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Article #2315

Transit Agencies Seek Protection from Energy Taxes

#2315
From: Nigel Allen
Date: Sun, 18 Jul 1993 04:18
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Here is a press release from the American Public Transit Association.
I downloaded it from the PR On-Line BBS in Maryland at 410-363-0834.

 Transit Agencies Seek Protection from Energy Taxes and Fair Share
of Income
 To: National Desk, Transit Writer
 Contact: Chip Bishop of the American Public Transit Association,
          202-898-4114

   WASHINGTON, July 15 -- So they carry out their many 
responsibilities under federal law, the nation's public transit 
systems should be exempt from any energy tax adopted by
Congress as part of President Clinton's deficit reduction program.
   That is one of two main messages being carried to Capitol Hill
by members of the American Public Transit Association.  APTA
members also are calling on lawmakers to ensure transit's
traditional 20 percent share of new fuel tax receipts is assigned to
the Highway Trust Fund.
   In letters to House Ways and Means Committee Chairman Dan
Rostenkowski (D-Ill.), and Senate Finance Committee Chairman Daniel
Patrick Moynihan (D-N.Y.), APTA Executive Vice President Jack R.
Gilstrap said that a tax on fuel used in transit could lead to
higher fares and reduced services for low-income workers, senior
citizens and persons with disabilities.  "These increased costs
would also penalize commuters who voluntarily leave their cars at
home and use transit, instead of rewarding them for saving energy
and reducing pollution," he said.
   Public transit authorities traditionally have been exempt from
federal taxes because most are agents of state and local
governments.  But the House-passed proposal for a Btu tax would not
exempt public transit agencies.  Gilstrap estimates that a Btu tax
would cost transit operators more than $300 million over five
years.
   APTA is also calling for a change in a Senate-passed plan to
place receipts from its proposed 4.3 cents transportation fuels tax
solely in the highway account of the Highway Trust Fund.  Transit
agencies insist that 20 percent of the money should be reserved in
the fund's mass transit account to continue the traditional split
in previous gas tax laws.
   The trust fund provision was inserted into the Senate bill by
Sen. Hank Brown (R-Colo.).  "When it was offered for consideration,"
said Gilstrap, "it was noted that the amendment was designed
to 'follow precedents that have long been followed' regarding
the distribution of funds.  The amendment as adopted is not
consistent with this stated intent."
   APTA also supports a provision in the Senate bill to free the
nation's commuter railroads from a 2.5 cents per gallon diesel fuel
tax they have been paying since 1990 because of a legislative
oversight.
   APTA is the international association of operating transit
authorities, their suppliers and other advocates of improved
transit service.
   For further information and interviews, contact Chip Bishop of
APTA at 202-898-4114.

 -30-

--
   The opinions expressed are not necessarily those of the University of
     North Carolina at Chapel Hill, the Campus Office for Information
        Technology, or the Experimental Bulletin Board Service.
           internet:  laUNChpad.unc.edu or 152.2.22.80
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From: Nigel.Allen@launchpad.unc.edu (Nigel Allen)
Newsgroups: sci.energy,ba.transportation,talk.environment,alt.activism
Subject: Transit Agencies Seek Protection from Energy Taxes
Date: 18 Jul 1993 04:18:31 GMT
Organization: University of North Carolina Extended Bulletin Board Service
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