« December 2008 | Main | February 2009 »

January 2009 Archives

January 5, 2009

Commission's Report To Urge "Transformation" In Surface Transportation Funding

The new year is shaping up as the most eventful period in the history of the federal transportation program since the enactment of the Interstate Highway Program more than 50 years ago. 2009 promises "transformational change," to use a currently fashionable phrase. It will be the year in which the transportation sector may expect the injection of an unprecedented sum of money in the form of an economic stimulus. It also will be the year in which the administration of President-elect Barack Obama, a new team at US DOT, and a heavily Democratic Congress will be putting their own stamp on a new multi-year transportation authorization. Lastly, it will be the year in which the federal transportation program is expected to undergo fundamental reform to respond to the changing needs and circumstances of the 21st century.

One key development is the long-awaited report of the congressionally chartered National Surface Transportation Infrastructure Financing Commission which is about to be released later this month. What follows is a brief summary of the Commission's findings, based on the open record of the Commission's public meetings, supplemented by interviews and informal conversations with individual Commissioners. We believe that no significant changes will occur in its key conclusions as presented below.

Multi-pronged Approach

The Commission has concluded that the current federal surface transportation funding structure is unable to generate sufficient revenues to support the country's future transportation needs. Hence, the nation must begin to shift to a more sustainable system that is able to raise substantially greater revenues. A search for alternative funding mechanisms has led the Commission to focus on the potential of direct user charges, and particularly on a charge system based on vehicle-miles-traveled (VMT). Such a funding framework is consistent with the Commission's guiding principle that users and direct beneficiaries should bear the full cost and pay more directly for the services they use.

However, a transition to a VMT-based charge system cannot occur overnight, and the immediate needs are simply too critical to wait. Therefore, the Commission will recommend a two-phased approach. To accommodate transportation infrastructure needs in the near and intermediate term (i.e. possibly over the next two authorization cycles), the Commission will recommend a program of incentives to help states and local governments finance infrastructure investments through tolling and other user fees. To enable the federal government to meet its share of capital funding  (currently this share amounts to about 40-45 percent of total national system-wide infrastructure investment), the Commission recommends a one-time increase of 10 cents/gallon in the federal gasoline tax and a 15-cent increase in the federal diesel tax, both taxes to be indexed for inflation. In the long term, as the nation converts to a VMT-based charge system, the federal fuel taxes should be progressively phased out. Because of the complexity inherent in transitioning from the current system to a VMT-based system (both institutionally and technologically), the Commission believes the transition process must begin immediately.

State & Local Incentives Program

State and local governments have always been major partners in the funding of transportation infrastructure. In recent times, they have contributed nearly 60 percent toward the funding of highway and transit infrastructure. To enhance their future ability to invest in infrastructure, the Commission will recommend a number of incentives aimed at facilitating the use of tolling and other direct user charges. Specifically, Congress should (1) allow tolling of new highway capacity and of existing Interstate highway capacity in large metropolitan areas; (2) continue and expand the Interstate Highway Reconstruction & Rehabilitation Program which allows tolling of existing Interstates for the purpose of reconstruction and rehabilitation (currently the program is limited to only three projects); (3) authorize pre-feasibility assistance for toll projects and "gap financing" for projects that cannot be fully supported through toll financing alone; (4) reauthorize the existing federal credit (TIFIA) program at a higher annual volume of credit support than currently allowed; and (5) continue and expand the Private Activity Bond (PAB) Program. In addition, the Commission will offer certain observations and  make certain recommendations as to how Congress should consider proposals to create a  National Infrastructure Bank (NIB). Some Commissioners think the incentives program is a key to getting states and localities to embrace tolling and invest in transportation infrastructure. 

Private Sector Financial Participation

The Commission wishes to encourage private sector financial participation where such participation is necessary to get projects to move forward or where it can improve project cost effectiveness and accelerate project delivery. The Commission believes that appropriate governmental controls should be put in place to protect the public interest. Appropriate provisions should be enacted to govern concession arrangements for new toll facilities ("greenfield" projects) and for long-term leases of existing transportation assets ("brownfield" projects).

Federal Fuel Tax Increase

To fund the near-term federal capital contribution to transportation infrastructure investment, the Commission will recommend a one-time 10-cent increase in the federal gas tax and a 15-cent increase in the federal diesel tax (neither of which has been increased since 1993). All future fuel taxes should be indexed for inflation. Part of the proposed diesel tax increase should be dedicated to freight-related investments. The Commission estimates that the proposed tax increases would generate an additional $20 billion per year to the Highway Trust Fund. (This would still leave a $10 billion annual shortfall, assuming a $66 billion annual budget for surface transportation as proposed by the House Transportation and Infrastructure Committee.) 

