Co-Sponsorship Memo Details

In the near future, we intend to introduce a Transit for All PA Funding Package that will increase and expand dedicated state funding streams to support public transportation systems across Pennsylvania.
   

Mobility is a lifeline for our workforce, our economy, and our quality of life. All Pennsylvanians deserve a robust system of public transit to get to work, doctor’s appointments, or to be with loved ones. Our economy needs robust systems to appeal to younger permanent residents, attract new employers, and to increase tourism in Pennsylvania. Moreover, access to public transit improves social connections and overall health, especially for older and disabled people in suburban and rural areas.  

 

The Transit for All PA Funding package will build on Governor Shapiro’s proposal to increase the allocation of existing sales tax. This bill will establish a 6% excise fee on transportation network companies (TNC) like Uber and Lyft. All proceeds will go to the Public Transportation Fund. The Transit for All PA package also makes nominal increases to the car rental fee and car lease tax. When Act 164 authorized TNCs in 2016, their footprint was far less than today, and no excise fee was established at the time outside of a minimal fee (1.4%) in Philadelphia. Since then, these companies have grown exponentially and make heavy use of commonwealth resources while doing considerable business facilitated by our transit system. Anybody who has spent any time at a train station or bus terminal in the last decade can confirm the steady stream of rideshare vehicles running to and from our transit hubs. This bill will correct that oversight from 2016 and ensure that TNCs contribute to the public resources that benefit them. 

 

Excise fees on ride-hailing already exist in dozens of states and municipalities around the country. Ride-hailing entities like Uber and Lyft increase the number of vehicles on the road, particularly in areas of the Commonwealth with existing public transportation systems. Outside of Philadelphia, ride-hailing companies do not make wheelchair accessible vehicles available. This 6% fee is a way for these companies to pay their fair share to support accessible transportation. 

 

Our Commonwealth’s systems of public transit are capable of bringing people together who otherwise may never interact. These sustainable investments in our systems will pay dividends for generations to come. We hope you’ll join us in supporting our Transit for All PA Funding Package.