A study says the case for road tolling is 'compelling'
The Seattle Times has an overview of the long-awaited results of the federally funded, multi-million "Traffic Choices" study conducted by the Puget Sound Region Council (PSRC) to look at the viability of widespread road tolling throughout Greater Seattle. The PSRC describes the research as "the most comprehensive study of demand response to network tolling in existence." A summary of the study can be found here (pdf).
The study looked at tolling the entire network of major highways and roads in the region and tested the idea of variable pricing where toll rates vary depending upon the time of day. Participants in the study had their travel tracked by a GPS system in their vehicles. When their basic travel patterns were established, they were given money in an account to "pay" for the theoretical tolls. If they spent less than was in their account — presumably by smartly changing their driving patterns — they could keep the difference. That gave study participants a risk-free financial incentive that would approximate real-world conditions without causing them any pain. In the real world, however, there would be pain, the study acknowledges, but also gain.
The study is upbeat on the benefits of road tolling — it found the case for it "compelling" — though it doesn't underestimate the difficulties in implementing it, which are less technical — they found that tracking road use is expensive, but feasible — but more a matter of policy, politics, privacy, and fairness. However, they conclude that pricing will work to reduce congestion:
The Traffic Choices Study has demonstrated that households and motorists faced with variable tolls do make the small adjustments in their travel that will translate into large-scale reductions in roadway congestion. Many study participants even characterized their travel changes as minor, but the sum total of all their individual decisions can be shown to result in important shifts in the time, amount, and mode of travel so as to minimize the amount of time the region's residents would be stuck in traffic.
However, the public is skeptical about road rationing and the "Traffic Choices" study. As other papers on congestion pricing have reported, to make it generally palatable, the benefits will have to be more than incremental improvements in commute times, especially for drivers who have little flexibility or will see minimal changes in road conditions. For example, what are the benefits for a driver who commutes on an un-tolled road and sees congestion there increase as a result of tolling elsewhere? To offset that, some portion of the massive revenues raised through tolling could be funneled back to create benefits for everyone. That could be in the form of cutting existing transportation taxes, like the gas tax — and heavy investment in public transit (more buses) or in making improvements in problematic traffic corridors.
Because widespread tolling requires a kind of Big Brother level of technology — tracking systems and video surveillance for enforcement — privacy concerns were also shown to be high. In fact, study participants with the most concern going in about privacy were generally even more concerned afterwards. Same with participants with the least concerns going in. Those in the middle seemed somewhat assuaged.
Aubrey Davis, former chair of the state Transportation Commission and chair of the PSRC's Road Pricing Task Force, a group tasked with researching and recommending regional road pricing strategies, tells the Times that he thinks such a pricing scheme is definitely in our future:
"We're going to have to lose a couple elections (on new transportation-tax proposals) before people will take this seriously," Davis says. "I have no doubt we're going to go down this road. I just don't know how far, or how fast."








Comments:
Posted Fri, Apr 25, 12:11 p.m. inappropriate
Big brother tracking systems - nyet: As the 34 page Traffic Choices summary report from Matthew Kitchen of PSRC points out (posted here), vehicle location determined by GPS does not need to leave the vehicle.
In semi-technical terms, the tolled-all-the-time car of the future could have a "thick client" that does the processing of what the toll is, instead of having a "thin client" that lets Big Brother do the processing in the Government's Central Computer. The thick client aggregates dollars and cents and tells your bank how much money to send to DOT every month.
I'm skipping lots of details here to emphasize a principle. Note that cheaper, faster, smaller computers are introduced every year. Thick client could be in your car with a delete key when the cops come knocking.
Perhaps not surprisingly, the State of Washington with its "Good to Go" tolling has a very thin client. It's cheaper to implement. The central computer knows all. However, experience shows that most people don't give a damn if the government knows when they are crossing the Tacoma Narrows bridge.