Transition to a VMT-based Charge System

The Commission will recommend that Congress define a clear roadmap for a transition to a VMT charge system as part of the next reauthorization of the federal surface transportation program. The Commission also will recommend a comprehensive program of technology development, pilot test programs and standards development to support the transition to a mileage-based user fee system. Lastly, the Commission will recommen that Congress and the U.S. Department of Transportation should initiate and support extensive public outreach to raise awareness and understanding of the need for a shift to a VMT-based charge system. Public support will be essential to a successful transition to a new funding system.

Analysis

Only time will tell how influential the Commission's thinking will be in shaping and reforming the federal transportation program, and what impact the Commission's report will have on future legislation. Our own sense is that the Commission's report will confirm and add authority to the already widely held notion that the current fuel tax-based system must eventually be replaced with a more robust charge system based on vehicle-miles-traveled (VMT). We also think that the Commission's support of tolling and public-private partnerships will add legitimacy to these concepts and strengthen the states' resolve to expand their use.  We hope that the Commission's proposed program of incentives for tolling and other direct user fees will be embraced by Congress and the Obama administration and contribute to mainstreaming these measures and realizing their full potential as both a source of revenue and a tool of congestion management. As for the Commission's recommendation for an increase in the federal gas tax, we reserve our judgment. Looming over this recommendation is the almost certain prospect of a massive economic stimulus bill, a sizeable portion of which is expected to be dedicated to infrastructure (a recent proposal by a group of governors would devote $350 billion to infrastructure investments out of a total stimulus package of $675-775 billion or more). Such a huge injection of capital over two years would be bound to affect the need for and the politics of a federal gas tax increase in ways that cannot  yet be fully assessed.

January 7, 2009

Puget Sound Foot Ferries, New And Old, Find Home In Bay Area

One of the best ways to get around metropolitan regions without a car....is on the water. And you need not own a boat yourself. In the San Francisco Bay Area, there's an extensive network of passenger-only ferries - they carry people, but not cars. The Bay Area Water Emergency Transit Authority promotes a combined 14 commuter and leisure routes, and is considering more. WETA was created in 2004 to consolidate several long-standing passenger-only ferry routes in the Bay Area, and coordinate emergency response for all. As the "emergency" in the agency's name implies, one focus is being prepared to deploy foot ferries to connect people and places in case of a natural disaster such as an earthquake, or a terrorist attack. Either could decommission roads, bridges and highways. But WETA's main charge is boosting regional daily water transit.

To update the Bay Area's foot ferry fleet, the agency recently took delivery of a new, $8.8 million, 149-passenger twin-hulled catamaran constructed by Nichols Brothers Boat Builders of Freeland, Washington - on Whidbey Island, right here in our very own Puget Sound. The company has built 41 similar vessels since 1982 but the latest iteration is state of the art, as the South Whidbey Island Record reports. Nichols Brothers is already building a second model for WETA, one of three more boats the agency has ordered to date and expects to have running this year.

WETA hopes to have 10 new boats operating by 2025. Fleet expansion and replacement takes foresight and finance. As the San Francisco Chronicle reports, the new vessels are financed by a one-dollar hike in Bay Area bridge tolls which was implemented at the beginning of 2007. The Gemini, which also carries up to 34 bicycles, will initially run between San Francisco and the East Bay.

Meanwhile, the other foot ferry agency in the Bay Area, which also operates the Golden Gate bridge (above at left), has bought for $4 million two late-90s vintage high speed passenger-only vessels from Washington State Ferries. The boats will run between San Francisco, and Larkspur and Sausalito. They were used on the Bremerton-Seattle passenger-only route, which was discontinued because of lawsuits from waterfront homeowners in narrow Rich Passage who contended the voluminous wakes from the boats caused shoreline erosion. That is not expected to be an issue in the more open waters of the Bay Area.

WSF, which continues to operate a badly aging and fiscally-strapped system of car ferries, gradually got out of the foot ferry business (it also operated the Vashon Island-Seattle route) after passage of I-695 in 1999 cut car license tab fees used for funding.

Foot ferries remain in Puget Sound, though. King County has created a foot ferry district - funded by a portion of the property tax - to operate the Vashon-Seattle route, the West Seattle Water Taxi and several demonstration routes which could become permanent, depending on ridership. Bremerton and Kitsap County will test a new low-wake high-speed foot ferry on the Bremerton-Seattle route. The Port of Kingston plans a Kingston-Seattle route. San Juan and Whatcom counties are exploring a Friday Harbor-Bellingham run. Securing full funding is still an issue in each of these last three instances, and shoreline impact challenges remain pressing for Bremerton-Seattle, as Kitsap Transit's Executive Director Dick Hayes writes in the Kitsap Sun.

