC's
    27  digital network and available to receive transportation requests but not
    28  engaged  in  a  TNC  prearranged  trip or (B) was logged on to the TNC's
    29  digital network and was engaged in a  TNC  prearranged  trip;  and  (ii)
    30  disclose  whether  he  or  she,  at the time such incident occurred, was
    31  either (A) logged on to the  TNC's  digital  network  and  available  to
    32  receive  transportation  requests  but  not engaged in a TNC prearranged
    33  trip or (B) was logged on to the TNC's digital network and  was  engaged
    34  in a TNC prearranged trip.
    35    b.  It shall be the duty of any member of a law enforcement agency who
    36  is at the scene of the accident to request the said operator  or  opera-
    37  tors  of  the  motor  vehicles,  when physically capable of doing so, to
    38  exchange the information required hereinabove and such member of  a  law
    39  enforcement  agency  shall  assist  such operator or operators in making
    40  such exchange of information in a reasonable and harmonious manner.
    41    A violation of the provisions of paragraph a of this subdivision shall
    42  constitute a traffic infraction punishable  by  a  fine  of  up  to  two
    43  hundred  fifty  dollars  or a sentence of imprisonment for up to fifteen
    44  days or both such fine and imprisonment.
    45    2. Personal injury.   a. Any person operating  a  motor  vehicle  who,
    46  knowing  or having cause to know that personal injury has been caused to
    47  another person, due to an incident involving the motor vehicle  operated
    48  by  such  person shall, before leaving the place where the said personal
    49  injury occurred, stop, exhibit his or her license  and  insurance  iden-
    50  tification card for such vehicle, when such card is required pursuant to
    51  articles  six and eight of this chapter, and give his or her name, resi-
    52  dence, including street and street number, insurance carrier and  insur-
    53  ance  identification information including but not limited to the number
    54  and effective dates of said individual's insurance  policy  and  license
    55  number,  to  the injured party, if practical, and also to a police offi-
    56  cer, or in the event that no police officer is in the  vicinity  of  the

        A. 6661                            13
 
     1  place of said injury, then, he or she shall report said incident as soon
     2  as  physically  able  to the nearest police station or judicial officer.
     3  In addition to the foregoing, any such person shall  also:  (i)  produce
     4  the   proof   of   insurance   coverage  required  pursuant  to  article
     5  forty-four-B of this chapter if such person is a TNC driver operating  a
     6  TNC  vehicle at the time of the incident who was either (A) logged on to
     7  the TNC's  digital  network  and  available  to  receive  transportation
     8  requests  but not engaged in a TNC prearranged trip or (B) was logged on
     9  to the TNC's digital network and was engaged in a TNC  prearranged  trip
    10  and (ii) disclose whether he or she, at the time such incident occurred,
    11  was  either  (A) logged on to the TNC's digital network and available to
    12  receive transportation requests but not engaged  in  a  TNC  prearranged
    13  trip  or  (B) was logged on to the TNC's digital network and was engaged
    14  in a TNC prearranged trip.
    15    b. It shall be the duty of any member of a law enforcement agency  who
    16  is  at  the scene of the accident to request the said operator or opera-
    17  tors of the motor vehicles, when physically  capable  of  doing  so,  to
    18  exchange  the  information required hereinabove and such member of a law
    19  enforcement agency shall assist such operator  or  operators  in  making
    20  such exchange of information in a reasonable and harmonious manner.
    21    c.  A  violation  of the provisions of paragraph a of this subdivision
    22  resulting solely from the failure of an operator to exhibit his  or  her
    23  license  and  insurance  identification card for the vehicle or exchange
    24  the information required in such paragraph shall constitute  a  class  B
    25  misdemeanor  punishable by a fine of not less than two hundred fifty nor
    26  more than five hundred  dollars  in  addition  to  any  other  penalties
    27  provided  by law. Any subsequent such violation shall constitute a class
    28  A misdemeanor punishable by a fine of not less  than  five  hundred  nor
    29  more  than  one  thousand  dollars  in  addition  to any other penalties
    30  provided by law. Any violation of the provisions of paragraph a of  this
    31  subdivision,  other  than for the mere failure of an operator to exhibit
    32  his or her license and insurance identification card for such vehicle or
    33  exchange the information required in such paragraph, shall constitute  a
    34  class  A misdemeanor, punishable by a fine of not less than five hundred
    35  dollars nor more than one thousand dollars  in  addition  to  any  other
    36  penalties  provided  by  law.  Any  such violation committed by a person
    37  after such person has previously been  convicted  of  such  a  violation
    38  shall constitute a class E felony, punishable by a fine of not less than
    39  one thousand nor more than two thousand five hundred dollars in addition
    40  to  any other penalties provided by law. Any violation of the provisions
    41  of paragraph a of this subdivision, other than for the mere  failure  of
    42  an  operator  to exhibit his or her license and insurance identification
    43  card for such vehicle or exchange the information required in such para-
    44  graph, where the personal injury involved (i) results in  serious  phys-
    45  ical injury, as defined in section 10.00 of the penal law, shall consti-
    46  tute  a  class  E  felony,  punishable  by  a  fine of not less than one
    47  thousand nor more than five thousand dollars in addition  to  any  other
    48  penalties  provided  by law, or (ii) results in death shall constitute a
    49  class D felony punishable by a fine of not less than  two  thousand  nor
    50  more  than  five  thousand  dollars  in  addition to any other penalties
    51  provided by law.
    52    3. For the purposes of this article, the terms  "TNC",  "TNC  driver",
    53  "TNC  vehicle",  "TNC prearranged trip" and "digital network" shall have
    54  the same meanings as such terms are defined in article  forty-four-B  of
    55  this chapter.

