I suspect the real thinking behind this is subtler than you give them credit for. Burro (like Uber before them, and like YouTube before them) is going for the "dumb pipe" defense: "we're not a company, we just facilitate trade between individuals and other individuals/small businesses". Getting all the individual "casual hauliers" (for want of a better term) to register isn't good for the state or good for the hauliers, and by extension it isn't good for the public. I think what Texas are trying to do is maneouver Burro into the position where Burro has to register as a mover/haulier and take contractual responsibility for all jobs agreed through its service. As this would remove a lot of administrative overhead (centralising tax reporting, for example), it would be more efficient, and therefore theoretically cheaper to the end user. If it is not cheaper, then it demonstrates that there is something missing in the current system. The most likely culprits for that missing expenditure would be skimping on insurance and vehicle inspection and maintenance, and that's something that can't just be waved off as "good because... cheap!"