Comment from The Transportation Alliance

The Transportation Alliance (TTA) strongly agrees with the FTA’s clarification on the application of drug and alcohol testing requirements. TTA was actively involved in the creation of the “taxicab exemption”, however, we believe this exemption was meant for specific instances, not as a blanket exemption that certain TNCs have been attempting to make it. •This is NOT a new rule or modification; it is a clarification to stop the misinterpretation of an existing rule. •Micro transit and ADA Paratransit services will not be eliminated under this clarification. Abuse and disregard of the FTA’s drug and alcohol testing requirements will, however, end. As evidence of this, just this week New Jersey announced that they would be replacing Uber and Lyft with Via and Uzurv on their micro transit and Paratransit offerings. This move was made solely because of the former companies, decision not comply with drug and alcohol testing requirements, and the latter companies’ already compliance with these requirements. •Many people mistakenly believe on-demand technology is confined only to the big TNCs of the world, that is not true. •ADA Paratransit drivers to operate without being subjected to drug and alcohol testing requirements does, in fact, violate the essentially equal services standard. Why should a passenger needing to access transportation through an ADA Paratransit program that is outsourced to, say, Uber not have the security of a safe trip with a drug and alcohol tested driver, the same as anyone who can ride a fixed route bus can expect. •The cost to provide ADA Paratransit and micro-transit services will escalate was also cited as a reason to continue the abuse of the taxicab exemption. One could really drive the cost of services down if we didn’t require insurance on vehicles and drivers, or if drivers were allowed to drive around in old and unsafe vehicles. However, no one would argue that those cost savings would outweigh the risks to the passengers. The Transportation Alliance believes the following with respect to the FTA’s clarification of the rules regarding drug and alcohol testing: •Ensures Compliance with Federal Transit Policy since the taxicab exception was never intended as a loophole for large, multinational corporations to bypass federal transit regulations. Certain Transportation Network Companies (TNCs) have long operated in a regulatory gray area, and the FTA’s update simply aligns their participation with existing policies that apply to all federally funded transit services. •Promotes Fair Competition because despite some TNCs arguments that the new compliance measures could force them out of transit partnerships, the requirements apply to all private-sector entities seeking public transit funding. By holding everyone to the same standard, the FTA is fostering fair competition rather than disadvantaging any one provider. •Protects Public Transit Funds as public transit dollars should be used to strengthen reliable, accessible, and equitable mobility solutions—not to subsidize companies that have historically resisted regulations on wages, labor rights, and accessibility. Certain TNCs have often sidestepped requirements such as ADA compliance and driver labor protections. If these TNCs chooses to withdraw from transit partnerships rather than comply with these critical protections, that is a business decision, not a regulatory failure. •Continues to insure “equivalent services” for complementary Paratransit services by providing ADA Paratransit passengers with the same safety protocols that fixed route passengers expect and rely on. Uber and certain transit agencies have argued that they cannot provide equivalent services under this clarified ruling, however, their logic doesn’t follow through when their route to provide “equivalent services” is to comprise on passenger safety by eliminating drug and alcohol testing requirements for outsourced ADA and Paratransit services. •A History of Exaggerated Regulatory Concerns is once again on full display in this argument. What is at risk with this rule clarification is not micro-transit and ADA Paratransit services, rather it is simply TNC’s, such as Uber, ability to perform this services. TTA members stand willing and able to take on these contracts while complying with drug and alcohol testing requirements should currently contracted operators decide not to comply. During your podcast Jen Shepherd of Uber said that these are just a small piece of Uber’s business and they only do it because they feel they have to. Again, step aside and let those of us with professionally trained drivers do it! Dan Reid President, The Transportation Alliance