        A. 6661                            14
 
     1    § 4-a. Section 601 of the vehicle and traffic law, as amended by chap-
     2  ter 672 of the laws of 2004, is amended to read as follows:
     3    §  601.  Leaving scene of injury to certain animals without reporting.
     4  Any person operating a motor vehicle which shall strike and  injure  any
     5  horse,  dog,  cat or animal classified as cattle shall stop and endeavor
     6  to locate the owner or custodian of such animal or a  police,  peace  or
     7  judicial  officer  of  the  vicinity,  and take any other reasonable and
     8  appropriate action so that the animal may have necessary attention,  and
     9  shall  also promptly report the matter to such owner, custodian or offi-
    10  cer (or if no one of such has been located, then to a police officer  of
    11  some  other  nearby community), exhibiting his or her license and insur-
    12  ance identification card for such vehicle, when such  card  is  required
    13  pursuant  to  articles  six and eight of this chapter, giving his or her
    14  name and residence, including street and street number, insurance carri-
    15  er and insurance identification information and license number. In addi-
    16  tion to the foregoing, any such person shall also: (i) produce the proof
    17  of insurance coverage required pursuant to article forty-four-B of  this
    18  chapter  if  such  person is a TNC driver operating a TNC vehicle at the
    19  time of the incident who was either (A) logged on to the  TNC's  digital
    20  network and available to receive transportation requests but not engaged
    21  in  a  TNC  prearranged  trip  or (B) was logged on to the TNC's digital
    22  network and was engaged in a TNC  prearranged  trip  and  (ii)  disclose
    23  whether  he  or  she, at the time such incident occurred, was either (A)
    24  logged on to the TNC's digital network and available to  receive  trans-
    25  portation  requests but not engaged in a TNC prearranged trip or (B) was
    26  logged on to the TNC's digital network and was engaged in a  TNC  prear-
    27  ranged  trip. Violation of this section shall be punishable by a fine of
    28  not more than one hundred dollars for a first offense and by a  fine  of
    29  not less than fifty nor more than one hundred fifty dollars for a second
    30  offense  and each subsequent offense; provided, however where the animal
    31  that has been struck and injured is a guide dog, hearing dog or  service
    32  dog,  as  such  terms  are defined in section forty-seven-b of the civil
    33  rights law which is actually engaged in aiding or guiding a person  with
    34  a disability, a violation of this section shall be [publishable] punish-
    35  able  by  a  fine of not less than fifty nor more than one hundred fifty
    36  dollars for a first offense and by a fine of not less than  one  hundred
    37  fifty  dollars  nor more than three hundred dollars for a second offense
    38  and each subsequent offense.
    39    § 5. The insurance law is amended by adding a new  section  3435-b  to
    40  read as follows:
    41    §  3435-b.  Motor  vehicle  insurance policies; transportation network
    42  company vehicles; prohibition against cancelling or  refusing  to  renew
    43  policies. An insurer that issues a motor vehicle policy used to register
    44  a  motor  vehicle shall not cancel or refuse to renew such policy or any
    45  other motor vehicle insurance policy solely on the basis that the  motor
    46  vehicle covered by such policy is being used as a transportation network
    47  company  vehicle as defined in section sixteen hundred ninety-one of the
    48  vehicle and traffic law.
    49    § 6. The insurance law is amended by adding two new sections 3455  and
    50  3456 to read as follows:
    51    §  3455. Transportation network company group insurance policies.  (a)
    52  For purposes of this section, the following definitions shall apply:
    53    (1) "Transportation network company" shall have the  same  meaning  as
    54  set forth in article forty-four-B of the vehicle and traffic law.

        A. 6661                            15
 
     1    (2)  "Certificate"  or  "certificate  of  insurance" means any policy,
     2  contract or other evidence of insurance, or endorsement thereto,  issued
     3  to a group member under a transportation network company group policy.
     4    (3)  "Transportation  network  company group policy" or "group policy"
     5  means a  group  policy,  including  certificates  issued  to  the  group
     6  members, where the group policyholder is a transportation network compa-
     7  ny  and  the  policy  provides  insurance  to the transportation network
     8  company and to group members:
     9    (A) in accordance with the requirements of article forty-four-B of the
    10  vehicle and traffic law;
    11    (B) of the type described in paragraph thirteen, fourteen, or nineteen
    12  of subsection (a) of section one thousand one hundred thirteen  of  this
    13  chapter; and
    14    (C)  in  satisfaction of the financial responsibility requirements set
    15  forth in section three thousand four hundred  twenty  of  this  article,
    16  subdivision  four  of  section  three  hundred eleven of the vehicle and
    17  traffic law, article fifty-one of this chapter, and such other  require-
    18  ments  or  regulations that may apply for the purposes of satisfying the
    19  financial responsibility requirements with respect to the use or  opera-
    20  tion of a motor vehicle.
    21    (4)  "Group  member"  means a transportation network company driver as
    22  defined in article forty-four-B of the vehicle and traffic law.
    23    (5) "Group policyholder" means a transportation network company.
    24    (6) "TNC vehicle" shall have the meaning set forth in  article  forty-
    25  four-B of the vehicle and traffic law.
    26    (b)  An insurer may issue or issue for delivery in this state a trans-
    27  portation network company  group  policy  to  a  transportation  network
    28  company  as  a group policyholder only in accordance with the provisions
    29  of this section.
    30    (c)(1) A transportation network company  group  policy  shall  provide
    31  coverage  for a TNC vehicle in accordance with the requirements of arti-
    32  cle forty-four-B of the vehicle and traffic law.
    33    (2) A transportation network company group policy shall provide:
    34    (A) coverage for limits higher than the minimum limits required pursu-
    35  ant to article forty-four-B of the vehicle and traffic law.
    36    (B) supplementary uninsured/underinsured motorists insurance for bodi-
    37  ly injury pursuant to paragraph two of subsection (f) of  section  three
    38  thousand four hundred twenty of this article;
    39    (C)  supplemental  spousal  liability insurance pursuant to subsection
    40  (g) of section three thousand four hundred twenty of this chapter; and
    41    (D) motor vehicle physical damage coverage as described  in  paragraph
    42  nineteen  of subsection (a) of section one thousand one hundred thirteen
    43  of this chapter.
    44    (3)  The  coverage  described  in  paragraphs  one  and  two  of  this
    45  subsection  may  be  provided  in  one group policy or in separate group
    46  policies.
    47    (4) A transportation network company group policy,  including  certif-
    48  icates,  shall  be  issued  by  authorized  insurers or from excess line
    49  brokers pursuant to section sixteen hundred ninety-three of the  vehicle
    50  and traffic law.
    51    (5) A policyholder also may be an insured under a group policy.
    52    (d)  The  premium for the transportation network company group policy,
    53  including certificates may be paid by the group  policyholder  from  the
    54  funds contributed:
    55    (1) wholly by the group policyholder;
    56    (2) wholly by the group members; or

