The Chicago Sun Times, Early & Often, political website reported yesterday that Governor Quinn had vetoed the controversial ride share bill that would have put restrictions on companies like Uber, Sidecar and Lyft.
The bill would have required rideshare companies to closely track how many hours each of their drivers averaged on their platforms. Those who offered rides more than 36 hours every two weeks would have to comply with safety regulations similar to taxi drivers — namely, obtaining a public chauffeur’s license, getting fingerprinted and submitting to a criminal background check. Additionally, the companies would have to provide commercial liability insurance identical to that which is required for taxis, for all its drivers — regardless of how many hours they spend on the platform. The governor’s veto ensures that Chicago’s less rigid ridesharing regulations championed by Mayor Rahm Emanuel will stand and take effect later this week.
This was a tough decision for Quinn as he was forced to balance both customer demand with thriving technology versus a protection of the old guard – – here being the taxi companies. The taxi companies are not happy at all as they are held to a much higher standard when it comes to background checks, training and fees for licensing. My issue was whether passengers, pedestrians and fellow drivers would be protected by enough insurance. I think the local ordinance passed in May in Chicago addressed this issue among others. As I wrote here, the local ordinance requires ride share companies and its’ drivers carry $1 million in commercial auto liability per incident while the driver has accepted a ride until the completion of the ride, $1million in commercial general liability per occurrence for bodily injury, personal injury and property damage, and auto liability insurance to cover drivers when logged into app until the driver accepts a ride. Basically, this covered the loophole where drivers didn’t have any passengers in their vehicle but are actively searching for fares. The local ordinance also required a basic driver training course and clean driving record (no misdemeanors convictions such as DUI or reckless driving). It is an endless debate and there’s a chance that the veto is overridden as the original bills passed the Illinois House, 80-26 in June, and would require only 71 votes for an override. The Senate passed the measure 46-8, and would require only 36 to override.
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