Amendment of Mass Transit Benefit Rules

Adopted Rules: Closed to Comments

Effective Date: 
Wednesday, September 7, 2016
Agency:
Keywords:

DEPARTMENT OF CONSUMER AFFAIRS

 

Notice of Adoption of Rule

 

Notice of Adoption of Amendment of Title 6 of the Rules of the City of New York by amending chapter 8.

 

NOTICE IS HEREBY GIVEN PURSUANT TO THE AUTHORITY VESTED IN the

Commissioner of the Department of Consumer Affairs by Section 20-926(d) of Chapter 9 of Title 20 of the Administrative Code of the City of New York and in accordance with the requirements of Section 1043 of the New York City Charter, of the adoption by the Department of an amendment to Title 6 of the Rules of the City of New York by adding a chapter 8 to clarify provisions in Local Law 53 of 2014, establish requirements to implement the law and meet its goals, and provide guidance to employers and employees. 

 

The rule was proposed and published on June 7, 2016.  The required public hearing was held on July 7, 2016.

 

 

Statement of Basis and Purpose of Rule

 

In October 2014, theCityCouncil passedtheMass Transit Benefits Law (Local Law 53 of 2014), which requiresemployers with 20 or more full time employees to offer the opportunity to purchase certain pre-tax transportation benefits to their employees. The law is expected to reduce transportation costs to employees, promote a cleaner environment by increasing the use of mass transit and lower payroll taxes for employers.

 

 

These rules define the penalties to be imposed when the department finds a violation of the Mass Transit Benefits Law and provide guidance to employers about recordkeeping requirements and the right to cure violations.