TriMet is proposing to increase revenues to meet the demand for more transit service. The added revenue would be dedicated to new and expanded bus, rail and innovative community and job connector services that are outlined in the agency’s comprehensive strategic Service Enhancement Plans.
TriMet is proposing to increase the payroll tax rate by one tenth of one percent phased-in over 10 years. If approved, the median firm would see their tax increase by slightly more than USD 8 in the first year and by about USD 82 by the end of the decade, not including inflation.
At the Board of Directors meeting in August, there will be a first reading and a public hearing on the proposal. The board is set to vote on the ordinance in September. If approved, it would take effect on 1 January 2016. The proposal also calls for a review of the revenues after the first five years. If the revenues materially exceed the annual amounts necessary to expand service to meet state and regional plan requirements and maintain sufficient financial reserves, the Board may defer the payroll tax increase for any subsequent year.
Currently the employer payroll tax funds about 59 percent of transit service. TriMet provides bus, light rail and commuter rail transit services in the Portland, Oregon, metro area.
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