Compared to the unified approach of the Bay Area, the future for Western Washington foot ferries looks pretty uncertain, and pronouncedly ad hoc. But some sort of unifying regional agreement with additional funding provisions is worth further discussion. This approach could better allow current and future operators to develop - to some degree - shared facilities, equipment, promotion, and management.

In metro Vancouver, British Columbia, a company named Coast Mountain Bus operates, for the regional transit agency TransLink, the SeaBus passenger-only ferry service. Two double-ended 400-passenger catamarans run across scenic Burrard Inlet (one is pictured above) from Waterfront Station in downtown Vancouver to Lonsdale Quay in North Vancouver, a community connected to Vancouver and the mainland by the local road and bridge network. Trip time is 12 minutes. A variety of direct transit connections are available at both ends - a bus network in North Vancouver including routes to Grouse Mountain (pictured below) and the Capilano Suspension Bridge; and at Waterfront Station, direct connections to light rail, commuter rail and buses. Two boats, the Burrard Otter and the Burrard Beaver, ply the route. But they are each 30 years old and require maintenance often enough for TransLink to purchase a new third boat to keep schedules on track during repairs and then expand service frequency in 2010.

Other foot ferry operators are seeking a foothold in the market as well. A new private service named Coastal Link Ferries connects the bedroom community of Bowen Island - a long stone's throw west across the water from Metro Vancouver - to the central city, currently landing at a less transit-convenient dock downtown at Coal Harbor. The company has so far been stymied in attempts to lease a vacant berth at TransLink's more transit-friendly downtown SeaBus landing (at Waterfront Station), . Coastal Link says access to the berth there is key to plans for service that it hopes to offer between downtown and the densely-populated community of West Vancouver, just northwest of the city.

On the whole, the Vancouver region's foot ferry service, and particularly the Bay Area's, provide an example for Puget Sound. Here, our extensive water highway is used by plenty of lumbering, aged car ferries but precious few of the more nimble passenger-only vessels which encourage broader multi-modal transit use, walking and cycling, and can provide crucial emergency transportation.

January 9, 2009

Smart Spending On Transportation Will Strengthen U.S. Economy

But The Real Challenge Is Regional Leadership

Though the details are far from settled, a federal economic stimulus package of roughly $600 billion to $800 billion has strong support from President-elect Barack Obama. Congress, including the fiscally conservative Blue Dog Democrat caucus, is bound to register concern over more borrowing. Still, something will pass and everyone will be grabbing for their share. As much as $300 billion of the stimulus could be set aside for infrastructure, primarily surface transportation.

Hammered by declining tax revenues tied to the economic downturn, plus tight credit markets and growing transportation infrastructure needs, states are feeling needy, and many are voicing great hopes for stimulus package aid.

But the stimulus money has to be spent wisely; and regions and states will have to pitch in themselves, using innovative approaches to transportation finance and funding (about which more at our conclusion, below). Whether the stimulus provides $250 billion, $300 billion, or $350 billion for infrastructure, spread across the nation, it will only go so far. Looking at surface transportation alone - not including other essential infrastructure such as utilities - many major metro regions and states have priority project needs running well into the tens of billions.

The first step, securing congressional approval of the stimulus package and ensuring a hefty share for infrastructure, is vital. California Governor Arnold Schwarzenegger (pictured at right, with friend) explains, in Newsweek:

Our infrastructure is more than just a quality-of-life issue. It is an economic issue. Americans waste billions of dollars while semi-trucks carry goods on gridlocked roads and lose millions of gallons of water in leaky old pipes. We lose time and dollars because our ports are not computerized or modern enough to meet today's demands. Our businesses lose real dollars because our buildings are not energy efficient. This kind of waste raises the costs of everything from clothing to cars to raw carrots. It's clear that the faster we can move people and goods, the stronger our economy is. In short, we are a dinosaur economy trying to compete in a space-age global environment.

...why do we sit bumper to bumper on the freeway for two or three hours in order to get home from work during rush hour?...why do Americans stand in long security lines at the airport, in our socks, just to sit in the terminal for hours as our flights get delayed because of overcrowded airport runways?...we still rely on trains that go the same speed as they did 100 years ago, so our shipping times and commutes are longer than other countries....

