[Congressional Record (Bound Edition), Volume 154 (2008), Part 6]
[Extensions of Remarks]
[Pages 8946-8947]
[From the U.S. Government Publishing Office, www.gpo.gov]




  INTRODUCTION OF THE CREATING OPPORTUNITIES TO MOTIVATE MASS-TRANSIT 
  UTILIZATION TO ENCOURAGE RIDERSHIP (COMMUTER) ACT OF 2008, H.R. 6030

                                 ______
                                 

                         HON. MARK STEVEN KIRK

                              of illinois

                    in the house of representatives

                         Tuesday, May 13, 2008

  Mr. KIRK. Madam Speaker, as gas prices continue to rise, the most 
immediate and cost-effective way to offer relief to consumers is to 
provide incentives for mass transit use. According to a study published 
by the American Public Transportation Association, public 
transportation use in the U.S. saves an annual 1.4 billion gallons of 
gasoline. This represents almost 4 million gallons of gas per day. 
Factoring in the current average gasoline price in Chicagoland of 
$3.95, public transit in the region saves consumers more than $1 
billion in gas costs in my area alone.
  Current law allows businesses, governments, non-profits and employees 
to purchase tax-free transit benefits. However, there is no tax 
incentive for employers to directly subsidize their workers' 
transportation costs. The Creating Opportunities to Motivate Mass-
transit Utilization To Encourage Ridership (COMMUTER) Act of 2008 
offers employers a 50 percent tax credit for all transit benefits 
provided to employees, up to $115 per employee per month. Current law 
allows businesses, governments, non-profits and employees to purchase 
tax-free transit benefits. Under the COMMUTER Act, employees could 
receive up to $1,380 in free mass transit funds each year, with the 
employer receiving $690 in tax credits per employee. This legislation 
is supported by the American Public Transit Association and all of 
Chicagoland's public transportation service boards--the Regional 
Transportation Authority, the Chicago Transit Authority, Metra and 
Pace.
  Forbes recently estimated the average commuter's gasoline cost in the 
Chicago metro

[[Page 8947]]

area to be $6.23 per day. Should businesses take advantage of the tax 
incentive and provide transit benefits, they would save each of their 
participating employees an average of roughly $1,620 per year. As 
family budgets continue to tighten, an extra $1,600 to $3,200 could 
help ease the burdens of health care and education or help bolster 
retirement savings.
  A new study by BusinessWeek Research Services estimates that 53 
percent of employees in Chicago, San Francisco and New York would take 
public transportation if their employer provided access to current 
transit benefits. Out of the respondents, 60 percent said their company 
doesn't provide tax-free commuter benefits.
  I believe we must also work to provide long-term solutions to our 
energy crisis, such as passing long-term tax incentives for research 
and development of renewable and alternative energy, fuels and 
vehicles; eliminating the so-called boutique fuels and offering the 
nation one clean burning fuel; financing energy development projects in 
China, central Asia and the Gulf to meet Chinese energy needs apart 
from oil; and increasing fuel economy standards.
  But Americans cannot wait ten, twenty or thirty years for the entire 
restructuring of our energy policy--they need relief at the pumps now. 
I am proud to offer the COMMUTER Act with Representatives Judy Biggert 
(R-IL) and Peter Roskam (R-IL) and Chris Shays (R-CT) to help provide 
that immediate relief. I hope Congress will act swifly and in a 
bipartisan manner to pass this important legislation.

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