STATE OF CONNECTICUT
THE STATE COMPTROLLER
55 ELM STREET
HARTFORD, CONNECTICUT 06106-1775
COMPTROLLER'S MEMORANDUM NO. 2003-14
March 26, 2003
TO THE HEADS OF ALL STATE AGENCIES
Personnel and Payroll Officers, Chief Administrative and Fiscal
Officers, and Business Managers
Qualified Transportation Fringe Benefit
- Pursuant to the provisions of Public Act No. 02-123, the Office of the State
Comptroller (OSC) in partnership with the Department of Transportation has
implemented a Qualified Transportation Fringe Benefit (Benefit). This Benefit
will allow State of Connecticut Employee Commuters to pay for transportation
expenses on a pre-tax basis. In addition to saving on the cost of buses, trains
or vanpools, employees can also save on qualified parking expenses.
In that connection, the purpose of this Memorandum is to (1) announce the
commencement of the Benefit; (2) present its components; and (3) discuss issues
pertaining to implementation and administration.
Public Act No. 02-123 authorizes the OSC to offer to qualified state
employees the option to exclude from taxable wages and compensation, consistent
with Internal Revenue Code (IRS) Section 132, employee commuting costs incurred
through the use of transportation in a commuter highway vehicle, transit passes
or qualified parking.
For calendar year 2003, pursuant to IRS Section 132, employees who commute to
work by train, ferry, vanpool or bus may deduct up to $100 a month on a pre-tax
basis. Employees who pay for qualified parking expenses may deduct up to $190 a
month on a pre-tax basis.
Employees may obtain enrollment forms, change forms and claim forms by
contacting BCI toll free at (877) 629-1500.
A. Enrollment Procedures
- BCI (Brokerage Concepts, Inc. and Benefit Concepts, Inc.) is responsible
for the enrollment of eligible employees who wish to participate in the
Qualified Transportation Fringe Benefit. Employees are allowed to enroll in
the Benefit on a monthly basis pursuant to the enrollment/change submission
date schedule. (Attachment 1)
- B. Payroll Procedures
- The payroll processing of the Benefit is performed by BCI. Agencies are
not responsible for processing enrollment or change applications for payroll
- C. Election Changes
- Once enrolled, changes in election can be made on a monthly basis during
the calendar year. Participating employees who wish to make an election
change or terminating employees must file an Election/Change Form with BCI
in conjunction with the enrollment/change submission date schedule.
- Enrollment and benefit questions relating to the Qualified Transportation
Fringe Benefit Program may be directed to BCI at (877) 629-1500. Questions
pertaining to this Memorandum may be addressed to the Retirement & Benefit
Services Division, Employee Benefits Unit at (860) 702-3543.
- Thank you in advance for your assistance in making this benefit accessible to
your agency's employees.
Very truly yours,
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