When the N.C. General Assembly in its last session disqualified buses like those owned by Wave Transit from the permanent license plates they’ve long worn, the agency had to brace for a financial impact worth at least $30,000.
On Thursday, at a regular meeting of the Cape Fear Public Transportation Authority (CFPTA), Wave Director Albert Eby decried the state’s adopted view that his agency’s buses are for-hire vehicles that should be taxed by weight.
“Two dollars per hundred pounds. The maximum was $600 per vehicle. All of our large buses would fall with the maximum. Potential impact: about $30-$35,000 a year,” Eby told the CFPTA board.
The law change, per a bill introduced by Republican Rep. Julia Howard of Davie County, limits the eligibility for permanent plates to “governmental entities.”
It doesn’t matter that Wave’s funding sources are mostly public, with federal, state and local contributions paying for the services, officials noted; the state has interpreted Wave as a corporation working to make money.
Eby said Thursday that some state officials he’s spoken with have been receptive to Wave’s position that it performs “human service transportation. It’s not for profit. Therefore, it’s not for-hire.”
But, he said, “The bureaucracy we’ve dealt with here is just incredible…. It’s system-wide, and that’s very frustrating.”
If the agency can win exemption from the for-hire rule, it would still face a financial impact–though one dramatically smaller. Under that scenario, its vehicles would be judged by seat count, instead of weight, and subject to individual fees ranging $28-$31. For Wave’s vehicles, it would amount to about $2,000 total.
Despite the savings, Eby said he still viewed it as money his agency shouldn’t have to pay, and he added that the actual costs would be higher due to the time staffers would have to invest in new procedures. He reminded the expense would be annual.
“Not crazy about it,” he said, “but it certainly beats the alternative of $30-$35,000.”
Wilmington City Councilman Kevin O’Grady, a member of the Wave board, asked Eby on Thursday whether a $2,000 expense, if made possible, was worth the level of time officials might have to invest to convince legislators that the law ought to change.
Eby said transit authorities statewide resented the current legislation and that it may ultimately be an issue bigger than the desks of our local delegates.
But in the meantime, he said, “Awareness would be great.”
Contact Ben Brown at [email protected] or (910) 772-6335. On Twitter: @benbrownmedia