Posted Fri, Apr 25, 2:33 p.m. inappropriate
AND THIS IS BETTER THAN A GAS TAX BECAUSE...: "That gave study participants a risk-free financial incentive that would approximate real-world conditions without causing them any pain."
I am generally in favor of tolls. Seems like a reasonable and probably helpful response to (especially bottleneck) congestion problems. But when the tolls become more general--applying over a regional network of roads-- does that not alter the carrot/stick formula and weaken the toll argument? if your goal is to reduce total traffic (improve "route selections" as KB might say) why not collect the money at the gas pump? if drivers have the information to avoid traffic slowdowns I doubt if they really need the added financial incentive to save themselves a few minutes. And if, the improved (quicker) route selection involves driving a few miles further then do we really want to make that the preferred choice? we want to reduce gasoline consumption too, yes?
The gas tax is sure cheap to administer and absolutely bulletproof technology so I think the tolls have to offer some pretty big gains to justify the adventure.
Posted Fri, Apr 25, 3:54 p.m. inappropriate
RE: AND THIS IS BETTER THAN A GAS TAX BECAUSE...: ... because the gains reported in the new PSRC study -- based on computer modeling to see how the real-world results from 275 households would apply if road user fees were universally applied -- are staggeringly large.
At the same time, more and better traffic news reports and easy, real-time information on how/where/when to take transit are also good moves for early deployment.
For the price of a few light rail cars, transit agencies could provide every bus pass holder with a little plastic wireless thingie that tells how soon the next bus is coming for every bus stop in the region. If you travel outside of rush hours on buses, that would be handy.
Posted Fri, Apr 25, 4:56 p.m. inappropriate
RE: AND THIS IS BETTER THAN A GAS TAX BECAUSE...: Three forces are at work against using the gas tax as the only funding source for roads and bridges.
First, improved gas mileage in cars (a goal of everyone's) means that we'll collect less money per mile driven as aggregate mpg increases. Since roads and bridges deteriorate as a function of miles driven and not gallons consumed, this is always a losing game for the Dept. of Transportation.
Second, to increase gas tax revenue, we have the perverse dual incentives of maximizing traffic congestion and lowering aggregate mpg. That's not what anyone wants.
Third, the gas tax as historically configured is a cents per gallon tax. Here's how it works. The total gas tax (if my numbers are right) is 49.5 cents per gallon with 18.5 cents federal tax and 31 cents state and local tax. So here's what happens as the price of gas goes up:
Gas Price @ Pump____$2.50_ $3.00_ $3.50_ $4.00_ $4.50 $5.00 $5.50
Wholesale Price______$2.01_ $2.51_ $3.01_ $3.51_ $4.01 $4.51 $5.01
Wholesale Price______$0.49_ $0.49_ $0.49_ $0.49_ $0.49 $0.49 $0.49
Gas Tax Percentage__ 19.8%_ 16.5%_ 14.1%_ 12.4% 11.0%_ 9.9%_ 9.0%
Right now we're at about $3.50 a gallon at the pump which means we're paying 14.1% per gallon. But back when we were at $2.50 per gallon, the tax was at 19.8%. When we get around $5.00 a gallon at the pump, we'll have the equivalent of a 9.9% retail sales tax on gas. The point here is that because the gas tax is a fixed cents-per-gallon tax, it doesn't grow as a percentage with total gas revenue. So when gas prices go through the roof, state and local governments don't collect any more money. In my book that's a good thing, but the average taxpayer expects that government makes more money at the pump when gas prices go up. Not the case. Government has no incentive to raise the price of gas to increase gas tax revenue. It won't happen. In fact, when the price of gas goes up, suppply & demand start working, people drive fewer miles and consume less gas, so total gas tax revenue goes down.
