Preempting workers’ rights: States with “transportation network company” (TNC) laws that block local governments from setting standards for ride-hail services
State | Color key | Law Status | Year Passed | Passed by | Law | History |
---|---|---|---|---|---|---|
Alabama | 1 | Has law | 2018 | Gov. Kay Ivey (R) and a Republican majority state legislature | AL Code § 32-7C-36 | Since 2018, Alabama has prohibited local municipalities from imposing a tax on or requiring a license for a transportation network company or its drivers or vehicles, and from imposing a local rate on transportation network companies. The law allows municipalities to adopt ordinances to prohibit TNCs from providing prearranged rides that originate within their corporate limits, and includes exceptions for airports and cruise terminals. |
Alaska | 1 | Has law | 2017 | Gov. Bill Walker (I), a Republican majority state senate, and a Democratic state house | Alaska Stat. Ann. § 29.35.148 | Since 2017, Alaska has prohibited localities from regulating transportation network companies, their drivers, and personal vehicles used in connection with transportation network services. The law allows municipalities to adopt ordinances (if ratified by voters in a regular election) to prohibit TNCs from conducting activities within the municipality. |
Arizona | 1 | Has law | 2015 | Gov. Doug Ducey (R) and a Republican majority state legislature | Ariz. Rev. Stat. § 28-142 | Since 2015, Arizona has prohibited city and county government entities, other than public airport operators, from regulating transportation network companies. |
Arkansas | 1 | Has law | 2015 | Gov. Asa Hutchinson (R) and a Republican majority state legislature | A.C.A. § 23-13-719 | Since 2015, Arkansas has prohibited localities from imposing taxes or licensing requirements on transportation network companies or their drivers. |
California | 1 | Has law | 2017 | Gov. Edmund G. Brown (D) and a Democratic majority state legislature | Cal. Bus. & Prof. Code § 16550.2 | Since 2017, California has prohibited its cities and counties from requiring transportation network company drivers to have more than one business license to operate statewide. |
Colorado | 1 | Has law | 2014 | Gov. John Hickenlooper (D) and a Democratic majority state legislature | C.R.S. § 40-10.1-603 | Since 2014, transportation network companies are governed exclusively by the Colorado Public Utilities Commission (PUC), and local governments in the state were prohibited from regulating transportation network companies or drivers. In 2022, Colorado passed SB 22-144, repealing this prohibition in situations where a TNC contracts to provide services to a school district or other public or nonprofit entity, enabling schools and school district to set additional standards when contracting with a transportation network company for transportation of students to or from school or school activities and requiring the PUC to coordinatei with the State Department of Education in setting state standards for student transportation provided by transportation network companies. |
Connecticut | 0 | No law | ||||
Delaware | 1 | Has law | 2016 | Gov. Jack Markell (D) and a Democratic majority state legislature | Del. Code Ann. tit. 2, § 1922 | Since 2016, Delaware has prohibited localities from imposing taxes or licensing requirements on transportation network companies or their drivers, and has prohibited localities from setting rates for driver pay. |
Washington D.C. | 0 | No law | ||||
Florida | 1 | Has law | 2017 | Gov. Rick Scott (R) and a Republican majority state legislature | FL HB 221 | Since 2017, Florida has prohibited localities from regulating transportation network companies or their drivers. |
Georgia | 1 | Has law | 2015 | Gov. Nathan Deal and a Republican majority state legislature | GA Code § 40-1-191 | Since 2015, Georgia has prohibited localities from enacting any form of regulation regarding ride-share network services, transportation referral services, transportation referral service providers, and taxi services. The law includes an exception for airports. |
Hawaii | 1 | Has law | 2016 | Gov. David Ige (R) and a Democratic majority state legislature | HI Rev Stat § 431:10C-703 | Since 2016, Hawaii has prohibited its cities and counties from regulating insurance for drivers of transportation network company vehicles. In 2022, Hawaii passed HB 1681 HD 2 SD 1 establishing exclusive state authority for regulation of transportation network companies and preempting “any ordinance or other regulation adopted by a political subdivision that specifically governs transportation network companies, transportation network company drivers, or transportation network company vehicles, including those adopted before the effective date of this chapter.” |
