NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A3275
SPONSOR: Rabbitt
 
TITLE OF BILL: An act to amend the vehicle and traffic law, in
relation to the collection of supplemental vehicle registration, lear-
ners permits and drivers license fees for New York City registrants and
operators; to amend the state finance law, in relation to the metropol-
itan transportation authority financial assistance fund; and to repeal
article 17-C of the vehicle and traffic law relating to the metropolitan
commuter transportation district supplemental registration fee
 
PURPOSE OR GENERAL IDEA OF BILL: To repeal the supplemental registra-
tion and learner's permit/driver's license fees imposed in the entire
12-county MTA region and make them instead applicable only to vehicles
and drivers in New York City.
 
SUMMARY OF SPECIFIC PROVISIONS: Section 1 of the bill repeals Article
17-C of the Vehicle and Traffic Law (VTL).
Section 2 of the bill adds a new subdivision 22 to Section 401 of the
VTL to provide for the collection only in New York City of the $25 per
year supplemental registration fee previously applicable in the entire
Metropolitan Commuter Transportation District (MCTD). This fee is still
required to be deposited in the Metropolitan Transportation Authority
(MTA) Aid Trust Account of the MTA Financial Assistance Fund.
Section 3 of the bill amends paragraph (h-1) of subdivision 2 of Section
503 of the Vehicle and Traffic Law to delete references to the applica-
bility of the supplemental learner's permit/driver license fee in the
MCTD and make it only applicable in New York City. This fee is still
required to be deposited in the Metropolitan Transportation Authority
(MTA) Aid Trust Account of the MTA Financial Assistance Fund.
Section 4 of the bill amends paragraph (c-3) of subdivision 2 of Section
503 of the VTL to make mirror changes with respect to renewals of driv-
er's licenses in New York City.
Section 5 of the bill makes conforming changes to subdivision 3 and
paragraph (a) of subdivision 6 of Section 92-ff of the State Finance
Law.
Section 6 of the bill is the effective date.
 
JUSTIFICATION: In 2009, the Legislature enacted various measures to
provide additional financial assistance to the MTA, collectively and
colloquially known as the MTA Bailout.
Among these terribly burdensome actions was the imposition of supple-
mental fees for vehicle registrations. learner's permits, and driver's
licenses on nearly all registrants and vehicle operators in the 12-coun-
ty MTA region. These fees are in addition to the increased fees applica-
ble statewide (that were adopted as part of the 2009-10 State Budget).
Motor vehicle owners and operators in the MTA region are thus paying
higher fees in order to drive, which for many such residents is a neces-
sity not an option, Indeed, for millions of residents in the MTA region
the service provided by the MTA is not one for which they have the
slightest need, and yet they are paying dearly for others to have that
privilege. The one glaring exception is New York City, where even vehi-
cle owners and operators frequently use the myriad services provided by
the MTA. Thus, it is only right that such residents pay higher fees
while relieving those who have no need for this costly service from the
obligation to pay for it.
 
PRIOR LEGISLATIVE HISTORY: 2012: A.10461; referred to transportation.
2011: A.6590; referred to transportation.
 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: None to State
and local government but creates a budget shortfall for the MTA.
 
EFFECTIVE DATE: Immediately.