Rhode Island 2025 Regular Session

Rhode Island Senate Bill S0382 Compare Versions

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

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5	5	2025 -- S 0382
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7	7	LC001770
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9	9	S T A T E O F R H O D E I S L A N D
10	10	IN GENERAL ASSEMBLY
11	11	JANUARY SESSION, A.D. 2025
12	12	____________
13	13
14	14	A N A C T
15	15	RELATING TO LABOR AND LABOR RELATIONS -- THE COMMUTER
16	16	TRANSPORTATION BENEF ITS ACT
17	17	Introduced By: Senators Bissaillon, Gu, Britto, DiPalma, Kallman, McKenney, Lawson,
18	18	Burke, Vargas, and Bell
19	19	Date Introduced: February 26, 2025
20	20	Referred To: Senate Commerce
21	21
22	22
23	23	It is enacted by the General Assembly as follows:
24	24	SECTION 1. Title 28 of the General Laws entitled "LABOR AND LABOR RELATIONS" 1
25	25	is hereby amended by adding thereto the following chapter: 2
26	26	CHAPTER 61 3
27	27	THE COMMUTER TRANSPORTATION BENEFITS ACT 4
28	28	28-61-1. Short title. 5
29	29	This chapter shall be known and may be cited as the "Commuter Transportation Benefits 6
30	30	Act." 7
31	31	28-61-2. Definitions. 8
32	32	As used in this chapter: 9
33	33	(1) "Covered employer" means an employer with five hundred (500) or more employees 10
34	34	assigned, scheduled to work, working or situated at the employer's place of business or work site(s) 11
35	35	located within the state. 12
36	36	(2) "Director" means the director of the department of labor and training. 13
37	37	(3) "Employee" shall have the same meaning as provided in § 28-12-2. 14
38	38	(4) "Employer" shall have the same meaning as provided in § 28-12-2. 15
39	39	(5) "Pre-tax transportation fringe benefit" means a pre-tax election transportation fringe 16
40	40	benefit, that provides commuter highway vehicle and transit benefits, consistent with the provisions 17
41	41	and limits of § 132(f)(1) of the Internal Revenue Code of 1986 (26 U.S.C. §132(f)(1)) at the 18
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45	45	maximum benefit levels allowable under federal law, to be deducted for those programs from an 1
46	46	employee's gross income, pursuant to § 132(f)(2) of the Internal Revenue Code of 1986 (26 U.S.C. 2
47	47	§ 132(f)(2)). 3
48	48	(6) "Transit pass" means a pass for travel by bus or vehicle, operated by the Rhode Island 4
49	49	public transit authority (RIPTA). 5
50	50	28-61-3. Commuter employee transportation benefit. 6
51	51	(a) Except as provided in subsection (b) of this section, every covered employer with five 7
52	52	hundred (500) or more employees, shall offer employees a pre-tax transportation fringe benefit 8
53	53	program, that provides commuter transit benefits consistent with § 132(f)(1) of the Internal 9
54	54	Revenue Code of 1986 (26 U.S.C. § 132(f)(1)) at the maximum benefit levels allowable under 10
55	55	federal law, to be deducted from an employee's gross income, pursuant to § 132(f)(2) of the Internal 11
56	56	Revenue Code of 1986 (26 U.S.C. § 132(f)(2)). 12
57	57	(b) Subsection (a) of this section shall not apply to: 13
58	58	(1) The government of the United States; 14
59	59	(2) The State of Rhode Island including any office, department, agency, authority, 15
60	60	institution, association, society or other body of the state; 16
61	61	(3) Any local government or entity; 17
62	62	(4) Any group of employees covered by a collective bargaining agreement in effect on 18
63	63	January 1, 2026, until the expiration of the collective bargaining agreement; or 19
64	64	(5) Any employer who has demonstrated to the satisfaction of the director that the offering 20
65	65	of such benefits would result in a severe financial hardship for the employer. 21
66	66	28-61-4. Rules and regulations. 22
67	67	The director shall promulgate rules and regulations as he or she deems necessary to 23
68	68	effectuate the provisions of this chapter. 24
69	69	28-61-5. Civil penalty. 25
70	70	Any employer found to be in violation of the provisions of this chapter shall be liable for 26
71	71	a civil penalty of not less than one hundred dollars ($100) and not more than two hundred fifty 27
72	72	dollars ($250) for a first violation. An employer shall have ninety (90) days to offer a pre-tax 28
73	73	transportation fringe benefit, before the civil penalty is imposed. After ninety (90) days, each 29
74	74	additional thirty (30) day period in which an employer fails to comply with the provisions of this 30
75	75	chapter, shall constitute a subsequent violation and a civil penalty of two hundred fifty dollars 31
76	76	($250) shall be imposed for each subsequent violation. No civil penalty shall be imposed on any 32
77	77	single employer, more than once in any thirty (30) day period. 33
78	78	28-61-6. Public awareness campaign. 34
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82	82	The department of transportation, in conjunction with the department of labor and training, 1
83	83	shall conduct a public awareness campaign, encouraging the public to contact employers about 2
84	84	commuter transportation benefits. 3
85	85	SECTION 2. This act shall take effect on January 1, 2026. 4
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92	92	EXPLANATION
93	93	BY THE LEGISLATIVE COUNCIL
94	94	OF
95	95	A N A C T
96	96	RELATING TO LABOR AND LABOR RELATIONS -- THE COMMUTER
97	97	TRANSPORTATION BENEF ITS ACT
98	98	***
99	99	This act would establish the commuter transportation benefit chapter. Employers with five 1
100	100	hundred (500) or more employees would be required to establish a pre-tax commuter transportation 2
101	101	fringe benefit program. 3
102	102	This act would take effect on January 1, 2026. 4
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