Idaho | 1 | Has law | 2015 | Gov. Butch Otter (R) and a Republican majority state legislature | Id. Code Ann. § 49-3715 | Since 2015, according to Idaho law, “no municipality or other local entity may impose a tax on, or require a license for, a TNC, a TNC driver, or a vehicle used by a TNC driver where such tax or licenses relates to providing TNC services, or subject a TNC to the municipality or other local entity’s rate, entry, operational or other requirements.” |
Illinois | 0 | No law | ||||
Indiana | 1 | Has law | 2015 | Gov. Mike Pence (R) and a Republican majority state legislature | IN Code § 36-9-2-4 | Since 2015, Indiana has prohibited units of local government from regulating services of transportation network companies or TNC drivers. |
Iowa | 1 | Has law | 2016 | Gov. Terry Branstad (R) and a split majority state legislature | Ia. Code Ann. § 321N.11 | Since 2016, transportation network companies have been regulated exclusively by the state. |
Kansas | 0 | No law | ||||
Kentucky | 1 | Has law | 2015 | Gov. Steve Beshear (D) and a split majority state legislature | K.R.S. § 281.631 and § 281.635 | Since 2015, Kentucky has prohibited cities and counties from imposing fees or taxes upon transportation network companies. State law allows for cities larger than 20,000 people and urban-county governments to set standards for drivers operating from the city and issue permits for qualified drivers. |
Louisiana | 1 | Has law | 2019 | Gov. John Bel Edwards (D) and a Republican majority state legislature | La. R.S. § 48:2204 | Since 2019, “companies, drivers, and vehicles are governed exclusively by state law” in Louisiana, which prohibits local governments from imposing a tax on, requiring a license from, or subjecting a company, driver, or vehicle to any rate, entry, operation, or other requirement except as spelled out in state law, which allows local governments to maintain or adopt TNC ordinances imposing per-trip fees only. Includes exceptions for airports. |
Maine | 1 | Has law | 2015 | Gov. Paul LePage (R) and a split majority state legislature | 2015 ME H.B. 934 | Since 2015, Maine has prohibited its cities and counties from regulating transportation network companies, their drivers, and personal vehicles used in connection with transportation network services. |
Maryland | 1 | Has law | 2016 | Gov. Larry Hogan (R) and a Democratic majority state legislature | Md. Code § 10-406 | Since 2016, Maryland has limited the taxes that cities and counties can level on transportation network companies (with exemptions for jurisdictions that already had a tax in place prior to 2015). |
Massachusetts | 1 | Has law | 2016 | Gov. Charlie Baker (R) and a Democratic majority state legislature | 2016 Mass. Ch. 187 | Since 2016, Massachusetts has prohibited its cities and counties from imposing taxes on or requiring licenses for transportation network company drivers or from imposing a local rate, among other requirements, on transportation network companies. |
Michigan | 1 | Has law | 2016 | Gov. Rick Snyder (R) and a Republican majority state legislature | Act 345 of 2016 and MCL § 257.2115 | Since 2017, Michigan has prohibited its cities and counties from regulating transportation network companies or from imposing taxes on or requiring a license for transportation network company drivers. |
Minnesota | 0 | No law | ||||
Mississippi | 1 | Has law | 2016 | Gov. Phil Bryant (R) and a Republican majority state legislature | Miss. Code Ann. §77-8-37 | Since 2016, Mississippi has prohibited city and county government entities, other than public airport operators, from imposing taxes on or requiring licenses for transportation network company drivers or imposing a local rate, among other requirements, on transportation network companies. |
Missouri | 1 | Has law | 2017 | Gov. Eric Greitens (R) and a Republican majority state legislature | Mo. Rev. Stat. § 387.430 | Since 2017, Missouri has prohibited municipalities or other state or local entities from imposing a tax on, or requiring a license for, a TNC, driver, or vehicle, or subjecting a TNC to any local rate, entry, operational, or other requirements. |
Montana | 1 | Has law | 2015 | Gov. Steve Bullock (R) and a Republican majority state legislature | MT Code Ann. § 69-12-342 | Since 2015, Montana has prohibited its cities and counties from imposing taxes on or requiring licenses for transportation network company drivers or imposing a local rate, among other requirements, on transportation network companies. |
