§ 406 — Bus taxation proration agreement

New York § 406

• Jurisdiction: New York
• Law VAT: Vehicle & Traffic
• Title 4: Registration of Vehicles
• Art. 14-B: Bus Taxation Proration and Reciprocity Agreement

Text

§ 406. Bus taxation proration agreement. The bus taxation proration\nagreement is hereby enacted into law and entered into with all\njurisdictions legally joining therein in the form substantially as\nfollows:\n ARTICLE I. Purposes and Principles.\n Section 1. Purposes of Agreement. It is the purpose of this agreement\nto set up a system whereby any contracting state may permit owners of\nfleets of busses operating in two or more states to prorate the\nregistration of the busses in such fleets in each state in which the\nfleets operate on the basis of the proportion of miles operated within\nsuch state to total fleet miles, as defined herein.\n Section 2. Principle of Proration of Registration. It is hereby\ndeclared that in making this agreement the contracting states adhere to\nthe principle that each state should have the freedom to develop the\nkind of highway user tax structure that it determines to be most\nappropriate to itself, that the method of taxation of interstate busses\nshould not be a determining factor in developing its user tax structure,\nand that annual taxes or other taxes of the fixed fee type upon busses\nwhich are not imposed on a basis that reflects the amount of highway use\nshould be apportioned among the states, within the limits of\npracticality, on the basis of vehicle miles traveled within each of the\nstates.\n ARTICLE II. Definitions.\n (a) State. State shall include the states of the United States, the\nDistrict of Columbia, the territories of the United States, the\nProvinces of Canada, and the States, Territories and Federal District of\nMexico.\n (b) Contracting State. Contracting state shall mean a state which is a\nparty to this agreement.\n (c) Administrator. Administrator shall mean the official or agency of\na state administering the fee involved, or, in the case of proration of\nregistration, the official or agency of a state administering the\nproration of registration in that state.\n (d) Person. Person shall include any individual, firm, copartnership,\njoint venture, association, corporation, estate, trust, business trust,\nreceiver, syndicate, or any other group or combination acting as a unit.\n (e) Base State. Base state shall mean the state from or in which the\nbus is most frequently dispatched, garaged, serviced, maintained,\noperated, or otherwise controlled, or also in the case of a fleet bus\nthe state to which it is allocated for registration under statutory\nrequirements. In order that this section may not be used for the\npurpose of evasion of registration fees, the administrators of the\ncontracting states may make the final decision as to the proper base\nstate, in accordance with Article III (h) hereof, to prevent or avoid\nsuch evasion.\n (f) Bus. Bus shall mean any motor vehicle of a bus type engaged in the\ninterstate transportation of passengers and subject to the jurisdiction\nof the Interstate Commerce Commission, or any agency successor thereto,\nor one or more state regulatory agencies concerned with the regulation\nof passenger transport.\n (g) Fleet. As to each contracting state, fleet shall include only\nthose busses which actually travel a portion of their total miles in\nsuch state. A fleet must include three (3) or more busses.\n (h) Registration. Registration shall mean the registration of a bus\nand the payment of annual fees and taxes as set forth in or pursuant to\nthe laws of the respective contracting states.\n (i) Proration of registration. Proration of registration shall mean\nregistration of fleets of busses in accordance with Article IV of this\nagreement.\n (j) Reciprocity. Reciprocity shall mean that each contracting state,\nto the extent provided in this agreement, exempts a bus from\nregistration and registration fees.\n ARTICLE III. General Provisions.\n (a) Effect on Other Agreements, Arrangements, and Understandings. On\nand after its effective date, this agreement shall supersede any\nreciprocal or other agreement, arrangement, or understanding between any\ntwo or more of the contracting states covering, in whole or in part, any\nof the matters covered by this agreement; but this agreement shall not\naffect any reciprocal or other agreement, arrangement, or understanding\nbetween a contracting state and a state or states not a party to this\nagreement.\n (b) Applicability to Exempt Vehicles. This agreement shall not require\nregistration in a contracting state of any vehicles which are in whole\nor part exempt from registration under the laws or regulations of such\nstate without respect to this agreement.\n (c) Inapplicability to Caravaned Vehicle. The benefits and privileges\nof this agreement shall not be extended to a vehicle operated on its own\nwheels, or in tow of a motor vehicle, transported for the purpose of\nselling or offering the same for sale to or by any agent, dealer,\npurchaser, or prospective purchaser.\n (d) Other Fees and Taxes. This agreement does not waive any fees or\ntaxes charged or levied by any state in connection with the ownership or\noperation of vehicles other than registration fees as defined herein.