New Parking Fees Announced
Pretax payment option will lessen impact on employees
Thursday, June 12, 2003
Citing the increased costs resulting from five years of investment in new parking, Duke officials this week announced new parking fees. However, a new pretax payment option means that even with larger fees, most employees will have little or no increase in out-of-pocket parking costs.
The new fees, which will go into effect Sept. 1, can be found on the Web after Monday, June 16, at the Deparment of Parking and Transportation's Web site.
Duke officials said the new fees were necessary to pay for the enhancement and construction of new parking spaces to meet identified university parking and transportation needs for the near future. In addition, new federal regulations limit the university's ability to subsidize parking, meaning that the parking program must become financially self-sufficient.
The fee increases will be partially offset if employees take advantage of a federal law that allows parking costs to be deducted from salary before taxes. By paying through payroll deduction, the fees will be deducted prior to federal and state withholding, which reduces the tax employees pay.
For example, for an employee earning $30,000 and using the pretax option, a $99 bill for a premium lot parking permit will actually cost an estimated $70 out of pocket.
Duke officials said using the pretax option will mean that no employee will pay more than a 5 percent increase compared to the current rates.
To calculate how the pretax opportunity can help, a calculator can be accessed at the Web site.
Four town hall meetings have been scheduled for members of the Duke community to ask questions about parking.
The meetings are set for: Tuesday, June 24, Love Auditorium, Levine SRC, 3-4 p.m.; Thursday, June 26, Von Canon Room C, Bryan Center, 3-4 p.m.; Tuesday, July 1, Duke University Museum of Art, North Gallery, 11 a.m. - noon; Tuesday, July 8, Searle Center, Room E, 3-4 p.m.
