Owner Operator Indep. Drivers Ass'n, Inc. v. Pa. Tpk. Comm'n

934 F.3d 283
CourtCourt of Appeals for the Third Circuit
DecidedAugust 13, 2019
Docket19-1775
StatusPublished
Cited by23 cases

This text of 934 F.3d 283 (Owner Operator Indep. Drivers Ass'n, Inc. v. Pa. Tpk. Comm'n) is published on Counsel Stack Legal Research, covering Court of Appeals for the Third Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Owner Operator Indep. Drivers Ass'n, Inc. v. Pa. Tpk. Comm'n, 934 F.3d 283 (3d Cir. 2019).

Opinion

SHWARTZ, Circuit Judge.

*288 Plaintiffs are individuals and members of groups who pay tolls to travel on the Pennsylvania Turnpike. 1 They allege that Pennsylvania state entities and officials ("Defendants") have violated the dormant Commerce Clause and their right to travel. 2 Specifically, Plaintiffs assert that Defendants have set exorbitantly high tolls for use of the Pennsylvania Turnpike and that the amounts collected exceed the costs to operate the Turnpike. They contend the extra funds are being used for projects that disproportionately benefit local interests and that the high tolls deter non-Pennsylvanians from using the Turnpike.

Because Congress has permitted state authorities, such as Defendants, to use the tolls for non-Turnpike purposes, the collection and use of the tolls do not implicate the Commerce Clause. Moreover, because Plaintiffs have not alleged that their right to travel to, from, and within Pennsylvania has been deterred, their right to travel has not been infringed. Therefore, we will affirm the District Court's order dismissing the complaint.

I

A

The Pennsylvania Turnpike is part of a 552-mile highway system that crosses Pennsylvania from New Jersey to Ohio. The Pennsylvania Turnpike Commission ("PTC") sets and collects Turnpike tolls.

In 2007, the Pennsylvania legislature enacted Act 44, which, among other things, permitted the PTC to increase tolls and required the PTC to make annual payments for a fifty-year period to the Pennsylvania Department of Transportation ("PennDOT") Trust Fund. See 75 Pa. Cons. Stat. § 8915.3 . In 2013, Act 89 amended Act 44, as amended "Act 44/89." Act 89 continued to permit toll increases but lowered the annual payments to the PennDOT Trust Fund.

After Act 44 went into effect, the PTC announced a 25% toll increase and from 2009 through 2016, tolls were increased annually by more than 10% for cash customers and 5.75% for customers using an electronic toll transmitter known as an EZ-Pass. Plaintiffs assert that since the enactment of Act 44, tolls have increased more than 200% and that the current cost for the heaviest vehicles to cross the 359-mile portion of the Pennsylvania Turnpike that spans from New Jersey to Ohio exceeds $1800. Pennsylvania's Auditor General found that PTC's annual "costly toll increases place an undue burden" on Pennsylvanians, opined that "the average turnpike traveler will be deterred by the increased cost and seek alternative toll-free routes," App. 88 (emphasis omitted) (quoting September 2016 Performance Audit of the PTC), and recommended that the PTC seek legislative relief from its Act 44/89 payment obligations.

*289 Tolls are PTC's largest revenue source and amount to 166-215% of the costs to maintain and operate the Turnpike. Simply put, the amount of the tolls collected exceeds the amount it costs to run the Turnpike. The excess tolls are deposited into the PennDOT Trust Fund, which are, in turn, transferred to four different programs: (1) operating programs under 74 Pa. Cons. Stat. § 1513 , which include asset maintenance costs and expenses for public passenger transport; (2) the multimodal transportation fund under 74 Pa. Cons. Stat. § 2104 , which covers aviation, freight and passenger rail, and port and waterway projects; (3) the asset improvement program under 74 Pa. Cons. Stat. § 1514 for financial assistance for the improvement, replacement, or expansion of capital projects; and (4) programs of statewide significance under 74 Pa. Cons. Stat. § 1516 , which include disability programs, rail and bus services, community transportation, Welfare-to-Work programs, and research projects. Act 44/89 is designed to generate $450 million annually for PennDOT from 2011 through 2022. 3 More than ninety percent of Act 44/89 payments-approximately $425 million annually-benefit "non-Turnpike road and bridge projects and transit operations." App. 78. Plaintiffs allege that many of these "programs have no functional relationship to the Pennsylvania Turnpike," including, for instance, the "[c]onstruction of an underpass" and a "[s]idewalk installation." 4 App. 81-82.

*290 Plaintiffs concede that a federal statute, the Intermodal Surface Transportation Efficiency Act of 1991 ("ISTEA"), Pub. L. No. 102-240, 105 Stat. 1914 (codified as amended in scattered titles), authorizes these types of projects. Nonetheless, they assert that the toll costs burden interstate commerce and "discourag[e] both business and private travelers from using the Turnpike." App. 99.

B

Plaintiffs brought suit on behalf of a putative class alleging violations of the dormant Commerce Clause and their right to travel. 5 Defendants moved to dismiss and Plaintiffs moved for partial summary judgment on the issue of liability.

The District Court granted Defendants' motions to dismiss 6 and denied Plaintiffs' motion for summary judgment. See generally Owner Operator Indep. Drivers Ass'n v. Pa. Tpk. Comm'n , 383 F.Supp.3d 353 (M.D. Pa. 2019). The Court applied the test set forth in Pike v. Bruce Church, Inc. , 397 U.S. 137 , 90 S.Ct. 844

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934 F.3d 283, Counsel Stack Legal Research, https://law.counselstack.com/opinion/owner-operator-indep-drivers-assn-inc-v-pa-tpk-commn-ca3-2019.