...when you think about America's aging infrastructure, we're going to get beat...by our competitors China, India, Europe and Brazil. Travel overseas and you see faster commuter trains, better public transportation, double-decker freeways, and more efficient ports. Meanwhile, infrastructure spending as a share of gross domestic product in the United States has dropped 25 percent over the past 20 years. So, government spending is at an all-time high, while investment in our critical infrastructure is at a historic low. Recession or no recession, our nation desperately needs to update infrastructure that lags behind that of even some developing countries. But it is also true that a recession is the perfect time to put money into long-term investments like massive public-works projects because it creates jobs while pumping up our economy.

Tell it, Guvernator. But how can Congress ensure that the stimulus money for infrastructure - and other purposes - is spent wisely? Some useful guidelines are offered by a national group called America 2050, which tracks land use, climate change, demography, trade and infrastructure, with a focus on emerging U.S. mega-regions. The organization is funded by the Rockefeller Foundation, the Ford Foundation, the William Penn Foundation, and others. Civic, business, environmental and transportation leaders convened by America 2050 say:

...it cannot be spending as usual. A new approach is needed that establishes a new level of accountability, transparency, and economic and environmental performance for how this country invests in infrastructure projects.

They urge that the President-elect and Congress ensure any infrastructure stimulus package accent a triaged, phased, green approach emphasizing job training and bang-for-buck.

All well and good. States should adopt similar guidelines. Washington D.C. may even figure out some new ways to boost surface transportation spending after the stimulus package is passed, such as this autumn when the surface transportation spending bill has to be re-authorized. Yet in the end states and regions will bear the lion's share of the burden in coming decades for funding surface transportation systems and boosting alternatives to solo driving. That means they will need to move more aggressively on:

  • regionwide electronic, time-variable tolling;
  • laying the groundwork for taxing vehicle miles travelled, with off-peak discounts;
  • investment by public employee and trade union pension funds, and private infrastructure funds in projects which will yield a steady stream of revenues;
  • "alliance contracting" with performance incentives for teams which design, build, operate and maintain surface transportation facilities - so project delivery schedules can be compressed, quality assured, and costs controlled;
  • developing better incentives and capabilities for tele-work and ridesharing;
  • better marrying scheduled public transit with para-transit provided by public and private operators.
  • In metro regions up and down the West Coast Corridor including Puget Sound these future-facing approaches are vital to regional mobility and accessibility and will require an unprecedented degree of cooperation between city and suburban mayors, state and federal legislators, community, labor, environmental and business interests.

    That in turn will necessitate a resurgence of the old-fashioned kind of leadership, one which is less concerned with getting re-elected and pleasing everybody than with getting done what needs to get done.

    January 15, 2009

    Gregoire: Tolling "Very Likely" For New Deep Bored Tunnel

    In an interview with Ross Reynolds on KUOW-FM - MP3 audio file here - Washington Governor Chris Gregoire said it was "very likely" that tolling would be applied to the new deep bored tunnel planned to replace the seismically vulnerable Alaskan Way Viaduct on State Route 99 in Seattle. (A state rendering of the bored tunnel's cross-section is below, right.) At the 3:02 mark, she states:

    It's very likely that we will toll. Any mega-project that we do today is having to be tolled because historically we had so much federal money coming in (but) we no longer do...

    Reflecting a viewpoint similar to Gregoire's, State Senator Ed Murray told the Seattle Times about the tunnel funding mix:

    "There has to be tolling. In any megaproject there is going to have to be tolling...There is no other way to move forward on megaprojects if we don't."

    That's an on-target assessment, consistent with the strong support the Governor, some legislators, and the state transportation department have already shown for tolling current and planned projects. Electronic time-variable tolling is on the legislature's agenda this session to help fund replacement of the wind- and earthquake-prone State Route 520 floating bridge across Lake Washington, and that plan could include tolling of the parallel Interstate 90 bridge. A federal Urban Partnerships grant of $138 million for the 520 bridge replacement, with millions more attached for regional transit projects, is conditioned on legislative approval by September 30, 2009 of tolling the bridge.

    A recent poll by the state's 520 Tolling Implementation Committee showed significant public support for time-variable electronic tolling on the SR 520 and I-90 bridges, and for starting tolling on the old 520 bridge in 2010. For polling results, see p. 17 of the committee's Draft Tolling Report to the state legislature, released last week).

    Electronic time-variable tolling is already underway on State Route 167 in south King County, and electronic and booth tolling are in place on the new southbound span of the Tacoma Narrows Bridge. And the governor has helped build support for electronic tolling on the planned new I-5 span across the Columbia River connecting Washington and Oregon, as a funding and peak-hour traffic management tool.

