New law regulates rideshare companies like Uber, Lyft

Posted at 9:03 PM, Mar 21, 2017
and last updated 2017-03-21 21:04:34-04

GRAND RAPIDS, Mich. — A new Michigan law goes into effect Tuesday that regulates ride sharing services such as Uber and Lyft. The companies will now be regulated the same as limousines and taxicabs.

The law requires ride sharing companies to conduct criminal background checks on drivers and will mandate inspections on vehicles more than five years old to be performed by a licensed mechanic.

Michigan Licensing and Regulatory Affairs says that ride sharing companies will register with them by submitting an application. The application fee ranges from $25 to $100, and an annual fee ranges from $100 to $30,000. LARA says fees will be on a per vehicle basis.

“We are thrilled the Michigan legislature has established statewide ride sharing regulations that will allow Uber to continue providing the flexible earning opportunities and safe, reliable transportation options Michiganders have grown used to,” Uber public affairs associate Charity Jackson told FOX 17. “And we look forward to expanding operations across the state now that this framework is in place.”

Drivers must also be at least 19 years old, not be listed on the National Sex Offender public website, and not have any major driving violations from the past three years.

Ride sharing drivers won’t be required to have a chauffer license.

Michigan lawmakers say the goal of the regulations is to level the playing field between ride sharing businesses and the cab industry.