De Blasio Signs Transit Benefit Bill, Says 25 MPH Limit Will Save Lives

This afternoon, Mayor Bill de Blasio signed legislation requiring companies with 20 or more full-time employees in New York City to offer the federal transit tax benefit to their workers. The measure, which takes effect in 2016, is expected to save employers and workers millions of dollars each year. He also held a hearing on New York City’s new default speed limit of 25 mph, which goes into effect November 7. The mayor will hold a formal bill signing before that date.

"Reducing speed is a key part of Vision Zero," de Blasio said, thanking advocates and families of traffic violence victims for their efforts to get the speed limit bill through Albany. He noted that traffic fatalities are down more than 8 percent since last year, and pedestrian deaths have fallen 23 percent. “That’s before we put the default speed limit into place. The 25 mph speed limit will make our streets even safer," he said. “Speeding is fundamentally dangerous and can, in fact, be deadly."

Council Member David Greenfield proposed lower speed limit legislation in the City Council in 2013. "I don’t like to call them accidents, because when someone speeds and gets into what people call an 'accident,' it wasn’t an accident,” Greenfield said at today's hearing. “You shouldn’t have been speeding."

At the hearing, Transportation Alternatives Executive Director Paul Steely White urged de Blasio to ensure that the 200,000 drivers under city purview, either as municipal employees or licensed livery drivers, set the tone on the city's streets by obeying the new 25 mph speed limit. He also made the case for capital funding for reconstruction of major arterial streets, where half of all traffic fatalities occur in New York.

The mayor will sign the speed limit bill before it takes effect November 7, a tactic City Hall has used before to generate more media coverage for Vision Zero bills.

The transit benefit bill requires companies with 20 or more full-time staff in New York City to allow employees to pay for transit commuting costs using pre-tax income. Someone making an average NYC wage who purchases a monthly unlimited MetroCard could save $443 annually, according to Riders Alliance, while the average employer would save $103 per employee per year [PDF].

By saving commuters money, tax-free transit helps boost ridership. A 2004 survey of NYC employers by Transit Center, which administered transit benefits on behalf of employers, found a 16 percent increase in transit ridership among employees after companies started offering transit benefits [PDF].

Council Member Dan Garodnick sponsored the legislation. "Our transit riders need a break, and we want to give it to them with this bill," he said.

“This is a win-win-win, and we’re certain it will help to encourage more use of mass transit, less use of cars, and help give us a cleaner environment," de Blasio said. “Anything that allows hardworking people to have some more money in their pockets so they can get by in this expensive city is a step in the right direction.”

New York joins the District of Columbia and the San Francisco Bay Area, which also made laws or rules this year requiring employers to offer transit benefits. The law takes effect in New York on January 1, 2016, and will be administered by the Department of Consumer Affairs.