Nebraska | 0 | No law | ||||
Nevada | 1 | Has law | 2015 | Gov. Brain Sandoval (R) and a Republican majority state legislature | Nev. Rev Stat. § 706A.310 | Since 2015, Nevada has prohibited its cities and counties from requiring licenses for or imposing taxes or fees on transportation network drivers, or imposing any other requirement not generally applied to other motor vehicle operators by the local government (provides some exemptions for airports). |
New Hampshire | 1 | Has law | 2016 | Gov. Maggie Hassan (R) and a Republican majority state legislature | NH Rev Stat § 376-A:17 | Since 2016, New Hampshire has prohibited its cities and counties from imposing taxes on or requiring licenses for transportation network company drivers or from imposing a local rate, among other requirements, on transportation network companies. |
New Jersey | 1 | Has law | 2017 | Gov. Chris Christie (R) and a Democratic majority state legislature | N.J. Rev Stat § 39:5H-26 | Since 2017, New Jersey has prohibited its cities and counties from requiring licenses for or imposing taxes or fees on transportation network drivers or vehicles (with exceptions for agreements between cities of the first class and airports). |
New Mexico | 1 | Has law | 2016 | Gov. Susana Martinez (R) and a split majority state legislature | N.M. Stat. Ann. § 65-7-2 | Since 2016, New Mexico has prohibited its cities and counties from regulating transportation network companies or from imposing taxes on or requiring a license for transportation network company drivers. |
New York | 1 | Has law | 2017 | Gov. Andrew Cuomo (D) and a Democratic majority state legislature | NY (VAT) Chapter 71, Title 8, Article 44-B | Since 2017, regulation of TNCs and drivers in New York is “governed exclusively” by state law, and no county, town, city, or village may enact a tax or fee on or require a license, permit, or additional insurance or impose any other limitations or restrictions, on a TNC, driver, or vehicle. The state law does not apply to New York City and allows counties, and cities over 100,000 to enact local ordinances prohibiting TNCs from picking up persons within their geographic boundaries. |
North Carolina | 1 | Has law | 2015 | Gov. Pay McCrory (R) and a Republican majority state legislature | N.C. Gen. Stat. § 20-280.10 | Since 2015, North Carolina has prohibited its cities and counties from regulating transportation network companies or from imposing taxes on or requiring a license for transportation network company drivers. |
North Dakota | 1 | Has law | 2015 | Gov. Jack Dalrymple (R) and a Republican majority state legislature | N.D. Cent. Code § 39-34-06 | Since 2015, North Dakota has prohibited its cities and counties from imposing taxes on or requiring licenses for transportation network company drivers or from imposing a local rate, among other requirements, on transportation network companies. In 2021, North Dakota passed SB 2149, amending earlier preemption legislation in order to allow airports to regulate TNCs. |
Ohio | 1 | Has law | 2016 | Gov. John Kasich (R) and a Republican majority state legislature | Ohio Rev. Code § 4925.09 | Since 2016, Ohio has prohibited its cities and counties from regulating transportation network companies or from imposing taxes on or requiring a license for transportation network company drivers. Ohio law also states that “a transportation network company shall not be deemed to control, direct, or manage the personal vehicles or transportation network company drivers that connect to its digital network, except when agreed to by written contract.” (This definition will make it more difficult for a court to find that TNCs are employers.) |
Oklahoma | 1 | Has law | 2015 | Gov. Mary Fallin (R) and a Republican majority state legislature | Okla. Stat. tit. 47, § 1030 | Since 2015, Oklahoma has prohibited its cities and counties from imposing taxes on or requiring licenses for transportation network company drivers or from imposing a local rate, among other requirements, on transportation network companies. Oklahoma law also states that “a transportation network company shall not be deemed to control, direct, or manage the personal vehicles or transportation network company drivers that connect to its digital network, except where agreed to by written contract.” (This definition will make it more difficult for a court to find that TNCs are employers.) |
Oregon | 0 | No law | ||||
Pennsylvania | 1 | Has law | 2016 | Gov. Tom Wolf (D) and a Republican majority state legislature | 66 Pa. Cons. Stat § 2603 | Since 2016, Pennsylvania has prohibited municipalities from imposing taxes on or requiring licenses for TNCs. The prohibition does not apply to “first class cities” with populations over 1.5 million (Philadelphia). |
