(a) An entity may not operate a transportation network company inside
the city without a transportation network company permit granted under
this chapter.
(b) A driver for a transportation network company may not transport a
passenger within the city limits unless the entity that employs or
contracts with the driver has been granted a transportation network
company permit under this chapter.
(c) Nothing in the transportation network company permit shall be construed
as granting to the transportation network company a franchise to use
city streets.
(Ordinance 2016-O0077, sec. 3, adopted 5/12/2016)
To obtain a transportation network company permit, an applicant
shall submit an application in the manner prescribed by this section.
The applicant must be the entity that is the owner, controller, or
operator of the proposed transportation network company. An applicant
shall file with the city secretary a nonrefundable application fee,
as set forth and established annually in the city’s budget ordinance,
and an application containing and certifying the following:
(1) The form of business of the applicant and the name and address of
each entity with a twenty percent (20%) or greater ownership interest
in the applicant’s business;
(2) If the applicant is a corporation or association, a copy of the documents
establishing the applicant’s corporation or association;
(3) The verified signature of the applicant’s signatory;
(4) The address of the fixed facilities to be used as the applicant’s
primary place of business in the city, if any, and the address of
the applicant’s headquarters, if different from the address
of the fixed facilities;
(5) The name of the entity designated by the applicant to receive notice
on behalf of the transportation network company, and that entity’s
contact information, including a mailing address, telephone number,
and email or other electronic address;
(6) That the transportation network company requires its drivers to undergo
an annual local, state, and national criminal background check by
a nationally accredited third-party background check provider;
(7) That the transportation network company’s drivers are required
to maintain a physical or digital identification card displayable
within their vehicles that contains a photograph of the driver, the
full name of the driver, the name of the transportation network company,
and a means to contact the transportation network company;
(8) That all vehicles operating under the transportation network company
permit have been inspected by a state authorized vehicle inspector,
possess a current state-issued registration, and meet all required
vehicle safety standards, as required under this chapter;
(9) That the transportation network company and all of its drivers are
covered by a valid insurance policy, as described in this chapter,
from an insurance company listed as an authorized auto liability lines
carrier on the Texas Department of Insurance’s List of Authorized
Insurance Companies, or a surplus lines insurer listed on the Texas
Department of Insurance’s list of Eligible Surplus Lines Insurance
Companies;
(10) A tax certificate showing the payment of ad valorem taxes on the
transportation network company’s local property, if any, to
be used by the transportation network company in connection with its
business; and
(11) A copy of the applicant’s zero-tolerance policy for intoxicating
substances.
(Ordinance 2016-O0077, sec. 3, adopted 5/12/2016)
Any change to the information provided by the applicant in its
transportation network company permit application must be reported
in writing to the city secretary within ten (10) days of the change
in the manner prescribed by the city secretary.
(Ordinance 2016-O0077, sec. 3, adopted 5/12/2016)
A transportation network company permit expires one (1) year
from the date it is issued.
(Ordinance 2016-O0077, sec. 3, adopted 5/12/2016)
(a) If the city secretary determines that a transportation network company’s permit should be denied, suspended, or revoked, the city secretary shall then issue a correction order to the transportation network company notifying it that its permit is denied, suspended, or revoked, with such correction order detailing the reason for the denial, suspension, or revocation of the transportation network company permit, the procedure to remedy the violation, and a statement informing the transportation network company of its right of appeal the denial, suspension, or revocation of its permit to the permit and license appeal board in the manner set out in chapter
2 of this code.
(b) Denial.
The following shall constitute grounds for denial
by the city secretary of a transportation network company permit:
(1) The determination by the chief of police that the applicant is not
qualified under this chapter;
(2) The applicant knowingly makes any false statement in its application
statement; or
(3) The applicant has knowingly violated any city, state, or federal
law or regulation.
(c) Suspension.
The following regulations apply to the suspension
of a transportation network company permit:
(1) The city secretary shall suspend a transportation network company
permit if the city secretary determines that the transportation network
company failed to comply with a correction order issued by the city
secretary within the time specified in the correction order.
(2) The expiration date of the transportation network company permit
is not tolled or extended by a suspension.
(3) The city secretary may reinstate a suspended transportation network
company permit if the transportation network company complies with
the correction order and pays a reinstatement fee as such reinstatement
fee is set forth and established annually in the city’s budget
ordinance.
(d) Revocation.
The following regulations apply to the revocation
of a transportation network company permit:
(1) The city secretary shall revoke a transportation network company
permit if the city secretary determines that the transportation network
company:
(A) Knowingly made a false statement in its application statement;
(B) Failed to maintain the insurance required by this chapter; or
(C) Knowingly violated any city, state, or federal law or regulation.
(2) After revocation of its transportation network company permit, a
transportation network company is not eligible for another transportation
network company permit for a period of up to two (2) years, depending
on the severity of the violation resulting in the revocation as determined
by the city secretary after its review of the revocation.
(e) It shall be unlawful under this chapter for any entity to operate
as a transportation network company if it fails to comply with a correction
order notifying it of the denial, suspension, or revocation of its
transportation network company permit.
(Ordinance 2016-O0077, sec. 3, adopted 5/12/2016)
A transportation network company permit is not transferable.
This regulation should not be construed to impede the continuing use
of trade names.
(Ordinance 2016-O0077, sec. 3, adopted 5/12/2016)
(a) A transportation network company shall employ, maintain, and enforce
a zero-tolerance policy prohibiting the use of intoxicating substances
by its drivers while they are on duty.
(b) A transportation network company shall include on its website a notice
of the transportation network company’s zero-tolerance policy
for intoxicating substances, and information on how passengers may
report a possible violation of the policy to the transportation network
company and to the city.
(Ordinance 2016-O0077, sec. 3, adopted 5/12/2016)
The transportation network company’s website, or any form
of the website, such as an “app” or other type of digital
network, must be the primary way through which the transportation
network company’s drivers and passengers are able to reserve,
participate in, or pay for any transportation network company service.
This section does not prohibit the use of a telephone as a means of
connecting a transportation network company’s drivers and passengers.
(Ordinance 2016-O0077, sec. 3, adopted 5/12/2016)