(a) This section applies only to a contract carrier that transports an operating employee of a railroad on a road or highway of this state in a vehicle designed to carry 15 or fewer passengers.
(b) The department shall adopt rules regulating the operation of a contract carrier to which this section applies. The rules must:
(1) prohibit a person from operating a vehicle for more than 12 hours in a day;
(2) require a person who operates a vehicle for the number of consecutive hours or days the department determines is excessive to rest for a period determined by the department;
(3) require a contract carrier to keep a record of all hours a vehicle subject to regulation under this section is operated;
(4) require a contract carrier to perform alcohol and drug testing of vehicle operators on employment, on suspicion of alcohol or drug abuse, and periodically as determined by the department;
(5) require a contract carrier, at a minimum, to maintain liability insurance in the amount of $1.5 million for each vehicle; and
(6) be determined by the department to be necessary to protect the safety of a passenger being transported or the general public.

(c) The department shall inform contract carriers and railroad companies that employ contract carriers of the requirements of state statutes applicable to contract carriers.