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

Get top-rated, practical training

High-rise apartment buildings in Waikiki, Hawaii with steep green mountains in background.

Study: Maui’s Plan to Convert Vacation Rentals to Long-Term Housing Could Cause Nearly $1 Billion Economic Loss

The plan would reduce visitor accommodation by 25,% resulting in 1,900 jobs lost.

April 6, 2025 - Honolulu Civil Beat

Two yellow and white Dallas Area Rapid Transit light rail streetcars at station in Dallas, Texas.

North Texas Transit Leaders Tout Benefits of TOD for Growing Region

At a summit focused on transit-oriented development, policymakers discussed how North Texas’ expanded light rail system can serve as a tool for economic growth.

April 3, 2025 - KERA News

Rusty abandoned oil well and equipment with prickly pear cactus next to it in West Texas.

Using Old Oil and Gas Wells for Green Energy Storage

Penn State researchers have found that repurposing abandoned oil and gas wells for geothermal-assisted compressed-air energy storage can boost efficiency, reduce environmental risks, and support clean energy and job transitions.

March 31, 2025 - Pennsylvania State University

Green and white interstate freeway signs pointing to Hayward and San Mateo and Half Moon Bay exits in Northern California.

San Mateo Formally Opposes Freeway Project

The city council will send a letter to Caltrans urging the agency to reconsider a plan to expand the 101 through the city of San Mateo.

15 minutes ago - Streetsblog San Francisco

Kingsbridge Armory, large hangar-like brick building in the Bronx, New York City with brick lower floors and glass/metal curved roof..

A Bronx Community Fights to Have its Voice Heard

After organizing and giving input for decades, the community around the Kingsbridge Armory might actually see it redeveloped — and they want to continue to have a say in how it goes.

1 hour ago - Shelterforce Magazine

Close-up of white sign with black text; line drawing of bike and 'BIKE LANE'

Houston Mayor Promises Dedicated Austin Street Bike Lane After Public Backlash

Although the one-way bike lane won’t be protected by physical barriers, the proposal is an improvement over the mayor’s initial plan to only include sharrows on the Austin Street project.

2 hours ago - Houston Chronicle