Overview
During our audit period, the Transportation Network Company Division did not effectively monitor TNCs’ resolution of driver and rider complaints. Specifically, during the audit period the division only received 13 of the 46 required monthly complaint reports from TNCs, and it only started to receive reports in January 2019. Further, some of the monthly reports the division received were deficient and did not contain information on actions TNCs had taken to resolve the complaints. For example, one TNC only provided 5 of 23 monthly reports; the 5 reports identified 143,387 complaints by riders against drivers and 113,084 complaints by drivers against riders. The reports did not contain information on any actions the TNC took to resolve these complaints. Without ensuring that TNCs provide all the required monthly complaint reports and information, the division cannot ensure that TNCs take the necessary actions to address complaints. This issue creates an elevated safety risk for riders and drivers.
Authoritative Guidance
The regulation 220 CMR 274.12(3) states,
A TNC shall report monthly to the Division a detailed accounting of all Driver and Rider complaints, received through any means, and the actions that the TNC has taken, if any, to resolve said complaints.
Reason for Issue
The Transportation Network Company Division has not established policies and procedures for administration of TNC complaint reports or monitoring controls to ensure that TNCs provide the reports on schedule. Further, the division has not established a standard report format or guidelines for TNCs to follow when reporting complaints.
Recommendations
- The Transportation Network Company Division should establish policies, procedures, and controls for administration of TNC complaint reports and monitoring controls to ensure that TNCs provide the required reports on schedule.
- The Transportation Network Company Division should establish a standard report format or guidelines for TNCs to follow when reporting complaints.
Auditee's Response
The TNCs were not required to submit monthly complaint reports during the MOU Period. The TNCs were required to submit monthly complaint reports beginning in March 2019 after they became permitted in February 2019. Since that time the TNCs have submitted all required complaint reports. The reports themselves contained information on how the TNCs resolved the complaints. . . .
The majority of these complaints relate to payment issues, account problems, and pick-up/drop-off locations. The Division intends to pursue a stakeholder consultation process to determine if it would be helpful to establish guidelines to govern the required monthly complaint reports. The Division will use that process to determine whether any changes to the regulation requiring these reports are appropriate.
Auditor's Reply
As noted above, 220 CMR 274 became effective on September 22, 2017. It requires TNCs to report a detailed accounting of complaints monthly. Therefore, OSA believes that DPU should have required TNCs to submit monthly complaint reports to the Transportation Network Company Division throughout the audit period to ensure that TNCs had taken the necessary measures to address complaints. Based on its response, DPU is taking some measures to address our concerns in this area. We again urge DPU to implement our recommendations.