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21st Century Operations Using 21st Century Technologies
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Lessons Learned from Regional Congestion Pricing Workshops (RCPWs)

CHAPTER 2. LESSONS LEARNED FROM THE WORKSHOPS

The following topics were discussed:

COMMUNICATE A BROAD UNDERSTANDING OF CONGESTION PRICING CAPABILITIES, LIMITATIONS, AND CHALLENGES.

  1. Capabilities:
    1. Congestion Pricing is a better alternative for traffic management, instead of adding capacity.
    2. Through a traffic demand based dynamic congestion pricing approach, traffic demand could be diverted to alternate travel modes and off-peak periods.
    3. As the congestion pricing encourages Heavy Occupancy Vehicles (HOV), an increased person throughput can be achieved for the selected transportation facility.
    4. Existing funding to transportation facilities is limited. Congestion pricing can generate revenue to address some of the funding issues (pricing represents a fundamental shift in funding approach).
    5. Congestion pricing has the potential to demonstrate significant improvements in air quality.
  2. Limitations:
    1. Perception that if the entire facility is tolled, congestion pricing might be regressive on those who can least afford it.
    2. Limited availability of Federal Highway Administration (FHWA) allotted slots for the pricing programs. Currently, 13 out of the 15 Value Pricing Pilot Program (VPPP) slots are granted for 11 State-led and 2 city-led programs. Similarly, 1 out of the 3 Interstate System Reconstruction and Rehabilitation Pilot Program (ISRRPP) slots are granted for Missouri State-led I-70 project.
    3. All Federal-aid projects require National Environmental Policy Act (NEPA) based environmental review or alter previous commitments.
  3. Challenges:
    1. Developing public acceptance and political support are two major challenges for the progression of Congestion Pricing, as there is limited awareness about the concept of managing congestion through pricing and its benefits. Identification of proper political champions outside the transportation department is an imperative characteristic in developing support for the congestion pricing program.
    2. Location of access points is a key issue for design and operation of congestion pricing. Especially, in the areas that have high ramp density, the access points should be located at an appropriate distance from entry and exit ramps to mitigate quick maneuvers within short distances in general purpose (GP) lanes.
    3. Interoperability of the candidate region tolling system with the neighboring tolling systems is a key issue. Lack of interoperability might lead to confusion among the travelers about the tolling operations and rules.

DEVELOP STAKEHOLDER UNDERSTANDING OF THE FEDERAL PROGRAMS RELATED TO CONGESTION PRICING

Under Section 166 of Title 23, United States Code, existing HOV lanes located in a metropolitan planning area may be converted to tolled operation provided that the public authority demonstrates that it consulted with the Metropolitan Planning Organization (MPO) for the area concerning the placement and amount of tolls on the facility. Presented below are the four Federal programs for congestion pricing. Detailed explanation of these programs can be found in the FHWA's Tolling Programs Website1.

  1. Section 166, HOV/High-Occupancy Toll (HOT) lanes: Under Section 166 of Title 23, existing HOV lanes may be converted to tolled operation provided that the local Metropolitan Planning Organization (MPO) endorses the use and number of tolls on the converted lanes. All tolls on new lanes must be variably priced and collected electronically to manage travel demand. To implement tolls on an existing HOV lane, project sponsors must demonstrate that the conditions on the facility are not already degraded and that the presence of paying vehicles will not cause conditions to become degraded. Ongoing annual reports documenting conditions on the converted lanes is also required, and if the HOV facility becomes degraded the sponsor must bring the facility into compliance either by increasing HOV occupancy requirements, increasing tolls, increasing capacity, or eliminating access to paying motorists.

    The following certification provisions apply whenever an HOV lane is converted to HOT operations under Section 166:

    1. States must annually certify to FHWA that they meet the operational requirements stipulated in Section 166, including vehicle eligibility; enforcement; and operational performance monitoring, evaluation and reporting. The annual certifications must demonstrate that the presence of paying vehicles in the HOT lane has not caused traffic service to become degraded.
    2. States must demonstrate that programs are in place to inform motorists how they may enroll and use the managed lane, either in a non-paying HOV vehicle or a paying HOT vehicle.
    3. States must indicate that they have, or will have, an automated electronic toll collection system in place on the managed lanes.
  2. Section 129, General Tolling Program: Section 129 provides authority for tolling Federal-aid highways in conjunction with new construction or other improvements to those highways. The passage of MAP-21 made significant changes to the Section 129 Tolling Program including tolling eligibilities and agreement requirements. These changes have relaxed the prior, general prohibition on the imposition of tolls on Federal-aid highways and formalized provisions previously available through pilot programs. Public agencies may impose new tolls on Federal-aid highways in the following cases:
    1. Initial construction of a new highway, bridge, or tunnel.
    2. Initial construction of new lanes on highways, bridges, and tunnels (including Interstates), provided the number of toll-free lanes is not reduced.
    3. Reconstruction or replacement of a bridge or tunnel.
    4. Reconstruction of a highway (other than an Interstate).
    5. Reconstruction, restoration, or rehabilitation of an Interstate highway, if the number of toll-free lanes is not reduced.
  3. Value Pricing Pilot Program (VPPP): The Value Pricing Pilot Program (VPPP) was initially authorized in Intermodal Surface Transportation Efficiency Act (ISTEA) as the Congestion Pricing Pilot Program and subsequently amended under other laws, most recently Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU). The program has encouraged implementation and evaluation of value pricing pilot projects to manage congestion on highways through tolling and other pricing mechanisms. The VPPP is limited to 15 slots.

