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CLT UPDATE
Thursday, March 13, 2014

State's cash cow again paraded out for ritual sacrifice


Massachusetts drivers face higher costs this summer to have their vehicles inspected each year, to register their vehicles every other year, and to cover road testing costs.

To generate $55 million needed to meet state spending demands, the state Board of Transportation on Wednesday proposed the slate of higher Registry of Motor Vehicles fees, which come on the heels of last year’s 3 cent per gallon increase in the gas tax and a law tying future gas tax hikes to inflation.

A public hearing process is required before the Registry fees are increased.

Under the plan, the road test fee for individuals seeking their first license would increase from $20 to $35.

Non-commercial registration fees would go up from $50 to $60. The typical $40 additional fee for specialty plates will remain the same.

The annual motor vehicle inspection fee would increase from $29 to $35 with $1 of that $6 increase going toward the service stations that perform the inspections....

The fee increases are projected to raise between $55 million and $62 million in gross revenue, and MassDOT said excess funds would go toward improved customer service, road and bridge projects and moving employees from the debt-funded capital budget onto the operating budget.

The RMV plans to hold public hearings in May and would need to file its new fees by June 6 in order for them to go into effect by July 1.

State House News Service
Wednesday, March 12, 2014
Mass. drivers face higher fees under new state plan


Celia J. Blue, the new registrar of motor vehicles, announced the fee increases at a meeting of the board of the state Department of Transportation. Board members unanimously approved the new fees, which will raise the cost of registration for noncommercial vehicles from $50 to $60 and the cost of vehicle inspections from $29 to $35. The price of taking a road test will also increase, from $20 to $35....

A 10 percent fee increase was outlined in a transit finance proposal put forth by Governor Deval Patrick last year, and the transportation law passed last August recommended that transportation officials look to Registry fee increases to find extra revenue.

Still, the fee hikes are not yet set in stone. In coming months, there will be public hearings and a public comment period, after which transportation officials will register the fee changes with the secretary of state’s office.

Transportation Secretary Richard A. Davey said officials are wary of raising the cost of driver’s licenses because they want to minimize the impact on low-income residents....

Alan Macdonald, another board member, said he agreed with the new fee policy. “To me, this is a valuable way to get to where we’ve wanted to be over the last decade,” he said.

Davey said the agency’s strategy is to wait five years before again raising Registry fees, but that’s not a guarantee because it is an election year and a new governor would probably appoint a new agency head.

The Boston Globe
Thursday, March 13, 2014
Vehicle fee hikes go into effect July 1


“Revenues are up $5 billion over the last five years and the registry is a cash generator for the commonwealth,” said state Sen. Robert Hedlund, (R-Weymouth), a member of the Joint Committee on Transportation.
“This money, that will be taken off the backs of 
motorists, is being used to paper over the MBTA deficit by an administration that can’t get its hands around a sensible transportation spending plan.”

The Boston Herald
Thursday, March 13, 2014
Vehicle fees will increase July 1


WFXT Fox News 25
Interview with Barbara Anderson
Last evening's (5 pm) news
The Big Story:  RMV fees like car inspection, registration, to increase

CLICK TO WATCH

Barbara holds up a copy of the state Constitution


"No subsidy, charge, tax, impost, or duties, ought to be established, fixed, laid, or levied, under any pretext whatsoever, without the consent of the people, or their representatives in the legislature."

The Massachusetts Constitution
Part the First, Article XXIII


Chip Ford's CLT Commentary

Here they go again, more RMV fee hikes the high priests of Bacon Hill are parading out the state's sacrificial cash-cow for another blooding.

Even before these latest proposed fee hikes, Massachusetts was on track to collect almost $600 million in fees from the RMV; about ten times what it costs to operate. But that isn't enough. More Is Never Enough (MINE) and never will be.

The high priests are already planning for the next sacrificial blooding. According to the Boston Globe, "Davey said the agency’s strategy is to wait five years before again raising Registry fees."

Note the Divide and Conquer strategy in action:  This time they plan to raise the fees on just vehicle registrations, inspections, and first-time road tests but not titles, driver's licenses and renewals, or commercial registrations. ("Davey said officials did not want to do that because [commercial registration] fees were increased several years ago.") Want to bet what they'll be targeting to hike in 2019, if not sooner?

