Committee Moves to Temporarily Suspend TNC Business-Registration Requirement While City Pursues Litigation

The Land Use and Transportation Committee on April 2 moved an ordinance to the full Board of Supervisors that would temporarily suspend business registration and fee requirements for Transportation Network Company (TNC) drivers and taxi drivers while the city pursues litigation over state law.

Amanda Confried of the Treasurer and Tax Collector’s Office said the state enacted Senate Bill 182, “which prohibits a treasurer from requiring TNC drivers to register as a business if they live outside of San Francisco.” Confried said the statute is “in stark contrast to our treatment of all other independent contractors who do business in San Francisco regardless of where they live,” and that the passage of SB 182 “effectively cut off more than $1,200,000 in annual revenue and undermined our business licensing authority.” She said the ordinance is a temporary suspension drafted to align with the timeframe of the litigation.

Committee members asked about fiscal impacts. Confried estimated the ordinance would reduce revenues by less than $200,000 annually and that the draft suspension would automatically sunset after two years. She told a supervisor that the affected revenue is a loss to the city’s general fund. Deputy City Attorney Andrew Shen said the office would provide the committee with information on the litigation timeline.

Mark Gruberg of the San Francisco Taxi Workers Alliance spoke in support of the measure, saying SB 182 “was really just... piling it on” and that the suspension would inject more fairness for cab drivers compared with TNC drivers; he asked the committee to consider a permanent exemption for cab drivers. After public comment, a supervisor moved to send the ordinance to the full Board with a positive recommendation and the motion carried without objection.