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Yahoo
2 days ago
- Business
- Yahoo
Legislative roundup: Shapiro, Carroll highlight need to invest in mass transit
Jun. 6—Gov. Josh Shapiro and PennDOT Secretary Mike Carroll joined transit leaders and other officials to highlight the critical role of mass transit to connect communities across the Commonwealth, create jobs and grow Pennsylvania's economy. This comes as the governor continues to advocate for his 2025 — 26 budget proposal, which includes $292 million in new mass transit funding next year — generating more than $1.5 billion in the next five years. This is the first significant increase in state support for mass transit in more than a decade, benefiting 52 transit systems that serve nearly one million riders each day in rural, urban, and suburban communities across the Commonwealth. "Just like we repair and maintain the bridges in rural and suburban communities, we owe it to the Pennsylvanians who take mass transit to be there for them and their families too," Shapiro said. "Mass transit drives $5.4 billion in economic activity every year in Pennsylvania, and it enables businesses to affordably get their employees to offices and job site — it's well worth the investment in our budget. For two years in a row, I've proposed the first major new investment in mass transit in more than a decade — the House has passed that proposal three times and it's now up to the Senate to act." Strengthening Pa.'s transportation network Since taking office, Shapiro said he has already delivered more than $380 million in new funding for roads and bridges, leading the nation in repairing more poor condition bridges than any other state in the country and improving over 12,000 miles of roads — more than any other time in the last decade. The governor's proposed budget builds on that success by addressing a long-standing gap — dedicated, sustainable funding for public transit. The governor's proposal would not raise taxes. Instead, it would increase the portion of the Sales and Use Tax dedicated to public transit — from 7.68% to 9.43% — generating $292 million in new annual funding next year and more than $330 million annually by 2029 — 30. Shapiro said he is also helping the Commonwealth maximize federal investments and accelerate critical construction and maintenance projects statewide by continuing to reduce the Pennsylvania State Police's reliance on the Motor License Fund. "Pennsylvania's economic growth relies on our ability to build out a transportation network that puts our tradespeople to work, strengthens our businesses, and improves Pennsylvanians' lives," Carroll said. "We've got to meet everyone's transportation needs to grow our economy and our communities. Transit is critical — 65% of fixed-route riders say they have no other option. We've been here before. The House acted — three times — but the Senate didn't. Now we're at the deadline again, and it's time to fund transit. Shared ride powers our economy, supports seniors' quality of life, and connects Pennsylvanians to opportunity, no matter where they live." McCormick passes bills through Senate committee U.S. Sen. Dave McCormick, R-Pittsburgh, this week passed two bills through the Senate Foreign Relations Committee that would require the State Department to develop a strategy to dismantle the Mexican drug cartels and support Taiwan's participation in the International Monetary Fund (IMF). These are the first two bills authored by McCormick to be adopted by a Senate committee. "I will always work to protect the economic and national security interests of Pennsylvanians," McCormick said. "These bills will strengthen our national security, stop the scourge of fentanyl from coming into American communities, and counter China's pernicious influence. I look forward to working with my colleagues on the Foreign Relations Committee to continue advancing them through the legislative process." McCormick introduced S. 1780 — the Mexico Security Assistance Accountability Act — with Sen. Mark Kelly, D-Arizona, on May 15. This bill would require the State Department to develop a strategy for U.S. security assistance in Mexico to dismantle the cartels, increase the capacity of Mexico's military and public security institutions to degrade the cartels and combat public corruption and impunity. The Mexican drug cartels are the leading driver of the fentanyl overdose crisis that has killed more than 300,000 Americans, including more than 4,000 Pennsylvanians each year. On May 22, McCormick introduced S. 1900 — the Taiwan Non-Discrimination Act — with Senators Jacky Rosen, D-Nevada; Dan Sullivan, R-Alaska; and Elissa Slotkin, D-Michigan. This bill would require the U.S. Governor of the International Monetary Fund to use the voice and vote of the United States to support the admission of Taiwan as a member of the IMF, to the extent that admission is sought by Taiwan. Taiwan is the 21st largest economy in the world and the 10th largest goods trading partner of the United States, yet it is not one of the 191 members of the IMF. House passes bill to restore accountability to SBA lending The U.S. House of Representatives this week passed U.S. Rep. Rob Bresnahan Jr.'s legislation — H.R. 2987, the Capping Excessive Awarding of SBLC Entrants (CEASE) Act. The legislation, which passed by a bipartisan vote of 214-198, will restore responsible and correct oversight capabilities of the Small Business Administration (SBA) for small business lending companies (SBLCs) for which they are the primary regulator. "Small businesses deserve a reliable program that works for them, and that means keeping our community banks at the core of the system," said Bresnahan, R-Dallas Township. "President Trump and I agree, we shouldn't be incentivizing fraud and abuse by flooding the program with risky, under-regulated institutions. My legislation caps the number of non-bank SBLC licenses, ensuring taxpayer-backed guarantees are not handed out to lenders the SBA cannot properly oversee. I am proud to see my legislation passed today, and I look forward to President Trump signing it into law." The SBA is authorized to issue government-backed 7(a) loans through certified depository institutions, like banks and credit unions, as well as certified non-bank lenders, like fintech companies. Unlike certified depository institutions, whose primary regulator is the Federal Reserve, the non-bank SBLCs are primarily regulated by the SBA, meaning they are not subject to the same regulations and requirements. Bresnahan announces Tuesday , June 10, telephone town hall Bresnahan announced the details of his next telephone town hall, which will be held at 6:30 p.m. Tuesday , June 10 . Bresnahan held his first town hall on March 25 — which was the first Congressional town hall held in Pennsylvania's Eighth Congressional District in over four years. "I came to Congress to make a difference and fight for my home, and the best way to effectively do that is by hearing directly from the people I represent," Bresnahan said. "This telephone town hall will give me a chance to hear directly from the people who matter most. At the end of the day, it's Northeastern Pennsylvania — my home — that put me in Congress, not Washington, D.C., and I look forward to hearing how I can continue to best serve them next week." Bresnahan's first telephone town hall drew more than 9,000 constituents to join over the phone and an estimated additional 1,000 tuned in on Facebook. During the town hall, he answered questions on topics including Medicaid, the Tobyhanna Army Depot, the Rain Tax, inflation, the housing market and veterans. Reach Bill O'Boyle at 570-991-6118 or on Twitter @TLBillOBoyle.
