By the end of the day, Uber could be banned from providing rides to residents in California for 30 days and be on the hook for a $7.6 million fine. That is, if the California Public Utilities Commission (CPUC) decides that the company failed to provide required data to the state and treat customers fairly.
The CPUC is expected to vote today on an amended recommendation originally handed down by an administrative law judge in July, the Los Angeles Times reports.
The judge recommended [PDF] that Uber be fined $7.3 million and suspended from operating in California for failing to comply with state laws designed to ensure that drivers were providing rides fairly to all passengers.
Uber appealed the decision in August and an amended decision was created, stipulating that Uber pay $7.6 million and a $1,000 contempt fine, and that service be put on hold for 30 days in the state.
If the CPUC approves the decision, Uber can pay the fine immediately and continue service as is, or it could appeal the amount of the fine. If the decision is not approved by the CPUC, it will be sent back for further modifications.
Uber’s issues with the CPUC stem from the agency’s 2013 decision that created certain reporting requirements for “New Online Enabled Transportation Services” or “Transportation Network Companies” like Uber and Lyft. Failure to comply with these rules could result in hefty fines.
The CPUC has been looking into whether Uber has lived up to its obligations under those rules. In July, the administrative law judge decided that the company had not provided three important pieces of information:
Accessibility information: the number and percentage of customers who requested accessible vehicles, and how often [Uber] was able to comply with requests for accessible vehicles…
Service information: the number of rides requested and accepted by [Uber] drivers within each zip code where [Uber] operates, and the number of rides that were requested but not accepted; as well as the amounts paid/donated…
Driver safety information: the cause of each driving incident involving a [Uber] driver
While Uber did provide some data, the CPUC says that information fell short of requirements, leading the agency to take action against the ride-sharing service.
Uber may face $7.6 million fine from the California Public Utilities Commission [The Los Angeles Times]
by Ashlee Kieler via Consumerist