Rachel Beck, director of safety-public policy at the Colorado Competitive Council, said House Bill 25-1291 could drive companies out of Colorado. Her comment came during public testimony.
"It sets up unrealistic driver oversight requirements, data privacy concerns, significant compliant costs, and significant liability," said Beck, Executive Director. "The companies, as you also heard, have offered their willingness to continue to work on reasonable alternatives. If you make it impossible for companies to comply with laws that don't accomplish the goal, then sometimes they will go and do business elsewhere. I don't say it lightly, because generally businesses will figure out how to comply even when it's challenging."
Colorado House Bill 25-1291 has generated debate due to its proposed regulations on transportation network companies (TNCs). The bill seeks to reduce the maximum consecutive driving hours for TNC drivers from twelve to ten and requires fingerprint-based criminal history checks before employment and every six months thereafter. These provisions have raised apprehensions among stakeholders about increased operational burdens and potential driver shortages. Notably, Uber has threatened to withdraw from Colorado if the bill is passed, highlighting possible adverse effects on the state's ride-sharing industry, according to The Colorado Sun.
According to redlines submitted by Uber, the company advocates for removing the bill’s personal private right of action (PRA), arguing it is unnecessary and could lead to costly lawsuits. They emphasize that the Public Utilities Commission (PUC) already enforces TNC compliance and that individuals harmed during a TNC trip can seek compensation through existing legal channels. Uber warns that the PRA's broad language would create opportunities for lawsuits over minor violations, with consumers ultimately bearing these costs.
Uber has cautioned Colorado legislative leaders that House Bill 25-1291 could compel them to cease operations statewide. In a letter addressed to Majority Leader Robert Rodriguez and House Speaker Julie McCluskie, Uber said that requirements for continuous audio and video recording of rides and a broad private right of action are impractical and would expose both the company and its drivers to excessive litigation. The company also objected to the bill’s prohibition on arbitration agreements, arguing it contravenes federal law and established court precedent. Uber criticized the selective application of the bill to rideshare companies but not taxis or livery services as arbitrary and warned it would increase consumer costs.
Rachel Beck serves as Executive Director of the Colorado Competitive Council with over two decades of experience in public policy development, campaign management, and strategic communication. She oversees policy advocacy efforts across Colorado.