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S352Senate2019-2020 SessionSame asA7377

Legislature Must Approve Thruway Fees

Official title

“Requires legislative approval of any increased fees, rental or charges for the use of the thruway”

Sponsor James TediscoSD-49+1 co-sponsorAffects Transportation
Status
In Senate Committee
Transportation
Impact
4/10
Low
Passage
0%

Bill progress

Step 2 of 7

In committee · Transportation

What's happening

This bill requires legislative approval before any increases in fees, rentals, or charges for using the New York State Thruway system.

Why it matters

  1. Increases legislative oversight and transparency. by requiring a written report to the legislature justifying any proposed fee hikes, including detailed financial information about the Thruway Authority.

  2. Creates a formal review process. where the legislature can request additional data and must explicitly approve any proposed increases that are not directly tied to pre-existing bond or noteholder agreements, adding a new check on the authority’s power.

  3. Restricts “automatic” or unilateral fee increases. , potentially giving the public and their elected representatives more say in toll and fee adjustments, which could affect affordability for commuters and businesses.

  4. Exempts existing financial commitments. (agreements with bondholders made before this law takes effect) from the new approval process, aiming to maintain the state’s credibility and avoid legal/financial complications with past contracts.

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Who cares

Headline styles

Legislature Must Approve Thruway Fees

Plain English, a few words. Used as the page title.

Sponsors

Primary sponsor
James Tedisco

Senator · Senate District 49

1 Co-sponsor

History

  1. Referred to transportation
  2. Referred to transportation

Companion bill

The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.

A7377Assembly

Legislature Must OK Thruway Hikes

In Assembly Committee · Corporations, Authorities And Commissions · Sponsor Fred Thiele

Impact 6 · Moderate0% to pass

Full text

2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗

STATE OF NEW YORK

352

2019-2020 Regular Sessions

IN SENATE (Prefiled)

January 9, 2019

Introduced by Sen. TEDISCO -- read twice and ordered printed, and when printed to be committed to the Committee on Transportation

AN ACT to amend the public authorities law, in relation to requiring legislative approval of increases in fees, rentals and charges for the use of the thruway system

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

Section 1. Subdivision 8 of section 354 of the public authorities law, as amended by section 2 of part TT of chapter 54 of the laws of 2016, is amended and a new subdivision 8-a is added to read as follows:

8. Subject to agreements with noteholders or bondholders and legislative approval pursuant to subdivision eight-a of this section, to fix and collect such fees, rentals and charges for the use of the thruway or any part thereof necessary or convenient, with an adequate margin of safety, to produce sufficient revenue to meet the expense of maintenance and operation and to fulfill the terms of any agreements made with the holders of its notes or bonds, and to establish the rights and privileges granted upon payment thereof; provided, however, that tolls may only be imposed for the passage through locks and lift bridges by vessels which are propelled in whole or in part by mechanical power; and provided further that no tolls shall be imposed or collected prior to the first day of April, nineteen hundred ninety-three.

8-a. The authority shall submit a written report to the legislature at least one hundred eighty days prior to the date when any proposed increase in fees, rentals and charges for the use of the thruway system is scheduled to take effect. Such report shall include justification for the proposed increase, and information setting forth the current financial condition of the authority. The legislature may require any additional data or information that it deems necessary in such report. If the legislature, or the appropriate committees thereof, upon review of

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD05175-01-9

S. 352 2

the report submitted to it by the authority, finds that the proposed increases are not convenient or necessary to produce sufficient revenue to meet the expense of maintenance and operation of infrastructure existing prior to any proposed increase then no proposed increase shall take effect until approved by a majority vote of each house of the legislature. Provided, however, that legislative approval shall not be required to fix and collect such fees, rentals and charges for the use of the thruway system or any part thereof, to produce sufficient revenue to fulfill the terms of any agreements, formed prior to the effective date of this subdivision, with the holders of its notes or bonds.

§ 2. Severability. If any clause, sentence, paragraph, section or part of this act shall be adjudged by any court of competent jurisdiction to be invalid, such judgment shall not affect, impair or invalidate the remainder thereof, but shall be confined in its operation to the clause, sentence, paragraph, section or part thereof directly involved in the controversy in which such judgment shall have been rendered.

§ 3. This act shall take effect immediately.

Reflowed for reading: line numbers and page breaks removed. Cite the official text.

Sponsor's memo

Title of bill

An act to amend the public authorities law, in relation to requiring legislative approval of increases in fees, rentals and charges for the use of the thruway system

Purpose

Requires the Thruway Authority to obtain Legislative approval before implementing toll increases which are greater than those required to fulfill obligations to bondholders and to provide for the maintenance and operation of the existing Thruway system.

Summary of provisions

Section. 1 adds a new subdivision 8 to section 354 of the Public Author- ities Law setting forth conditions under which Legislative approval may be required prior to implementation of a Thruway toll increase.

Section 2 is a severability clause.

Existing law

Existing law makes no provisions for Legislative over- sight of Thruway toll increases.

Justification

Recent Thruway toll increases have drawn a firestorm of opposition from motorists and truck operators. An initial increase of 10% in 2008 was followed by 5% increases in 2009 and 2010. This means that drivers will be paying $370 million more in tolls.

Increasing Thruway tolls amounts to geographic discrimination against upstate residents, who are already struggling due to the current econo- my. Toll increases may also divert commercial traffic to alternate routes, such as the Pennsylvania Turnpike, resulting in revenue losses to businesses such as fuel stops and restaurants. Requiring Legislative approval for toll increases which exceed the amount necessary to fulfill bondholder obligations will ensure a full public review of impacts on the upstate regions served by the Thruway.

Legislative history

02/03/17: S.4145 REFERRED TO TRANSPORTATION 01/03/18: S.4145 REFERRED TO TRANSPORTATION

Fiscal implications

None

Effective date

This act shall take effect immediately.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.