commuting Archives - Transportation For America

Congress permanently increases commuter tax benefit for transit riders

After years of effort from T4America, the Association for Commuter Transportation and scores of others, in late 2015, Congress finally raised the pre-tax benefit that can be claimed for commuting via transit, permanently equalizing that fringe tax benefit with the benefit for parking expenses.

This news got a little buried in the wake of the passage of the Fast Act, the new five-year transportation bill, but it’s an important change that will have notable impacts on how people choose to commute.

A provision in the annual spending and tax extender package, passed by Congress and signed into law by President Obama at the end of 2015, permanently establishes tax parity between drivers and transit riders. This means transit, vanpool, and parking will all receive pre-tax commuter benefit deductions of $255 a month in 2016. Though the benefit for transit riders had been temporarily increased to match parking benefits several times over the last few years, for most of the last decade, the value of the transit benefit was around half the value of the parking benefit — effectively putting a thumb on the scale for millions of people making a choice of how they’d like to commute.

These stacked financial incentives surely had an impact on commuting decisions, adding more congestion to roads and hurting low- and middle-income taxpayers in particular — people more likely to depend on transit, but under the former setup, receiving less tax benefits to do so.

As a longstanding and vocal advocate for permanently making these benefit equal and providing benefits to commuters, no matter how they choose to commute, Transportation for America celebrates this moment for commuters and for the positive impacts that it could have in communities across the country through increased transit ridership and cost savings.

House bill extends transit benefit through 2014, leaving permanent extension in doubt

Transit commuters would see their tax benefits restored under a House bill introduced yesterday — but only for two weeks.

The “Tax Increase Prevention Act of 2014” (H.R. 5571) would preserve a number of tax breaks set to expire at the end of the year, while restoring the amount of monthly pre-tax income transit riders can set aside to $245 from $130. This increase would put transit on a par with the tax benefit given to drivers for parking, but only from the bill’s adoption until the end of 2014.

A longer-term fix was included in a package developed last week by the House Ways and Means Committee, but President Obama’s threatened veto of a package he saw as too hard on low- and middle-income taxpayers left it dead in the water. While many had hoped Congress would establish permanent parity between drivers and transit commuters this fall, that possibility is dwindling fast.

Meanwhile, a recent report heavily criticized the parking benefit as “subsidizing congestion” by luring 820,000 additional cars to the road at a cost of $7.3 billion, with most of the benefit going to higher-income earners. [You can read the entire Transit Center report here.]

Transit benefit once again slated to be cut in half — tell Congress to move

Last November, we posted an action alert on the potential for millions of Americans to see the cost of their commute suddenly rise. Congress wisely chose to extend to $230 per month tax benefit for transit as part of the 2010 package extending the Bush tax cuts, continuing transit parity with the $230 deduction available for parking. Before that parity was put in place, the federal government was effectively subsidizing employees who drive alone to work — picking winners and losers rather than leveling the playing field for all travel options.

The clock is now ticking once again, and absent Congressional action, the $230 per month benefit will revert back to $120 per month on December 31. Senator Chuck Schumer (D-NY) and Congressman Jim McGovern (D-MA) have introduced legislation to make the benefit permanent.

Tell your member of Congress that you support parity for all travel modes. Commuter Benefits Work For Us, an advocacy coalition supporting the Schumer-McGovern legislation, makes it easy for you to let your representatives know where you stand.

It’s a matter of fairness — and Congress needs to move.

DC helps out area commuters with new Bike Station

100_8726 Originally uploaded by BeyondDC and appeared in this post

Washington D.C. took another great stride towards making bicycling easier and more attractive with the grand opening of Union Station’s BikeStation almost two weeks ago. With the opening of the stunning facility at Union Station, Washington’s most visited destination and travel hub can now connect commuters using trains, buses, cars, subway, or bikes.

(As Ray LaHood said, it’ll help address that “last mile” problem of commuting.)

The BikeStation offers a brand new option for commuting. A train or metro rider can now leave their bike at Union Station without it being stolen, stripped for parts, or damaged by weather. Thus, any commuter who can get to Union Station can now pick up their own, well-maintained bicycle and use it for commuting around Washington.

In New York City, the DOT found out that a safe and secure place to lock up bikes was the number one obstacle preventing more people from biking to work.

A joint project funded by Federal Highway Administration and District of Columbia transportation dollars, the project was built by the D.C. Department of Transportation. Bikestation, which operates 6 other facilities like this one, and Bike and Roll, which rents bikes and leads bike tours for tourists, share responsibility for operating the station.

It is a first for DC, and a totally unique structure designed by Donald Paine of KGP Design Studio to evoke both a bike wheel and helmet. The glass covered arching spine is a striking contrast to the classical Beaux Arts style of Union Station behind it.

The cost per year is $96 as an intro rate, a sum easily covered by the Bicycle Commuter Benefit (available from participating employers). According to Andrea White-Kjoss of BikeStation, they had already sold 40 annual memberships before the station opened. In the days since it opened, the station has already sold 30 annual memberships and Bike and Roll has been renting as many as 20 bicycles a day. Both figures far exceeded initial estimates.

Combined with the existing SmartBike bike sharing system, BikeStation effectively extends the radius in the region from which a citizen can commute within the region without needing to drive. A bike commuter can bike to Union Station, leave their bike, hop on a Metro train or a commuter train, and head out for points beyond without having to drive.

It’s all about increasing transportation options, and BikeStation is a great one for the city.

Republican Senator says more transit = better health

Last week, an offhand comment by Republican Senator John Ensign about the link between health and transportation policy didn’t make the headlines, but it did make an interesting connection.

Ensign was wrong in asserting that the United States has the highest life expectancy among developed countries when gun and automobile accidents are ignored. But he was on target when he mentioned America’s auto-dependent ways and how that negatively impacts our health.

Compared to Europe, “we’re just a much more mobile society,” he said. “We drive our cars a lot more, they do public transportation. So you have to compare health care system with health care system.”

While misunderstanding mobility as just traveling a high number of miles, Ensign correctly implies that driving more and walking less contributes to poor health and makes us more prone to death (in a car) than our European neighbors, which the data suggests to be true. The most obese cities in the United States — Miami, Oklahoma City and Ensign’s own constituents in Las Vegas — are known for their auto-oriented sprawl.

A recent study in the Journal of Physical Activity and Health confirms a correlation between the more active walking habits of Europeans and lower obesity rates, backing up American research from earlier this decade by Smart Growth America and others showing that residents of sprawling places are more likely to be obese.

If we want to boost mobility while bringing health costs down, we need our transportation policy to create more travel options for everyone and make it safer and easier to walk and bike.

Mobility isn’t an end of itself, nor is it just about going long distances on a regular basis. Mobility is about access to destinations and opportunity. We’re spending hours in the car not because ordinary Americans think that having high “mobility” is important — we’re doing it out of necessity just to get around our increasingly spread out cities.

No one would argue that our transportation priorities are the driving force — no pun intended — behind lower health outcomes. But there is enough evidence to suggest they should be a serious part of the discussion.

Help Dan. Save Traffic

Dan loves traffic. But Congress could take it all away when they consider this year’s reauthorization of the federal transportation bill. Will they give us the kinds of transportation options that could suck the lifeblood right out of traffic? Or will they simply pump more money into a broken system. Dan is waiting to find out.

From the T4 America Youtube Channel.