The Tennessee State Legislature has passed a comprehensive bill sponsored by the House Transportation Committee Chairman, Bill Harmon and the Senate Transportation Chairman, Jim Tracy that will regulate transportation service for TennCare, the Tennessee State Medicaid waiver program. Tennessee Governor Phil Bredesen signed the bill into law on June 9, 2010. The Tennessee Public Transportation Association (TPTA) worked on this piece of legislation for over two years and this was a huge win for all of the transit agencies in the state -- it was TPTA’s #1 legislative priority this year -- and a win for the TennCare riders to keep them safe. In a way this is a bill that helps the industry coordinate because it regulates the industry and puts everyone on an equal playing field. This may be one of the first state laws in the nation to require this through state statute and not by an executive order or administrative rule or contract.
Specifically, SB 2911/HB 3025 will require any for-hire carrier, regardless of vehicle size, that provides TennCare transportation to (1) carry $1 million in liability insurance, (2) conduct random drug testing, (3) conduct driver physical examinations every two years, and (4) have an annual compliance review / audit done on the company or transit agency in which the entity must show proof of the first three requirements as well as vehicle maintenance records.
The bill will go into effect on July 1, 2010. The full text of the bill can be found here.
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