Student government is looking for ways to save students’ money, and one proposal would secure a tax credit for the bus passes purchased with student fees.
Every fee-paying student receives a yearly pass for Lane Transit District buses, allowing them to ride for free.
The Oregon Department of Energy’s Business Energy Tax Credit program offers an income tax incentive that allows those who invest in energy conservation, recycling and less-polluting transportation fuels to receive as much as 35 percent of the costs of the environmentally friendly project.
The ASUO Executive believes it qualifies for a non-profit option under the program. The credit would be transferred to LTD and would be given back to the ASUO in a reduced rate for student passes.
ASUO Finance Coordinator Madeline Wigen said the credit could amount to a $70,000 reduction in the LTD contract, which totaled $681,123 last year.
The average ticket for students costs the ASUO $12 per student each term. If students purchased passes individually, the passes would cost about $90 per student each term.
The credit would equal a reduction of about $3 per student ticket.
“The price we get is very reasonable,” Wigen said, but the costs add up when applied to 17,000 students.
ASUO President Jared Axelrod said last year’s president, Adam Walsh, recommended the program. When Axelrod realized the ASUO was eligible, he decided to pass it on to Wigen to pursue.
Axelrod said the effort “reflects the steps the Executive is taking to reduce the incidental fee.”
Wigen said she cannot finish the application until the Programs Finance Committee approves a contract for LTD, which it is scheduled to do next term. The bus service has asked the ASUO to pay $12.84 per student each term next year, using estimated enrollment numbers.
Axelrod is confident the ASUO will apply for the credit this year.
“We’ll definitely apply by the deadline,” he said.
Axelrod said the tax credit project and efforts to shift Oregon Marching Band funding to other departments are the two projects that the Executive is working on to reduce student costs.
“I’m hesitant to take on any more,” he said. “I’d rather focus on a few and nail those down.”
Axelrod said the progress with the band is slow.
“We’re hopeful, we’re optimistic that we’ll be able to reach an agreement that is mutually beneficial for everyone,” he said.
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