Everyone knows California suffers from congested roads and freeways, especially in major metropolitan areas. Federal and State laws have attempted to address the problem in a variety of ways, with the goal of reducing automobile traffic and air pollutants.

A recent example, Senate Bill 582, proposed that many employers with 20 or more employees be required to offer one of three commuter benefits to their employees.

The mandated options included one of the following: (i) an employee subsidy to offset the cost of commuting on public transit, (ii) an employer-provided van, bus or
other multi-passenger vehicle at no cost, or (iii) an exclusion from the employee’s taxable wages for transit passes, vanpool charges or bicycle commuting.

SB 582 passed the Senate and Assembly in July. But Governor Brown vetoed the Bill in early August, citing concern about imposing another mandate on the business
community in difficult economic times.

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