[Congressional Record Volume 148, Number 145 (Tuesday, November 12, 2002)]
[House]
[Pages H8083-H8085]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




               REAL INTERSTATE DRIVER EQUITY ACT OF 2001

  Mr. PETRI. Mr. Speaker, I move to suspend the rules and concur in the 
Senate amendments to the bill (H.R. 2546) to amend title 49, United 
States Code, to prohibit States from requiring a license or fee on 
account of the fact that a motor vehicle is providing interstate pre-
arranged ground transportation service, and for other purposes.
  The Clerk read as follows:

       Senate amendments: Page 3, strike out lines 1 through 7 and 
     insert:
       ``(i) transportation by the motor carrier from one State, 
     including intermediate stops, to a destination in another 
     State; or
       ``(ii) transportation by the motor carrier from one State, 
     including intermediate stops in another State, to a 
     destination in the original State.
       ``(2) Intermediate stop defined.--In this section, the term 
     `intermediate stop', with respect to transportation by a 
     motor carrier, means a pause in the transportation in order 
     for one or more passengers to engage in personal or business 
     activity, but only if the driver providing the transportation 
     to such passenger or passengers does not, before resuming the 
     transportation of such passenger (or at least 1 of such 
     passengers), provide transportation to any other person not 
     included among the passengers being transported when the 
     pause began.
       Page 3, line 8, strike out ``(2)'' and insert ``(3)''
       Page 3, line 18, strike out ``require'' and insert 
     ``require, in a nondiscriminatory manner,''.
       Page 3, line 22, after ``to'' insert ``pre-licensing drug 
     testing or''
       Page 3, line 24, strike out all after ``domiciled,'' down 
     to and including ``or'' in line 25.
       Page 4, line 2, after ``service,'' insert ``or by the motor 
     carrier providing such service,''.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Wisconsin (Mr. Petri) and the gentleman from Minnesota (Mr. Oberstar) 
each will control 20 minutes.

[[Page H8084]]

  The Chair recognizes the gentleman from Wisconsin (Mr. Petri).
  Mr. PETRI. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, the Real Interstate Driver Equity Act of 2001, known as 
H.R. 2546, was introduced by our colleague the gentleman from Missouri 
(Mr. Blunt). This legislation is needed to solve a problem that arises 
when a for-hire vehicle, usually a limousine or sedan, travels across a 
state line in interstate commerce.
  As the law is written today, State and local jurisdictions can 
require for-hire vehicles to be licensed in multiple States. In some 
cases, if they do not pay for additional licenses, the for-hire vehicle 
can only drop its passenger in another State. They cannot make 
incidental stops or return the same passenger to his original departing 
State.
  For example, a traveler might arrange to be picked up at an airport. 
On the way home to another State, a common occurrence in Washington, 
D.C. and in many other communities, the traveler might wish to stop and 
have dinner within the State he arrived in. This sounds reasonable. 
What could be the objection? Unfortunately, that stopover could result 
in the for-hire car being towed, ticketed and impounded. The traveler 
would be stranded, the car service is left without a vehicle and faces 
hundreds or even thousands of dollars in fines and in fees.
  This is not a fair practice, and H.R. 2546 corrects the problem. For-
hire car services providing prearranged ground transportation should be 
able to engage in interstate commerce. However, some restrictions 
currently in place would still apply. For example, this legislation 
does not allow a carrier to operate in another jurisdiction with new 
clients that were not pre-arranged as though they were licensed within 
that jurisdiction. The bill also protects the right of transportation 
terminal operators to provide preferential access and for States to 
require criminal background checks.
  This bill does not provide any direct financial relief for the hard-
hit ground transportation industry. However, it does reduce an 
unnecessary burden and will increase choice, sufficiency and 
convenience for consumers.
  The bill was reported by the House Committee on Transportation and 
Infrastructure on November 7, 2001, and passed the House on November 13 
of that year. Last month the Senate amended the bill slightly by more 
specifically defining intermediate stops and making some other minor 
technical corrections. These changes are agreeable to the House 
sponsors of the legislation and to the Committee on Transportation and 
Infrastructure, and I urge the House to pass H.R. 2546 today.
  Mr. Speaker, I reserve the balance of my time.
  Mr. OBERSTAR. Mr. Speaker, I yield myself such time as I may consume.
  (Mr. OBERSTAR asked and was given permission to revise and extend his 
remarks.)
  Mr. OBERSTAR. Mr. Speaker, I express my great appreciation to the 
distinguished gentleman from Wisconsin (Mr. Petri) for moving this 
legislation, and, of course, to the Chair of the full committee for 
moving the bill through subcommittee, the full committee and getting it 
to the floor today.
  This legislation bears a rather disarming title, the Real Interstate 
Driver Equity Act. The title itself belies the rather intense feelings 
that accompany this legislation and generated it, in fact, and that we 
are able to bring the bill to the floor today is something of a marvel 
in itself, because it really has meant bridging some very serious 
differences among States.
  The gentleman from Wisconsin (Mr. Petri), the chairman of the 
subcommittee; the gentleman from Pennsylvania (Mr. Borski), the ranking 
member; the gentleman from New Jersey (Mr. Pascrell) and the 
gentlewoman from Nevada (Ms. Berkley), all have had a role, as has the 
gentleman from New Jersey (Mr. Menendez) and the gentleman from New 
York (Mr. Nadler), all of whom have had a hand in resolving this issue.
  Under current law, for-hire limousines can be regulated by numerous 
local jurisdictions while operating in pre-arranged interstate 
commerce. Service usually involves short distance transportation 
between neighboring States.
  To avoid unnecessary duplication, the bill prohibits a State, a local 
government or an interstate agency, from enacting or enforcing any 
rule, whether a law or regulation, that requires a license or a fee on 
a motor vehicle with a seating capacity not to exceed 15 passengers, 
including driver, in providing prearranged ground transportation 
services.
  However, the State or local jurisdiction is not prohibited from 
requiring a criminal background investigation prior to the driver 
picking up a passenger within its jurisdiction. That was one of the 
points of contention I am glad we were able to get resolved, 
particularly in this era of concern about terrorism.

