Requires transportation network companies to share information concerning sexual misconduct investigation of driver; authorizes transportation network company to ban drivers from accessing digital network during and following investigation.

New definition of 'Covered incident': a report of sexual misconduct or physical assault that occurred in connection with a digital network and caused the TNC to prohibit the driver from using the platform. This creates a narrower, more specific trigger for disclosure obligations.

New definition of 'In connection with a digital network': limits covered incidents to those occurring (1) during a TNC-facilitated ride regardless of whether prearranged through the app, or (2) between a driver and rider within 48 hours after completion of a prearranged ride, regardless of whether parties were connected to the app at the time.

The 'sexual misconduct' definition was completely rewritten. The old version focused on acts designed to establish a sexual relationship (invitations, dating, dialogue, suggestive comments). The new version covers 'sexually-aggressive, sexually-violent, or suggestive' acts and explicitly includes physical misconduct such as sexual penetration, touching, or kissing, plus behavioral misconduct such as verbal sexual threats, intimidation, unsolicited advances, or self-exposure. A catch-all allows riders to report other forms for TNC consideration.

Driver disclosure requirements were narrowed. Previously, applicants had to disclose any sexual misconduct allegation unless an investigation found it false or unsubstantiated. Now, only 'substantiated' investigations 'for a covered incident' must be disclosed. This significantly reduces what drivers must report and what TNCs can use in screening.

The definition of vehicles covered by the act was expanded to include 'a vehicle licensed as a for-hire vehicle by the New York City Taxi and Limousine Commission,' extending the bill's reach to NYC-licensed for-hire vehicles operating in New Jersey.

Old Section 4, which required TNCs to have a mechanism for receiving timely notice when a driver is arrested for or convicted of a crime after their initial background check, was struck from the bill entirely.

The inter-TNC notification requirement (Section 3) was narrowed by adding the qualifier 'in connection with a digital network,' tying notifications to the new covered incident framework rather than any alleged sexual misconduct.