    So, electronic tolling, and time-variable tolls, are on their way to gaining a foothold in Central Puget Sound, and in a major bi-state bridge project. And that approach for the deep bored tunnel on SR 99 makes sense - in terms of funding and public policy. The expected cost of the single bored, 54-feet diameter, two level tunnel to go deep under Seattle's First Avenue for two miles is currently pegged at $1.9 billion by the Washington Department of Transportation, though it could be less in the end. (The 14th slide in this WSDOT presentation of 12/16/08 indicated the cost for the single-bored SR 99 inland bypass tunnel could be as low as $961 million. More clarity on costs for all project elements will develop as engineering progresses.)

    But for now, additional transit and infrastructure projects for the key north-south travel corridor bring the total package's estimated cost to $4.25 billion. The City of Seattle, King County and Port of Seattle are slated to supply the balance of funding beyond the state's $2.8 billion, pledged by the legislature for Viaduct replacement work. (More in this WSDOT deep bored tunnel project overview - the p. 3 chart details who intends to pay for what).

    However, $400 million of that $2.8 billion was shifted to the SR 520 bridge replacement project by lawmakers impatient with this second-time-around Viaduct replacement decision process. It could be yanked back to SR 99, but the crucial, costly SR 520 endeavor needs all the help it can get. Unless the money turns up in a turnip patch somewhere, or is re-allocated to SR 99, the state's $400 million funding gap for Viaduct replacement on SR 99 needs to be filled. It's a real concern to some State Senate Democrats, as the Tacoma News Tribune's Joe Turner reports. Electronic time-variable tolling of the deep bored tunnel, with transit and ride-share vehicles traveling free, will help close the gap. On his blog, State Rep. Ross Hunter, an Eastside Democrat, says he likes the tunnel as long as it's tolled, and really gets built.

    Under any circumstances, tolling the tunnel is a smart move policy-wise. In a concession to cost constraints and environmental concerns, it will only be four lanes, not the current six of the Viaduct. But with added transit service (including an up to 25 percent countywide increase in King County Metro bus hours funded by a 1 percent car license tab tax), a four-lane tunnel can prove workable, especially if there are toll pricing incentives to discourage overcrowding during morning and evening rush hours. Usually, it is only at those times and before and after professional sporting events at the First Avenue stadiums that the Viaduct comes anywhere near capacity.

    But would tolling the SR 99 tunnel simply divert traffic to parallel Interstate 5?

    Not likely. Even with improvements to I-5, SR 99 will retain a strong logistical advantage for many drivers.

    Roughly two-thirds of the Viaduct's 110,000 daily vehicle trips are thru traffic bypassing the downtown core, and SR 99's location west of I-5 makes it a natural choice for many drivers in Seattle and points north and south of the city.

    Whereas I-5 is now synonymous with congestion through Seattle, SR 99 enjoys a reputation as a breezy alternative. A reduction from three to two lanes in each direction should not alter that, especially if - as noted above - the tunnel is tolled to discourage peak-hour congestion.

    Still, there are some access issues causing discomfort, particularly for local truck drivers going to and and from the Ballard, Magnolia and Interbay neighborhoods of Seattle. Under the current tunnel plan they would lose on- and off-ramp access to and from more convenient, west-side routes where northbound SR 99 bends east from Elliott Bay to an inland alignment. Additional entrance and exit ramps to the tunnel to address these concerns are seen at present as too costly, so a surface street route may be necessary for these vehicles (that could change, as talks regarding a tunnel spur to the northwest are ongoing). And unlike the Viaduct, this tunnel will not permit trucks bearing hazardous materials. More here from the Puget Sound Business Journal.

    Everybody, including advocates of a six-lane tunnel, gets to give some blood. There's no way a project of this nature can ever win acclaim from all quarters as a perfect solution, but the tunnel's overall benefits to the region will be huge. It will maintain a crucial downtown bypass alternative to jammed I-5, while encouraging options other than solo driving. It will minimize disruptions to waterfront businesses during construction, versus a new elevated structure at water's edge, which would necessitate awkward detours during years of construction while the old Viaduct is torn down. It will open up the downtown waterfront for more recreation, development and commerce, adding huge increments in property values, which in turn will help finance the project and fatten tax coffers for years to come. And it will last twice as long as any new elevated roadway.

    Electronic time-variable tolling makes sense not only to manage traffic flows and help fund the new tunnel, but also on some lanes of I-5 in Seattle from downtown to Northgate. This would contribute to $2 billion in badly-needed I-5 work; and help achieve a regional policy overlay on highways and major state routes of tolled lanes with free passage at all times for transit and ride-share vehicles; and for solo drivers, peak-hour premiums paired with off-peak discounts. This in turn would help drive further adoption of transit, ride-sharing and tele-work. But note: That transit piece depends on continued maintenance and expansion of transit services, such as that enabled by the Metro funding in the larger tunnel package.