The State House News Service noted: "The RMV plans to hold public hearings in May and would need to file its new fees by June 6 in order for them to go into effect by July 1."

The Boston Globe put it more accurately:  "In coming months, there will be public hearings and a public comment period, after which transportation officials will register the fee changes with the secretary of state’s office."

The pre-ordained result of the dog-and-pony-show "hearings" reminds me of the old wild west tale of justice: "We're gonna give you a fair trial, followed by a first class hanging."

CLT went to court in 1989; sued the Dukakis administration over its unilateral fee increases. In 1992 we settled out-of-court with the new Weld administration, which agreed to review all fees to insure that they did not exceed the cost of providing the administrative service. Gov. Weld removed the fees entirely from license and registration renewals which years later were eventually restored.

In 1999, CLT ― with a big assist from the (Lawrence) Eagle-Tribune ― forced then-Senate President Thomas Birmingham to drop his plan to hike RMV fees.

We'll be pushing back against these new fee increases as well on the constitutional grounds that it violates Article 23 of the state Constitution.

If the Legislature can give away to the RMV/DOT 'the people's or their representatives in the legislature's' constitutional power to 'establish, fix, lay or levy' a 'subsidy, charge, tax, impost, or duty' ― 'under any pretext whatsoever' ― what's to stop legislators from giving away more of their constitutional taxing power to the Department of Revenue, or the Department of Human Services, or any other department, division or agency of state government?

But we won't be going back to court.

This time CLT simply can't afford the legal costs of another such endeavor, even if we could prevail.

Chip Ford


 

State House News Service
Wednesday, March 12, 2014

Mass. drivers face higher fees under new state plan
By Andy Metzger


Massachusetts drivers face higher costs this summer to have their vehicles inspected each year, to register their vehicles every other year, and to cover road testing costs.

To generate $55 million needed to meet state spending demands, the state Board of Transportation on Wednesday proposed the slate of higher Registry of Motor Vehicles fees, which come on the heels of last year’s 3 cent per gallon increase in the gas tax and a law tying future gas tax hikes to inflation.

A public hearing process is required before the Registry fees are increased.

Under the plan, the road test fee for individuals seeking their first license would increase from $20 to $35.

Non-commercial registration fees would go up from $50 to $60. The typical $40 additional fee for specialty plates will remain the same.

The annual motor vehicle inspection fee would increase from $29 to $35 with $1 of that $6 increase going toward the service stations that perform the inspections.

“We have targeted three fees for simplicity’s sake,” Secretary of Transportation Richard Davey said at a MassDOT Board meeting. He said, “We all knew that reform alone was not enough to fix a broken transportation system.”

Registrar of Motor Vehicles Celia Blue said the fees will still keep Massachusetts below the fees levels of most other states, and said inspection fees had last been raised in 1999.

Service stations currently receive $22.50, the bulk of the charge on vehicle inspections, as the Department of Environmental Protection, and the Department of Transportation share $4.49, and $2 is paid to the inspection vendor Parsons. With the increase, an additional $5 would go to MassDOT.

In selecting those three out of numerous other fees the RMV could raise, transportation officials held flat fees paid for commercial registration, the cost of driver’s license renewals or title fees.

Massachusetts Department of Transportation officials also opted against increases in tolls, which are a more limited funding source, as a means for balancing its budget.

The MBTA is planning on an average 5 percent fare increase going into effect in July, as well.

A tax bill that passed in 2013, steering more money toward transportation, required MassDOT to develop 48 percent of its own revenue in fiscal year 2015, up from 47 percent in the current fiscal year. The law calls for MassDOT’s own-source revenues to rise in subsequent years as well.

The fee increases are projected to raise between $55 million and $62 million in gross revenue, and MassDOT said excess funds would go toward improved customer service, road and bridge projects and moving employees from the debt-funded capital budget onto the operating budget.

The RMV plans to hold public hearings in May and would need to file its new fees by June 6 in order for them to go into effect by July 1.


The Boston Globe
Thursday, March 13, 2014

Vehicle fee hikes go into effect July 1
By Martine Powers


Starting July 1, the cost of registering a car and getting an annual vehicle inspection will increase by 20 percent, hikes approved by state transportation officials Wednesday.