        A. 6661                            16
 
     1    (3) jointly by the group policyholder and the group members.
     2    (e)  (1)  Any policy dividend, retrospective premium credit, or retro-
     3  spective premium refund in respect of premiums paid by the group policy-
     4  holder may:
     5    (A) be applied to reduce the premium contribution of the group policy-
     6  holder, but not in excess of the proportion to its contribution; or
     7    (B) be retained by the group policyholder.
     8    (2) Any policy dividend, retrospective premium credit,  or  retrospec-
     9  tive  premium  refund  not  distributed  under  paragraph  one  of  this
    10  subsection shall be:
    11    (A)  applied  to  reduce  future  premiums  and,  accordingly,  future
    12  contributions, of existing or future group members, or both; or
    13    (B)  paid  or  refunded to those group members insured on the date the
    14  payment or refund is made to the group policyholder, if  distributed  by
    15  the  group  policyholder,  or  on  the  date  of mailing, if distributed
    16  directly by the insurer, subject to the following requirements:
    17    (i) The insurer shall be responsible for determining the allocation of
    18  the payment of refund to the group members;
    19    (ii) If the group policyholder distributes the payment or refund,  the
    20  insurer  shall be responsible for audit to ascertain that the payment or
    21  refund is actually made in accordance with the allocation procedure; and
    22    (iii) If the group policyholder fails to make the payment  or  refund,
    23  the  insurer shall make the payment or refund directly or use the method
    24  provided in subparagraph (A) of this paragraph.
    25    (3) Notwithstanding paragraphs one and two of this  subsection,  if  a
    26  dividend  accrues  upon  termination  of coverage under a transportation
    27  network company group policy, the premium for  which  was  paid  out  of
    28  funds  contributed  by  group members specifically for the coverage, the
    29  dividend shall be paid or refunded by  the  group  policyholder  to  the
    30  group  members  insured on the date the payment or refund is made to the
    31  group policyholder, net of reasonable expenses  incurred  by  the  group
    32  policyholder in paying or refunding the dividend to such group members.
    33    (4)  For the purposes of this subsection, "dividend" means a return by
    34  the insurer of a transportation network company group policy  of  excess
    35  premiums  to  the  group policyholder in light of favorable loss experi-
    36  ence, including retrospective premium credits or  retrospective  premium
    37  refunds.  The  term  "dividend"  does not include reimbursements or fees
    38  received by a group policyholder in connection  with  the  operation  or
    39  administration of a transportation network company group policy, includ-
    40  ing  administrative  reimbursements,  fees  for services provided by the
    41  group policyholder, or transactional service fees.
    42    (f) The insurer shall treat in like manner all eligible group  members
    43  of the same class and status.
    44    (g)  Each  policy  written  pursuant to this section shall provide per
    45  occurrence limits of coverage for each group member  in  an  amount  not
    46  less  than  that  required by this article, and may provide coverage for
    47  limits higher than the minimum limits required under the law.
    48    (h) (1) The insurer shall be responsible for mailing or delivery of  a
    49  certificate  of  insurance to each group member insured under the trans-
    50  portation network company group  policy,  provided,  however,  that  the
    51  insurer  may  delegate  the  mailing  or  delivery to the transportation
    52  network company. The insurer shall also be responsible for  the  mailing
    53  or  delivery to each group member of an amended certificate of insurance
    54  or endorsement to the certificate, whenever there is a change in limits;
    55  change in type of  coverage;  addition,  reduction,  or  elimination  of
    56  coverage;  or  addition  of  exclusion, under the transportation network

        A. 6661                            17
 
     1  company group policy or certificate if such  change  materially  affects
     2  the coverage available to such group member.
     3    (2)  The certificate shall contain in substance all material terms and
     4  conditions of coverage afforded to group members, unless the transporta-
     5  tion network company group policy is incorporated  by  reference  and  a
     6  copy of the group policy accompanies the certificate.
     7    (3) If any coverage afforded to the group member is excess of applica-
     8  ble  insurance coverage, the certificate shall contain a notice advising
     9  the group members that, if the  member  has  other  insurance  coverage,
    10  specified coverages under the transportation network company group poli-
    11  cy will be excess over the other insurance.
    12    (i)  A  group policyholder shall comply with the provisions of section
    13  two thousand one hundred twenty-two of this chapter, in the same  manner
    14  as  an  agent or broker, in any advertisement, sign, pamphlet, circular,
    15  card, or other public announcement referring to coverage under a  trans-
    16  portation network company group policy or certificate.
    17    (j) A transportation network company group policy shall not be subject
    18  to  section  three  thousand  four  hundred twenty-five or section three
    19  thousand four hundred twenty-six of  this  article;  provided  that  the
    20  following  requirements shall apply with regard to termination of cover-
    21  age:
    22    (1)(A) An insurer may terminate a group policy or certificate only  if
    23  cancellation is based on one or more of the reasons set forth in subpar-
    24  agraph (A) through (D) or (F) through (H) of paragraph one of subsection
    25  (c)  of  section three thousand four hundred twenty-six of this article;
    26  provided, however, that an act or omission by a group member that  would
    27  constitute the basis for cancellation of an individual certificate shall
    28  not constitute the basis for cancellation of the group policy.
    29    (B)  Where the premium is derived wholly from funds contributed by the
    30  group policyholder, an insurer may cancel an individual certificate only
    31  if cancellation is based on one or more of  the  reasons  set  forth  in
    32  subparagraph  (B),  (C)  or  (H)  of  paragraph one of subsection (c) of
    33  section three thousand four hundred twenty-six of this article.
    34    (2) (A) An insurer's cancellation of a  group  policy,  including  all
    35  certificates,  shall  not  become  effective until thirty days after the
    36  insurer mails or delivers written notice of cancellation  to  the  group
    37  policyholder at the mailing address shown in the policy.
    38    (i) Where all or part of the premium is derived from funds contributed
    39  by  the  group  member  specifically for the coverage, the insurer shall
    40  also mail or deliver written notice of cancellation of the group  policy
    41  to  the group member at the group member's mailing address. Such cancel-
    42  lation shall not become effective until thirty days  after  the  insurer
    43  mails or delivers the written notice to the group member.
    44    (ii)  Where none of the premium is derived from funds contributed by a
    45  group member specifically for the  coverage,  the  group  policy  holder
    46  shall  mail  or  deliver written notice to the group member advising the
    47  group member of the cancellation of the group policy and  the  effective
    48  date  of cancellation. The group policy holder shall mail or deliver the
    49  written notice within ninety days after receiving notice of cancellation
    50  from the insurer.
    51    (B) An insurer's cancellation of an individual certificate  shall  not
    52  become  effective  until thirty days after the insurer mails or delivers
    53  written notice of cancellation to the group member at the group member's
    54  mailing address and to the group policyholder  at  the  mailing  address
    55  shown in the group policy.

