Transit-funding measures on tap

HARRISBURG - State House members are likely to vote today on proposals to raise money for mass transit, highways and bridges, without leasing the Pennsylvania Turnpike.

Proposals by House Democrats include increasing the tolls on the turnpike and adding tolls to Interstate 80, beginning in 2010, and giving local governments the ability to increase some taxes to help pay for mass transit.

House Republicans say they want to levy tolls on Interstate 95, Interstate 80 and, eventually, Interstates 78, 79 and 81.

Another plan is Gov. Rendell's proposal to levy a tax on oil companies' profits to raise $760 million for mass-transit agencies. That plan has not attracted wide support in the legislature.

Rendell also had been urging that the turnpike be leased to a private operator to generate $965 million a year for highways and bridge projects. But, with widespread opposition to such a lease, lawmakers have turned to other ideas for raising money to solve a transportation-funding crisis.

Rep. Dwight Evans (D., Phila.), chairman of the House Appropriations Committee, has said he will hold up passage of a state budget if a permanent funding solution for mass transit is not approved. Republican leaders have suggested passing a budget now and returning in the fall to deal with transportation and mass-transit funding.

The Democrats, who hold a one-vote majority in the House, said their plans could produce $514 million for transit and $400 million for roads in the fiscal year starting July 1, and $1.8 billion ($792 million for transit and $1.038 billion for roads) by 2012.

One plan by House Democrats includes eliminating 12 cents of the state's gas tax and replacing it with an increase in the oil-company franchise tax, a levy paid by wholesalers.

That plan also includes increases in various auto-related fees and taxes, including taxes on tires and rental cars and fees for inspection certifications and emissions stickers.

Under the Democrats' plans, local governments would be authorized to increase sales taxes, earned-income taxes, realty-transfer taxes and parking taxes. And the state sales tax would be extended to tickets to professional sporting events, which now are exempt from the levy.

The amount that local governments could increase taxes would be limited by the legislation, said Johnna Pro, aide to the House Appropriations Committee.