Tennessee Senate Bill SB0818

Tennessee 2025-2026 Regular Session

• Introduced: 2/4/25

Caption

AN ACT to amend Tennessee Code Annotated, Title 55 and Title 65, Chapter 15, Part 3, relative to transportation network companies.

Summary

SB0818 would create a new state licensing requirement for transportation network drivers, such as ride-hail drivers working for transportation network companies. Under the bill, a person must obtain a transportation network license from the Tennessee Department of Commerce and Insurance before accepting or transporting a prearranged ride originating in Tennessee. In general, the license would be available only to individuals with a valid Tennessee driver license, although residents of DeSoto County, Mississippi, and Crittenden County, Arkansas, would also be eligible if they provide proof of residency. The license would be valid for one year and renewable online. The department would also be directed to adopt rules governing suspension or revocation of a license for serious traffic violations, criminal offenses, or other good cause. Drivers without a valid license could not take rides originating in Tennessee, though the bill would still allow rides that begin in another state and end in Tennessee. Transportation network companies would be prohibited from authorizing unlicensed drivers to take Tennessee-originating rides, and violations could result in a $1,000 civil penalty per violation and, for repeated willful or wanton violations, suspension or revocation of the company’s authority to operate in the state.

Impact

The bill would amend Tennessee Code Annotated Title 65, Chapter 15, Part 3, by adding a new licensing framework for transportation network drivers and by authorizing the Department of Commerce and Insurance to regulate, enforce, and promulgate rules for that framework. It would also affect transportation network companies by imposing compliance obligations and financial penalties, while limiting who may legally accept rides originating in Tennessee. The act is set to take effect for rulemaking immediately upon becoming law, with the substantive provisions taking effect January 1, 2026.

Sentiment

The bill’s stated purpose and legislative findings reflect a generally supportive posture toward tighter regulation of ride-hail activity, emphasizing local driver competition, traffic congestion, and keeping tourism dollars in Tennessee. Based on the text provided, the measure appears designed to favor in-state drivers and create a more controlled market for transportation network services. No committee transcript or vote record was provided, so there is no additional evidence of debate, amendment, or recorded support/opposition beyond the bill’s own findings.

Contention

The main point of contention suggested by the bill text is whether Tennessee should require a state-specific license for ride-hail drivers and restrict out-of-state drivers from taking rides that originate in Tennessee. Supporters appear to view the measure as a necessary licensing regime to protect local drivers and address congestion, while opponents would likely argue that it limits driver flexibility, reduces cross-border labor mobility, and could reduce consumer choice. The bill also creates enforcement exposure for transportation network companies through per-violation fines and possible suspension or revocation, which would likely be another area of concern for the industry.