Calif. Commission to Vote on Rental Car Ban in Ride Sharing

A Lyft driver. Photo courtesy of Lyft.
A Lyft driver. Photo courtesy of Lyft.

The California Public Utilities Commission (CPUC) postponed voting on a proposed rule that would ban ride-sharing drivers (Lyft, Uber) from using rental cars to pick up passengers if the driver signed a lease for less than four months, according to a report by the Santa Cruz Sentinel.

The proposal faced pushback from drivers and rental car companies that partner with Uber and Lyft, says the report.

“There might be some benefit to going back and developing the record more on this question, Commissioner Liane Randolph said during a public hearing. “I still think that ‘personal vehicle’ doesn’t just necessarily mean that you just run down to Joe’s car lot and pick one up.”

Commissioners voted 4 to 1 to approve other changes to ride-share regulations, says the report. Under the new regulations, drivers must submit to heightened vehicle inspection standards and need to display their company logo in both the back and front of their vehicles.

Additionally, transportation network companies (TNCs) — like Lyft and Uber — must submit additional information to the commission about drivers who are suspended and provide data about how they calculate their carpool fares, says the report.

These new mandates are updates to the rules approved by the commissions when they first legalized ride-sharing for personal vehicles in 2013.

Click here to view the full Santa Cruz Sentinel report:


  1. Michael T. [ April 27, 2016 @ 09:34AM ]

    I'm still waiting on CPUC to revoke its erroneous misguided TNC (transportation network company) decision.

    Uber's model doesn't fit into legally defined ride-sharing model where both a driver and a passenger go to the same destination on their
    own businesses.

    What Uber does is 100% for-hire transportation that fits perfectly into how taxis operate.

    Renaming it as "TNC" - or anything else for that matter - is misleading.

  2. Jeff H. [ April 27, 2016 @ 11:01AM ]

    I personally emailed the CPUC members to STOP Uber/Lyft from using rental vehicles. The driver should use their OWN vehicles that get inspected annually. Imagine the lawsuits when an accident happens in a rented vehicle is used as a taxi!

Comment On This Story

Comment: (Max. 10000 characters)  
Please leave blank:
* Please note that every comment is moderated.


Newsletter: Sign up to receive latest news, articles, and much more.

Read the latest

Auto Focus Blog: A blog covering fleets, auto rental and the business of cars

6 Takeaways from the 2018 International Car Rental Show

Technological solutions are finally moving from reality to theory, peer-to-peer platforms are being redefined, China has the biggest room for growth, while Sixt’s U.S. aspirations have only just begun.

The Irony of Customer Service in the Digital Age

Sure, any company would jump at the chance to use technology to reduce labor costs. But it also comes with some big, red, flashing warning lights.

Market Forces Driving Car Rental in 2018

An analysis of the conference calls of Avis Budget Group and Hertz Global Holdings reveal trends and initiatives involving fleet right sizing, pricing, ancillary revenue opportunities, and renting to ride-hailing drivers.

Job Finder: Access Top Talent. Fill Key Positions.