\nAll other fees and taxes shall be paid to each state in accordance with\nthe laws thereof.\n (e) Statutory Vehicle Regulations. This agreement shall not authorize\nthe operation of a vehicle in any contracting state contrary to the laws\nor regulations thereof, except those pertaining to registration and\npayment of fees; and with respect to such laws or regulations, only to\nthe extent provided in this agreement.\n (f) Violations. Each contracting state reserves the right to withdraw,\nby order of the administrator thereof, all or any part of the benefits\nor privileges granted pursuant to this agreement from the owner of any\nvehicle or fleet of vehicles operated in violation of any provision of\nthis agreement. The administrator shall immediately give notice of any\nsuch violation and withdrawal of any such benefits or privileges to the\nadministrator of each other contracting state in which vehicles of such\nowner are operated.\n (g) Cooperation. The administrator of each of the contracting states\nshall cooperate with the administrators of the others and each\ncontracting state hereby agrees to furnish such aid and assistance to\neach other within its statutory authority as will aid in the proper\nenforcement of this agreement.\n (h) Interpretation. In any dispute between or among contracting states\narising under this agreement, the final decision regarding\ninterpretation of questions at issue relating to this agreement shall be\nreached by joint action of the contracting states, acting through the\nadministrator thereof, and shall upon determination be placed in\nwriting.\n (i) Effect of Headings. Article and section headings contained herein\nshall not be deemed to govern, limit, modify, or in any manner affect\nthe scope, meaning, or intent of the provisions of any article or part\nhereof.\n (j) Entry into Force. This agreement shall enter into force and become\nbinding between and among the contracting states when enacted or\notherwise entered into by any two states. Thereafter, it shall enter\ninto force and become binding with respect to any state when enacted\ninto law by such state. If the statutes of any state so authorize or\nprovide, such state may become party to this agreement upon the\nexecution thereof by an executive or administrative official thereof\nacting on behalf of and for such state.\n ARTICLE IV. Proration of Registration.\n (a) Applicability. Any owner of a fleet may register the busses of\nsaid fleet in any contracting state by paying to said state total\nregistration fees in an amount equal to that obtained by applying the\nproportion of in-state fleet miles divided by the total fleet miles, to\nthe total fees which would otherwise be required for regular\nregistration of each and all of such vehicles in such contracting state.\n All fleet pro-rata registration fees shall be based upon the mileage\nproportions of the fleet during the period of twelve months ending on\nAugust thirty-first next preceding the commencement of the registration\nyear for which registration is sought, except, that mileage proportions\nfor a fleet not operated during such period in the state where\napplication for registration is made will be determined by the\nadministrator upon the sworn application of the applicant showing the\noperations during such period in other states and the estimated\noperations during the registration year for which registration is\nsought, in the state in which application is being made; or if no\noperations were conducted during such period a full statement of the\nproposed method of operation.\n If any busses operate in two or more states which permit the proration\nof registration on the basis of a fleet of busses consisting of a lesser\nnumber of vehicles than provided in Article II (g), such fleet may be\nprorated as to registration in such states, in which event the busses in\nsuch fleet shall not be required to register in any other contracting\nstates if each such vehicle is registered in some contracting state\nexcept to the extent it is exempt from registration as provided in\nArticle III (b).\n If the administrator of any state determines, based on his method of\nthe operation thereof, that the inclusion of a bus or busses as a part\nof a fleet would adversely affect the proper fleet fee which should be\npaid to his state, having due regard for fairness and equity, he may\nrefuse to permit any or all of such busses to be included in his state\nas a part of such fleet.\n (b) Total Fleet Miles. Total fleet miles, with respect to each\ncontracting state, shall mean the total miles operated by the fleet (1)\nin such state, (2) in all other contracting states, (3) in other states\nhaving proportional registration provisions, (4) in states with which\nsuch contracting state has reciprocity, and (5) in such other states as\nthe administrator determines should be included under the circumstances\nin order to protect or promote the interest of his state; except that in\nstates having laws requiring proration on the basis of a different\ndetermination of total fleet miles, total fleet miles shall be\ndetermined on such basis.