Yahoo
18-04-2025
- Automotive
- Yahoo
Drivers of hybrids, electric vehicles will see new charges in Pennsylvania
PENNSYLVANIA (WTAJ) — In 2024, Governor Josh Shapiro signed an act that would charge Pennsylvanians who drive electric or hybrid vehicles, and as of April 1, they began charging. Act 85 was passed by the Pennsylvania General Assembly and signed into law, and it is working to make sure that all drivers are supporting road and bridge maintenance across the state. Those who drive hybrid and electric vehicles will now see a Road User Charge (RUC). Those who drive a gas-powered vehicle already help to maintain roadways through gas taxes. Bill aims to bring Hollywood to Pennsylvania with bigger tax credit: 'Economic benefits' 'The new law creates a fair way for all drivers to help maintain Pennsylvania's transportation network, ensuring that EV and PHEV owners who pay no or very little gas tax are also contributing to Pennsylvania's Motor License Fund for highway and bridge maintenance,' according to the Pennsylvania Department of Transportation. Own an electric or hybrid vehicle? Here is what you need to know If the registration for your vehicle expires after May 2025, you'll need to pay the new fee. PennDOT is responsible for sending you a form with the payment details. EV and hybrid owners will receive a notice by mail and must submit a check or money order to pay the fee within 30 days of the notice. EV or PHEV vehicle owners must pay the RUC fee in order to renew their vehicle registration for the following cycle. How much will drivers be paying? 2025 One year: $250Two year: $500 One year: $63Two year: $126 Tied to consumer price index (CPI) 25% of EV fee, rounded to the next dollar Previously, drivers for these cars had to pay an Alternative Fuels Tax, but with the establishment of the system, this has replaced the fuel tax. The only exempt vehicles for this charge will be golf carts, electronic motorcycles, vehicles from 1990 and older, and certain government vehicles. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
17-02-2025
- Business
- Yahoo
Pa.'s roads would get more gas tax money in next budget, but a highway funding gap remains
PennDOT paving crews. (Commonwealth of Pennsylvania photo). When Pennsylvania lawmakers talk about how taxpayers should foot the bill for getting around the Keystone State, debate generally centers on a dichotomy between mass transit and everything else under PennDOT's umbrella. In that respect, this budget season is shaping up to closely track that of recent years, with Gov. Josh Shapiro again proposing a shift in sales tax revenue to help transit agencies, primarily in the Philadelphia and Pittsburgh regions, and calling for more money for roads and bridges. 'It should not be an either or, this should be a both,' Shapiro said in his Feb. 7 budget address. 'Whether you're a mom in Mantua, McKeesport or in Manheim, you deserve a transportation network that gets you to work and home again in time for dinner safely.' But lawmakers in rural parts of the commonwealth opposed the transit part of Shapiro's plan last year, blocking $283 million in additional funding for transit while highlighting the massive gap in money available for roads, bridges and other transportation like regional airports. Transportation Secretary Mike Carroll is set to appear before the state House Appropriations Committee in a budget hearing Wednesday. This year, Shapiro's $51.5 billion budget includes $292.5 million in additional revenue for transit by increasing the share of Pennsylvania's sales tax that goes to transit by 1.75%. And his budget messaging touts $750 million in additional funding for highways over the next five years. However, that $750 million figure includes more than $500 million in annual funding that is already going to PennDOT. Nearly a decade ago, lawmakers started the process of weaning the Pennsylvania State Police off of fuel tax and registration fee revenue that otherwise would have been available for highway construction. That pool of money, called the Motor License Fund (MLF), accounts for 25% of PennDOT's $11.6 billion 2025-26 budget request. Robert Latham, executive director of the Associated Pennsylvania Constructors, which represents hundreds of companies in the road-building industry, said Shapiro's proposal would actually slow progress toward his goal of eventually eliminating the transfers from the MLF to the state police. 'We are disappointed that the proposed budget does not reflect the General Assembly's previous commitment to reducing the diversion of funds from the Motor License Fund for State Police operations,' Latham said. Faced with an impasse over transit and highway funding last year, the compromise House Democrats and Senate Republicans reached to pass the current budget — $80.5 million each for transit and highways — fell short. Shapiro in November 'flexed' $153 million in federal highway funding to arrest what a Southeastern Pennsylvania Transportation Authority (SEPTA) board member described as a 'death spiral' and stave off fare hikes and service cuts. GOP leaders accused Shapiro of 'pillaging' infrastructure projects to address a crisis of his own making when he prioritized a historic