Elizabeth River Crossings OpCo, LLC v. Meeks

At issue in this case was a Project that provided for the design and construction of a new Midtown Tunnel. The Commonwealth Transportation Board affirmed the Project and specifically approved and ratified the imposition and collection of tolls on the Project as contemplated by a Comprehensive Agreement entered into by Virginia Department of Transportation (VDOT) and Elizabeth River Crossings OpCo, LLC (ERC). Plaintiff and other individuals filed a complaint against ERC and VDOT, alleging, inter alia, that the General Assembly, through its enactment of the Public-Private Transportation Act (PPTA), unconstitutionally delegated its power of taxation to VDOT and ERC in violation of the Virginia Constitution. The circuit court concluded that the General Assembly exceeded its authority in this case. The Supreme Court reversed, holding (1) the Project tolls were user fees and not taxes, and therefore, the General Assembly did not delegate its power of taxation to agencies such as VDOT in violation of the Virginia Constitution; (2) the General Assembly properly delegated to VDOT and ERC the legislative power to impose and set the rates of user fees in the form of tolls under the terms of the PPTA; and (3) the Comprehensive Agreement did not abridge the Commonwealth's police power. View "Elizabeth River Crossings OpCo, LLC v. Meeks" on Justia Law