Relates to a theft of certain services

Section 2 of the bill would designate Public Authorities Law (PAL) § 2985 as Title 12 "Toll Collections."

Section 3 of the bill would amend PAL § 2985(5) to provide that the current fines imposed on a vehicle owner who is found liable for a violation of toll collection regulations will be doubled to the following: for a first violation, one hundred dollars or two times the toll evaded, whichever is greater; for a second violation, both within eighteen months, two hundred dollars or five times the toll evaded, whichever is greater; for a third or subsequent violation thereof all within eighteen months, three hundred dollars or ten times the toll evaded, whichever is greater. One half of such monetary penalties would be paid to the public authority whose toll collection regulations were violated. In addition to the fines set forth in this section, such owner would be required to make full restitution of toll revenues lost as a result of such toll evasion.

Section 4 of the bill would amend PAL § 2985(7) to provide that the notice of liability for a toll collection violation be mailed no later than ninety days after the alleged violation occurred and include the toll amount evaded.

Section 5 of the bill would amend PAL § 2985(15) to clarify that public authorities operating toll highways, bridges or tunnels are authorized to impose a reasonable administrative fee upon toll evaders.

Section 6 of the bill would amend Vehicle and Traffic Law (VTL) § 510 (4-d) to apply the existing mandatory vehicle registration suspension provision applicable where the owner of a motor vehicle failed to appear, failed to pay any penalty imposed, or failed to comply with the rules and regulations of an administrative tribunal in relation to five or more violations, those instances in which an owner has three or more violations within an eighteen month period.

Section 7 of the bill provides that the bill becomes effective 180 days after it becomes law.

Existing law

PL § 165.15 provides that it is a theft of service to obtain railroad, subway, bus, air, taxi or any other public transportation service without the payment of the lawful charge for such use; however, it does not specifically include the act of intentionally avoiding payment for the use of a toll road, bridge or tunnel as a theft of service.

PAL § 2985, which is titled "owner liability for failure of operator to comply with toll collection regulations," is in PAL Article 9, Title 11 which is titled "Wrongful Death Actions".

PAL § 2985 has a progressive series of fines for accumulated toll collection offenses which range from $50-$150. The fine monies collected are not paid to a public authority whose toll collection regulations were violated.

VTL § 510(4-d) provides that upon receipt of notification from a court or administrative tribunal that a vehicle owner has accumulated 5 or more toll collection violations, the Department of Motor Vehicles (DMV) shall suspend that person's vehicle registration.

Prior legislative history

In 2008, S.3570 and S.7380/A.10493 passed the Senate. These bills, which contained provisions similar to this proposal, have been modified and combined into this bill. Other versions of S.3570 have been introduced by the Legislature in prior sessions.

Statement in support

Several public authorities in New York State have implemented an electronic toll collection system commonly referred to as E-ZPass. The E-ZPass system has increased customer convenience while reducing travel time, fuel consumption, and potential back-ups at toll plazas for the Thruway Authority as well as other authorities.

While the benefits of E-ZPass are numerous, it does provide opportunities for abuse. Those who are not E-ZPass subscribers can evade tolls by driving through lanes designated for that purpose. Although it is arguable that such conduct could be prosecuted under the existing theft of services provisions, this bill would clarify that intentionally avoiding payment for the use of a toll road, bridge or tunnel is a theft of service. This is consistent with the current PL provisions that provide that it is a theft of service to obtain railroad, subway, bus, air, taxi or any other public transportation service without the payment of the lawful charge for such use.

PAL § 2985 provides for a progressive series of fines for those accumulating toll collection offenses. However, none of the fine money, not even the amount of the toll evaded, goes back to the affected public authority. Providing one half of the monetary penalties to the affected public authority will help to make the public authority whole and offset the costs incurred in addressing these types of violations. By doubling the existing fines, there will be no impact on the entities that currently receive the fine money. In addition, there is currently no mechanism in law for a public authority to recover the actual toll lost due to toll evasion. This

bill would allow public authorities to recover these funds by making restitution in these cases mandatory.

Current law provides that upon notification from a court or administrative tribunal that a vehicle owner has accumulated 5 or more toll collection violations within an eighteen month period, the DMV shall suspend that person's vehicle registration. Because only courts and administrative tribunals are authorized to transmit this information to DMV, and these entities only track violations within their own geographic jurisdictions, the only time a multiple violator is reported to DMV is when a violator has accumulated five or more violations within one jurisdiction. This process leaves a gap in tracking violators who often travel between multiple jurisdictions and does not effectively serve as a deterrent to those who would abuse the system at the expense of others. A vehicle registration suspension for failure to answer a single appearance ticket or to pay a fine imposed pursuant to the VTL (except one for parking, stopping, or standing) is currently mandated in VTL § 510(4-a). This bill would enhance E-ZPass enforcement by reducing the number of toll collection violations that an individual may have from five to three within an eighteen month period before being subject to a mandatory vehicle registration suspension.

This legislation is also consistent with recommendations included in two audit reports issued by the New York State Office of the Comptroller (2008-S-6 and 2006-S-101).

Budget implications

There are no anticipated State budgetary implications. There may be a slight increase in revenues to public authorities through recovery of lost toll revenue and the efficient enforcement of toll evasion penalties that occur across multiple jurisdictions.

Effective date

This act shall take effect on the one hundred eightieth day after it shall have become a law.