Uber office.JPG

Uber headquarters on Market Street in San Francisco. (Associated Press)

A bill proposed in the Alabama Legislature would clear the way for online-based, rider services such as Uber and Lyft to operate in the state and prevent local governments from imposing additional regulations.

An Uber representative applauds the uniform regulations of the bill, but a mayor said bypassing local government participation removes control of which services operate from citizens.

HB 509, filed by Rep. Jack Williams, R-Vestavia Hills, would allow the companies to operate as "transportation network companies" -- separate from taxi or limousine services.

Such companies would be subject to Alabama Public Service Commission oversight.

The bill would require annual safety inspections for vehicles used, third-party background checks on drivers and a zero-tolerance policy for drug and alcohol use. The companies would also have to maintain trip records for a year, and keep driver records for at least one year.

However, the bill also would not allow municipalities to impose any fees or requirements on those companies, their drivers or the vehicles they use.

Within the past year, Uber has had a high-profile struggle to gain a foothold in Alabama cities.

In Birmingham this past summer, city council updated its ordinances for services like Uber and Lyft, much to the ire of Uber supporters who launched an aggressive social media campaign targeting the city.

The company entered the Auburn market but left after that city also tightened its requirements for vehicle-for-hire drivers including insurance and vehicle inspections.

Similar ordinance changes in Huntsville and failed negotiations on tighter enforcement in Tuscaloosa -- where an Uber driver was arrested for drug and alcohol possession and driving on a suspended license -- a also turned the company away.

Uber now is considering a move into the Mobile market.

Uber blasted the local ordinance changes as burdensome, though city officials all said the changes were so companies would conform to existing regulations governing vehicle-for-hire services.

"Broadly speaking, what those ordinances did was take the rule that applied to taxis and fit in 'transportation network companies,'" said Billy Guernier, regional general manager for Uber.

The proposed statewide rules are acceptable, he said. For example, the company already is using a third-party company for background checks.

Guernier repeated Uber's long-held contention that it chiefly differs from taxi services in that Uber's drivers don't use their vehicles for commercial purposes 24/7. Insurance coverage for partial ridesharing work is becoming more common, which is making that more possible.

The company is pushing similar bills in at least a dozen other states where they "see the need for these changes," Guerner said.

A similar bill recently was passed by the Arkansas Legislature. If Alabama's bill passes, it will also be "smart, sensible regulation that protects drivers and riders but also protects the competition," Guernier said.

Tuscaloosa Mayor Walt Maddox said he still is studying the bill and what impacts it would have.

While rider services like Uber represent good models for future transportation, placing their oversight with the state public service commission removes people's power to determine what's best for their communities, he said.

"Ultimately, with vehicles-for-hire, which have been a local responsibility, local governments are going to be the ones the public turns to to address issues of safety and accessibility," Maddox said.

Consistent rules are needed, but safety, thorough background checks and vehicle inspections can't be sacrificed, Maddox said.

Tuscaloosa's rules were to "level the playing field" among all transportation service companies by putting everyone under the same requirements, whether taxis or ridesharing, he said.

Maddox said the bill is a good-faith effort to bring about a solution and could spark discussion needed for progress. However, with the potential for vehicle-for-hire service to grow very popular in cities, the PSC would inherit a massive responsibility.

"I would imagine they have enough on their plate in discharging their duties to take on this burden," Maddox said.

The bill has had its first reading. The legislation has been referred to the state House Small Business and Commerce Committee.