Uber warned Colorado that it may cease operations in the state entirely if a new bill targeting rideshare companies were to become law.
The Colorado House of Representatives successfully passed a bill designed to “increase protections for persons engaged with transportation network companies” on April 16. Among those protections included conducting a regular criminal background check for drivers every six months and requiring drivers to make audio and video recordings of trips.
The HB25-1291 bill passed on 59-6 bipartisan vote before it was referred to the Senate Committee on Business, Labor, & Technology, where it was amended to the Committee of the Whole on a 4-3 vote on Tuesday. The bill will be reviewed by the state Senate on Friday.
UBER OFFERING DRIVERLESS RIDES IN MAJOR TEXAS CITY
Uber has come out against it since its passing last week. On Wednesday, the company released a new statement suggesting they would have “no choice” but to leave the state over concerns about the bill’s ramifications.
“HB25-1291 is a deeply flawed proposal, which if implemented could leave us no choice but cease operations in Colorado,” an Uber spokesperson said in a statement to KKTV11. “It threatens user privacy by requiring every trip to be recorded, imposes major technical and financial burdens, and offers no clear safety benefit in return. We support real, evidence-based safety policy – not legislation that checks a box but fails to deliver. As written, this bill not only misses the mark, it risks doing more harm than good.”
According to the Colorado Sun, Uber is largely concerned with clauses in the bill that could allow lawsuits for issues like drivers offering passengers food and drinks. The company also opposes the bill requiring Uber to reimburse drivers for the purchase of audio and visual recording equipment.
Fox Business reached out to Uber and the Colorado General Assembly for comment.
Uber has threatened to leave cities and states in the past over legislation it opposes. However, the company rarely follows through on threats even after legislation has been passed.
FTC HITS UBER WITH LAWSUIT OVER BILLING FOR UBER ONE
One recent example included Uber and Lyft threatening to cease operations in Minneapolis in 2024 after the city council successfully overruled Mayor Jacob Frey’s veto of an ordinance to increase minimum wage requirements for drivers.
On May 20, a little over two weeks after the ordinance was set to take effect, Uber and Lyft announced they would continue to operate in the city after Minnesota lawmakers passed a state measure to increase driver pay at a lower rate compared to Minneapolis’ ordinance.
Read the full article here