\n (c) Leased Vehicles. If a bus is operated by a person other than the\nowner as a part of a fleet which is subject to the provisions of this\narticle, then the operator of such fleet shall be deemed to be the owner\nof said bus for the purposes of this article.\n (d) Extent of Privileges. Upon the registration of a fleet in a\ncontracting state pursuant to this article, each bus in the fleet may be\noperated in both interstate and intrastate operations in such state\nexcept as provided in Article III (e).\n (e) Application for Proration. The application for proration of\nregistration shall be made in each contracting state upon substantially\nthe application forms and supplements authorized by joint action of the\nadministrators of the contracting states.\n (f) Issuance of Identification. Upon registration of a fleet, the\nstate which is the base state of a particular bus of the fleet, shall\nissue the required license plates and registration card for such bus and\neach contracting state in which the fleet of which such bus is a part,\noperates, shall issue a special identification identifying such bus as a\npart of a fleet which has fully complied with the registration\nrequirements of such state. The required license plates, registration\ncards and identification shall be appropriately displayed in the manner\nrequired by or pursuant to the laws of each respective state.\n (g) Additions to Fleet. If any bus is added to a prorated fleet after\nthe filing of the original application, the owner shall file a\nsupplemental application. The owner shall register such bus in each\ncontracting state in like manner as provided for busses listed in an\noriginal application and the registration fee payable shall be\ndetermined on the mileage proportion used to determine the registration\nfees payable for busses registered under the original application.\n (h) Withdrawals from Fleet. If any bus is withdrawn from a prorated\nfleet during the period for which it is registered or identified, the\nowner shall notify the administrator of each state in which it is\nregistered or identified, of such withdrawal and shall return the\nplates, and registration card or identification as may be required by or\npursuant to the laws of the respective states.\n (i) Audits. The administrator of each contracting state shall, within\nthe statutory authority of such administrator, make any information\nobtained upon an audit of records of any applicant for proration of\nregistration available to the administrators of the other contracting\nstates.\n (j) Errors in Registration. If it is determined by the administrator\nof a contracting state, as a result of such audits or otherwise, that an\nimproper fee has been paid his state, or errors in registration found,\nthe administrator may require the fleet owner to make the necessary\ncorrections in the registration of his fleet and payment of fees.\n ARTICLE V. Reciprocity.\n (a) Grant of Reciprocity. Each of the contracting states grants\nreciprocity as provided in this article.\n (b) Applicability. The provisions of this agreement with respect to\nreciprocity shall apply only to a bus properly registered in the base\nstate of the bus, which state must be a contracting state.\n (c) Non-applicability to Fleet Busses. The reciprocity granted\npursuant to this article shall not apply to a bus which is entitled to\nbe registered or identified as part of a prorated fleet.\n (d) Extent of Reciprocity. The reciprocity granted pursuant to this\narticle shall permit the interstate operation of a bus and intrastate\noperation which is incidental to a trip of such bus involving interstate\noperation.\n (e) Other Agreements. Nothing in this agreement shall be construed to\nprohibit any of the contracting states from entering into separate\nagreements with each other for the granting of temporary permits for the\nintrastate operation of vehicles registered in the other state; nor to\nprevent any of the contracting states from entering into agreements to\ngrant reciprocity for intrastate operation within any zone or zones\nagreed upon by the states.\n ARTICLE VI. Withdrawal or Revocation.\n Any contracting state may withdraw from this agreement upon thirty\ndays written notice to each other contracting state, which notice shall\nbe given only after the repeal of this agreement by the legislature of\nsuch state, if adoption was by legislative act, or after renunciation by\nthe appropriate administrative official of such contracting state if the\nlaws thereof empower him so to renounce.\n ARTICLE VII. Construction and Severability.\n This compact shall be liberally construed so as to effectuate the\npurposes thereof. The provisions of this compact shall be severable and\nif any phrase, clause, sentence or provision of this compact is declared\nto be contrary to the constitution of any state or of the United States\nor the applicability thereof to any government, agency, person or\ncircumstance is held invalid, the validity of the remainder of this\ncompact and the applicability thereof to any government, agency, person\nor circumstance shall not be affected thereby. If this compact shall be\nheld contrary to the constitution of any state participating herein, the\ncompact shall remain in full force and effect as to the remaining party\nstates and in full force and effect as to the state affected as to all\nseverable matters.\n