Tax Parking to Fund Public Transit?

In Massachusetts, transportation funding is one of the key issues to be addressed by the state legislature this year. James Aloisi, former Transportation Secretary, offers an inventive way to fund Transit Improvement Districts.

1 minute read

January 10, 2013, 10:00 AM PST

By Jessica Hsu


The primary source of transportation funding in Massachusetts is a 19-cent gas tax that has been unchanged since 1993. Governor Patrick Deval Patrick attempted to increase that tax in 2009, but the legislature opted to use increased sales tax revenue to fund transit and roads when those attempts failed.

The current funding is insufficient to address the state's transportation needs, and to make up the gap, Aloisi has proposed what he calls a "carbon impact parking assessment." The assessment is envisioned as a tax on nonresidential parking lots and garages with more than 20 spaces that are located within the district of the Massachusetts Bay Transportation Authority. Revenue from the parking tax would be directed towards improving the public transportation system and bike and pedestrian pathways.

"Parking taxes are not unusual in major cities," says Ryan Holeywell, "but at times, they have been politically unpopular." Such plans have resulted in political strife, such as when the University of Scranton sued its namesake city over a new parking tax and when Chicago residents objected to the $2-per-day "congestion fee" implemented by Mayor Rahm Emanuel.

"Aloisi says the plan would mitigate the environmental impact of automobiles while providing funding for other modes of transportation and ensuring that funding remains locally controlled."

Tuesday, January 8, 2013 in Governing

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Use Code 25for25 at checkout for 25% off an annual plan!

Redlining map of Oakland and Berkeley.

Rethinking Redlining

For decades we have blamed 100-year-old maps for the patterns of spatial racial inequity that persist in American cities today. An esteemed researcher says: we’ve got it all wrong.

May 15, 2025 - Alan Mallach

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

May 14, 2025 - Diana Ionescu

Rendering of California High-Speed Rail station with bullet train.

California High-Speed Rail's Plan to Right Itself

The railroad's new CEO thinks he can get the project back on track. The stars will need to align this summer.

May 19, 2025 - Benjamin Schneider

"Units for sale - contact your local realtor" sign in front of homes.

‘Displaced By Design:’ Report Spotlights Gentrification in Black Neighborhoods

A new report finds that roughly 15 percent of U.S. neighborhoods have been impacted by housing cost increases and displacement.

3 hours ago - Next City

Turquoise blue Pyramid Lake near Reno, Nevada.

Nevada and Utah Groups Oppose Public Land Sell-Off Plan

A set of last-minute amendments to the budget reconciliation bill open up over half a million acres of federally managed land to sales.

4 hours ago - Inside Climate News

Alpine Recreation Center sign in park in Chinatown, Los Angeles, CA.

More Than a Park: A Safe Haven for Generations in LA’s Chinatown

Alpine Recreation Center serves as a vital cultural and community hub in Los Angeles' Chinatown, offering a safe, welcoming space for generations of Chinese American residents to gather, connect, and thrive amidst rapid urban change.

5 hours ago - American Community Media

Urban Design for Planners 1: Software Tools

This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.

Planning for Universal Design

Learn the tools for implementing Universal Design in planning regulations.