AN ACT SUPPORTING COMMUTERS AND MICROTRANSIT SERVICES AND CONCERNING PUBLIC TRANSPORTATION.
What changed between versions
The effective date for the commuter tax credit was moved from January 1, 2026, to January 1, 2027.
Tax credit eligibility now requires employers to provide specific qualified commuter benefits (like transit passes or carpooling) rather than just participating in a general traffic reduction program.
The tax credit calculation changed from 50% of total spending to 50% of the *increase* in spending compared to the previous year, preventing credits for maintaining existing benefit levels.
Older requirements tied to the Clean Air Act and specific 'severe nonattainment areas' were removed from the commuter tax credit section.
A new three-year pilot program was added to test microtransit services in rural areas not currently served by public transportation.
New funding of $10.5 million was appropriated for the new microtransit pilot program.
New definitions were added for 'eligible employer,' 'qualified commuter transportation benefit,' and 'participating employee' to clarify who qualifies for the tax credit.
The definition of an 'employee' for the commuter tax credit was updated to require at least 20 hours per week of work in the state.
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