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International Perspectives on Road Pricing

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International Perspectives on Road Pricing CONFERENCE PROCEEDINGS 34 International Perspectives on Road Pricing Report of the Committee for the International Symposium on Road Pricing November 19–22, 2003 Key Biscayne, Florida Sponsored by Florida Department of Transportation Federal Highway Administration Organisation for Economic Co-operation and Development Washington, D.C. 2005 www.TRB.org Transportation Research Board Conference Proceedings 34 ISSN 1073-1652 ISBN 0-309-09375-9 Subscriber Category IA planning and administration Transportation Research Board publications are available by ordering individual publications directly from the TRB Business Office, through the Internet at www.TRB.org or national-academies.org/trb, or by annual subscription through organizational or individual affiliation with TRB. Affiliates and library subscribers are eligible for substantial discounts. For further information, contact the Transportation Research Board Business Office, 500 Fifth Street, NW, Washington, DC 20001 (tele- phone 202-334-3213; fax 202-334-2519; or e-mail [email protected]). Printed in the United States of America. NOTICE: The project that is the subject of this report was approved by the Governing Board of the National Research Council, whose members are drawn from the councils of the National Academy of Sciences, the National Academy of Engineering, and the Institute of Medicine. The members of the committee responsible for the report were chosen for their special competencies and with regard for appropriate balance. This report has been reviewed by a group other than the authors according to the procedures approved by a Report Review Committee consisting of members of the National Academy of Sciences, the National Academy of Engineering, and the Institute of Medicine. The conference was sponsored by the Florida Department of Transportation, the Federal Highway Administration of the U.S. Department of Transportation, and the Organisation for Economic Co- operation and Development. Committee for the International Symposium on Road Pricing Steve Heminger, Metropolitan Transportation Commission, Chair Robert D. Bullard, Clark Atlanta University Kenneth J. Button, George Mason University Damian J. Kulash, Eno Transportation Foundation, Inc. Kathleen F. Marvaso, AAA National Office Anthony D. May, University of Leeds Servando M. Parapar, Miami–Dade Expressway Authority Robert W. Poole, Jr., Reason Foundation Edward J. Regan III, Wilbur Smith Associates Martin Wachs, University of California Liaison Members Bud Boyd, Florida Department of Transportation Lowell Clary, Florida Department of Transportation Martine Micozzi, Organisation for Economic Co-operation and Development Transportation Research Board and Conference Staff Mark Norman, Director, Technical Activities Claire L. Felbinger, Transportation Policy and Management Specialist Reggie Gillum, Meeting Coordinator Mary Kissi, Senior Program Assistant Miriam Roskin, Roskin Consulting, Seattle, Washington TRB Publications Office Norman Solomon, Editor Kristin C. Sawyer, Proofreader Jennifer J. Weeks, Senior Editorial Assistant Cover photograph of the 91 Express Lanes courtesy of the Orange County Transportation Authority, Orange, California. The National Academy of Sciences is a private, nonprofit, self-perpetuating society of distinguished scholars engaged in scientific and engineering research, dedicated to the furtherance of science and technology and to their use for the general welfare. On the authority of the charter granted to it by the Congress in 1863, the Academy has a mandate that requires it to advise the federal government on scientific and technical matters. Dr. Ralph J. Cicerone is president of the National Academy of Sciences. The National Academy of Engineering was established in 1964, under the charter of the National Academy of Sciences, as a parallel organization of outstanding engineers. It is autonomous in its administration and in the selection of its members, sharing with the National Academy of Sciences the responsibility for advising the federal government. The National Academy of Engineering also sponsors engineering programs aimed at meeting national needs, encourages education and research, and recognizes the superior achievements of engineers. Dr. William A. Wulf is president of the National Academy of Engineering. The Institute of Medicine was established in 1970 by the National Academy of Sciences to secure the services of eminent members of appropriate professions in the examination of policy matters per- taining to the health of the public. The Institute acts under the responsibility given to the National Academy of Sciences by its congressional charter to be an adviser to the federal government and, on its own initiative, to identify issues of medical care, research, and education. Dr. Harvey V. Fineberg is president of the Institute of Medicine. The National Research Council was organized by the National Academy of Sciences in 1916 to asso- ciate the broad community of science and technology with the Academy’s purposes of furthering knowledge and advising the federal government. Functioning in accordance with general policies determined by the Academy, the Council has become the principal operating agency of both the National Academy of Sciences and the National Academy of Engineering in providing services to the government, the public, and the scientific and engineering communities. The Council is administered jointly by both the Academies and the Institute of Medicine. Dr. Ralph J. Cicerone and Dr. William A. Wulf are chair and vice chair, respectively, of the National Research Council. The Transportation Research Board is a division of the National Research Council, which serves the National Academy of Sciences and the National Academy of Engineering. The Board’s mission is to promote innovation and progress in transportation through research. In an objective and interdisci- plinary setting, the Board facilitates the sharing of information on transportation practice and pol- icy by researchers and practitioners; stimulates research and offers research management services that promote technical excellence; provides expert advice on transportation policy and programs; and disseminates research results broadly and encourages their implementation. The Board’s varied activities annually engage more than 5,000 engineers, scientists, and other transportation researchers and practitioners from the public and private sectors and academia, all of whom contribute their expertise in the public interest. The program is supported by state transportation departments, fed- eral agencies including the component administrations of the U.S. Department of Transportation, and other organizations and individuals interested in the development of transportation. www.TRB.org www.national-academies.org Contents PREFACE ....................................................................................................................................................ix BACKGROUND AND TERMINOLOGY .............................................................................................................1 COMMITTEE FINDINGS AND RECOMMENDATIONS .........................................................................................3 SETTING THE STAGE Welcoming Remarks and Charge to the Conference .................................................................................9 Bob Oldakowski, Lowell Clary, Sherri Alston, Robert E. Skinner, Jr., Martine Micozzi, and Steve Heminger Road Pricing in Context: The Efficient Allocation of a Limited Resource ..............................................11 Then and Now: The Evolution of Transport Pricing and Where We Are Today, 11 Martin Wachs One Step Forward, Two Steps Back? An Overview of Road Pricing Applications and Research Outside the United States, 12 Anthony May KEYNOTE ADDRESSES Central London’s Congestion Charging Scheme: Has It Achieved Its Objectives?...................................17 Derek Turner Out on a Limb: Pricing Futures...............................................................................................................18 Kenneth Small SPECIAL TOPICS Ah, the Politics of Pricing........................................................................................................................21 How Politics Affects Even Good Projects, 21 Eric Schreffler The Bridges of Lee County, Florida, 22 John Albion What Do Politicians Really Need to Know? 22 Jan A. Martinsen A Closer Look: Pricing Across the States ................................................................................................24 Toll Road Applications: Perspectives from the Port Authority of New York and New Jersey, 24 Mark Muriello Plans for Variable Pricing by Florida’s Turnpike Enterprise, 25 Jim Ely Mileage-Based Applications: Minneapolis, Minnesota, 26 Jeff Buxbaum New Lane Applications: California State Route 91, 26 Ellen Burton Calculating Costs and Measuring Benefits of Pricing Schemes................................................................28 Costs and Benefits of Pricing Schemes for the Netherlands, 28 Erna Schol Why Reform Transport Pricing? An Overview of European Transport Infrastructure Charging Policy and Research, 29 Christopher Nash An Exploration of Motor Vehicle Congestion Charges in New York, 29 Jeffrey Zupan and Alexis Perrotta Relevance of Pricing to External Cost Calculation: Recent Results, 30 Andrea Ricci Role of Pricing Revenue in Financing Projects and Services ....................................................................32
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