Sandoval signs legislation clearing way for Uber, Lyft

CARSON CITY — Gov. Brian Sandoval late Friday signed legislation authorizing ride-hailing companies like Uber and Lyft to operate in Nevada.

Sandoval signed Assembly Bills 175 and 176, which set up a regulatory framework for transportation network companies that connect passengers with drivers through smartphone apps, and puts the companies under the authority of the Nevada Transportation Authority.

Uber briefly operated in Nevada last fall until a state judge issued an injunction requested by the state.

Nevada lawmakers in a marathon session that lasted into the wee hours last weekend approved the measures to allow the companies to operate in Nevada after several earlier attempts failed to pass legislative muster.

The legislation also imposes a 3 percent excises tax on fares, including on taxis and limousines, expected to raise tens of millions of dollars. That revenue is being eyed by lawmakers to fund a new medical school at UNLV, as well as put money into a depleted state highway fund for road projects.

Supporters of the bill estimate the tax will generate about $70 million over the upcoming biennium.

“Tens of thousands of Nevadans demanded the return of Uber to the Silver State — and their collective voices were heard loud and clear,” said Uber General Manager Steve Thompson in a prepared statement. “Thanks to Governor Sandoval and the bipartisan support of the Nevada Legislature, riders and drivers can soon get back on the road, with greater access to transportation choices and flexible income opportunities.”

Contact Sandra Chereb at schereb@reviewjournal.com or 775-687-3901. Find her on Twitter: @SandraChereb.