TBA-08-16-00005-P Proposal to Strengthen Toll Violation Enforcement on TBTA Bridges and Tunnels

2/24/16 N.Y. St. Reg. TBA-08-16-00005-P

NEW YORK STATE REGISTER

VOLUME XXXVIII, ISSUE 8

February 24, 2016

RULE MAKING ACTIVITIES

TRIBOROUGH BRIDGE AND TUNNEL AUTHORITY

PROPOSED RULE MAKING

NO HEARING(S) SCHEDULED

 

I.D No. TBA-08-16-00005-P

Proposal to Strengthen Toll Violation Enforcement on TBTA Bridges and Tunnels

PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following proposed rule:

Proposed Action:

Repeal of section 1021.3; and addition of new section 1021.3 to Title 21 NYCRR.

Statutory authority:

Public Authorities Law, section 553(5) and (17)

Subject:

Proposal to strengthen toll violation enforcement on TBTA bridges and tunnels.

Purpose:

To deter toll evasion.

Text of proposed rule:

TBTA TOLL VIOLATION ENFORCEMENT REGULATIONS

Part 1021.3 Toll Violation Enforcement

1. The owner, as defined in Public Authorities Law § 2985(3), of any vehicle crossing a bridge or tunnel without paying the crossing charge prescribed by the Triborough Bridge and Tunnel Authority ("Authority") at the place and time and in the manner established for the collection of such crossing charge commits a violation of toll collection regulations.

(a) Payment of crossing charges by E-ZPass shall be made by means of a properly mounted E-ZPass Tag of the proper class that is classified as valid at the time of the toll transaction. For each such violation, the owner shall be charged the full undiscounted crossing charge for fare media other than E-ZPass. Nothing in this section shall be construed to limit the violation of an E-ZPass account holder for administrative violation fees established and imposed by the E-ZPass agreement for failure to pay crossing charges by means of a properly mounted E-ZPass Tag of the proper class that is classified as valid at the time of the transaction.

(b) Payment of crossing charges by fare media other than E-ZPass shall be made at the place and time and in the manner established for the collection of such crossing charge. Nothing in this section shall be construed to limit the violation of a video account holder for administrative violation fees established and imposed by the applicable video account agreement for failure to pay the crossing charges at the place and time and in the manner established for the collection of such crossing charges.

2. The owner of any vehicle which violates toll collection regulations by crossing a bridge or tunnel without paying the crossing charge prescribed by the Authority at the place and time and in the manner established for the collection of such crossing charge shall be liable to the Authority for an administrative fee, known as the toll violation fee, in the amount of $50.00, for each such toll collection violation. The toll violation fee shall be in addition to the applicable crossing charge and any fines and penalties otherwise prescribed by law or by agreement.

3. A Notice of Violation shall be sent by the Authority's authorized agent ("Authorized Agent") to the individual or business alleged to be liable for the toll violation as owner and shall contain:

(a) the name and address of the individual or business alleged to be liable for the toll violation as owner;

(b) the registration number and state of the vehicle alleged to have been involved in the violation;

(c) the location, date and time of each use of the facility that forms the basis of such violation;

(d) the amount of the assessed toll and toll violation fee; and

(e) an image of the license plate of the vehicle being used or operated on the toll facility, provided that an image of each such license plate in the Notice of Violation shall be provided by the Authorized Agent upon request.

4. The individual or business alleged to be liable for the toll violation as owner may dispute the violation by submitting a Declaration of Dispute to the Authorized Agent at the time and place and in the manner established in the Notice of Violation and such toll violation and associated toll violation fee shall be dismissed if such individual or business provides a certification that:

(a) The individual or business was not the registered owner of the vehicle at the time of the toll transaction that forms the basis of such alleged violation and submits to the Authorized Agent: (i) a copy of the plate surrender receipt from the Department of Motor Vehicles; (ii) proof of sale of the vehicle; (iii) a copy of the report to a law enforcement agency that the plate was lost; and/or (iv) a copy of the report to a law enforcement agency that the vehicle was stolen; or

(b) The toll was paid by E-ZPass and the toll posted to an E-ZPass Account and submits to the Authorized Agent a copy of the E-ZPass statement showing the toll posting; or

(c) The toll was paid in cash at the time and submits to the Authorized Agent a copy of the toll receipt.

5. If the owner is a vehicle rental or leasing company which seeks to perform a Transfer of Responsibility to the vehicle lessee or renter, the owner shall submit to the Authorized Agent at the time and place and in the manner established in the Notice of Violation a signed lease or rental agreement and certification of the name and address of the lessee or renter of the vehicle at the time of the toll transaction that forms the basis for the violation. A Notice of Violation or toll invoice shall be sent by the Authorized Agent to such lessee or renter within forty-five days of receipt of the signed lease or rental agreement and certification and such lessee or renter shall be deemed to the owner of such vehicle and shall be liable for the payment of tolls and any toll violation fees.

6. The Authorized Agent shall send the owner a written determination of the Declaration of Dispute under subdivision four.

(a) The owner may request a review by the Authority of the Authorized Agent's determination of the Declaration of Dispute by submitting a Request for Review to the Authority at the place and time and in the matter established in the Authorized Agent's written determination of the Declaration of Dispute.

(b) The Authorized Agent's determination of the Declaration of Dispute under subdivision four shall be final and binding on the owner unless overturned by the Authority upon review.

(c) The Authority's determination of the owner's Request for Administrative Review shall be final and binding on the owner unless overturned by a Court of competent jurisdiction of the State of New York, County of New York, under Article 78 of the New York Civil Practice law and Rules or a United States Court located in New York City, under the procedures and laws applicable in that court.

