Maryland 2024 Regular Session

Maryland Senate Bill SB841 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2
3	3	EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4	4	[Brackets] indicate matter deleted from existing law.
5	5	sb0841
6	6
7	7	SENATE BILL 841
8	8	Q5, R6, R2 4lr2251
9	9	CF 4lr2252
10	10	By: Senators Ready, Bailey, Carozza, Corderman, Folden, Gallion, Hershey,
11	11	Jennings, Mautz, McKay, Salling, Simonaire, and West
12	12	Introduced and read first time: February 2, 2024
13	13	Assigned to: Budget and Taxation
14	14
15	15	A BILL ENTITLED
16	16
17	17	AN ACT concerning 1
18	18
19	19	Transportation – Motor Fuel Tax Rates, Vehicle–Miles–Traveled Tax, and 2
20	20	Farebox Recovery Requirements 3
21	21	(Transportation Equity, Fairness, and Privacy Act of 2024) 4
22	22
23	23	FOR the purpose of repealing a requirement that certain motor fuel tax rates be adjusted 5
24	24	in future years based on growth in the Consumer Price Index for all urban 6
25	25	consumers; prohibiting the State or a local jurisdiction from imposing or levying a 7
26	26	vehicle–miles–traveled tax or certain other similar fees, tolls, or taxes; requiring that 8
27	27	the Maryland Transit Administration achieve a certain farebox recovery 9
28	28	requirement for certain transit services; requiring that the Administration increase 10
29	29	fares for certain transit services under certain circumstances; providing that the 11
30	30	Administration is not required to conduct certain public hearings before 12
31	31	implementing certain fare increases; prohibiting the State or a local jurisdiction from 13
32	32	requiring the installation of a device in or on a privately owned vehicle to facilitate 14
33	33	the reporting of vehicle miles traveled; and generally relating to fares, fees, and taxes 15
34	34	related to transportation. 16
35	35
36	36	BY repealing and reenacting, without amendments, 17
37	37	Article – Tax – General 18
38	38	Section 9–205 19
39	39	Annotated Code of Maryland 20
40	40	(2022 Replacement Volume and 2023 Supplement) 21
41	41
42	42	BY repealing and reenacting, with amendments, 22
43	43	Article – Tax – General 23
44	44	Section 9–305 24
45	45	Annotated Code of Maryland 25
46	46	(2022 Replacement Volume and 2023 Supplement) 26
47	47
48	48	BY adding to 27 2 SENATE BILL 841
49	49
50	50
51	51	Article – Tax – General 1
52	52	Section 9–401 to be under the new subtitle “Subtitle 4. Vehicle–Miles–Traveled 2
53	53	Tax – Prohibited” 3
54	54	Annotated Code of Maryland 4
55	55	(2022 Replacement Volume and 2023 Supplement) 5
56	56
57	57	BY repealing and reenacting, with amendments, 6
58	58	Article – Transportation 7
59	59	Section 7–208(b–1) and 7–506(a)(1) 8
60	60	Annotated Code of Maryland 9
61	61	(2020 Replacement Volume and 2023 Supplement) 10
62	62
63	63	BY adding to 11
64	64	Article – Transportation 12
65	65	Section 22–107 13
66	66	Annotated Code of Maryland 14
67	67	(2020 Replacement Volume and 2023 Supplement) 15
68	68
69	69	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 16
70	70	That the Laws of Maryland read as follows: 17
71	71
72	72	Article – Tax – General 18
73	73
74	74	9–205. 19
75	75
76	76	(a) (1) The Comptroller may enter into reciprocal agreements on behalf of this 20
77	77	State, with the duly authorized representatives of any other state, that provide for: 21
78	78
79	79	(i) fuel tax registration of vehicles by motor carriers; 22
80	80
81	81	(ii) establishment of periodic fuel use reporting and fuel use tax 23
82	82	payment requirements by motor carriers; and 24
83	83
84	84	(iii) disbursement of money that is collected by the Comptroller and 25
85	85	is due to other states based on: 26
86	86
87	87	1. mileage travelled and fuel used in those states; and 27
88	88
89	89	2. the respective registration fees of those states. 28
90	90
91	91	(2) The Comptroller may not enter into any reciprocal agreement that 29
92	92	would affect: 30
93	93
94	94	(i) this State’s motor carrier tax rate; or 31
95	95
96	96	(ii) this State’s registration fee for motor carriers. 32
97	97	SENATE BILL 841 3
98	98
99	99
100	100	(b) In exercising the authority granted under subsection (a) of this section, the 1
101	101	Comptroller is expressly authorized to: 2
102	102
103	103	(1) enter into regional or national fuel use tax agreements; 3
104	104
105	105	(2) become a member of any regional or national conference, group, 4