                              {time}  1530

  The gentlewoman from Nevada (Ms. Berkley) raised an important issue 
during committee consideration of the bill. To meet those concerns, 
nothing in the bill will restrict the rights of a State or locality 
from regulating limousine operators who enter competition with local 
taxicab operators. States and localities retain the right to regulate 
those kinds of operations. The bill provides that at intermediate 
stops, interstate limousine drivers must not perform any transportation 
service for an additional passenger or group of passengers while 
waiting to carry their first passenger to his or her destination.
  There are other provisions to reflect the Senate amendment that adds 
clarifying language consistent with the legislative intent in the House 
report.
  Mr. Speaker, I rise in support of H.R. 2546, the Real Interstate 
Driver Equity Act of 2001. I want to thank the chairman of our full 
committee, Mr. Young, the Chairman and Ranking Member of our 
Subcommittee, Mr. Petri and Mr. Borski, the gentleman from New Jersey, 
Mr. Pascrell, and the gentlewoman from Nevada, Ms. Berkley, for their 
support of this legislation. The committee worked on this bill for well 
over 2 years and, finally, we have an agreement that has the support of 
Members on both sides of the Capitol.
  Under current law, for-hire limousines can be regulated by multiple 
local jurisdictions while operating in prearranged interstate commerce. 
This service generally involves short distance transportation between 
neighboring states, and dual regulation has created confusion and 
difficulties for the operators. To avoid unnecessary duplication of 
regulation of these operations, this bill prohibits a State, local 
government, or interstate agency from enacting or enforcing any rule, 
whether it is a law or regulation, that requires a license or fee on a 
motor vehicle with a seating capacity not exceeding 15 passengers, 
including the driver, that is providing prearranged interstate ground 
transportation service. However, a state or local government may not be 
prohibited from requiring a criminal background investigation prior to 
any driver picking up passengers within its jurisdiction for interstate 
transportation. I believe that this is a sound approach, and I support 
the bill.
  The gentlelady from Nevada, Ms. Berkley,  raised an important issue 
during committee consideration of the bill. To meet her concerns, 
nothing in the bill restricts the rights of a State or locality from 
regulating limousine operators who enter into competition with local 
taxicab operators. States and localities retain the right to regulate 
these kinds of operations. The bill provides that at intermediate 
stops, interstate limousine drivers must not perform any transportation 
service for an additional passenger, or group of passengers, while 
waiting to transport the first passenger to his or her destination.
  To deal with other concerns that have been raised, the bill does not 
prohibit airport, train, or bus terminal operators from providing 
preferential access or facilities to one or more providers of pre-
arranged ground transportation service. In addition, the bill makes it 
clear that taxicab services in a vehicle having a capacity of not more 
than 8 passengers, including the driver, are exempt from the economic 
and minimum liability regulations of the Federal Government.
  The Senate amendment to the bill primarily adds clarifying language 
consistent with the legislative intent expressed in the House report. 
The only major substantive change involves pre-licensing drug testing. 
The House passed bill reserves the right of a State or local government 
to require a criminal background check of the driver. The Senate 
amendments adds pre-licensing drug testing of drivers to the same 
provision and provides that both are to be conducted by the State where 
the driver is licensed, or by the motor carrier providing the service.
  Mr. Speaker, I believe the Senate amendments improve the bill, and I 
urge my colleagues to support final passage.

