MDTA Board Meeting Materials

Maryland Transportation Authority Agency Response Form

Out-of-State Toll Collections

Finding 1 The Maryland Transportation Authority (MDTA) did not take available actions to collect unpaid tolls and penalties incurred by out-of-state vehicles, which totaled $818.1 million as of January 2026. We recommend that MDTA take available actions to help enforce collection of unpaid tolls and penalties due from out-of-state motorists, including a. executing reciprocity agreements with other states as allowed by State law, b. contracting with a third-party collection agency, and c. requesting approval from DBM to refer unpaid tolls to CCU.

Agency Response

Analysis Please provide additional comments as deemed necessary.

In response to the COVID-19 pandemic, MDTA transitioned all tolling at its facilities from cash payments to all-electronic tolling to automate and streamline toll payments across the state. For customers that do not have an E-ZPass, MDTA issues a Notice of Toll Due to the address associated with the vehicle owner’s license plate. Maryland has several mechanisms to enforce unpaid tolls and penalties for in-state vehicles, including the ability to intercept state tax refunds from violators. This allowed MDTA to collect approximately $119.3 million in outstanding tolls and penalties from Maryland residents since FY 2023. However, a similar function does not exist for nonresident motorists, making collection avenues significantly more complex. The MDTA has been transparent in its acknowledgment of the challenges associated with collecting video tolls in its Joint Chairmen’s Report responses to the Maryland General Assembly and its annual Revenue Assurance presentation to the MDTA Board in recent years. The MDTA acknowledges the importance of implementing a multi- prong approach to collecting unpaid tolls from nonresident drivers, in accordance with best practice recommendations presented by OLA. This includes but is not limited to entering into toll enforcement reciprocity agreements with other jurisdictions, leveraging national electronic toll interoperability networks, and contracting with third party collection agencies to pursue unpaid debt. However, it is important to

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