Assembly Bill A5640

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

                                  5640

                       2011-2012 Regular Sessions

                          I N  A S S E M B L Y

                            February 24, 2011
                               ___________

Introduced  by  M.  of  A.  WEISENBERG  -- read once and referred 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, LIMITED LIABILITY COMPANY,  OR  DOMESTIC
OR  FOREIGN  CORPORATION; PROVIDED, HOWEVER, SUCH TERM SHALL NOT INCLUDE
PUBLIC EMPLOYERS, INCLUDING THE STATE.
  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.
  S  932.  QUALIFIED  TRANSPORTATION  FRINGE  BENEFIT  PROGRAM. 1. EVERY
EMPLOYER SHALL  ESTABLISH  A  QUALIFIED  TRANSPORTATION  FRINGE  BENEFIT

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04418-01-1
              

A. 5640                             2

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 REQUIRED 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  EMPLOYERS  SHALL
BE HELD BY THE PROGRAM ADMINISTRATOR AS AGENT FOR THE EMPLOYER AND SHALL
BE  ACCOUNTED  FOR  SEPARATELY.  ALL  PAYMENTS  OF MONEYS BY THE PROGRAM
ADMINISTRATOR SHALL BE MADE ONLY IN ACCORDANCE WITH THE QUALIFIED TRANS-
PORTATION 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 PROVISION OF LAW TO THE  CONTRARY,  WHERE
AND  TO  THE  EXTENT THAT, AN AGREEMENT BETWEEN AN EMPLOYER AND A RECOG-
NIZED 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.