March 2, 2001
The Honorable Charles E. Grassley
Chairman
Committee on Finance
SD-219 Dirksen Senate Office Building
Washington, DC 20510-6200
Dear Chairman Grassley:
I write on behalf of the American Public Transportation Association (APTA) to express our support for S. 217, the Commuter Benefits Equity Act. Introduced on January 30th by Charles Schumer (D-NY) and ten other co-sponsors from both parties, the Act has strong support in the Senate. A similar bill, H.R. 318, was introduced by James P. McGovern (D-MA) on January 31st. We ask that the Committee consider including this measure in legislation that moves this spring.
This legislation would effectively raise the transit commuter benefits cap from $65 to $175 per month, the current maximum for parking benefits. APTA strongly supports S. 217 because it would make federal tax incentives for commuters who use public transportation or vanpools equal to tax incentives for parking at work. We do not believe that federal policy in this regard should favor one transportation mode over another. It makes sense to promote the full utilization of the nation’s transportation systems. Promoting transit ridership makes better use of the existing investment in transit facilities and helps the highway system, already at peak capacity in many areas, work more smoothly. An effective transportation system, which fosters the efficient movement of goods and people, is one of the keys to economic prosperity.
With passage of the Intermodal Surface Transportation Efficiency Act (ISTEA) and the Transportation Equity Act for the 21st Century (TEA 21), Congress has endorsed a national transportation policy which allows communities to choose transportation solutions that best address local needs. The current disparity between the transit and parking allowances stands in contrast to the federal commitment to a level playing field among transportation modes. We encourage you to support S. 217 because it would benefit working Americans.
Thank you for your efforts to support equity in commuter benefits. We look forward to working with you on this legislation as it is considered.
Sincerely yours,
William W. Millar
President
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