California Labor Commissioner Julie A. Su announced Dec. 29 thatSanta Rosa taxi company A-C Transportation Services, Inc., hasagreed to settle its $522,300 citation for refusing to provide its30 drivers with workers’ compensation insurance coverage and formisclassifying them as independent contractors.

The owners, Kevin and Jennifer Kroh, who also do business asHealdsburg Cab Company, agreed to pay a fine of $200,000 ininstallments, with their final payment in June 2021. If theydefault on the payments the agreement is void and the full $522,300judgment will be due. As part of the settlement, the company willcease all operations as of Dec. 31, 2016.

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Rosalie Donlon

Rosalie Donlon is the editor in chief of ALM's insurance and tax publications, including NU Property & Casualty magazine and NU You can contact her at [email protected].