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Bill Summary · HB 1424

Summary: HB 1424 (2026A) — Colorado Transportation Network Company Consumer Protection

Purpose and intent
- Establishes enhanced consumer and rider protections for Transportation Network Companies (TNCs), including stricter driver screening, ongoing background checks, privacy protections, safety requirements, and data reporting.
- Seeks to address safety concerns (assaults, fraud, imposter drivers, account sharing) and improve transparency and accountability within the TNC industry.

Key provisions and changes

1) Driver criminal history checks and ongoing screening
- For large TNCs (1,500+ drivers), the company must pay for the required criminal history record checks for drivers.
- Requires privately administered criminal history record checks for each driver at least every 6 months after the initial check.
- Requires privately administered criminal history checks if a complaint is filed against a driver with the TNC or the Colorado Public Utilities Commission (PUC).
- Adds a deactivation review process when complaints arise; information sharing between TNCs about deactivations to be developed by rule.

2) Imposter drivers and account integrity
- Defines and targets imposter drivers (IMPOSTER DRIVER) and account sharing/renting.
- Requires policies to prevent account sharing and impersonation; includes procedures for flagging suspicious driver accounts.

3) Complaint handling and legal process
- TNCs must respond to subpoenas or search warrants related to complaints within 72 hours.

4) Audio and video recording of prearranged rides
- TNCs must allow opt-in audio and video recording for each prearranged ride, and integrate recording into the platform.
- By June 1, 2028, the Commission must adopt rules on access, ownership, storage, notification, education, and data handling related to recordings.

5) Public policy and contract provisions
- Prohibits contracts that attempt to waive specified rights, including rights under the Colorado Consumer Protection Act, jury trial rights for sexual misconduct/assault claims, and mandatory arbitration clauses limiting relief for such claims.

6) Data submission and transparency
- Requires annual (and Feb 1) data submissions on incidents, safety, and discrimination to the Commission, the Attorney General, and state legislators starting Feb 1, 2027, then annually thereafter.
- Data to include: number and type of safety incidents (physical/sexual assault, threats, stalking, harassment, theft, accidents, homicide), discriminatory incidents, safety-related reports, and specific accident details.
- Establishes an accident registry retained for 3 years, with reporting to the Commission within 30 days of an incident.

7) Safety policies and rider/driver protections
- TNCs must develop and enforce comprehensive safety policies, including:
- Preventing imposter drivers and account sharing.
- Preventing sexual assault, physical assault, and homicide involving drivers.
- Prohibiting unaccompanied youth under 15 from transportation unless authorized within a family account.
- Allowing drivers to refuse prearranged rides to unauthorized users.
- Notifying and training drivers and riders on policy updates.
- Prohibiting non-sealed food/beverages from being given to riders (with specific exceptions).
- Requiring reporting of driver convictions or guilty pleas to specified offenses.

8) Ratings and privacy
- Prohibits altering ratings or automatically assigning ratings not chosen by the respective party.
- Permits deletion of ratings/reviews if motivated by fraud or bias; negative reviews influenced by fraud or bias cannot be used against a driver in deactivation reviews.

9) Biometric data and privacy
- Prohibits collecting biometric data or identifiers without consent.
- If biometric data is collected, it must comply with Colorado Privacy Act provisions.

10) Civil penalties
- The Colorado Public Utilities Commission may assess civil penalties up to $1,500 per violation for violations of the TNC consumer protection provisions (Part 6 of Title 40).

11) Deactivation/disclosure requirements
- Expands the deactivation/suspension policy disclosures to require availability in multiple languages.
- Requires a process to initiate a driver deactivation review within seven business days after a complaint is filed.

12) Exceptions and applicability
- Certain provisions do not apply to TNCs that primarily serve minors or derive most revenue from contracts with public/private schools, government entities, or where a high percentage of drivers comply with Commission rules.

Effective date and applicability
- Specific sections (e.g., certain subsections of 40-10.1-605 and related sections) take effect January 1, 2027.
- The remainder takes effect upon final adjournment or later, with a potential referendum delaying effective dates if challenged. Full compliance timelines are outlined, including June 1, 2028 rule adoption deadlines for audio/video, data retention, and related processes.

Who is affected
- Transportation Network Companies (both large-scale and small-scale) operating in Colorado.
- Drivers and riders using TNC services.
- State regulators: Colorado Public Utilities Commission, Attorney General, and the General Assembly.
- Potentially affected third-party platforms handling driver data and complaints.

Procedural/timeline highlights
- Mandatory private background checks for drivers (initial + ongoing every 6 months for large TNCs).
- Audio/video recording deployment by 2028 with regulatory rules to follow.
- Annual safety and discrimination incident reporting beginning Feb 1, 2027.
- Deactivation review and information-sharing processes established by rule.
- Multilingual deactivation policy disclosures and notification timelines.
- Penalty provisions kick in for violations, with penalty amounts scaled by company size.

Compiled from official sources — confirm details with the bill’s official record.

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