With each new technological development and each new application of that technology, the law is often left scrambling to play catch up. Let’s face it, life moves faster than legislation. But the Michigan Senate is hoping to address that growing gap in at least one major area this year – ridesharing.
Apps like Uber, Chariot, Lyft and Scoop have changed the face of public transportation in just a handful of years. More people are turning to ridesharing apps for affordable, easy-to-use transportation alternatives. Those same companies are providing our legislators with some unexpected headaches because the drivers don’t fall under the definition of taxi driver or chauffeur as defined by Michigan law.
Your answer to that may be, “Who cares?” But the answer to that is that a surprising number of lawmakers care. A package of bills that passed the House last year and is currently under consideration by the Michigan Senate, would require the a statewide regulatory structure for transportation network (or ridesharing) companies. The taxicab industry has lobbied for that extensively because their market share is dropping while Uber and Lyft continue to prosper and take business from them.
Senate versions were more rigid on restrictions placed on drivers
The regulations would set enforceable standards for vehicle insurance, background checks and information disclosure for consumers. Interestingly, a very similar bill package was introduced in the Senate at around the same time, however the Senate versions were considerably more rigid with regard to the restrictions they placed on drivers.
An Ideas and Issues Forum was recently hosted in Lansing by the Mackinac Center, hoping to address the issue of transportation regulation and how it will affect ridesharing in Michigan. A number of different people spoke at the event, one of whom was Tim VanDongen, a ridesharing driver who has driven for both Uber and Lyft at different points in his career.
When asked his opinion of the proposed legislation from both the House and the Senate, VanDongen said that he was in favor of the House bill package over that of the Senate’s. “[The House bill] provides a blanket regulatory structure for transportation networks. …Currently there is nothing, so drivers are getting pulled over. I think the [Senate bills] regulate too much and treats [us] like a taxi.”
He also spoke on some of the benefits of allowing ridesharing apps to operate around Michigan. including increased job opportunities and sources of income for people around the state. Other panelists pointed out additional benefits including fewer cars on the roads, more transportation options for low-income families, and fewer instances of drunk driving.