SF4381

Purpose

• Establish a framework to study the impacts of commercial autonomous vehicle operations in Minnesota and create a permit process for such operations.
• Add minimum requirements for operating commercial autonomous vehicles and codify the rules into Minnesota law.

Key definitions (as used in the bill)

• Autonomous vehicle: a vehicle with technology meeting Level 3, 4, or 5 per SAE J3016 (April 2021 revision).
• Commercial autonomous vehicle operations: using autonomous vehicles for business purposes (e.g., transporting passengers or goods).
• Advisory board: a group to study impacts and advise on permits.
• Human safety operator: a licensed person who sits in the driver seat and can monitor and intervene if needed.
• Transportation network company (TNC): as defined by existing Minnesota law.
• Rideshare driver, disability rights, municipal government, consumer rights, autonomous vehicle company: stakeholders included in the advisory board.

Prohibition on operations

• Commercial autonomous vehicle operations are not allowed in Minnesota until the required study is completed and a permit process is established.
• No company may start commercial autonomous vehicle operations without a state-issued permit.

Permit process

• The commissioner must create a permit process based on the study and recommendations.
• Each permit applicant must undergo an individual evaluation conducted by the advisory board.

Advisory board

• The Commercial Autonomous Vehicle Operations Labor and Small Business Impact Advisory Board is created to review permit applications and advise the commissioner.
• Members include: the relevant state commissioners, a member from the House, a member from the Senate, driver workforce representatives (private and public sectors), one rideshare driver, a representative from the disability rights community, a municipal government representative, a consumer rights advocate, and an autonomous vehicle company representative.
• The commissioners or their designees serve as cochairs.
• The Department of Transportation provides staff support.

Study and reporting requirements

• The advisory board must hire an independent research institution with rideshare labor economics expertise to conduct a comprehensive review of commercial autonomous vehicle operations and their deployment in Minnesota.
• Topics to study include:
  • Economic and employment impacts on rideshare drivers, commercial drivers, and displaced workers; reemployment pathways.
  • Impacts on businesses serving drivers and on state tax revenues.
  • Accessibility for people with disabilities; liability in collisions.
  • Algorithmic management and the need for public notification about algorithm changes.
  • Financial, infrastructure, and congestion impacts; potential interference with first responders.
  • Ability of autonomous vehicles to navigate city streets; city- and state-level impacts.
  • Development of a non-industry-certified (public) certification process.
• The advisory board must hold public hearings under Open Meeting Law and accept public comment for at least 30 days after preliminary findings.
• By February 1, 2027, the advisory board must publish a final report on the Department of Transportation’s website, including recommendations on whether commercial autonomous vehicle operations should be allowed and what a permit process should require.
• Subdivision details expire February 1, 2027 or when the final report is published, whichever is later.

Permit applicant evaluations

• For each applicant and region, the advisory board must evaluate:
  • Economic impacts on TNC drivers and displaced workers.
  • Reemployment options and impacts on businesses serving drivers.
  • Financial effects, including tax revenue changes.
  • Accessibility supports for people with disabilities.
  • Liability in collisions.
  • Algorithmic management with public notification requirements for changes affecting interactions with other vehicles or pedestrians.
  • Financial and infrastructure impacts; potential interference with first responders.
  • Ability of autonomous vehicles to navigate; congestion impacts.
• The board may provide a nonbinding recommendation to approve or deny the permit based on these evaluations.

Human safety operator requirements

• Any commercial autonomous vehicle permit must require a human safety operator to be physically present in the vehicle, able to monitor performance and intervene (including taking over control or shutting down the vehicle) at any time.
• Autonomous vehicles and human safety operators must meet all applicable local, state, and federal requirements.

Other provisions

• If any part of the section is found invalid by a court, the rest of the section remains in effect (severability).

Timeline highlights

• The advisory board must publish its final findings by February 1, 2027, and the process includes public hearings and a final report.
• The permit system and prohibitions come into effect only after the study and the permit process are established.

Summary of anticipated changes

• Creates a staged approach to autonomous vehicle deployment: study first, then a statewide permit system, with strict human safety operator requirements and ongoing evaluation of impacts on workers, businesses, and communities.
• Elevates consumer, worker, and disability perspectives in decision-making through a broad advisory board.
• Introduces explicit public participation and transparency requirements, including open hearings and public comment.

Potential implications for Minnesotans

• Drivers and workers in the transportation and delivery sectors may face new opportunities and displacement, depending on study outcomes.
• Businesses serving rideshare and commercial drivers could see economic effects.
• Communities could experience changes in traffic, accessibility options, and emergency response dynamics.
• Any future deployment would require compliance with the new permit framework and live in a regulated environment with ongoing oversight.

Relevant Terms autonomous vehicle; Level 3; Level 4; Level 5; SAE J3016; commercial autonomous vehicle operations; advisory board; Commercial Autonomous Vehicle Operations Labor and Small Business Impact Advisory Board; human safety operator; rideshare; transportation network company; permit process; permit applicant; economic impacts; reemployment; displacement; accessibility; disabilities; liability; algorithmic management; public notification; first responders; congestion; infrastructure; independent research institution; Open Meeting Law; Minnesota Department of Transportation; public hearings; final report.