State Legislature

In a 40-22 vote last night, the State Senate voted to phase out the payroll mobility tax, which generates about $1.5 billion per year for the MTA. The Senate proposal would eliminate the tax entirely in suburban areas while reducing it in New York City. Though the bill is expected to go exactly nowhere in the Democratic Assembly, it's a sign of the intense opposition to the payroll tax among Republicans and in the suburbs, as well as the collective delusion about the state of the MTA's finances.

Just months ago, Queens Assembly Member Michael DenDekker was reaping widespread scorn for his proposal to require every cyclist in the state, even those just off their training wheels, to obtain a license. He also floated the idea of enforcing non-existent helmet laws with the widespread use of cameras. (He eventually withdrew the bike license legislation.)

Efforts to protect dedicated transit funds from Albany budget raids moved forward on Tuesday as a coalition of transportation advocates went to the state capitol to lobby for transit riders. The transit lockbox bill immediately picked up five sponsors, and more seem poised to sign on.

The New York State Senate voted for a "gas tax holiday" yesterday, moving to eliminate the three state taxes on fuel for the busy Memorial Day, Independence Day and Labor Day weekends this year. The estimated loss of revenue would be $60 million.

This year's legislative session is rapidly coming to a close in Albany. With the state legislature wrapping up its regularly scheduled official business on June 20, the Capitol is entering a period of intense activity as legislators and lobbyists make a final push for their priorities.

Momentum is growing in the push to protect dedicated MTA funds from Albany's predations, but with only one month left in the legislative session, time is ticking. Assembly Member Jim Brennan and Senator Marty Golden, the bipartisan sponsors of the transit funding lockbox bill, stood today with a broad coalition of transit advocates in the Times Square subway station to make a final push for their legislation.

Five Senate Republicans, led by Sen. John Bonacic, are making transit advocates an offer they can probably refuse. The payoff is appealing: state authorization for bridge tolls on the East River bridges. But the price they are demanding in return, the total repeal of the payroll mobility tax outside New York City, is too high to pay.

The final budget agreement reached by Albany leadership will not make additional cuts to transit funding, a state budget division spokesperson confirmed this afternoon. Negotiations with the legislature did not ultimately change the total amount of transit funding from Andrew Cuomo's executive budget, which raided $100 million from dedicated transit funds.

When Andrew Cuomo released his executive budget in February, it included a $100 million raid on dedicated transit funds. As Cuomo hammers out the budget in negotiations with the State Assembly and Senate, however, it seems that the MTA could lose up to another $170 million. Both houses of the legislature are seeking cuts and the issue appears to be very much alive.