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Airports press for authority to require agreements with peer-to-peer car-share platforms; committee tables bill

April 15, 2021 | TRANSPORTATION, TECHNOLOGY & LEGISLATIVE AFFAIRS - SENATE, Senate, Committees, Legislative, Arkansas


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Airports press for authority to require agreements with peer-to-peer car-share platforms; committee tables bill
Airport officials told the Senate Transportation Committee they are encountering peer-to-peer car-sharing operations on airport property without the permits or agreements that rental-car companies and ride-hailing services accept.

Kelly Johnson, COO of Northwest Arkansas Regional (XNA) National Airport, described prior outreach to Turo and said airport operators need the ability to negotiate permits and fees for companies using airport facilities. "We have 6 rental car companies at our airport. They pay to rent space in the terminal ... We have an off airport parking and rental car ordinance ... that basically requires off airport operators to compensate for use of the airport's facilities," Johnson said, describing lost revenue when nonconcession services operate on or using airport assets.

Little Rock Municipal Airport Commission member Shane Carter testified he supports the proposal and would include public-safety measures in any agreement. Turo representative Dusty Brighton argued the bill is unnecessary because airports can impose rules and negotiate agreements now and said negotiations were ongoing: "Why is there a need to codify something into statute when the ability is already there to negotiate an agreement or a contract?" Brighton asked the committee.

Senators pressed both sides on enforceability and on whether airports could designate pickup/drop-off zones or tow vehicles that do not comply. Airport witnesses said companies previously refused to enter agreements and that a state statute prompted Uber and Lyft to come to the table in a prior episode; Turo said it is in talks and is waiting on nondisclosure agreements to proceed.

Given ongoing negotiations and the competing positions, the committee voted to table HB 686 until Tuesday to give airports and the company time to reach an agreement.

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