        A. 6661                            18
 
     1    (3)  (A) A group policyholder may cancel a group policy, including all
     2  certificates, or any individual certificate, for any reason upon  thirty
     3  days written notice to the insurer and each group member; and
     4    (B)  The  group  policyholder  shall mail or deliver written notice to
     5  each affected group member of the group policyholder's  cancellation  of
     6  the  group policy or certificate and the effective date of cancellation.
     7  The group policyholder shall mail or deliver the written notice  to  the
     8  group  member's mailing address at least thirty days prior to the effec-
     9  tive date of cancellation.
    10    (4) (A) Unless a group policy provides for a longer policy period, the
    11  policy and all certificates shall be issued or renewed  for  a  one-year
    12  policy period.
    13    (B) The group policyholder shall be entitled to renew the group policy
    14  and  all  certificates  upon timely payment of the premium billed to the
    15  group policyholder for the renewal, unless:
    16    (i) the insurer mails or delivers to the group  policyholder  and  all
    17  group members written notice of nonrenewal, or conditional renewal; and
    18    (ii) the insurer mails or delivers the written notice at least thirty,
    19  but  not  more than one hundred twenty days prior to the expiration date
    20  specified in the policy or, if no date is specified, the  next  anniver-
    21  sary date of the policy.
    22    (5) Where the group policyholder nonrenews the group policy, the group
    23  policyholder  shall  mail or deliver written notice to each group member
    24  advising the group member of nonrenewal of  the  group  policy  and  the
    25  effective  date  of  nonrenewal.  The  group  policyholder shall mail or
    26  deliver written notice at least thirty days prior to the nonrenewal.
    27    (6) Every notice of cancellation, nonrenewal, or  conditional  renewal
    28  shall  set forth the specific reason or reasons for cancellation, nonre-
    29  newal, or conditional renewal.
    30    (7) (A) An insurer shall not be required under this subsection to give
    31  notice to a group member if the insurer has been advised by  either  the
    32  group  policyholder or another insurer that substantially similar cover-
    33  age has been obtained from the other insurer without lapse of coverage.
    34    (B) A group policyholder shall not be required under  this  subsection
    35  to  give  notice to a group member if substantially similar coverage has
    36  been obtained from another insurer without lapse of coverage.
    37    (8) (A) If, prior to the effective date of  cancellation,  nonrenewal,
    38  or  conditional  renewal  of the group policy, or a certificate, whether
    39  initiated by the insurer, group policyholder or by the group  member  in
    40  regard  to the group member's certificate, coverage attaches pursuant to
    41  the terms of a group policy, then the coverage shall be effective  until
    42  expiration  of  the  applicable period of coverage provided in the group
    43  policy  notwithstanding  the  cancellation,  nonrenewal  or  conditional
    44  nonrenewal of the group policy.
    45    (B) Notwithstanding subparagraph (A) of this paragraph, an insurer may
    46  terminate coverage under an individual certificate on the effective date
    47  of  cancellation, if the certificate is cancelled in accordance with the
    48  provisions of subparagraph (B) of paragraph one of this subsection.
    49    (k) Any mailing or delivery to a group member  required  or  permitted
    50  under  this  section may be made by electronic mail, or other electronic
    51  means, if consent  to  such  method  of  delivery  has  been  previously
    52  received from such group member.
    53    (l) An insurer may issue a transportation network company group policy
    54  to  a  transportation  network company, notwithstanding that it may be a
    55  condition of operating a vehicle on the transportation network company's
    56  digital network for the TNC driver to participate in such group policy.

        A. 6661                            19
 
     1    (m) An insurer shall not include a mandatory arbitration clause  in  a
     2  policy  that  provides  financial  responsibility  coverage  under  this
     3  section except as permitted in section five thousand one hundred five of
     4  this chapter.
     5    §  3456.  Transportation  network  companies;  duty of group policy to
     6  defend and indemnify; simultaneous use of multiple digital networks. (a)
     7  A group policy maintained by a TNC shall be primary with  respect  to  a
     8  TNC driver's owner's policy of liability insurance and shall have a duty
     9  to  defend and indemnify such owner's policy for any claim for damage or
    10  injury occurring while a driver is logged on to a TNC's digital network.
    11    (b) Where a TNC driver is logged on to more than one  digital  network
    12  at  the time of an accident, each policy providing coverage either while
    13  the TNC driver is logged onto a TNC's digital network and  is  available
    14  to  receive  transportation requests but is not engaged in a prearranged
    15  trip or while the TNC driver is engaged in a TNC prearranged trip  shall
    16  run  concurrently and cumulatively and the first insurer to which notice
    17  of claim is given shall be responsible for the initial  payment  of  the
    18  claim. Any dispute between insurers shall be resolved in accordance with
    19  the arbitration procedures established pursuant to section five thousand
    20  one hundred five of this chapter.
    21    (c)  For  the purposes of this section, the terms "TNC", "TNC driver",
    22  "TNC prearranged trip" and "digital network" shall have the  same  mean-
    23  ings  as  such  terms are defined in article forty-four-B of the vehicle
    24  and traffic law.
    25    § 6-a. Subsection (g) of section 5102 of the insurance law is  amended
    26  to read as follows:
    27    (g) "Insurer" means the insurance company or self-insurer, as the case
    28  may  be,  which  provides the financial security required by article six
    29  [or], eight, or forty-four-B of the vehicle and traffic law.
    30    § 7. Subsection (d) of section 5106 of the insurance law, as added  by
    31  chapter 452 of the laws of 2005, is amended to read as follows:
    32    (d)   [Where]  (1)  Except  as  provided  in  paragraph  two  of  this
    33  subsection, where there is reasonable belief more than one insurer would
    34  be the source of first party benefits,  the  insurers  may  agree  among
    35  themselves,  if  there  is a valid basis therefor, that one of them will
    36  accept and pay the claim initially. If there is no such agreement,  then
    37  the  first insurer to whom notice of claim is given shall be responsible
    38  for payment. Any such dispute shall be resolved in accordance  with  the
    39  arbitration procedures established pursuant to section five thousand one
    40  hundred five of this article and [regulation] regulations as promulgated
    41  by the superintendent, and any insurer paying first-party benefits shall
    42  be  reimbursed  by  other  insurers for their proportionate share of the
    43  costs of the claim and the allocated expenses of processing  the  claim,
    44  in accordance with the provisions entitled "other coverage" contained in
    45  regulation  and  the  provisions  entitled "other sources of first-party
    46  benefits" contained in regulation. If there is no such insurer  and  the
    47  motor  vehicle accident occurs in this state, then an applicant who is a
    48  qualified person as defined in article fifty-two of this  chapter  shall
    49  institute  the  claim against the motor vehicle accident indemnification
    50  corporation.
    51    (2) (i) For the purposes of this paragraph, the  term  "transportation
    52  network  company" shall have the same meaning as such term is defined in
    53  article forty-four-B of the vehicle and traffic law.
    54    (ii) Where there is a reasonable belief more than one insurer would be
    55  the source of first party benefits due to a  dispute  as  to  whether  a
    56  driver  was  using  or  operating  a  motor vehicle in connection with a

