Patt Johnson

pjohnson@dmreg.com

Ride-sharing service Lyft said it began operating in Iowa Thursday, but Iowa Department of Transportation officials have warned that the company might be operating illegally.

Lyft cannot provide its services in Iowa until a required registration has been completed, said Andrea Henry, a DOT spokeswoman.

Lyft submitted its application and required paperwork to the DOT Thursday afternoon after discussion between the company and the DOT. Henry said the state agency would begin processing the information but did not say when it might issue provisional approval to the California-based company.

Last year, the Iowa Legislature established new rules for ride-sharing companies. It requires liability insurance for vehicles, background checks for drivers and licensing expectations.

The rub is that administrative rules for the legislation have not been completed. Lyft could operate under provisional authority but still needs to supply the state with appropriate information, Henry said.

Lyft said it planned to debut its service in Ames, Cedar Rapids, Davenport, Des Moines, Dubuque, Iowa City, Sioux City and Waterloo. The company began soliciting drivers in the Des Moines area earlier this month.

To use the service, riders request transportation through the mobile Lyft app. Riders pay for and rate the trip using their smartphones.

Lyft operates similarly to Uber, another ride-sharing service that does business in Des Moines. Uber launched in Iowa in 2014 and now has drivers in Des Moines, Ames, Cedar Rapids, Iowa City and the Quad Cities.

Uber faced legal questions and hurdles — often from city and state officials or traditional taxi companies — in many markets across the country, including Des Moines. The Des Moines City Council eventually revised its regulations for transportation-for-hire companies, including Uber.