106	106	compact, or similar organization of motor carrier fuel use tax administrators; and 5
107	107
108	108	(3) enforce the provisions set forth in any regional or national fuel use tax 6
109	109	agreements. 7
110	110
111	111	(c) The agreement provisions shall apply to the fuel use taxation, registration, 8
112	112	and reporting requirements of motor carriers subject to the provisions of the agreement 9
113	113	without reference to or application of any other statutes of this State. 10
114	114
115	115	9–305. 11
116	116
117	117	(a) Except as provided in subsection (b) of this section, the motor fuel tax rate is: 12
118	118
119	119	(1) 7 cents for each gallon of aviation gasoline; 13
120	120
121	121	(2) 23.5 cents for each gallon of gasoline other than aviation gasoline; 14
122	122
123	123	(3) 24.25 cents for each gallon of special fuel other than clean–burning fuel 15
124	124	or turbine fuel; 16
125	125
126	126	(4) 7 cents for each gallon of turbine fuel; and 17
127	127
128	128	(5) 23.5 cents for each gasoline–equivalent gallon of clean–burning fuel 18
129	129	except electricity. 19
130	130
131	131	(b) (1) The motor fuel tax rates specified in subsection (a)(2), (3), and (5) of this 20
132	132	section shall be increased on July 1, 2013, [and] July 1 [of each subsequent year], 2014, 21
133	133	JULY 1, 2015, JULY 1, 2016, JULY 1, 2017, JULY 1, 2018, JULY 1, 2019, JULY 1, 2020, 22
134	134	JULY 1, 2021, JULY 1, 2022, AND JULY 1, 2023, in accordance with this subsection. 23
135	135
136	136	(2) On or before June 1 [of each year], 2013, JUNE 1, 2014, JUNE 1, 24
137	137	2015, JUNE 1, 2016, JUNE 1, 2017, JUNE 1, 2018, JUNE 1, 2019, JUNE 1, 2020, JUNE 25
138	138	1, 2021, JUNE 1, 2022, AND JUNE 1, 2023, the Comptroller shall determine and 26
139	139	announce: 27
140	140
141	141	(i) the growth in the Consumer Price Index for all urban consumers 28
142	142	as determined by the Comptroller under paragraph (3) of this subsection; and 29
143	143	4 SENATE BILL 841
144	144
145	145
146	146	(ii) the motor fuel tax rates effective for the fiscal year beginning on 1
147	147	the following July 1 as determined by the Comptroller under paragraph (4) of this 2
148	148	subsection. 3
149	149
150	150	(3) (i) In this paragraph, “Consumer Price Index for all urban 4
151	151	consumers” means the index published monthly by the Bureau of Labor Statistics of the 5
152	152	U.S. Department of Labor that is the U.S. city average of all items in a basket of consumer 6
153	153	goods and services. 7
154	154
155	155	(ii) The percentage growth in the Consumer Price Index for all urban 8
156	156	consumers shall be determined by comparing the average of the index for the 12 months 9
157	157	ending on the preceding April 30 to the average of the index for the prior 12 months. 10
158	158
159	159	(4) Subject to paragraph (5) of this subsection, on July 1 [of each year], 11
160	160	2013, JULY 1, 2014, JULY 1, 2015, JULY 1, 2016, JULY 1, 2017, JULY 1, 2018, JULY 12
161	161	1, 2019, JULY 1, 2020, JULY 1, 2021, JULY 1, 2022, AND JULY 1, 2023, each motor fuel 13
162	162	tax rate specified in subsection (a)(2), (3), and (5) of this section shall be increased by the 14
163	163	amount, rounded to the nearest one–tenth of a cent, that equals the product of multiplying: 15
164	164
165	165	(i) the motor fuel tax rate in effect on the date of the Comptroller’s 16
166	166	announcement under paragraph (2) of this subsection; and 17
167	167
168	168	(ii) the percentage growth in the Consumer Price Index for all urban 18
169	169	consumers. 19
170	170
171	171	(5) (i) If there is a decline or no growth in the Consumer Price Index for 20
172	172	all urban consumers, the motor fuel tax rates shall remain unchanged. 21
173	173
174	174	(ii) Any increase in the motor fuel tax rates under paragraph (4) of 22
175	175	this subsection may not be greater than 8% of the motor fuel tax rate effective in the 23
176	176	previous year. 24
177	177
178	178	(6) The Comptroller shall require any person possessing tax–paid motor 25
179	179	fuel for sale at the start of business on the date of an increase in the motor fuel tax under 26
180	180	this subsection to compile and file an inventory of the motor fuel held at the close of 27
181	181	business on the immediately preceding date and remit within 30 days any additional motor 28
182	182	fuel tax that is due on the motor fuel. 29
183	183
