The Wake County Board of Commissioners on Dec. 5 took action to authorize two key funding sources for the Wake County Transit Plan.
- A $3 increase in the Regional Transit Authority Registration Tax; and
- A new $7 Wake County Vehicle Registration Tax.
These local funding sources are in addition to the one-half percent local sales and use tax referendum passed by voters in the 2016 General Election.
Regional Transit Authority Registration Tax
Since 1991, a $5 Regional Transit Authority Registration Tax has been collected annually on qualifying motor vehicle registrations in Durham, Orange and Wake counties to fund transportation services in these three counties. The board’s action authorizes increasing that tax to $8 and would go into effect for registration renewal offers mailed in July 2017.
The additional $3 would be used to fund the Wake County Transit Plan only. The N.C. Division of Motor Vehicles would collect the tax and provide it to GoTriangle. It is estimated that a full year of funding will result in approximately $2.5 million of new revenue.
Following the Wake County Commission’s authorization, the tax increase will now go before the GoTriangle Special Tax Board and Board of Trustees for approval, which is expected to take place in January 2017.
Wake County Vehicle Registration Tax
The new $7 Wake County Vehicle Registration Tax would be charged on all qualifying motor vehicles registered in Wake County. Upon execution of the Implementation Agreement also approved on December 5, NCDMV would collect the tax and remit it to GoTriangle for the implementation of the Wake County Transit Plan.
The new tax is estimated to generate about $6 million over the course of a full year. The new tax would go into effect for registration renewal offers mailed in July 2017.
For more information on the funding of the Wake County Transit Plan, visit www.waketransit.com/transitplan.