12/10/2007
Texas Keeps Cash from Interest on Toll Transponder AccountsThe Texas Department of Transportation keeps interest generated on money that must be left on toll transponder accounts.
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Motorists who use the TxTag electronic transponders to drive on Texas toll roads are having their accounts raided by the Texas Department of Transportation (TxDOT). The agency requires a bare minimum of $10 be kept in any account at all times. If the balance falls below this level, TxDOT automatically charges the credit card on file $20. TxDOT then pockets the interest accumulated from the accounts linked to the 390,000 vehicles equipped with TxTags.
An average account generates about $1 in interest every year. Although $1 is not much, Texas tolling authorities have mailed motorists bills for 25 cents in alleged unpaid tolls and added penalties of $5.25 on anyone who ignored payment of the trivial amount.
For TxDOT, keeping the interest on the $9.8 million in motorist accounts generates about $400,000 in annual revenue. The money helps defray the cost of the multi-million dollar Keep Texas Moving public relations campaign designed to convince Texans of the need for more toll roads.