Rhode Island | 1 | Has law | 2016 | Gov. Gina Raimondo (R) and a Democratic majority state legislature | R.I. Gen. Laws § 39-14.2-18; 39-14.2-19 | Since 2016, Rhode Island has prohibited its cities and counties from imposing taxes on or requiring licenses for transportation network company drivers or from imposing a local rate, among other requirements, on transportation network companies. |
South Carolina | 1 | Has law | 2015 | Gov. Nikki Haley (R) and a Republican majority state legislature | S.C. Code Ann. § 58-23-10 | Since 2015, South Carolina has prohibited its cities and counties from imposing taxes on or requiring licenses for transportation network company drivers or from imposing a local rate, among other requirements, on transportation network companies. |
South Dakota | 1 | Has law | 2016 | Gov. Dennis Daugaard (R) and a Republican majority state legislature | S.D. Cod. Laws § 32-40-23 | Since 2016, South Dakota has prohibited its cities and counties from regulating insurance requirements for transportation network companies beyond the state law. |
Tennessee | 1 | Has law | 2016 | Gov. Bill Haslam (R) and a Republican majority state legislature | Tenn. Code Ann. § 65-15-302 | Since 2016, Tennessee has prohibited its cities and counties from regulating transportation network companies. |
Texas | 1 | Has law | 2017 | Gov. Greg Abbott (R) and a Republican majority state legislature | Tex. Occ. Code § 2402.003 | Since 2017, Texas has prohibited local governments and municipalities from imposing a tax; requiring an additional license or permit; setting rates; imposing operational or entry requirements; or imposing other requirements on TNCs (includes exception for airports and cruise terminals). |
Utah | 1 | Has law | 2015 | Gov. Gary Herbert (R) and a Republican majority state legislature | Utah Code Ann. § 13-51-109 | Since 2015, Utah has prohibited city and county government entities, other than public airport operators, from regulating transportation network companies. |
Vermont | 1 | Has law | 2018 | Gov. Peter Shumlin (R) and a Democratic majority state legislature | 23 V.S.A. § 754 | Since 2018, Vermont state law preempts “municipal ordinances, bylaws, or resolutions regulating transportation network companies.” Cities over 35,000 were initially exempted, but this exemption expired in 2022. |
Virginia | 1 | Has law | 2015 | Gov. Terry McAuliffe (D) and a Republican majority state legislature | Va. Code Ann. § 46.2-2099.46, 46.2-2099.47 | Since 2015, Virginia has prohibited its cities and counties from regulating transportation network companies. |
Washington | 1 | Has law | 2022 | Gov. Jay Inslee (D) and a Democratic majority state legislature | RCW 46.72B.190 | Since 2022, Washington state “preempts the field of regulating TNC networks and drivers. No county, city, town, or other municipal corporation may regulate TNCs or drivers, or impose any tax, fee, or other charge on a TNC company or driver.” Includes exceptions for airports, and allows large cities/counties to maintain existing ordinances in place prior to January 1, 2022, for purposes of collecting (but not increasing) taxes, fees, or other charges from TNCs or drivers and maintaining existing licensing systems, but preempts all other preexisting local ordinances. |
West Virginia | 1 | Has law | 2016 | Gov. Earl Ray Tomblin (R) and a Republican majority state legislature | W.V. Code § 17-29-19 and W.V. Code § 17-29-1 | Since 2016, West Virginia has prohibited its cities and counties from regulating transportation network companies. |
Wisconsin | 1 | Has law | 2015 | Gov. Scott Walker (R) and a Republican majority state legislature | Wis. Stat. § 440.465 | Since 2015, Wisconsin has prohibited its cities and counties from regulating transportation network companies. |
Wyoming | 1 | Has law | 2017 | Gov. Matt Mead (R) and a Republican majority state legislature | WY Stat § 31-20-111 | Since 2017, Wyoming has prohibited its cities and counties from imposing taxes on or requiring licenses for transportation network company drivers or from imposing a local rate, among other requirements, on transportation network companies. Includes exceptions for public airports. |
Note: This map catalogs just one of several types of laws states may have in place preempting local governments from establishing certain labor standards, including driver pay and working conditions. For additional examples, see “Workers’ Rights Preemption in the U.S.” (web page), Economic Policy Institute, last updated August 2019.
Source: EPI analysis of state laws.