File Under #WellSee #MassINC report calls for regional transportation taxes

Here we go--an important player in the businhess community (Mass Inc) comes out for taxes. File under We'll See

The report points out that the funding pressures on regional systems means that a city like Lowell can’t provide a robust link between its University of Massachusetts campus and the city’s commuter rail station. Instead, the Lowell Regional Transit Authority runs buses more than 30 minutes apart on weekdays and offers no evening service. There are fewer trips on Saturdays and on Sundays there is no service at all.

For remedies, the study’s authors suggest two financing strategies. One is a regional payroll tax on workers in the MBTA’s service region. A 0.7 percent levy, which is similar to what Portland, OR, assesses, could bring in between $600 million and $900 million annually, the report says. Smaller regional levies could help the MBTA close its annual operating deficit and produce millions in revenue on top of state funds for cities like Lowell, Springfield, and Worcester.

The second proposal, a vehicle miles traveled tax, is one option that transportation planners across the country have long-touted as the next major step in paying for roads, bridges, and transit. A VMT tax is borne by the people who use a transportation system. The levy would increase during rush hours, forcing some users to make more deliberate decisions about their travel needs, thereby reducing congestion.