    MAP-21 made no changes to the program, and no additional funds have been authorized after Fiscal Year 2012. However, FHWA encourages use of the Section 129 General Tolling Program and Section 166 HOV/HOT Lanes program wherever possible, as opposed to the VPPP. Moving forward, requests for tolling authority under VPPP will be limited to situations that cannot be accommodated under the mainstream tolling programs, such as the pricing of existing toll-free facilities without substantial reconstruction of those facilities.

  4. Interstate System Reconstruction and Rehabilitation Pilot Program (ISRRPP): The ISRRPP was authorized under Section 1216(b) of the Transportation Equity Act for the 21st Century (TEA-21) to permit up to three existing Interstate facilities to be tolled to fund needed reconstruction or rehabilitation on Interstate corridors that could not otherwise be adequately maintained or functionally improved without the collection of tolls. Each of the three facilities must be in different States. There is no special funding authorized for this program. To receive tolling authority under the program, project sponsors are required to have their program application approved by FHWA and to execute a tolling agreement.

    The Fixing America's Surface Transportation (FAST) Act Section 1411 (c) amended the ISRRPP authorized under Section 1216(b) of TEA-21. First, the FAST Act adds the specific selection criterion that "a State has the authority required for the project to proceed." This acknowledges the key role that the State legislative authority has in implementing the ISRRPP. Second, the FAST Act specifies timeframes under which States with provisional approvals must complete the program's requirements. Any State receiving a provisional approval will have three years from the date of the approval to fully satisfy the program criteria, complete environmental review under NEPA, and execute a toll agreement with the FHWA. Lastly, the FAST Act allows for a one-year extension of the three-year provisional approval if the State demonstrates material progress toward implementation of its pilot project. The FAST Act gave the States holding provisional approvals at the time the FAST Act was enacted one year to meet the program criteria or request an extension for an additional year. At this time, all three slots remain available. Upon approval of the program, selected States are required to execute an agreement with FHWA.

FINDINGS FROM IMPLEMENTED PRICING PROGRAMS

While pricing of managed lanes has been in place for over 20 years, most of the projects have been conversions of existing HOV lanes into HOT lanes. These are the first-generation projects. For transportation agencies that have not implemented congestion pricing before, HOV to HOT conversion is a safe first step.

Many of the experts who participated in the workshops shared their experiences in addressing the evolution from first-generation pricing strategies into more complex express toll lanes using new or expanded capacity. These types of projects are referred to in the tolling and pricing community as "second-generation pricing projects." Second-generation projects typically include strategies to apply variably priced lanes and variable tolls on entire roadways. Pricing changes throughout the day, either on a variable daily schedule or dynamically based on the level of congestion and demand for the managed lanes. The second-generation movement also includes the implementation of integrated networks of priced roadways within urban regions.

While the first-generation HOT lanes were relatively simple facilities with limited points of access and egress, many newer priced managed lane projects include multiple access points that integrate them with multiple activity centers.

Minneapolis/St. Paul Region

The greater Minneapolis-St. Paul region implemented three managed lane projects: on I-394, I-35W, and I-35 E. Each facility started as HOV lanes and was subsequently converted to HOT lanes under the MnPASS program. The I-394 conversion resulted when the under-utilized HOV lane came under increased political and public scrutiny. The first MnPASS managed lanes were opened along the 11-mile corridor on I-394 in 2005 and featured dynamic pricing. These were the first HOT lanes to use double-striped lines rather than physical barriers.

The I-35W MnPASS lanes, supported under the Urban Partnership Agreement (UPA) program, were opened in 2009 and included 8 miles of an HOV to HOT conversion, plus a 3-mile priced dynamic shoulder lane. The dynamic shoulder lane is used as a price-managed lane during peak periods, and then returned to a shoulder during off-peak periods. The priced dynamic shoulder lanes were an outgrowth of the region's system of bus-only shoulders and were considered a better way of utilizing existing infrastructure as an interim solution.