        A. 6661                            20
 
     1  transportation network company  when  loss,  damage,  injury,  or  death
     2  occurs,  the  insurers  may  agree among themselves, if there is a valid
     3  basis therefor, that one of them will accept and pay the claim  initial-
     4  ly.  If  there  is  no  such  agreement, then the first insurer to which
     5  notice of claim is given shall be responsible for the initial payment of
     6  first party benefits to the claimant. Any dispute between insurers shall
     7  be resolved in accordance with the  arbitration  procedures  established
     8  pursuant  to  section five thousand one hundred five of this article and
     9  regulations as promulgated by the superintendent, and any insurer paying
    10  first-party benefits shall be reimbursed by  other  insurers  for  their
    11  proportionate share of the costs of the claim and the allocated expenses
    12  of  processing  the  claim,  in  accordance with the provisions entitled
    13  "other coverage" contained in regulation  and  the  provisions  entitled
    14  "other sources of first-party benefits" contained in regulation.
    15    §  8.  Subsection (b) of section 2305 of the insurance law, as amended
    16  by chapter 11 of the laws of 2008, paragraph 13 as  amended  by  chapter
    17  136 of the laws of 2008, is amended to read as follows:
    18    (b) rate filings for:
    19    (1) workers' compensation insurance;
    20    (2)  motor  vehicle  insurance,  or  surety bonds, required by section
    21  three hundred seventy of the vehicle and traffic law or  article  forty-
    22  four-B of the vehicle and traffic law;
    23    (3) joint underwriting;
    24    (4) motor vehicle assigned risk insurance;
    25    (5)  insurance  issued by the New York Property Insurance Underwriting
    26  Association;
    27    (6) risk sharing  plans  authorized  by  section  two  thousand  three
    28  hundred eighteen of this article;
    29    (7) title insurance;
    30    (8) medical malpractice liability insurance;
    31    (9) insurance issued by the Medical Malpractice Insurance Association;
    32    (10) mortgage guaranty insurance;
    33    (11)  credit  property  insurance,  as defined in section two thousand
    34  three hundred forty of this article; [and]
    35    (12) gap insurance; and
    36    (13) [Private]  private  passenger  automobile  insurance,  except  as
    37  provided in section two thousand three hundred fifty of this article[.],
    38  shall  be  filed  with the superintendent and shall not become effective
    39  unless either the filing has been approved or  thirty  days,  which  the
    40  superintendent  may with cause extend an additional thirty days and with
    41  further cause extend an additional fifteen days, have  elapsed  and  the
    42  filing  has  not been disapproved as failing to meet the requirements of
    43  this article, including the standard that rates be not otherwise  unrea-
    44  sonable.  After a rate filing becomes effective, the filing and support-
    45  ing information shall be open to  public  inspection.  If  a  filing  is
    46  disapproved, then notice of such disapproval order shall be given, spec-
    47  ifying  in  what  respects such filing fails to meet the requirements of
    48  this article. Upon his or  her  request,  the  superintendent  shall  be
    49  provided  with  support  and  assistance  from the workers' compensation
    50  board and other state agencies and departments with  appropriate  juris-
    51  diction.  The  loss  cost multiplier for each insurer providing coverage
    52  for workers' compensation, as defined by regulation promulgated  by  the
    53  superintendent,  shall be promptly displayed on the department's website
    54  and updated in the event of any change.

        A. 6661                            21
 
     1    § 9. Paragraph 1 of subsection (a) of section 3425  of  the  insurance
     2  law,  as  amended by chapter 235 of the laws of 1989, is amended to read
     3  as follows:
     4    (1) "Covered  policy"  means  a  contract of insurance, referred to in
     5  this section as "automobile insurance", issued or issued for delivery in
     6  this state, on a risk  located  or  resident  in  this  state,  insuring
     7  against  losses  or liabilities arising out of the ownership, operation,
     8  or use of a motor vehicle, predominantly used for non-business purposes,
     9  when a natural person is the named insured under the policy  of  automo-
    10  bile  insurance;  provided,  however,  that  the use or operation of the
    11  motor vehicle by a transportation network driver as  a  TNC  vehicle  in
    12  accordance  with  article  forty-four-B  of  the vehicle and traffic law
    13  shall not be included in determining whether the motor vehicle is  being
    14  used predominantly for non-business purposes.
    15    §  10. Subdivisions 1 and 3 of section 160-cc of the executive law, as
    16  added by chapter 49 of the laws of 1999, are amended to read as follows:
    17    1. "Black car operator" means the registered owner of a for-hire vehi-
    18  cle, or a driver designated by such  registered  owner  to  operate  the
    19  registered owner's for-hire vehicle as the registered owner's authorized
    20  designee,  whose  injury  arose  out  of  and in the course of providing
    21  covered services to a central dispatch facility  that  is  a  registered
    22  member  of  the  New York black car operators' injury compensation fund,
    23  inc. For the purposes of administration of this  article,  a  black  car
    24  operator  shall  include  a  transportation  network  company  driver as
    25  defined in article forty-four-B of the vehicle and traffic law.
    26    3. "Central dispatch facility"  means  a  central  facility,  wherever
    27  located, that (a) dispatches the registered owners of for-hire vehicles,
    28  or  drivers acting as the designated agent of such registered owners, to
    29  both pick-up and discharge passengers in the state, and (b)  has  certi-
    30  fied to the satisfaction of the department of state that more than nine-
    31  ty  percent  of  its  for-hire business is on a payment basis other than
    32  direct cash payment by a passenger; provided, however,  that  a  central
    33  dispatch  facility shall not include any such central facility that owns
    34  fifty percent or more of the cars it dispatches.  For  the  purposes  of
    35  administration  of this article, central dispatch facility shall include
    36  a transportation network company as defined in article  forty-four-B  of
    37  the vehicle and traffic law.
    38    §  11.  Subdivision 1 of section 160-ff of the executive law, as added
    39  by chapter 49 of the laws of 1999, is amended to read as follows:
    40    1. [Within thirty days of the effective date of this  article,  there]
    41  There shall be appointed a board of directors of the fund, consisting of
    42  [nine]  eleven  directors,  [five]  six of whom shall be selected by the
    43  black car assistance corporation; [three] four of whom shall  be  chosen
    44  by  the  governor,  including  one chosen upon the recommendation of the
    45  temporary president of the senate and one chosen upon the recommendation
    46  of the speaker of the assembly, and one chosen to represent a  transpor-
    47  tation network company as defined by article forty-four-B of the vehicle
    48  and traffic law; and one of whom shall be the secretary, who shall serve
    49  ex  officio.  [The  initial  terms of directors other than the secretary
    50  shall be staggered, the three directors appointed by the governor  serv-
    51  ing  for  initial  terms  of three years from the effective date of this
    52  article, three of the remaining five directors serving for initial terms
    53  of two years from the effective date of this article and  two  directors
    54  serving  for  initial  terms of one year from the effective date of this
    55  article.] The [subsequent] terms of all directors other than the  secre-