    In embracing the deep bore tunnel Governor Gregoire, Seattle Mayor Greg Nickels, King County Executive Ron Sims and Port of Seattle CEO Tay Yoshitani (all pictured above, left) - were spurred by an informed and savvy Viaduct Stakeholders Advisory Committee - and have come together in what is for the Puget Sound region a near-historical political accord on a major infrastructure project.

    The tunnel choice is a 100-year masterstroke, and time will prove that out. But let's not develop tunnel vision. A more pressing challenge, which aligns with the green transportation agenda, is breaking away from the piecemeal approach to road and bridge projects, in favor of a consistent regional road pricing strategy for private single-occupancy vehicles. One day that could mean a vehicle-miles-travelled tax on all roads and streets, with off-peak discounts. For now the region and the legislature should adopt a variable-rate tolling policy for some lanes on all highways and major state routes in Central Puget Sound, to alter for the greater good the ways and times we travel here.

    Because mere exhortations to solo drivers to "do the right thing," aren't enough.

    RELATED:

    Tunnel decision media coverage, plus key government documents.

    Cascadia Center's statement on tunnel decision.

    January 23, 2009

    A Stimulus For States and Regions To Own Surface Transportation

    The much-hyped federal economic stimulus package isn't looking like it will do all that much for surface transportation. The New York Times reports that the House stimulus bill contains a scant $30 billion for roads and bridges and $10 billion for transit. Turns out most of the infrastructure spending in the bill is not for surface transportation. The new administration has weighed in, supporting the bill. Washington State would get $530 million for highways, roads and bridges and $216 million for transit from the bill, according to D.C. correspondent Les Blumenthal. To put that in context, we have about $38 billion in unmet transportation funding needs, as shown on p. 5 of this overview from the Washington State Transportation Commission.

    On the way to final passage, the federal stimulus bill's funding level for surface transportation nationwide could be tweaked somewhat, with more coming to our state and others. But not a lot more. As the Wall Street Journal reports, among House members the hoped-for level of surface and air transportation combined spending in the stimulus bill topped out at $85 billion, and a key committee chairman was eyeing a more achievable $53 billion. The $85 billion (including air transport) would be less than one-quarter of the estimated annual nut to address national surface transportation needs for each of the next 50 years (air transport not included). Even assuming that best-case, one-time $85 billion jolt, plus an envisioned federal infrastructure investment bank and the surface transportation bill re-authorization this coming autumn, the gap between what states need and what the feds can supply will be vast in coming decades.

    It's true that a proposed U.S. infrastructure bank could raise some $60 billion over 10 years for deserving projects. That'd be a start, but as Congressional Quarterly reports, the National Surface Transportation Policy and Revenue Study Commission in a major report issued (in 2008) said $225 billion per annum is needed for the next 50 years for repairs and upgrades to meet future needs. That's $12.5 trillion. The commission noted that current expenditures are less than 40 percent of their recommended yearly nut, and that future funding will need to be closely tied to cost-benefit analyses and performance-based outcomes.....The commission's scarifying estimate dovetails, roughly, with one by the American Society of Civil Engineers that just to get moving on vital projects, the nation's infrastructure needs an infusion of $1.6 trillion over the next five years.

    As you'll see toward the bottom of this recent report from the Houston Chronicle, the Congressional Budget Office projects the federal highway fund will run out of money by this year's end, likewise the federal transit fund by 2012. An increase in the federal gas tax is seen by some as partial remedy, but with government and consumers moving steadily toward ever more fuel-efficient vehicles, this by-the-gallon tax will have a diminishing yield even if the huge political barriers to raising it can be surmounted.

    Which brings us to the multi-faceted Cod Liver Oil Solution. One part is exploration of a vehicle-miles travelled tax, certain to bring out the musket-bearers in the near term, but probably one key element - here and elsewhere - in the long term. Another piece, already taking shape, is networks of time-variable tolled lanes in metro regions. The Bay Area is among a number of regions nationwide beginning to roll out that strategy; it is distinct there from a smaller and more controversial initiative to impose a pricing cordon around the central city aimed at individual drivers. Arguing in the journal Mass High Tech that regional time-variable electronic tolling systems are smarter than hitching our wagon to the dying gas tax is Craig Carlson, director of Cambridge Consultants. These "fast lanes" raise maintenance and operations funds directly from users - but even more importantly, help control peak hour use by solo drivers while transit and ride-share vehicles go free. If you're still skeptical, at the New York Times' "Freakonomics" blog UCLA researcher Eric Morris explains why free highway lanes recall the Soviet food lines of yore.

