NY Veh & Traf L § 406 (2021)
2021 New York Laws VAT - Vehicle and Traffic Title 4 - Registration of Vehicles Article 14-B - Bus Taxation Proration and Reciprocity Agreement 406 - Bus Taxation Proration Agreement.

§ 406. Bus  taxation  proration  agreement. The bus taxation proration agreement  is  hereby  enacted  into  law  and  entered  into  with  all jurisdictions  legally  joining  therein  in  the  form substantially as follows:                    ARTICLE I. Purposes and Principles.   Section 1. Purposes of Agreement. It is the purpose of this  agreement to  set  up  a system whereby any contracting state may permit owners of fleets of busses  operating  in  two  or  more  states  to  prorate  the registration  of  the  busses  in such fleets in each state in which the fleets operate on the basis of the proportion of miles  operated  within such state to total fleet miles, as defined herein.   Section  2.  Principle  of  Proration  of  Registration.  It is hereby declared that in making this agreement the contracting states adhere  to the  principle  that  each  state should have the freedom to develop the kind of highway user  tax  structure  that  it  determines  to  be  most appropriate  to itself, that the method of taxation of interstate busses should not be a determining factor in developing its user tax structure, and that annual taxes or other taxes of the fixed fee type  upon  busses which are not imposed on a basis that reflects the amount of highway use should   be   apportioned   among  the  states,  within  the  limits  of practicality, on the basis of vehicle miles traveled within each of  the states.                         ARTICLE II. Definitions.  (a)  State.  State  shall include the states of the United States, the District  of  Columbia,  the  territories  of  the  United  States,  the Provinces of Canada, and the States, Territories and Federal District of Mexico.  (b) Contracting State. Contracting state shall mean a state which is a party to this agreement.  (c)  Administrator. Administrator shall mean the official or agency of a state administering the fee involved, or, in the case of proration  of registration,  the  official  or  agency  of  a  state administering the proration of registration in that state.  (d) Person. Person shall include any individual, firm,  copartnership, joint  venture, association, corporation, estate, trust, business trust, receiver, syndicate, or any other group or combination acting as a unit.  (e) Base State. Base state shall mean the state from or in  which  the bus  is  most  frequently  dispatched,  garaged,  serviced,  maintained, operated, or otherwise controlled, or also in the case of  a  fleet  bus the  state  to  which  it  is allocated for registration under statutory requirements.   In order that this section  may  not  be  used  for  the purpose  of  evasion  of  registration  fees,  the administrators of the contracting states may make the final decision as  to  the  proper  base state,  in  accordance  with Article III (h) hereof, to prevent or avoid such evasion.  (f) Bus. Bus shall mean any motor vehicle of a bus type engaged in the interstate transportation of passengers and subject to the  jurisdiction of  the Interstate Commerce Commission, or any agency successor thereto, or one or more state regulatory agencies concerned with  the  regulation of passenger transport.  (g)  Fleet.  As  to  each  contracting state, fleet shall include only those busses which actually travel a portion of  their  total  miles  in such state. A fleet must include three (3) or more busses.  (h)  Registration.  Registration  shall mean the registration of a bus and the payment of annual fees and taxes as set forth in or pursuant  to the laws of the respective contracting states.  (i)  Proration  of  registration. Proration of registration shall mean registration of fleets of busses in accordance with Article IV  of  this agreement.  (j)  Reciprocity.  Reciprocity shall mean that each contracting state, to  the  extent  provided  in  this  agreement,  exempts  a   bus   from registration and registration fees.                     ARTICLE III. General Provisions.  (a)  Effect on Other Agreements, Arrangements, and Understandings.  On and after  its  effective  date,  this  agreement  shall  supersede  any reciprocal or other agreement, arrangement, or understanding between any two or more of the contracting states covering, in whole or in part, any of  the  matters covered by this agreement; but this agreement shall not affect any reciprocal or other agreement, arrangement, or  understanding between  a  contracting  state and a state or states not a party to this agreement.  (b) Applicability to Exempt Vehicles. This agreement shall not require registration in a contracting state of any vehicles which are  in  whole or  part  exempt from registration under the laws or regulations of such state without respect to this agreement.  (c) Inapplicability to Caravaned Vehicle. The benefits and  privileges of this agreement shall not be extended to a vehicle operated on its own wheels,  or  in  tow  of a motor vehicle, transported for the purpose of selling or offering the same for  sale  to  or  by  any  agent,  dealer, purchaser, or prospective purchaser.  (d)  Other  Fees  and Taxes. This agreement does not waive any fees or taxes charged or levied by any state in connection with the ownership or operation of vehicles other than registration fees  as  defined  herein. All  other fees and taxes shall be paid to each state in accordance with the laws thereof.  (e) Statutory Vehicle Regulations.  This agreement shall not authorize the operation of a vehicle in any contracting state contrary to the laws or regulations thereof, except  those  pertaining  to  registration  and payment  of  fees; and with respect to such laws or regulations, only to the extent provided in this agreement.  (f) Violations. Each contracting state reserves the right to withdraw, by order of the administrator thereof, all or any part of  the  benefits or  privileges  granted pursuant to this agreement from the owner of any vehicle or fleet of vehicles operated in violation of any  provision  of this  agreement.  The administrator shall immediately give notice of any such violation and withdrawal of any such benefits or privileges to  the administrator  of each other contracting state in which vehicles of such owner are operated.  (g) Cooperation. The administrator of each of the  contracting  states shall   cooperate  with  the  administrators  of  the  others  and  each contracting state hereby agrees to furnish such aid  and  assistance  to each  other  within  its  statutory  authority as will aid in the proper enforcement of this agreement.  (h) Interpretation. In any dispute between or among contracting states arising   under   this   agreement,   the   final   decision   regarding interpretation of questions at issue relating to this agreement shall be reached  by  joint  action of the contracting states, acting through the administrator  thereof,  and  shall  upon  determination  be  placed  in writing.  (i)  Effect of Headings. Article and section headings contained herein shall not be deemed to govern, limit, modify, or in  any  manner  affect the  scope,  meaning, or intent of the provisions of any article or part hereof.  (j) Entry into Force. This agreement shall enter into force and become binding between  and  among  the  contracting  states  when  enacted  or otherwise  entered  into  by  any two states. Thereafter, it shall enter into force and become binding with respect to  any  state  when  enacted into  law  by such state.   If the statutes of any state so authorize or provide, such  state  may  become  party  to  this  agreement  upon  the execution  thereof  by  an  executive or administrative official thereof acting on behalf of and for such state.                  ARTICLE IV. Proration of Registration.  (a) Applicability. Any owner of a fleet may  register  the  busses  of said  fleet  in  any  contracting  state  by  paying to said state total registration fees in an amount equal to that obtained  by  applying  the proportion  of in-state fleet miles divided by the total fleet miles, to the  total  fees  which  would  otherwise  be   required   for   regular registration of each and all of such vehicles in such contracting state.   All  fleet  pro-rata registration fees shall be based upon the mileage proportions of the fleet during the period of twelve  months  ending  on August  thirty-first next preceding the commencement of the registration year for which registration is sought, except, that mileage  proportions for  a  fleet  not  operated  during  such  period  in  the  state where application  for  registration  is  made  will  be  determined  by   the administrator  upon  the  sworn application of the applicant showing the operations  during  such  period  in  other  states  and  the  estimated operations  during  the  registration  year  for  which  registration is sought, in the state in which  application  is  being  made;  or  if  no operations  were  conducted  during  such period a full statement of the proposed method of operation.   If any busses operate in two or more states which permit the proration of registration on the basis of a fleet of busses consisting of a lesser number of vehicles than provided in Article II (g), such  fleet  may  be prorated as to registration in such states, in which event the busses in such  fleet  shall  not be required to register in any other contracting states if each such vehicle is  registered  in  some  contracting  state except  to  the  extent  it  is  exempt from registration as provided in Article III (b).   If the administrator of any state determines, based on his  method  of the  operation  thereof, that the inclusion of a bus or busses as a part of a fleet would adversely affect the proper fleet fee which  should  be paid  to  his  state,  having due regard for fairness and equity, he may refuse to permit any or all of such busses to be included in  his  state as a part of such fleet.  (b)  Total  Fleet  Miles.  Total  fleet  miles,  with  respect to each contracting state, shall mean the total miles operated by the fleet  (1) in  such state, (2) in all other contracting states, (3) in other states having proportional registration provisions, (4) in  states  with  which such  contracting state has reciprocity, and (5) in such other states as the administrator determines should be included under the  circumstances in order to protect or promote the interest of his state; except that in states  having  laws  requiring  proration  on  the basis of a different determination  of  total  fleet  miles,  total  fleet  miles  shall   be determined on such basis.  (c)  Leased  Vehicles. If a bus is operated by a person other than the owner as a part of a fleet which is subject to the  provisions  of  this article, then the operator of such fleet shall be deemed to be the owner of said bus for the purposes of this article.  (d)  Extent  of  Privileges.  Upon  the  registration  of a fleet in a contracting state pursuant to this article, each bus in the fleet may be  operated in both interstate and  intrastate  operations  in  such  state except as provided in Article III (e).  (e)  Application  for  Proration.  The  application  for  proration of registration shall be made in each contracting state upon  substantially the  application forms and supplements authorized by joint action of the administrators of the contracting states.  (f) Issuance of Identification. Upon  registration  of  a  fleet,  the state  which  is  the base state of a particular bus of the fleet, shall issue the required license plates and registration card for such bus and each contracting state in which the fleet of which such bus is  a  part, operates, shall issue a special identification identifying such bus as a part  of  a  fleet  which  has  fully  complied  with  the  registration requirements of such state. The required  license  plates,  registration cards  and identification shall be appropriately displayed in the manner required by or pursuant to the laws of each respective state.  (g) Additions to Fleet. If any bus is added to a prorated fleet  after the  filing  of  the  original  application,  the  owner  shall  file  a supplemental application.  The owner shall register  such  bus  in  each contracting  state  in  like  manner as provided for busses listed in an original  application  and  the  registration  fee  payable   shall   be determined  on the mileage proportion used to determine the registration fees payable for busses registered under the original application.  (h) Withdrawals from Fleet. If any bus is withdrawn  from  a  prorated fleet  during  the  period for which it is registered or identified, the owner shall notify the administrator  of  each  state  in  which  it  is registered  or  identified,  of  such  withdrawal  and  shall return the plates, and registration card or identification as may be required by or pursuant to the laws of the respective states.  (i) Audits. The administrator of each contracting state shall,  within the  statutory  authority  of  such  administrator, make any information obtained upon an audit of records of  any  applicant  for  proration  of registration  available  to  the administrators of the other contracting states.  (j) Errors in Registration. If it is determined by  the  administrator of a contracting state, as a result of such audits or otherwise, that an improper  fee  has been paid his state, or errors in registration found, the administrator may require the fleet  owner  to  make  the  necessary corrections in the registration of his fleet and payment of fees.                          ARTICLE V. Reciprocity.  (a)  Grant  of  Reciprocity.  Each  of  the  contracting states grants reciprocity as provided in this article.  (b) Applicability. The provisions of this agreement  with  respect  to reciprocity  shall  apply  only to a bus properly registered in the base state of the bus, which state must be a contracting state.  (c) Non-applicability  to  Fleet  Busses.    The  reciprocity  granted pursuant  to  this article shall not apply to a bus which is entitled to be registered or identified as part of a prorated fleet.  (d) Extent of Reciprocity. The reciprocity granted  pursuant  to  this article  shall  permit  the interstate operation of a bus and intrastate operation which is incidental to a trip of such bus involving interstate operation.  (e) Other Agreements. Nothing in this agreement shall be construed  to prohibit  any  of  the  contracting  states  from entering into separate agreements with each other for the granting of temporary permits for the intrastate operation of vehicles registered in the other state;  nor  to prevent  any  of the contracting states from entering into agreements to grant reciprocity for intrastate operation  within  any  zone  or  zones agreed upon by the states.                    ARTICLE VI. Withdrawal or Revocation.   Any  contracting  state  may  withdraw from this agreement upon thirty days written notice to each other contracting state, which notice  shall be  given  only after the repeal of this agreement by the legislature of such state, if adoption was by legislative act, or after renunciation by the appropriate administrative official of such contracting state if the laws thereof empower him so to renounce.                ARTICLE VII. Construction and Severability.   This compact shall be liberally construed  so  as  to  effectuate  the purposes  thereof. The provisions of this compact shall be severable and if any phrase, clause, sentence or provision of this compact is declared to be contrary to the constitution of any state or of the United  States or  the  applicability  thereof  to  any  government,  agency, person or circumstance is held invalid, the validity  of  the  remainder  of  this compact  and the applicability thereof to any government, agency, person or circumstance shall not be affected thereby. If this compact shall  be held contrary to the constitution of any state participating herein, the compact  shall remain in full force and effect as to the remaining party states and in full force and effect as to the state affected as  to  all severable matters.