        A. 6661                            22
 
     1  tary  shall be three years. The board shall have the power to remove for
     2  cause any director other than the secretary.
     3    §  12.  Subdivision 3 of section 160-jj of the executive law, as added
     4  by chapter 49 of the laws of 1999, is amended to read as follows:
     5    3. No local licensing authority or the  department  or  the  New  York
     6  state  department  of  motor vehicles shall issue, continue or renew any
     7  license or registration certificate, or permit for the operation of  any
     8  central  dispatch  facility  unless such central dispatch facility, as a
     9  condition of maintaining its license  and/or  registration  certificate,
    10  adds the surcharge required by this section to every invoice and billing
    11  for  covered  services  sent  to,  and  every credit payment for covered
    12  services received from, its customers and pays to the fund no later than
    13  the fifteenth day of each month the total  surcharges  due  pursuant  to
    14  this article.
    15    §  13. Section 181 of the general municipal law, as amended by chapter
    16  579 of the laws of 1993, subdivision 1 as separately amended by chapters
    17  287 and 289 of the laws of 2016 and subdivision 2 as amended by  chapter
    18  498 of the laws of 2015, is amended to read as follows:
    19    §  181.  Ordinances to regulate taxicabs, livery vehicles, transporta-
    20  tion network company vehicles and limousines. The municipal officers and
    21  boards in the several cities, towns  and  villages  of  this  state  now
    22  having  the authority to enact ordinances, may adopt ordinances regulat-
    23  ing:
    24    1. The registration and licensing of taxicabs and may limit the number
    25  of taxicabs to be licensed, the registration and licensing of  transpor-
    26  tation  network company vehicles and may limit the number of transporta-
    27  tion network company vehicles to be licensed and the county of Westches-
    28  ter may adopt ordinances regulating the registration  and  licensing  of
    29  taxicabs,  livery  vehicles, transportation network company vehicles and
    30  limousines and may limit the number to be licensed; the county of Nassau
    31  may adopt ordinances regulating the  registration  of  taxicabs,  livery
    32  vehicles,  transportation  network  company vehicles and limousines; and
    33  the county of Suffolk may adopt local laws or ordinances regulating  the
    34  registration  of  taxicabs,  limousines,  transportation network company
    35  vehicles and livery vehicles; the county of  Rockland  may  adopt  local
    36  laws  or  ordinances  regulating the registration and licensing of taxi-
    37  cabs, limousines, transportation network  company  vehicles  and  livery
    38  vehicles  and  may  limit  the  number to be licensed; and the county of
    39  Dutchess may adopt local laws or ordinances regulating the  registration
    40  and  licensing  of  taxicabs, limousines, transportation network company
    41  vehicles and livery vehicles; and the county of Ulster may  adopt  local
    42  laws  or  ordinances  regulating the registration and licensing of taxi-
    43  cabs, limousines, transportation network  company  vehicles  and  livery
    44  vehicles.
    45    2.   Parking   and   passenger  pick-up  and  discharge  by  taxicabs,
    46  limousines, transportation network company vehicles and livery vehicles.
    47  Establishment of such local laws or ordinances and regulations  regulat-
    48  ing  parking  and  passenger  pick-up  and  discharges may be based upon
    49  recommendations from municipal planning officials or other public  enti-
    50  ties  and  may address and take into consideration such factors, includ-
    51  ing, but not limited to, geographic areas, vehicle  type,  limiting  the
    52  number  of  parked  vehicles and activities undertaken while parked, and
    53  periods of idling.
    54    3. Counties authorized to adopt local laws or ordinances  pursuant  to
    55  subdivision  one  of  this section, cities, towns and villages may adopt
    56  local laws or ordinances to provide for  the  reporting,  assisting  and

