Senate Bill S1858

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  1858

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                            February 9, 2009
                               ___________

Introduced  by  Sens.  KLEIN,  DIAZ,  DILAN,  KRUEGER, ONORATO, SAMPSON,
  SMITH, STAVISKY -- read twice and ordered printed, and when printed to
  be committed to the Committee on Labor

AN ACT to amend the labor law, in relation to requiring certain  employ-
  ers  offer  a  qualified  transportation  fringe  benefit  program for
  employees

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The labor law is amended by adding a new article 32 to read
as follows:
                                ARTICLE 32
                  EMPLOYEE TRANSPORTATION EXPENSES ACT

SECTION 930. SHORT TITLE.
        931. APPLICABILITY; DEFINITIONS.
        932. QUALIFIED TRANSPORTATION FRINGE BENEFIT PROGRAM.

  S  930.  SHORT  TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS
THE "EMPLOYEE TRANSPORTATION EXPENSES ACT".
  S 931. APPLICABILITY; DEFINITIONS. 1. THIS ARTICLE SHALL APPLY TO  ANY
EMPLOYEE OF A BUSINESS WITH FIFTY OR MORE EMPLOYEES.
  2.  FOR PURPOSES OF THIS ARTICLE: A. "EMPLOYER" SHALL MEAN ANY PERSON,
PARTNERSHIP,  FIRM,  ASSOCIATION,  DOMESTIC  OR   FOREIGN   CORPORATION,
PROVIDED, HOWEVER, SUCH TERM SHALL NOT INCLUDE PUBLIC EMPLOYERS, INCLUD-
ING THE STATE OF NEW YORK.
  B.  "PROGRAM  ADMINISTRATOR"  SHALL  MEAN THE AGENT, AS DETERMINED AND
DESIGNATED BY THE EMPLOYER, RESPONSIBLE FOR THE MAINTENANCE AND  MANAGE-
MENT  OF  THE QUALIFIED TRANSPORTATION FRINGE BENEFIT PROGRAM AS AUTHOR-
IZED IN SUBDIVISION ONE OF SECTION NINE HUNDRED THIRTY-TWO OF THIS ARTI-
CLE.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02659-02-9

              

S. 1858                             2

  S 932. QUALIFIED  TRANSPORTATION  FRINGE  BENEFIT  PROGRAM.  1.  EVERY
EMPLOYER  SHALL  ESTABLISH  A  QUALIFIED  TRANSPORTATION  FRINGE BENEFIT
PROGRAM CONSISTENT WITH SECTION 132 OF THE  INTERNAL  REVENUE  CODE  AND
REGULATIONS  ADOPTED  PURSUANT  THERETO,  AND  IMPLEMENT  SUCH  PROGRAM.
FOLLOWING THE ESTABLISHMENT OF A QUALIFIED TRANSPORTATION FRINGE BENEFIT
PROGRAM  AS  AUTHORIZED BY THIS SUBDIVISION EMPLOYEES SHALL BE PERMITTED
TO USE PRE-TAX EARNINGS TO PURCHASE QUALIFIED  TRANSPORTATION  BENEFITS,
IN  ACCORDANCE  WITH  FEDERAL LAW AND SHALL BE ENTITLED TO SUCH PERSONAL
INCOME TAX BENEFITS AS MAY BE AUTHORIZED BY SUCH LAW.
  2. AT THE REQUEST OF  AN  EMPLOYEE,  AN  EMPLOYER  SHALL,  BY  PAYROLL
DEDUCTION,  REDUCE  THE  AMOUNT  OF COMPENSATION ELECTED BY THE EMPLOYEE
PURSUANT TO PROGRAM REGULATIONS  AND  SECTION  132(F)  OF  THE  INTERNAL
REVENUE  CODE FOR THE PURPOSE OF PROVIDING THE EMPLOYEE WITH A QUALIFIED
TRANSPORTATION FRINGE BENEFIT AS AUTHORIZED IN SUBDIVISION ONE  OF  THIS
SECTION,  AND  SHALL  TRANSFER  THE  AMOUNT SO REDUCED TO THE AUTHORIZED
PROGRAM ADMINISTRATOR.
  3. MONEYS DEDUCTED FROM THE SALARIES  OF  EMPLOYEES  OF  PARTICIPATING
EMPLOYERS  SHALL  BE  HELD BY THE PROGRAM ADMINISTRATOR AS AGENT FOR THE
PARTICIPATING EMPLOYER  AND  SHALL  BE  ACCOUNTED  FOR  SEPARATELY.  ALL
PAYMENTS  OF  MONEYS  BY THE PROGRAM ADMINISTRATOR SHALL BE MADE ONLY IN
ACCORDANCE WITH THE QUALIFIED TRANSPORTATION FRINGE BENEFIT PROGRAM.
  4. TO THE EXTENT PERMITTED BY SECTION 132 OF THE INTERNAL REVENUE CODE
AND REGULATIONS ADOPTED PURSUANT THERETO, ANY  SALARY  DEDUCTED  FROM  A
PARTICIPATING  EMPLOYEE'S ANNUAL COMPENSATION FOR THE PURPOSE OF PROVID-
ING SUCH EMPLOYEE WITH A QUALIFIED TRANSPORTATION FRINGE  BENEFIT  SHALL
BE  CONSIDERED  PART OF ANNUAL COMPENSATION FOR THE PURPOSE OF COMPUTING
RETIREMENT BENEFITS.
  5. NOTWITHSTANDING ANY OTHER LAW, RULE, OR REGULATION TO THE CONTRARY,
WHERE, AND TO THE EXTENT THAT, AN AGREEMENT BETWEEN AN  EMPLOYER  AND  A
RECOGNIZED  EMPLOYEE ORGANIZATION ENTERED INTO ON BEHALF OF EMPLOYEES IN
A COLLECTIVE NEGOTIATING UNIT PROVIDES FOR  A  QUALIFIED  TRANSPORTATION
FRINGE  BENEFIT  AS PROVIDED BY THIS SECTION, SUCH QUALIFIED TRANSPORTA-
TION FRINGE BENEFIT SHALL BE ESTABLISHED IN ACCORDANCE WITH SUCH  AGREE-
MENT.
  6. THIS SECTION SHALL NOT BE CONSTRUED TO REQUIRE EMPLOYERS TO PROVIDE
TRANSPORTATION FOR EMPLOYEES.
  S 2. This act shall take effect on the one hundred eightieth day after
it shall have become a law.