S2931

An Act establishing requirements for on-demand micro transit programs operating within the State and supplementing Title 27 of the Revised Statutes.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. As used in P.L. , c. (C. ) (pending before the Legislature as this bill):

“Commissioner” means the Commissioner of Transportation.

“Corporation” means the New Jersey Transit Corporation.

“Department” means the Department of Transportation.

“On-demand micro transit” means publicly available, technology-enabled, shared transportation provided by means of a motor vehicle to individuals selecting a pick-up and drop-off location by telephone or through a mobile application, and which transportation is provided at a time selected by the individual or as soon as possible after the individual selects pick-up and drop-off locations for such transportation.

“On-demand micro transit program,” “micro transit program,” or “program” means any on-demand micro transit program operated in the State by the New Jersey Transit Corporation, a county transit agency, or any other entity.

“Software services” means technology to enable the New Jersey Transit Corporation, a county transit agency, or any other entity to provide an on-demand micro transit program with transportation services provided by employees under the conditions and in compliance with the requirements described in P.L. , c. (C. ) (pending before the Legislature as this bill). “Software services” shall not include a digital network as that term is defined in section 2 of P.L.2017, c.26 (C.39:5H-2).

“Transit desert” means a municipality, or physically contiguous area in the State, in which, as of the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), residents have limited access to public transportation services, including motorbus regular route service, rail passenger service, and light-rail passenger service.

2. The Commissioner of Transportation shall establish and issue requirements for the operation of any on-demand micro transit program within the State. These requirements shall provide that:

a. employees of the New Jersey Transit Corporation, a county transit agency, or any other entity are responsible for directly operating transportation services provided by an on-demand micro transit program, except that:

(1) the entity may outsource software services to one or more third parties as necessary for the operation of the program; and

(2) an entity that does not employ public transportation drivers may provide on-demand micro transit services through a third-party contractor provided that:

(a) existing employees of any third‑party contractor providing transit services are offered employment in the on-demand micro transit program at no less than their existing wages, hours, working conditions, and benefits;

(b) third-party contractors that provide on-demand micro transit services shall directly employ all on-demand micro transit drivers; and

(c) any contract or agreement between an entity and a third-party contractor, wherein the entity is using public funding to fund the on-demand micro transit program in whole or in part, includes a precondition that the contractor and all subcontractors of the contractor enter into an agreement with one or more labor organizations which represent or seek to represent the contractor’s employees, which agreement requires any participating labor organization and its members to agree to refrain from work stoppages, boycotts, or other economic interference against the contractor for the duration of the agreement;

b. on-demand micro transit drivers hold a valid commercial driver license;

c. on-demand micro transit drivers are compensated at no less than the same wages, hours, working conditions, and benefits as other drivers directly employed by the entity providing on-demand micro transit service;

d. existing employees of the entity and, if applicable, its existing transportation contractors, and the corporation are not adversely affected by the establishment and operation of the on-demand micro transit program;

e. each on-demand micro transit program creates additional transit service to transit deserts, rather than replacing existing transit services;

f. on-demand micro transit services are available to persons without access to smart phone technology, Internet service, or a credit card;

g. on-demand micro transit services include accessibility features to accommodate the mobility needs of persons with disabilities at the same service levels as the general population, including wheelchair-accessible vehicles, and an accessible mobile application;

h. an entity that uses public funding to fund the on-demand micro transit program, in whole or in part, reports data on any on-demand micro transit program to the corporation by the first day of each month, including the previous month’s average:

(1) cost per ride;

(2) passengers per trip;

(3) passenger wait times; and

(4) miles driven without a passenger;

i. the corporation publishes the data reports described in subsection h. of this section on its Internet website on a quarterly basis; and

j. the commissioner, in consultation with the corporation, may establish any other rules, guidelines, or protocols that the commissioner, in consultation with the corporation, deems necessary.

3. a. There shall be established in, but not of, the New Jersey Transit Corporation, a Micro Transit Oversight Committee, which shall review each micro transit plan established by the New Jersey Transit Corporation, a county transit agency, or any other entity and certify that the plan meets all of the requirements of section 2 of P.L. , c. (C. ) (pending before the Legislature as this act).

b. The committee shall be comprised of three members as follows:

(1) a representative from the New Jersey Transit Corporation appointed by the Governor upon recommendation of the executive director of the corporation;

(2) a member of the New Jersey General Assembly appointed by the Speaker of the General Assembly; and

(3) a member appointed by the President of the Senate upon recommendation of the labor organization representing the plurality of the employees of the corporation involved in motorbus operations; provided that if at any time during the term of appointment, the member ceases to be affiliated with the labor organization representing a plurality of the relevant segment of employees of the corporation, the labor organization may, thereupon or at any time thereafter during such term, recommend a new member to the President of the Senate for appointment to serve the remainder of the term.

Each member shall serve for a term of one year and until the appointment and qualification of a successor. A majority of the membership of the committee shall constitute a quorum for the transaction of committee business, and action may be taken at any meeting by the affirmative vote of a majority of the membership of the committee.

c. The New Jersey Transit Corporation, a county transit agency, or any other entity shall not provide on-demand micro transit service until the entity receives the certification required by this section.

4. a. The Department of Transportation shall be the lead agency responsible for the oversight, implementation, and enforcement of the provisions of P.L. , c. (C. ) (pending before the Legislature as this bill).

b. The Commissioner of Transportation shall adopt rules and regulations, pursuant to the “Administrative Procedure Act,” P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of P.L. , c. (C. ) (pending before the Legislature as this bill).

5. This act shall take effect immediately.

STATEMENT

This bill requires the Commissioner of Transportation (commissioner) to establish and issue requirements for the operation of on-demand micro transit programs, as outlined in the bill.

The bill also establishes the Micro Transit Oversight Committee (committee), which is required to review each on-demand micro transit plan established by the corporation, a county transit agency, or other entity and to certify that the plan meets the requirements established under the bill. The committee is to be comprised of three members, as provided in the bill, who are to serve a one-year term.

The bill provides that a majority of the membership of the committee constitutes a quorum for the transaction of committee business, and action may be taken at any meeting by the affirmative vote of a majority of the membership of the committee. An entity is prohibited from providing on-demand micro transit service until the entity receives the certification required by the bill.

Under the bill, “on-demand micro transit” is defined as publicly available, technology-enabled, shared transportation provided by means of a motor vehicle to individuals selecting a pick-up and drop-off location by telephone or through a mobile application, and which transportation is provided at a time selected by the individual or as soon as possible after the individual selects pick-up and drop-off locations for such transportation.