        A. 6661                            23
 
     1  collaborating  with  the  department  of  motor vehicles in any investi-
     2  gations or proceedings for penalties,  suspension  or  revocation  of  a
     3  transportation  network company license to operate in the state, includ-
     4  ing  reports  of violations of local laws or ordinances enacted pursuant
     5  to this section.
     6    § 14. Paragraph 34 of subdivision (b) of section 1101 of the tax  law,
     7  as amended by section 1 of part WW of chapter 57 of the laws of 2010, is
     8  amended to read as follows:
     9    (34)  Transportation service. The service of transporting, carrying or
    10  conveying a person or persons by livery service;  whether  to  a  single
    11  destination  or  to  multiple destinations; and whether the compensation
    12  paid by or on behalf of the passenger is based on  mileage,  trip,  time
    13  consumed  or  any  other  basis.  A service that begins and ends in this
    14  state is deemed intra-state even if it passes outside this state  during
    15  a  portion of the trip. However, transportation service does not include
    16  transportation of persons in connection  with  funerals.  Transportation
    17  service  includes  transporting,  carrying, or conveying property of the
    18  person being transported, whether owned  by  or  in  the  care  of  such
    19  person.  Transportation service shall include a TNC prearranged trip, as
    20  that term is defined in article forty-four-B of the vehicle and  traffic
    21  law.  In  addition to what is included in the definition of "receipt" in
    22  paragraph three of this subdivision, receipts from the sale of transpor-
    23  tation service subject to tax include any handling,  carrying,  baggage,
    24  booking  service,  administrative, mark-up, additional, or other charge,
    25  of any nature, made in  conjunction  with  the  transportation  service.
    26  Livery  service  means service provided by limousine, black car or other
    27  motor vehicle, with a driver, but excluding (i) a taxicab, (ii)  a  bus,
    28  and (iii), in a city of one million or more in this state, an affiliated
    29  livery  vehicle,  and  excluding any scheduled public service. Limousine
    30  means a vehicle with a seating  capacity  of  up  to  fourteen  persons,
    31  excluding the driver. Black car means a for-hire vehicle dispatched from
    32  a  central  facility. "Affiliated livery vehicle" means a for-hire motor
    33  vehicle with a seating capacity of up  to  six  persons,  including  the
    34  driver,  other  than a black car or luxury limousine, that is authorized
    35  and licensed by the taxi and limousine  commission  of  a  city  of  one
    36  million  or  more  to  be dispatched by a base station located in such a
    37  city and regulated by such taxi and limousine commission; and the charg-
    38  es for service provided by an affiliated livery vehicle are on the basis
    39  of flat rate, time, mileage, or zones and not  on  a  garage  to  garage
    40  basis.
    41    §  14-a.  Subdivision  1 of section 1131 of the tax law, as amended by
    42  chapter 576 of the laws of 1994, is amended to read as follows:
    43    (1) "Persons required to collect tax" or "person required  to  collect
    44  any tax imposed by this article" shall include: every vendor of tangible
    45  personal  property  or  services;  every recipient of amusement charges;
    46  [and] every operator of a  hotel,  and  transportation  network  company
    47  licensed pursuant to article forty-four-B of the vehicle and traffic law
    48  and  is  operating in New York state exclusively using a digital network
    49  to connect transportation network company passengers  to  transportation
    50  network company drivers who provide a prearranged trip. Said terms shall
    51  also  include any officer, director or employee of a corporation or of a
    52  dissolved corporation, any employee of a partnership,  any  employee  or
    53  manager of a limited liability company, or any employee of an individual
    54  proprietorship  who  as  such  officer, director, employee or manager is
    55  under a duty to act for such corporation, partnership, limited liability
    56  company or individual proprietorship in complying with  any  requirement

        A. 6661                            24
 
     1  of  this  article;  and any member of a partnership or limited liability
     2  company.  Provided, however, that any person who is a vendor  solely  by
     3  reason  of  clause  (D)  or  (E) of subparagraph (i) of paragraph (8) of
     4  subdivision  (b) of section eleven hundred one of this article shall not
     5  be a "person required to collect any tax imposed by this article"  until
     6  twenty  days  after  the date by which such person is required to file a
     7  certificate of registration pursuant to section eleven  hundred  thirty-
     8  four of this part.
     9    §  14-b. Section 1132 of the tax law is amended by adding a new subdi-
    10  vision (l) to read as follows:
    11    (l) (1) A transportation network company, with respect to providing  a
    12  transportation service: (i) shall have all the obligations and rights of
    13  a  vendor under this article and article twenty-nine of this chapter and
    14  under any regulations  adopted  pursuant  thereto,  including,  but  not
    15  limited  to,  the  duty to obtain a certificate of authority, to collect
    16  tax, file returns, remit tax, and the right to accept a  certificate  or
    17  other  documentation from a transportation network company driver pursu-
    18  ant to article forty-four-B of the vehicle and traffic law, substantiat-
    19  ing an exemption or exclusion from tax, the right to receive the  refund
    20  authorized  by subdivision (e) of this section and the credit allowed by
    21  subdivision (f) of section eleven  hundred  thirty-seven  of  this  part
    22  subject  to the provisions of such subdivision; and (ii) shall keep such
    23  records and information and cooperate with the  commissioner  to  ensure
    24  the  proper  collection  and  remittance  of  tax  imposed  collected or
    25  required to be collected under this article and article  twenty-nine  of
    26  this chapter.
    27    (2)  A  transportation  network  company which is a vendor is relieved
    28  from the duty to collect tax  in  regard  to  a  particular  service  of
    29  providing transportation subject to tax under subdivision (a) of section
    30  eleven  hundred  five of this article and shall not include the receipts
    31  from such sale of transportation service in  its  taxable  receipts  for
    32  purposes of section eleven hundred thirty-six of this part if, in regard
    33  to  such sale: (i) the transportation network company can show that such
    34  service was provided by a transportation network company driver and such
    35  driver has a properly completed certificate  of  collection  in  a  form
    36  prescribed  by  the  commissioner, certifying that such driver is regis-
    37  tered to collect sales tax and will collect sales  tax  on  all  taxable
    38  sales  of  transportation service including all TNC prearranged trips by
    39  the driver facilitated by the transportation network company,  and  with
    40  such  other  information as the commissioner may prescribe; and (ii) any
    41  failure of the transportation network  company  to  collect  the  proper
    42  amount  of  tax in regard to such sale of transportation service was not
    43  the result of such driver providing such company with incorrect informa-
    44  tion. This provision shall be administered in a manner  consistent  with
    45  subparagraph  (i) of paragraph one of subdivision (c) of this section as
    46  if a certificate of collection were a resale  or  exemption  certificate
    47  for  purposes  of  such  subparagraph,  including  with  regard  to  the
    48  completeness of such certificate of collection and  the  timing  of  its
    49  acceptance by the transportation network company.
    50    (3)  The  commissioner  may,  in  his or her discretion: (i) develop a
    51  standard provision, or approve a provision developed by a transportation
    52  network company, in which the transportation network  company  obligates
    53  itself  to  collect  the tax on behalf of all the transportation network
    54  drivers for whom the transportation network company facilitates sales of
    55  transportation service, with respect to all sales  that  it  facilitates
    56  for  such  drivers where a taxable prearranged trip occurs in an area of