[[Page H8085]]

  Mr. Speaker, I yield back the balance of my time.
  Mr. PETRI. Mr. Speaker, I thought I would have another speaker in the 
form of the gentleman from Missouri (Mr. Blunt), who is the author of 
this bill, but he is at the White House at an important meeting, and I 
am sure he will insert remarks in the Record outlining his support for 
this legislation.
  Mr. YOUNG of Alaska. Mr. Speaker, I rise in support of the Real 
Interstate Driver Equity Act of 2001, H.R. 2546, as amended by the 
Senate.
  This legislation has been under consideration for more than 3 years 
now, and I am glad that we have been able to find a fair and agreeable 
solution in the waning days of the 107th Congress.
  I want to especially recognize my colleague from Missouri, Mr. Blunt, 
who sponsored this bill and has championed the cause of for-hire motor 
carriers. I believe this legislation will remove barriers to passenger 
choice and effective management of transportation services.
  Mr. ANDREWS. Mr. Speaker, let me begin by thanking the gentleman from 
Missouri Mr. Blunt, without whom this legislation would not have gotten 
on the floor; his legislative skill and his partnership in this effort 
are truly appreciated, and I thank the gentleman for his work.
  I also want to thank my friend and constituent Don Kensey who first 
brought this to my attention several years ago in my office in New 
Jersey with various members of the National Limousine Association and 
the South Jersey Limousine Association.
  I am extremely pleased to see that the other body has favorably 
passed H.R. 2546. The Real Interstate Driver Equity Act, REAL Act, 
embodies the tireless efforts of many interested parties in upholding 
Congress' long-standing commitment to the free-flow of goods and 
services across this Nation. The unnecessary burdens of interstate 
restrictions on the sedan and limousine industry, of which over 80 
percent are small businesses, will now be removed with the passage of 
H.R. 2546.
  In a time where there is much uncertainty about the state of our 
economy, this legislation provides small business owners with a chance 
to compete on a fair playing field. Fairness, that is long overdue.
  Again, I would like to extend my many thanks to the gentleman from 
Missouri, Mr. Blunt, other colleagues and my constituents for their 
underlying help in bringing the REAL Act to the House floor today. I 
urge my colleagues to give an affirmative vote and pass this 
legislation.
  Mr. BLUNT. Mr. Speaker, traveling by limousine is increasingly 
popular among business travelers who appreciate the security and 
predictability that come with pre-arranged limousine and sedan service. 
Women are increasingly turning to these services because they provide a 
measure of safety and security that is not always found by hailing a 
cab in a strange city.
  A substantial portion of their service occurs interstate. Limousine 
and other prearranged ground transportation service providers are 
frequently assessed registration and licensing fees by these other 
states. Enforcement of these requirements, including vehicle 
impoundment and heavy fines, has caused tremendous hardship to drivers 
and owners of these businesses, many of which are small, single vehicle 
operations, over 80 percent, are 1- to 3-car operators grossing less 
than $500,000 a year.
  H.R. 2546 rectifies this burden. It prohibits states other than a 
home licensing state from enacting or enforcing a law requiring a fee 
or some other payment requirements on vehicles that provide prearranged 
ground transportation service.
  H.R. 2546 prohibits States or localities from restricting limousine 
or sedan services if: (1) the service is registered with the Department 
of Transportation as an interstate carrier; (2) the company meets all 
the requirements of the state in which they are domicile or do 
business; and (3) the limousine or sedan service is engaged in 
providing pre-arranged transportation from one state to another, 
including round trips.
  Mr. PETRI. Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore (Mr. Kolbe). The question is on the motion 
offered by the gentleman from Wisconsin (Mr. Petri) that the House 
suspend the rules and concur in the Senate amendments to the bill, H.R. 
2546.
  The question was taken; and (two-thirds having voted in favor 
thereof) the rules were suspended and the Senate amendments were 
concurred in.
  A motion to reconsider was laid on the table.

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