Mayor Bloomberg Says No Crash Tax For New York City

Lever Ecker April 8, 2011 Car Accidents

After facing criticism from a number of lawmakers and organizations, New York City Mayor Michael Bloomberg has abandoned a plan to charge car accident victims a “crash tax” if they get into a collision.

The proposed measure was created to help the New York Fire Department (NYFD) with budget issues, and would have charged those involved in car accidents between $365 to $490, depending on whether the crash lead to fire or serious injury. The measure, which has passed in a number of other large urban centers across the country, would have brought in an estimated $1 million in annual revenue.

Those who opposed the measure, including City Council member Peter Vallone Jr. and City Council Speaker Christine Quinn, said that the accident tax would set a dangerous precedent regarding charging for basic emergency public services. Crash taxes have been banned or limited in ten states already for similar reasons.