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Officials consider imposing annual fee on drivers to fund crucial state programs: '[It] would give us dedicated revenue'

Proponents have estimated that the fee would raise about $125 million.

In New York State, one proposal under consideration would charge drivers a $25 annual fee to fund public transit outside New York City, The Buffalo News reported.

Photo Credit: iStock

Across the United States, public transit systems have been facing a dire need for cash to pay for their operations. In response, policymakers have been scrambling for new sources of funding. 

In New York State, one proposal under consideration would charge drivers a $25 annual fee to fund public transit outside New York City, The Buffalo News reported.

The proposed fee would mirror one already paid by drivers in New York City to help fund public transportation there. Miguel Velazquez, the president of the New York Public Transit Association, defended the proposed fee before a joint legislative panel in early February. 

"Upstate transit systems are operating under structural budget deficits," Velazquez told lawmakers, per The Buffalo News. "These are not temporary challenges or a future concern. These deficits will undermine access to jobs, education, health care, and child care." 

Proponents have estimated that the fee, which would be added to drivers' annual vehicle registration dues, would raise about $125 million for public transit in Upstate New York. 

​​"This is an idea that would give us dedicated revenue to just start bolstering these systems," said William Magnarelli, the chair of the Assembly Transportation Committee, per The Buffalo News. 

On Facebook, commenters had mixed reactions to The Buffalo News article. 

"And who is going to help pay my car insurance?" asked one Facebook user. "Car insurance for a family with kids is dang expensive!" 

"Mass transit in general does not survive – anywhere – on riders' ticket sales," chimed in another commenter, who appeared to be in favor of the proposal. "Trains, street cars, and buses are subsidized as Public Good."

New York has not been the only place facing challenges when it comes to adequately funding public transportation. 

For example, public transportation systems in Pennsylvania were looking at a potentially crippling budget shortfall before the state approved a $400 million cash infusion. The money helped avoid significant cuts in services. 

Similarly, in Texas, several municipalities have threatened to pull out of the Dallas Area Rapid Transit system. The move would imperil crucial funding for the service, which averages nearly a quarter-of-a-million passengers per day.   

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