The International Association of Transportation Regulators (“IATR”) has pioneered providing model regulations for the rapidly-evolving for-hire ground transportation sector. Taxis have been at the forefront of transportation regulation for more than a century, but the last decade has witnessed an influx of new players, namely app-based, on-demand transportation services. Providers of these apps are generally referred to by regulators as Transportation Network Companies (“TNCs”), private hire vehicles (“PHVs”), for-hire vehicles (“FHVs”), point-to-point transportation, or peer-to-peer networks. Whatever you call it, this technology has permanently altered the for-hire transportation regulatory landscape.

After more than a decade of operations in varying forms around the globe, it is clear that TNCs are a part of the for-hire transportation framework. In almost all of the U.S., TNCs have been operating under a regulatory framework designed for their unique operations. It is a “selfregulation” model of sorts, where TNCs are required to follow the established regulations pertaining to insurance coverage, driver and vehicle qualifications and standards, and operating requirements.

In recent years, TNCs have forged partnerships with taxi operators around the world, promoting the model that the demand for ridesourcing and the supply of taxis can benefit both parties, while improving mobility options in cities. However, there is a long way to go on this new mobility marriage. In many markets, these new partnerships face regulatory challenges, and mutually-beneficial policy strategies can be difficult to navigate at the local level.

In most places, taxis continue to be governed by regulations that are not aligned with modern-day consumer expectations for travel. To remedy that, this IATR project brings together regulators, academics, experts, and industry stakeholders to survey the regulatory landscape to make recommendations for improved regulatory conditions. The goal of this project is twofold: 

1. Identify precedents and regulatory best practices that shape positive outcomes for both TNCs and taxis while expanding mobility options for riders; and

2. Coordinate a master plan for normalizing and modernizing TNC and taxi regulations to be more adaptable to market changes and innovation. The IATR explored specific challenges and issues with taxi regulations, including the following: