DENVER — Colorado Gov. Jared Polis on Friday vetoed what he called an “unworkable” regulatory regime against rideshare companies such as Uber and Lyft, while at the same time instructing state regulators to look at implementing some elements of the bill in question around driver screening and passenger safety.
Democrat State Rep. Jenny Willford introduced House Bill 25-1291 after going public about an alleged sexual assault during a Lyft ride in 2023, by a man who had traded places with the driver of record. The bill as originally written sought an extensive crackdown on things such as driver impersonation, requiring rides be recording from beginning to end, allowing riders to sue both drivers and rideshare companies for crimes committed against them, as well as mandating regular background checks for drivers.
But even a watered-down version of the bill passed out of the state Senate proved so onerous as to prompt both Uber and Lyft to threaten leaving the state should the bill become law. Governor Polis acknowledged as much in his veto letter, writing that HB 1291 “would impose unworkable regulations on Transportation Network Companies (TNCs), and potentially jeopardize their continued operation in Colorado.” Polis goes on to lay out numerous “concerning provisions” in the bill, such as “unclear language on audio-video recording, a prohibition on arbitration that we believe conflicts with the Federal Arbitration Act, and inoperable timelines to produce new regulatory rules.”
Polis then tempered his veto by issuing marching orders to state agencies intended to “enhance rideshare safety,” including:
- Instructing the Department of Regulatory Agencies (DORA) to identify “shared policy objectives” for either “immediate executive action” or “targeted legislation” in 2026.
- Requesting the Public Utilities Commission (PUC) perform “enhanced audits” on background check compliance by TNCs.
- Directing DORA to work with the PUC to review and strengthen TNC regulations, especially around “driver impersonation and penalties.”
“It is my sincere hope and intention that HB 25-1291 and the executive actions outlined in this letter will represent a momentum-building moment for our collective efforts to hold TNC companies accountable in addressing the gaps in TNC rider and driver safety,” Polis wrote.
Governor Polis on Friday also vetoed House Bill 25-1220, Regulation of Medical Nutrition Therapy.
Other Polis vetoes this year include an effort to unwind Colorado’s Labor Peace Act, and an attempt to give special privilege to journalists for access to public records.
