Colorado Bill Would Cap Rideshare Companies’ Take From Fares at 20 Percent

Jenny Willford, Colorado State Representative
Jenny Willford, Colorado State Representative
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The Colorado General Assembly has introduced HB26-1273 to limit transportation network companies’ share of consumer fares to no more than 20 percent.

The proposed legislation aims to regulate how much rideshare platforms can keep from each fare, excluding tips and pass-through charges such as tolls. The bill is currently under consideration in the House Business Affairs and Labor Committee. According to the legislative summary, the measure prohibits additional fees on drivers that would cause total retention by companies to exceed the 20 percent threshold.

Supporters say the bill seeks to address concerns about driver earnings and platform fee structures. Similar policies in other cities have led to notable changes in both consumer prices and driver opportunities. In Seattle, for example, the PayUp ordinance mandated a minimum pay of $26.40 per hour for couriers before tips. According to the Flex Association, Uber reported a 40% jump in rideshare trip prices and a $5 fee for deliveries after implementation, while couriers waited three times longer between offers and tips dropped 26%.

New York City also enacted a minimum pay rate for app-based delivery workers, now set at $21.44 per hour. According to City Journal, the policy led to a 10 percent increase in food delivery costs, a 58 percent spike in app fees, an 8 percent drop in the delivery workforce and a 47 percent decline in tips.

The Colorado General Assembly serves as the state’s legislative body, with a Senate of 35 members and a House of Representatives with 65 members. It meets annually in Denver to enact legislation, approve budgets, and oversee state policies. Democratic majorities currently control both chambers, according to the official website.



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