The Wisconsin State Assembly has passed a bill that would license ride-sharing companies Uber and Lyft statewide and preempt tougher local regulations in the process.
Uber and Lyft drivers use their own cars and rely on mobile apps to generate customers. Under this bill, the companies would have to register with the state and their drivers would have undergo background checks and carry insurance. Passengers would only be allowed to pay with credit cards and could not hail a ride from an Uber or Lyft drivers on the street.
Lake Geneva Republican sponsor Rep. Tyler August said the bill was responding to a product the public wants.
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“The market exists,” said August. “Whether we want it to or not, it’s out there. These companies are operating. So we owe it to our constituents to make sure they’re operating in a safe manner.”
But the proposed regulations are still far less strict than local taxi ordinances, which protect against fee spikes and require round-the-clock service. Madison Rep. Lisa Subeck said there was no reason her city’s rules should be undermined or that Uber and Lyft should be treated differently from taxis.
“They are providing a ride, dispatched to a rider, for a fee, from point A to point B,” Subeck said. “I do not see why they shouldn’t have to abide by the same regulations that our cab companies do.”
The bill passed on a bipartisan 79-19 vote.
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