Celia J. Blue, the new registrar of motor vehicles, announced the fee increases at a meeting of the board of the state Department of Transportation. Board members unanimously approved the new fees, which will raise the cost of registration for noncommercial vehicles from $50 to $60 and the cost of vehicle inspections from $29 to $35. The price of taking a road test will also increase, from $20 to $35.

Prices for certificates of title, driver’s licenses, and learner’s permits will remain the same.

The fee increases are part of efforts by transportation officials to close a $53 million budget shortfall that arose after the agency began to end the practice of paying employee salaries on credit. Officials estimate that the new fees will raise $55 million to $63 million. None of the major Registry fees have been raised since 2008; the vehicle inspection fee has remained the same since 1999.

A 10 percent fee increase was outlined in a transit finance proposal put forth by Governor Deval Patrick last year, and the transportation law passed last August recommended that transportation officials look to Registry fee increases to find extra revenue.

Still, the fee hikes are not yet set in stone. In coming months, there will be public hearings and a public comment period, after which transportation officials will register the fee changes with the secretary of state’s office.

Transportation Secretary Richard A. Davey said officials are wary of raising the cost of driver’s licenses because they want to minimize the impact on low-income residents.

Dominic Blue, a member of the board of directors, called the fee hikes “quite substantial” and wondered whether the burden placed on drivers could have been distributed more evenly by raising prices for commercial vehicle registration. Davey said officials did not want to do that because those fees were increased several years ago.

Alan Macdonald, another board member, said he agreed with the new fee policy. “To me, this is a valuable way to get to where we’ve wanted to be over the last decade,” he said.

Davey said the agency’s strategy is to wait five years before again raising Registry fees, but that’s not a guarantee because it is an election year and a new governor would probably appoint a new agency head.

Public transit is also set to become more expensive. In coming weeks, T officials will announce fare increases that will raise prices for subway, bus, and commuter rail by an average of 5 percent.

Though the fare increases were not on Wednesday’s agenda, the board meeting drew protesters from the Youth Affordabili(T) Coalition, who want a subsidized youth pass for bus and subway service.

About a half-dozen high school students told the board that they struggle to afford bus and subway fares. In some cases it is their most significant hurdle in keeping a job. They asked for a pass that would cost students $10 per month or an expansion of the current student transit passes, which can only be used during certain weekday hours, to be valid on nights and weekends, as well.

“Figure out a way to protect students,” said Lee Matsueda, political director for the transit advocacy group Alternatives for Community and Environment. “We want to make sure that we invest in the very riders who are the lifeblood of this system.”

T General Manager Beverly A. Scott said the T did not have plans for changes in youth fare rates in time for price increases scheduled to take effect this summer. She said she plans to engage in serious talks about a youth and university pass that could be premiered in 2015.


The Boston Herald
Thursday, March 13, 2014

Vehicle fees will increase July 1
By O’ryan Johnson


The state Transportation Department’s board of dir
ectors has backed a 20-percent increase in vehicle registration and inspection fees to generate an additional $55 million to $63 million, which one lawmaker said is being used to “paper over” debt at the MBTA.

“Revenues are up $5 billion over the last five years and the registry is a cash generator for the commonwealth,” said state Sen. Robert Hedlund, (R-Weymouth), a member of the Joint Committee on Transportation.
“This money, that will be taken off the backs of 
motorists, is being used to paper over the MBTA deficit by an administration that can’t get its hands around a sensible transportation spending plan.”

Under the plan — which will go into effect July 1
after public hearings — registration fees will jump from $50 to $60 and inspection stickers from $29 to $35. The road test fee for licensing will go from $20 to $35.

The MassDOT board approved the hikes yesterday.

“We have targeted three fees for simplicity’s sake,” Secretary of Transportation Richard Davey said. “We all knew that reform alone was not enough to fix a broken transportation system.”

Herald wire services contributed to this report.

 

NOTE: In accordance with Title 17 U.S.C. section 107, this material is distributed without profit or payment to those who have expressed a prior interest in receiving this information for non-profit research and educational purposes only. For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml


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