    Similar perspectives are beginning to take root in The Evergreen State, in practice and in theory.

    One important indicator of where the thinking on best practices is heading comes from our state transportation commission, which recently unveiled its 2009 policy platform. Scroll down to "priority policy issues." Among the key recommendations for legislators to consider are further development of regional tolling, and - take a deep breath - a West Coast pilot project to test out a vehicle-miles-travelled tax. The commission, whose statutory duty is to advise the legislature on transportation and to approve toll rates, is also keen on a carbon tax structure for the state and eventually nation, which rewards greener vehicles. Some of their policy priorities, in their words:

  • A Vehicle Miles Traveled (VMT) based system in which drivers pay for the miles they drive with per-mile rates varying according to location, time of day, and day of week is a technically feasible approach. However, it appears doubtful that one state can implement such a system on its own. While there are serious political challenges with such a concept in the short term, the topic is gaining interest nationwide and is actively being discussed in Washington, D.C. One possible approach ...would be to implement a federally funded pilot VMT-based project on the West Coast - perhaps an I-5 "Corridor of the Future" project. This idea is advocated by the West Coast Transportation Commissions.
  • Tolling and congestion pricing should be applied over time where appropriate, to transportation facilities as identified in the Commission's 2006 Tolling Study. (Parts 1 and 2 here). Pricing has been proven to be an effective means to manage congestion, maximize the efficient use of scarce transportation resources, and reducing VMT which carries climate change benefits. Tolling has these effects in virtually all cases in which demand out-paces capacity, including both highways and ferries. Indeed, the recent experience in the United States with relatively high gas prices began to demonstrate the impact of pricing on personal transportation decisions. We must act now to move critical tolling projects forward.
  • Consider imposing a state carbon tax structure based upon vehicle type. Ordinarily this concept would be a long term notion in this country and in Washington State. However, such taxes are being implemented in other parts of the world and should be acted upon in the near future in this state and nation.
  • The commission also urges a closer look at strategies including these:

  • Increase vehicle registration fees.
  • Reinstitute some form of a value-based vehicle "excise tax" with a reasonable depreciation schedule.
  • Explore, using cost-benefit analysis, public/private partnership investments in delivering capital construction projects and how such investments can be employed to help shape our economic and environmental future around sustainable mobility.
  • The commission discusses a range of additional strategies highlighting environmental concerns and the crucial role of transit. Legislators will need to ensure that some judicious share of new road revenues is directed to transit in major metro regions, so that better alternatives exist for those who'd like to sidestep expanded road pricing when their schedules permit.

    Drawing on the transportation commission's 2009 policy priorities, Washington state legislators and Governor Chris Gregoire can help pave the way for a new breed of revenue solutions to our long-neglected and growing surface transportation needs. These solutions in turn can help meet - and disperse - the future transportation funding obligations of a state now badly overextended, while simultaneously fueling our economic engine.

    January 30, 2009

    State Senate Bill Intro'd To Replace Viaduct With Deep Bore Tunnel

    Earlier this month, Washington Gov. Chris Gregoire, Seattle Mayor Greg Nickels and King County Executive Ron Sims announced an historic accord to replace the seismically vulnerable Alaskan Way Viaduct on SR 99 along the downtown Seattle waterfront with an inland deep bored tunnel. (The last page of this state summary provides details on all project components and planned funding - the tunnel is expected to cost between $1.2 and $2.2 billion). State legislative approval is required. Now, Washington State Senate Majority Caucus Chair Ed Murray, State Senate Transportation Committee Chair Mary Margaret Haugen (pictured, right), the committee's Ranking Minority Member Dan Swecker, and committee member Fred Jarrett of Mercer Island have introduced Senate Bill 5768 to get the tunnel built. The bill will soon get a committee hearing, and if it clears the full Senate will require passage by the House and final approval by the Governor.

