MD Legislature May Expand Nation's Best Commuter Benefit

The Commuter Benefits Act of 2000 (SB244/HB310) will likely be voted on in the Maryland Senate today. According to Environmental Defense, this bill provides a critical expansion of benefits to commuters in the interest of cleaner air and quicker commutes.

“In 1999 the Maryland Legislature passed the most sweeping commuter benefit in the country,” said Scot Spencer, a transportation specialist with Environmental Defense. “Now we have a chance to expand this assistance to many more commuters who are suffering the dual consequences of traffic and smog.”

The legislation provides a 50% tax credit to employers who pay for their employees’ transit or vanpool costs. This year, the Commuter Benefits Act of 2000 (SB244/HB310) seeks to:

• Expand the law to cover thousands of non-profit employers and their employees.
• Extend the benefit to the many commuters who carpool, bike, walk, or telecommute by applying the tax credit to employers who pay employees added cash income in lieu of a parking space at work. This takes advantage of the 1998 federal tax law change that encourages such “pay-me-not-to-drive” incentives.
• Allow the credit to cover guaranteed ride home programs that provide taxi service for missed transit or carpool connections when commuters have to work late or have to leave work early to tend to a sick child or family member.

“The passage of this bill will improve equitable transportation choices for thousands of Maryland employees but particularly for those whose only option is transit,” said Spencer.

To learn more about the current commuter incentive that can save you and your employer money see the Maryland MTA website.