        A. 6661                            25
 
     1  the state authorized pursuant to article forty-four-B of the vehicle and
     2  traffic law; and (ii) provide by regulation or otherwise that the inclu-
     3  sion of such provision  in  the  agreement  between  the  transportation
     4  network company and transportation network company drivers will have the
     5  same effect as a transportation network company driver's acceptance of a
     6  certificate of collection from such transportation network company under
     7  paragraph two of this subdivision.
     8    §  14-c. Section 1133 of the tax law is amended by adding a new subdi-
     9  vision (f) to read as follows:
    10    (f) A transportation network company is relieved  of  liability  under
    11  this  section  for  failure  to collect the correct amount of tax to the
    12  extent that the transportation network company can show that  the  error
    13  was  due  to  incorrect  information given to the transportation network
    14  company by the transportation network driver pursuant to article  forty-
    15  four-B of the vehicle and traffic law.
    16    § 14-d. Paragraph 4 of subdivision (a) of section 1136 of the tax law,
    17  as amended by section 46 of part K of chapter 61 of the laws of 2011, is
    18  amended to read as follows:
    19    (4)  The  return of a vendor of tangible personal property or services
    20  shall show such vendor's receipts from sales and the number  of  gallons
    21  of any motor fuel or diesel motor fuel sold and also the aggregate value
    22  of tangible personal property and services and number of gallons of such
    23  fuels  sold by the vendor, the use of which is subject to tax under this
    24  article,  and  the  amount  of  tax  payable  thereon  pursuant  to  the
    25  provisions  of  section  eleven  hundred  thirty-seven of this part. The
    26  return of a recipient of amusement charges shall show all  such  charges
    27  and the amount of tax thereon, and the return of an operator required to
    28  collect  tax  on  rents shall show all rents received or charged and the
    29  amount of tax thereon. The return of a  transportation  network  company
    30  driver  shall exclude the receipts from a sale of transportation service
    31  facilitated by a transportation network company if, in  regard  to  such
    32  sale:  (A) the transportation network driver has timely received in good
    33  faith a properly completed certificate of collection from the  transpor-
    34  tation  network  company  or  the  transportation  network  company  has
    35  included a provision approved  by  the  commissioner  in  the  agreement
    36  between  the  transportation  network  company  and  the  transportation
    37  network driver as described in subdivision (l) of section eleven hundred
    38  thirty-two of this part, and (B) the information provided by the  trans-
    39  portation  network  company driver to the transportation network company
    40  about such transportation service is accurate.
    41    § 15. 1. For purposes of this section, transportation network  company
    42  shall  mean  a  transportation  network  company  as  defined by article
    43  forty-four-B of the vehicle and traffic law.
    44    2. There is hereby  established  the  New  York  State  Transportation
    45  Network Company Accessibility Task Force to analyze and advise on how to
    46  maximize  effective  and  integrated transportation services for persons
    47  with disabilities in the transportation network company market. The  New
    48  York State Transportation Network Company Accessibility Task Force shall
    49  consist of eleven members. Two members of the New York State Transporta-
    50  tion  Network Company Accessibility Task Force shall be appointed by the
    51  speaker of the assembly. Two members of the New York  State  Transporta-
    52  tion  Network Company Accessibility Task Force shall be appointed by the
    53  temporary president of the senate. Seven members of the New  York  State
    54  Transportation   Network  Company  Accessibility  Task  Force  shall  be
    55  appointed by the governor and shall include, but not be limited to,  two
    56  representatives  of  groups  who serve persons with disabilities and two

        A. 6661                            26
 
     1  representatives from a  transportation  network  company.  The  governor
     2  shall  designate  two  chairpersons to the New York State Transportation
     3  Network Company Accessibility Task Force.
     4    3.  The  New  York  State Transportation Network Company Accessibility
     5  Task Force shall study the demand responsive transportation  marketplace
     6  and shall, in addition to any responsibilities assigned by the governor:
     7  (a)  conduct a needs assessment concerning the demand for demand respon-
     8  sive  accessible  transportation;  (b)  conduct  a  resource  assessment
     9  concerning  the availability of accessible demand responsive transporta-
    10  tion services for persons with disabilities; (c) identify  opportunities
    11  for,  and barriers to, increasing accessible demand responsive transpor-
    12  tation service for persons with mobility disabilities; (d) propose stra-
    13  tegies  for  increasing  accessible  demand  responsive   transportation
    14  service  for  persons with disabilities; and (e) any other issues deter-
    15  mined important to the  task  force  in  establishing  a  recommendation
    16  pursuant to subdivision five of this section.
    17    4.  The  New  York  State Transportation Network Company Accessibility
    18  Task Force shall hold public hearings and  provide  an  opportunity  for
    19  public  comment  on  the activities described in subdivision two of this
    20  section.
    21    5. The New York State  Transportation  Network  Company  Accessibility
    22  Task  Force  shall complete a report addressing the activities described
    23  in subdivision two of this section and make a recommendation,  supported
    24  by  such  activities, recommending the amount of accessibility necessary
    25  for adequate transportation for disabled passengers in order to  utilize
    26  such  services  and  present such findings at a public meeting where its
    27  members shall accept such report, pursuant to majority vote of the  task
    28  force,  and  present  such  report  to  the governor, the speaker of the
    29  assembly and the temporary president of the senate, and make such report
    30  publicly available for review within twenty-four months of the effective
    31  date of this act.
    32    6. Upon making the  report  described  in  subdivision  five  of  this
    33  section, the New York State Transportation Network Company Accessibility
    34  Task Force shall be deemed dissolved.
    35    §  16. Severability clause. If any provision of this act or the appli-
    36  cation thereof is held invalid, such invalidity shall not  affect  other
    37  provisions or applications of this act which can be given effect without
    38  the  invalid provision or application, and to this end the provisions of
    39  this act are declared to be severable.
    40    § 17. Each agency that is designated to perform any function  or  duty
    41  pursuant  to  this  act shall be authorized to establish rules and regu-
    42  lations for the administration and execution  of  such  authority  in  a
    43  manner consistent with the provisions of this act and for the protection
    44  of the public, health, safety and welfare of persons within this state.
    45    §  18.  This act shall take effect on the ninetieth day after it shall
    46  have become a law; provided that sections  fourteen,  fourteen-a,  four-
    47  teen-b,  fourteen-c,  and  fourteen-d  of  this act shall take effect on
    48  September 1, 2017.
Go to top

A06661 LFIN:

 NO LFIN
Go to top

A06661 Chamber Video:

Go to top