increase in public education spending over transit. While Democratic lawmakers vowed to pass a comprehensive transportation package this session, Republicans said they still want a reassessment of SEPTA's service model, given reductions in ridership as a result of the pandemic and a widespread increase in telecommuting. The MLF is one of the state's restricted revenue accounts, meaning that it collects money through certain taxes and fees that can be used only for specific purposes. In the case of the MLF, those are taxes on liquid fuels such as gasoline and diesel and fees for driver's licenses and vehicle registrations. The MLF has provided funding for state police for decades under an interpretation of the law that it can be used for public safety as well as highway construction and maintenance, Latham said. At its zenith, state police funding from the MLF reached $800 million in 2016. That year, the state fiscal code included legislation to step down the amount going to state police to $500 million. It reached that amount in 2021 and remained level until 2023, when the General Assembly passed Shapiro's plan to continue reducing the transfers by $125 million with the goal of eliminating MLF funding for state police by 2027. Under Shapiro's new proposal, stepping down the transfers by $50 million a year, state police funding from the MLF would not reach $0 until 2029. 'Everyone kind of agreed that we were on this $125 million a year path,' Latham said, noting that Shapiro's first budget also created a dedicated public safety fund to support state police by paying for additional classes of state police cadets. 'We'd rather stick with the two-year plan.' House Transportation Committee Chairperson Ed Neilson (D-Philadelphia) said he agrees Pennsylvania's fuel tax — among the highest in the nation at about 58 cents per gallon — should all benefit road users. 'I want all the money in the Motor License Fund to go to fixing roads and bridges. The faster we're out of it the better we are,' he said. Rep. Kerry Benninghoff (R-Centre), who is the ranking Republican member of the Transportation Committee, did not respond to an interview request for this story. Sen. Judy Ward (R-Blair), who is chair of the Senate Transportation Committee, also did not respond to an interview request. Neilson noted the $250 million for state police in the current budget is a pittance compared to what state officials estimate PennDOT needs to fully fund the highway system. Next year's proposed budget projects about $2.2 billion in MLF funding for highway and bridge construction and maintenance, a $65 million increase over the current budget. PennDOT's overall budget request is about $11.6 billion. A report by the Pennsylvania Transportation Revenue Options Commission, a group appointed by Gov. Tom Wolf to study potential new sources of funding, estimated a shortfall in transportation funding of about $9 billion in 2021 that was projected to increase to about $14 billion within a decade. Senate Majority Leader Joe Pittman (R-Indiana) said in a statement to the Capital-Star the need for transportation safety improvements and economic expansion, of which transportation is a key part, continues to grow across Pennsylvania. 'It is abundantly clear the Motor License Fund cannot serve to fund critical projects and the State Police (PSP) simultaneously. We remain focused on the continuation of the process to phase out the PSP from the Motor License Fund,' Pittman said. 'While the acceleration of the rate two years ago was beneficial,' Pittman added, 'the pace at which the transfers have taken place has been in flux throughout the last several years due in large part to the limitations of the general fund to carry more costs associated with the very important work of the PSP.' Governors and lawmakers have explored new revenue streams, such as tolling interstate highways (which the federal government nixed nearly 15 years ago) or certain bridges, which a state court blocked in 2022. Taxing and regulating recreational cannabis and skill games is part of Shapiro's current proposal. A new $200 registration fee for electric vehicle owners is set to begin in April, which a House Appropriations Committee analysis projects will generate $16 million in its first year. The 2021 revenue commission report explored a combination of new funding sources including a mileage-based user fee instead of a gas tax, tolls on certain highway corridors and carpool lanes, adjustments to vehicle sales taxes, and fees on transportation services such as Uber and Lyft could generate as much as $11 billion in new revenue. One of the new fees the commission considered, a surcharge on package deliveries from companies like Amazon and DoorDash, was proposed as part of Maryland Gov. Wes Moore's budget to help pay for transportation improvements. 'Those vehicles are using the roads. Drive up and down our highways and where there used to be farms there are 1- and 2-million-square-foot distribution centers,' Latham said, noting that transportation funding should take into account how road use is changing. 'We're in a distribution economy now and people aren't going to brick and mortar stores as much so they aren't buying gas.'
