New ride-hailing law draws praise from carGo official

Missouri Gov. Eric Greitens signed a ride-hailing bill into law Monday that had the backing of carGO, a Cape Girardeau-based transportation-network company.

"We appreciate the governor's support," said carGo co-manager Gunnar Knudtson.

The law imposes new statewide regulations on such app-based, transportation-network companies.

They will be required to pay a $5,000 licensing fee to the state, conduct driver background checks and vehicle inspections.

The law exempts such companies from paying local taxes associated with such services.

But the measure allows airports to charge equal fees to drivers of taxis and vehicle-for-hire companies.

Knudtson said carGO, which opened a few months ago, adopted policies that would conform with such legislation.

Lawmakers have suggested the new law will allow companies such as Uber and Lyft to expand operations in Missouri.

While carGO is the only such transportation network company operating in the area, Knudtson said he is not worried about possible competition.

"We are going to stay pretty focused on how we are doing," Knudtson said.

He said the company has 85 eligible drivers.

Knudtson said carGo contracts with the Cape Girardeau Police Department to handle background checks on its drivers.

"It has been great working with the city of Cape Girardeau," he said.

The Missouri House and Senate overwhelmingly approved the ride-hailing legislation, which had the backing of local Republican lawmakers.

mbliss@semissourian.com

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