All I'm saying here is that the gas tax is quirky and less than perfect as a revenue source and a taxing mechanism. If you try to maximize gas tax revenue, you then end up trying to do the wrong things, i.e., lower average mpg, increase auto congestion, and increase automobile usage. If you try to minimize overall gas consumption, you end up getting less revenue to build and maintain roads and bridges. If you try to decrease greenhouse gases by raising the gas tax, you end up raising more money for roads and bridges and thus encouraging automobile usage and more vehicles emitting greenhouse gases.
The upshot is that tolls and the gas tax allow for a more stable source of revenue, particularly given the conflicting goals of government.
Posted Fri, Apr 25, 7:01 p.m. inappropriate
What the study didn't address: In an interview on KVI the other day Kitchen stated that commercial vehicles were not a part of the study and neither were the cost impacts to consumers in the tolling area for the increased costs of deliveries and services. Kitchen went on to say that this wasn't actually the groundwork for a proposal, but a study. So essentially the taxpayers paid 3.1 Million dollars for a study that concluded that if you charge $10.00 to $12.00 dollars each way to get back and forth to work, you will have less congestion......hmmm.
Whoever at the PSRC that authorized this should be fired.
Posted Sat, Apr 26, 9:23 a.m. inappropriate
Roads for the Rich: Since the end result of this proposal will be to free up the highways for the wealthy who can afford tolls without wincing, why not go right to the end result and save a lot of money along the way?
Restrict the highways to cars with a minimum sales value. Do not allow people in older vehicles or in low cost vehicles to drive the freeways. If we get all those Chevrolets and Fords and Civics and Corollas off the road, then the rest of us in our Mercedeses, BMWs, Lexi, etc., will be able to drive without the peasants cluttering up the pavement.
Voila! No need for tolls to separate the classes. If you can't afford a car worth more than $35,000, you shouldn't be on the highway, anyway.
We might as well recognize the realities, here, don't you think?
Posted Sat, Apr 26, 12:19 p.m. inappropriate
Bush Administration, Sonntag Preach Tolls: Didn't the Bush Administration just come out to Seattle and announce that they wanted tolls to replace the gas tax? I suppose you can say stuff like that when you are a lame duck.
I looked at this study and it is a huge piece of work - obviously far more complex than Cameron found out by listening to KVI, and quite readable for such a complex topic. Looks to me like the Bush Administration got its money's worth and more. The feds paid for it, right?
Democrats and Republicans in this state agree on tolls: yes. Democrats and Republicans also agree on congestion tolls on all the big roads: no. The only fight is about whether tolls should be applied intelligently and vary by time of day. The GOP is a no on that. Democrats are open to the idea.
Because no leader in the legislature or the Governor support this type of broad tolling approach, there's no space for these kinds of ideas to be moving right away, as the Sierra Club and Ron Sims advocated in last year's Prop 1 debacle. Remember that? Brian Sonntag was promoting the same thing last summer.
One of the big things that jumps out of the PSRC study is that there are enormous benefits, and huge costs associated with these kinds of systems. I think on a macro economic scale, the benefits far outweighed the cost and suggest that we wouldn't need a gas tax or some other tax if this type of system were somehow approved. But how to assure that the people impacted by the costs are also the primary beneficiaries?
Would people like this better if it cut sales taxes paid by everyone, so only the people who use the roads at the same time, pay all the costs of making sure they work? We might not need to build many new roads if this type of system were on the ground. (But then we'd need to find something new to argue about.)
Cameron should read the performance audit that Brian Sontagg did on the state highway department's approach to congestion, which suggested the state make congestion a higher priority. Sonntag's report recommends that the state take the PSRC's study seriously because congestion is the big public concern and these types of toll systems show promise in ending it. Sonntag's report basically promoted more action on the things in the PSRC's report. That's how I read it anyway. I don't know how you could read it any other way.
Sonntag isn't a lame duck. He's running again for re-election. Will Sonntag walk his talk? He spent about a million state tax dollars on it.
Posted Sat, Apr 26, 3:50 p.m. inappropriate
MORE GAS TAX: jniles, stuka and tarl:
The lack of specifics may, in itself, be a selling point on the high tech toll concept.
