> tax breaks were not an option?

Cue to the hoards of flag hugging, chest beating, freedom loving American cults. They will argue that its "Federal Government Dictating terms" to them. They will argue its a "violation of free speech". Any such proposal would get drowned out in that chaos.

This is what happened when Austin enacted strict regulations for Uber/Lyft. But in that case they simply lobbied the Texas state government and overturned that city ordinance.