7. The individual or business alleged to be liable for each toll violation as owner shall be liable for each unpaid toll and toll violation fee unless: (i) such unpaid toll and/or toll violation fee has been dismissed under subdivision four or subdivision six; (ii) there has been a Transfer of Responsibility under subdivision five; or (iii) after payment of such toll, the toll violation fee has been dismissed or reduced under the Fee Waiver Policy adopted by the Authority. Such owners who fail to pay each toll and toll violation fee in response to a Notice of Violation may also have their vehicle registrations suspended under vehicle and traffic law section 510(3)(d) and implementing regulations.

Text of proposed rule and any required statements and analyses may be obtained from:

M. Margaret Terry, Senior Vice President and General Counsel, Triborough Bridge and Tunnel Authority, 2 Broadway, 24th Floor, New York, NY 10004, [phone], email: [e-mail]

Data, views or arguments may be submitted to:

Same as above.

Public comment will be received until:

45 days after publication of this notice.

Regulatory Impact Statement

1. Statutory authority: Public Authority Law (PAL) § 553(5) provides that the Triborough Bridge and Tunnel Authority (Authority) has the power to make “rules and regulations for the regulation of the use of the project and the establishment and collection of tolls thereon” and “that violation of any rule or regulation governing or regulating traffic on the projects of the authority shall be a traffic infraction as the same is defined in the vehicle and traffic law and shall be punishable as such.” PAL § 553(17) provides that the Authority may do “all things necessary or convenient to carry out the powers expressly given in this title.”

2. Legislative objectives: The proposed rule will revise the Authority’s toll violation enforcement regulations to add provisions prescribing the procedural protections for owners seeking to have their tolls and unpaid violation fees dismissed or transferred from vehicle rental and leasing companies to renters and lessees and warning that owners who persistently fail to pay tolls and violation fees may have their vehicle registrations suspended by the New York State Department of Motor Vehicles (DMV).

3. Needs and benefits: This rule is being adopted in conjunction with the DMV’s new regulations to suspend vehicle registrations of owners who fail to pay their tolls and violation fees or who have them dismissed or transferred in response to five violation notices within 18 months under DMV’s statutory authority to suspend registrations for habitual or persistent violators. As the DMV acknowledged in the Regulatory Impact Statement for its proposed regulations, toll violators should receive ample notice for each toll violation of the amount owed, how to pay and how to dispute the alleged violation. Moreover, violation enforcement procedures are most effective when they are both fair and predictable. The proposed rule strengthens the Authority’s toll violation enforcement regulations by enacting due process procedures and policies to give owners an opportunity to have their toll violations dismissed or transferred before being subject to a $50 violation fee per violation, or if persistent or habitual violators, to having their vehicle registration suspended by DMV.

Before beginning its all-electronic tolling (AET) pilot program at the Henry Hudson Bridge in January 2011, the Authority adopted a regulation imposing a $50 toll violation fee upon the owner of any vehicle crossing a bridge or tunnel without paying the prescribed crossing charge by means of a properly mounted and valid E-ZPass Tag or by fare media other than E-ZPass at the place and time and in the manner established by the Authority for the collection of such toll. Since the elimination of cash collection at the Henry Hudson Bridge in November 2012, the $50 violation fee has been effective in keeping the E-ZPass violation rate very low--.4% (i.e., four-tenths of one percent). The $50 violation fee has, however, been less effective in getting customers to make timely payment of their Tolls by Mail invoices; Tolls by Mail customers have a significantly higher violation rate of about 32%. The Authority would be unable to expand AET to other facilities with lower E-ZPass usage than the Henry Hudson Bridge, higher tolls and significant commercial traffic unless it can more effectively deter toll evasion. Since Authority toll revenues are used to maintain and improve its bridges and tunnels and provide support for the Metropolitan Transportation Authority’s integrated mass transportation system, effectively deterring toll evasion prevents toll violators from passing the burden of maintaining Authority infrastructure and supporting mass transit to law-abiding citizens who pay the tolls. It is anticipated that strengthening the Authority’s toll violation enforcement procedures will increase toll revenue at Authority AET facilities by deterring toll evasion. This proposal establishes a meaningful process to both deter toll evasion and encourage persons to pay delinquent tolls.

4. Costs:

a. to regulated parties: This proposal does not impose new costs on individuals utilizing Authority facilities.

b. cost to the State, the agency and local governments: This proposed rule will impose no costs on local governments. TBTA will incur no additional costs because the regulations are consistent with current practices.

c. source: Authority records.

5. Local government mandates: The proposed rule will not affect local governments.

6. Paperwork: The proposed rule will require the Authority to formalize existing toll violation enforcement processes and procedures and develop an appeal procedure.

7. Duplication: This proposed regulation does not duplicate or conflict with any State or Federal rule.

8. Alternatives: The tolling authorities previously submitted legislative proposals to address the issue of non-payment, but such proposals were not enacted by the Legislature. A no action alternative was not considered.

9. Federal standards: The rule does not exceed any Federal standards.

10. Compliance schedule: Implementation of this regulation is scheduled for April of 2016.

Regulatory Flexibility Analysis, Rural Area Flexibility Analysis and Job Impact Statement

A regulatory flexibility analysis for small business and local governments, a rural flexibility analysis and a job impact statement are not required for this rulemaking proposal because it will not adversely affect small business, local governments, rural areas or jobs.

This proposed rulemaking would strengthen the Triborough Bridge and Tunnel Authority’s toll violation enforcement regulations by enacting due process procedures and policies to give owners an opportunity to have their violation dismissed or transferred before being subject to a $50 violation fee per violation or, if persistent or habitual violators, to having their registrations suspended by the New York State Department of Motor Vehicles. Due to its narrow focus, this rule will not impose an adverse economic impact or reporting, record-keeping, or other compliance requirements on small businesses in rural or urban areas or on employment opportunities. No local government activities are involved.