But clearly at some point the driver is intended to see how much his trip is costing him and make decisions about driving that are influenced by the painfully visible hand of economics. I am willing to bet that the cost to the driver is very nearly the same, tolls or gas tax. The supposed allure of the tolls is that the tolls are supposed to keep our driver off the critical, overburdened roads at least during those times when those roads are most congested.
My point (way up there somewhere) is that the more roads that are covered by tolls and the harder it is to avoid them the less benefit the tolls offer as an alternative to simply increasing the gasoline tax. Why invent a new tax? so bus riders can tell when their bus will arrive? so you can get information that is commonly available on AM radio? that's not very convincing. It sounds like just another bill to pay.
If the legislature and the governor have the intestinal fortitude to collect tolls (which I doubt) then they should have the same courage to raise the gas tax.
Posted Sat, Apr 26, 5:29 p.m. inappropriate
Got our monies worth? Maybe if you were getting the check.: The reason for the rush ot pre-tolling on the 520 is indeed to secure the 135 Million dollars from the Feds. We as Washington State Taxpayers could save over 50 Million dollars more than that on the 520 project by simply not collecting the State Sales Taxes on it. The structure of the tolling bill that came out of the legislature is seriously flawed, the corridors are not identified and there are no limits placed on tolls collected above and beyond servicing the debt on the bonds and on-going maintenance. If the state needs money for family leave programs, add it to the toll. The State has a shortfall in funding Salmon Recovery, add it to the toll. The State needs to bail out XYZ transit services, add it to the toll.
Tell us Tarl, what will be the impact on commercial traffic, service industry providers, local delivery vehicles and their customers in the tolling area? Who will fund the projects if there is the (desired) estimated 40% reduction in SOV travel and the fairbox recovery levels remain the same on mass transit? Why doesn't the PSRC's own staff and executive board travel exclusively via mass transit as an example of how business professionals can modify their schedules and still be productive? Everyone on the ST board and all employees should do the same as a condition of employment. Don't you think those that are so willing to commit others to such a drastic change of lifestyle, should step forward and show the way themselves?
Posted Tue, Apr 29, 12:19 a.m. inappropriate
Big Brother and then some: So it doesn't bother anyone that the computer and by extension, the govt. knows where we are at any given moment? Will this information be available for anyone? Lawyers in divorce cases? Employers who wish to determine where the employees lunch? Corporations who want to position fast food stores? How about the police serving out tickets by judging the amount of time between two GPS points? Will there be an ignition cut off switch on this GPS transponder (simple technology) that goes into effect if you don't maintain a set balance on your account? Can the govt, like banks, tell us that there is a minimum deposit requirement, and thereby create a readily available cash pool for the govt to access when it wants? Do we establish toll booths for visitors? Or do they just get to use our roads for free? I can think of more possible abuses but… that's just my own paranoia.
I would hope, but doubt, that some thought would be given to the social ramifications of this type of plan. Simply put, this plan would manage to further the disparity between the classes, upping the bar on the cost of mobility, and furthering the burden on those who depend on low cost transportation to maintain low wage jobs. Most people who drive older cars don't do it out of a perverse love for the old heap, but rather because they have little choice–they cant afford a new car. Often they prefer to drive because with homes in one suburban part of the area, and jobs in another suburban part of the area, buses take even longer than being caught in traffic, or don't make the connection in time for early or late hour jobs. And now these people are to pay tolls so that those whose fortunes have been better can get from place A to B faster? What would be the adverse affects of small business owners who depend on cars and trucks to deliver goods and services? And what about truckers? Or do they get a pass? I see the lobbyists lining up already.
Mobility is a vital element in the American Myth--- from canals and railroads in the 19th century to freeways and airplanes in the 20th. Our cities are built on it, and while the economy and the environment may at this juncture argue against it, I submit that taking mobility away from people is going to be a lot harder than taking their guns.