    Several other legislators have already gone so far as to publish blog posts expressing their support for the Gregoire-Nickels-Sims tunnel plan. They include State Sen. Jeanne Kohl-Welles and State Rep. Reuven Carlyle, State Sen. Joe McDermott, and State Rep. Ross Hunter. More on the tunnel's supporters - and one very important potential backer - in Olympia from C.R. Douglas in today's Crosscut. Members of the King County Council and Seattle City Council and a broad coalition of business, labor, neighborhood and some environmental groups also back the tunnel plan. The current Senate bill could be amended in either chamber, of course, but as introduced it would:

  • expedite environmental review and design of a four-lane, stacked deep bored (inland) tunnel which according to state plans would run under First Avenue from near the sports stadiums in Sodo about two miles north to near Denny Way;
  • approve disbursement of the already secured $2.4 billion in state gas tax and related funds for Viaduct replacement;
  • require generation of at least $400 million in tunnel funding through tolling the facility;
  • limit the use of that combined $2.8 billion to building the tunnel and demolishing the Viaduct, with replacing the downtown seawall and creating a waterfront promenade to be funded from non-state sources;
  • assign to the City of Seattle the costs of public utility relocation stemming from viaduct replacement and tunnel construction;
  • direct the Washington Department of Transportation to prepare by January 2010 a report to the legislature analyzing the revenue potential of tolling the tunnel, the impact of tolling on tunnel performance, and scenarios to offset or reduce traffic diversion onto other routes caused by tolling the tunnel.
  • One possible scenario, tolling parallel Interstate 5 through central Seattle, would help minimize diversion, raising additional revenues toward the $2 billion in needed I-5 work identified by WSDOT, and establishing the concept of north-south corridor tolling in west-central Puget Sound. In terms of an evolving regional policy, this could dovetail with a pending option to establish east-west corridor tolling on the State Route 520 and Interstate 90 floating bridges connecting Seattle and the booming Eastside, across Lake Washington.

    Tolling of some sort is all but certain to be approved by the legislature on at least the SR 520 bridge as a condition of a federal grant to help fund a multi-billion replacement of the wind- and earthquake-prone structure.

    A special SR 520 tolling implementation committee created by the legislature yesterday issued its final report to lawmakers. The committee found broad public support for time-variable electronic tolling on the SR 520 bridge and majority support in the region for such tolling on the I-90 bridge as well. According to the report there is potential to raise as much as $2.4 billion for the SR 520 bridge replacement through tolling both bridges. That's approximately 40 to 50 percent of the total bridge replacement cost.

    The report also notes that peak-hour tolling on the SR 520 bridge could improve average speeds from the current 20 miles per hour to 38 mph. Improved peak-hour speeds on the SR 520 bridge are predicted because, given time-variable tolling, an estimated 24 percent of drivers would then either shift to less costly off-peak periods (six percent), transit (three percent), ride-sharing (one percent) - or they would change routes (nine percent spread over three alternates), or destination (five percent).

    The projected aggregate shift away of one-quarter of peak-hour drivers following implementation of time-variable tolling on the SR 520 bridge is significant. So are the three-quarters of peak-hour bridge drivers who would not alter their patterns. We cannot wish or hector them into their homes, buses, or ride-share vehicles, nor force their employers to expand tele-work policies.

    But further change can be induced through funding increased peak-hour transit frequency in key highway corridors with a full-on system of tolled express lanes, using express buses augmented with pre-boarding automatic pay stations, ground-level entrances and exits, real-time arrival information kiosks, and on-board WiFi connections to the Internet. That last part will prove a huge draw, prompting employers concerned with productivity and costs to more easily see their way to subsidizing large numbers of yearly transit passes for workers.

    Accompanying all this must be performance-based measures of improved transit travel times and better inter-modal connectivity, especially for "last mile" travel to work or commercial hubs.

    Tele-work will need to grow through employer education, expanded government-funded pilot programs to measure benefits, and perhaps then modest tax incentives.

    Another objective is continued development of on-the-fly ride-sharing facilitated by networked communications, one of several big ideas discussed by Microsoft's Chief Environmental Strategist Rob Bernard (TVW video with full transcript at page's bottom, here) during our Cascadia Center's jam-packed September, 2008 "Transforming Transportation" conference in Redmond.

    The key conclusions from the SR 520 committee's report are that to manage peak-hour traffic congestion, scarce highway capacity should be rationally allocated through time-variable tolling; and that policy-makers must continue their important efforts - including electronic time-variable tolling - to ensure travelers can select from a robust menu of mobility choices. This pertains not only to Central Puget Sound, but also to heavily-travelled highway corridors in Clark County, Wash./metro Portland, and Spokane .

    The unfolding actions to toll the SR 520/I-90 bridge corridor; and to toll the SR 99 tunnel, perhaps ultimately paired with central Seattle I-5 tolling; present a golden opportunity for the state legislature and Gov. Gregoire to continue carving their own broader environmental and economic legacy in 21st Century surface transportation.

    About January 2009

    This page contains all entries posted to Cascadia Prospectus in January 2009. They are listed from oldest to newest.

    December 2008 is the previous archive.

    February 2009 is the next archive.

    Many more can be found on the main index page or by looking through the archives.

    Powered by
    Movable Type 5.12