What is Fair in regulating transportation carriers?
The annual $64 million PUC budget is not funded by the general taxpayers of PA. It is 100% self-funded by assessing the regulated public utilities three-tenths of one percent of gross intrastate revenue to cover the cost of day-to-day regulation activities by 520 PUC employees. All assessments are paid into the General Fund of the State Treasury through the Department of Revenue for use solely by the Public Utility Commission. Star Transportation Group (STG) is “assessed” approximately $50,000 a year by the PUC for permission to operate as a transportation business. In other words, STG pays about $600 per vehicle per year to ensure it is transporting passengers correctly on public streets. What will each transportation software network vehicle (e.g. Lyft and Uber) contribute to the PUC budget expenses? If their share is not “fair” then existing carriers will end up getting stuck with higher overhead transportation business costs. Lack of a level playing field is the government picking winners and losers by rewarding some and penalizing others.
Please note that the PUC assessment “fees” above are not taxes! As a business providing services to consumers in PA, STG is also responsible for paying PA Business Income taxes, PA Unemployment taxes, PA Tire taxes, and PA Workers Comp taxes. Any person performing or business delivering services in the City of Pittsburgh is also required to pay $550 for every $100,000 in payroll/salary. What business taxes will each transportation software network (e.g. Lyft and Uber) owe PA? Owe what payroll taxes to the City? If their share is not “fair” then existing businesses will end up getting stuck with higher overhead costs. Lack of a level playing field is the government picking winners and losers by rewarding some and penalizing others.
Let's Play by the Rul;es. Madonna Long with VETaxi