184	184	SUBTITLE 4. VEHICLE–MILES–TRAVELED TAX – PROHIBITED. 30
185	185
186	186	9–401. 31
187	187
188	188	(A) SUBJECT TO SUBSECTION (B) OF THIS SECTION, THE STATE OR A LOCAL 32
189	189	JURISDICTION MAY NOT DIRECTLY OR INDIRECT LY, INCLUDING THROUGH A 33
190	190	THIRD–PARTY AGREEMENT OR A S PART OF A PILOT PR OGRAM OR STUDY , IMPOSE OR 34
191	191	LEVY: 35 SENATE BILL 841 5
192	192
193	193
194	194
195	195	(1) A VEHICLE–MILES–TRAVELED TAX ; 1
196	196
197	197	(2) A MILEAGE–BASED USER FEE ; 2
198	198
199	199	(3) A TOLL BASED ON GLOB AL POSITIONING SATEL LITE TRACKING ; 3
200	200	OR 4
201	201
202	202	(4) ANY OTHER SIMILAR FO RM OF TAX. 5
203	203
204	204	(B) NOTHING IN THIS SECTI ON SHALL BE CONSTRUE D TO PROHIBIT THE 6
205	205	COMPTROLLER FROM ENTE RING INTO AND THE STATE FROM ENFORCING AN 7
206	206	AGREEMENT IN ACCORDANCE WITH § 9–205 OF THIS TITLE. 8
207	207
208	208	Article – Transportation 9
209	209
210	210	7–208. 10
211	211
212	212	(b–1) (1) Subject to § 7–506 of this title and paragraph (2) of this subsection, ON 11
213	213	OR BEFORE JULY 1 EACH YEAR, the Administration shall set the fare prices and collect 12
214	214	other operating revenues IN AN AMOUNT SUFFICIENT TO ACHIEVE THE FAREB OX 13
215	215	RECOVERY REQUIREMENT ESTABLISHED IN PARAGRAPH (2) OF THIS SUBSECTION. 14
216	216
217	217	(2) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , FOR 15
218	218	EACH FISCAL YEAR , THE ADMINISTRATION SHALL SEPARATELY RECOVER FROM 16
219	219	FARES AND OTHER OPER ATING REVENUES AT LE AST 35% OF THE TOTAL OPERATI NG 17
220	220	COSTS FOR: 18
221	221
222	222	1. THE ADMINISTRATION ’S BUS, LIGHT RAIL, AND 19
223	223	METRO SUBWAY SERVICES IN THE BALTIMORE REGION ; AND 20
224	224
225	225	2. ALL PASSENGER RAILROA D SERVICES UNDER THE 21
226	226	ADMINISTRATION ’S CONTROL. 22
227	227
228	228	(II) THE PERCENTAGE OF TOT AL OPERATING COSTS R EQUIRED 23
229	229	TO BE RECOVERED UNDE R SUBPARAGRAPH (I) OF THIS PARAGRAPH IS EQUAL TO: 24
230	230
231	231	1. FOR FISCAL YEAR 2025, 15%; 25
232	232
233	233	2. FOR FISCAL YEAR 2026, 20%; 26
234	234
235	235	3. FOR FISCAL YEAR 2027, 25%; 27
236	236
237	237	4. FOR FISCAL YEAR 2028, 30%; AND 28 6 SENATE BILL 841
238	238
239	239
240	240
241	241	5. FOR FISCAL YEAR 2029 AND EACH FISCAL YEAR 1
242	242	THEREAFTER , THE PERCENTAGE SPECI FIED IN SUBPARAGRAPH (I) OF THIS 2
243	243	PARAGRAPH . 3
244	244
245	245	[(2)] (3) The Administration may not reduce the level of services provided 4
246	246	by the Administration for the purpose of achieving a specific farebox recovery requirement. 5
247	247
248	248	(4) AN INCREASE IN THE ADMINISTRATION ’S FARE PRICES BY THE 6
249	249	MINIMUM AMOUNT REQUIRED UNDE R THIS SUBSECTION IS NOT SU BJECT TO THE 7
250	250	REQUIREMENTS OF § 7–506 OF THIS TITLE. 8
251	251
252	252	7–506. 9
253	253
254	254	(a) (1) Except as provided in subsection (b) of this section OR § 7–208(B–1)(4) 10
255	255	OF THIS TITLE, until a public hearing is held on the matter, the Administration may not: 11
256	256
257	257	(i) Fix or revise any fare or rate charged the general public; 12
258	258
259	259	(ii) Establish or abandon any bus or rail route listed on a published 13
260	260	timetable; 14
261	261
262	262	(iii) Change a bus or rail route alignment listed on a published 15
263	263	timetable, unless the change is needed because of temporary construction or changes in the 16
264	264	road network; 17
265	265
266	266	(iv) Reduce the frequency, number of days, or days of service for a 18
267	267	commuter bus or commuter rail route without substituting a comparable level of service, 19
268	268	unless the reduction is temporary or a result of: 20
269	269
270	270	1. A natural disaster; 21
271	271
272	272	2. Weather or other emergency conditions; 22
273	273
274	274	3. Schedule adjustments required by a third party that 23
275	275	operates service on the same right–of–way; or 24
276	276
277	277	4. Other circumstances beyond the control of the 25
278	278	Administration; or 26
279	279
280	280	(v) Establish or abandon a rail transit station. 27
281	281
282	282	22–107. 28
283	283	SENATE BILL 841 7
284	284
285	285
286	286	THE STATE OR A LOCAL JURI SDICTION MAY NOT REQ UIRE THE INSTALLATIO N 1
287	287	OF A DEVICE IN OR ON A PRIVATELY OWNED VE HICLE TO FACILITATE THE 2
288	288	REPORTING OF THE NUM BER OF VEHICLE MILES TRAVELED . 3
289	289
290	290	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect June 4
291	291	1, 2024. 5