Both the I-394 and I-35W MnPASS lanes are considered first generation priced facilities in that they converted existing HOV lanes into HOT lanes, with the I-35W project having additionally converted an existing shoulder into a peak period HOT lane. The move into second generation priced facilities occurred in 2016, when MnPASS added new lanes to a 4-mile section of I-35E, north of St. Paul through a combination of lane additions and an innovative time-period-based approach through the I-35E/I-694 commons area. Because there was no need to add lanes through the recently reconstructed commons area, Minnesota DOT (MnDOT) decided to convert the inside southbound general-purpose lane to a HOT lane during the morning peak period. In the northbound direction through the commons, there is no HOT lane designation. This novel approach is being evaluated for one to two years, and modifications may be made depending on the evaluation results.

Southeast Florida

In Miami, single HOV lanes in I-95 (95 Express) were expanded to two HOV lanes in each direction. This project was planned in two phases to expand a 20-mile corridor. The first phase was deployed in 2009. The initial 7-mile I-95 express facility converted a single HOV lane each way into two HOT lanes in each direction. The extra lane was created by narrowing the travel lanes from 12 feet to 11 feet, and narrowing the shoulders. Additionally, the existing HOV lane buffer was reduced to 1 foot of separation between the general use lanes and the proposed managed lanes. Construction also included some bridge and interchange improvements to maintain continuity of the dual managed lane facility. The design included pylon separation rather than concrete barriers, because of limited right of way. Innovative operational aspects of the project included shifting from HOV-2 to HOV-3 eligibility and requiring eligible carpools to register with the local ride-sharing agency. These characteristics differentiate I-95 from a conventional HOV to HOT conversion project.

The I-95 project was the first step in creating a two-county network of express toll lanes. Phase 1-A of the project, the southern half of northbound lanes, opened in 2008. Phase 1-B opened in 2010. The 2nd Phase began in 2015, extending the lanes 14 miles northward. The complete 95 Express facility was made operational in 2016. Since opening, the 95 Express has had a positive effect on travel in South Florida. The tolling, transit, travel demand management, and technology strategies have increased travel speeds by 200 percent in the general-purpose lanes and by 300 percent in the express lanes, while increasing transit usage by 360 percent since launch, due to the introduction of new express routes and additional buses.

Given the success of the 95 Express project, Florida DOT (FDOT) and its partners developed a plan to construct multiple Express Lane (EL) corridors across the Southeast Florida region to create an EL network. Four entities – FDOT District 4, FDOT District 6, FDOT Florida's Turnpike Enterprise (FTE), and the Miami-Dade Expressway Authority (MDX) – will be involved in the EL network deployment.

Los Angeles

In November 2012 and February 2013, respectively, Metro in Los Angeles converted the car pool lanes on I-110 and I-10 into HOT lanes. These HOT lanes are freely accessible for HOV 2+, transit vehicles, and clean air vehicles. However, single occupancy vehicles pay tolls at all times. An LA metro survey found that a major share of the residents in the tolling corridor are represented by low income groups. To enhance and encourage the low-income group usage of express lanes, LA metro implemented programs like carpool loyalty, Transit Access Pass (TAP) rewards, and low-income assistance plans. These programs offered regular incentives to commuters using carpools and transit services.

San Diego

Using a VPPP grant from FHWA, San Diego was the first conversion of HOV lanes into a HOT facility in 1988. Renamed FasTrak, the purpose of the original I-15 HOT lane was to better utilize the HOV lane and ensure fast, reliable transit service. The managed lane operation was simple in that there was only one entry and exit point. Revenues from the HOT lane were allocated to new corridor transit service, providing an additional travel choice to users.

The success of the HOT lane conversion on I-15 led to a major freeway reconstruction / expansion effort in 2012 between SR 163 and SR 78. This project added two HOT lanes in the existing section to create a bi-directional four-lane facility and extended the project north by 12 miles, completing a 20-mile barrier-separated HOT facility. The managed lanes have a movable barrier that can allow various combinations of operations for the four combined HOT lanes and multiple access points to the general-purpose highway lanes. In addition, direct access ramps, park-and-ride lots, and transit stations were added along the HOT lane section.

The HOT lanes allow HOV 2+ and transit to travel free of charge, while single-occupancy vehicles (SOV) can buy into the lanes using dynamic pricing. This operation allows demand to be fully managed throughout the HOT lane facility. The initial HOT Lane project included a new express bus service. Further expanded as part of the second-generation project, a 35-mile all-day Bus Rapid Transit (BRT) line was implemented in 2014 connecting Escondido to downtown San Diego via the I-15 Express Lanes - branded as "Rapid". Five direct connector ramps allow BRT vehicles (and carpools / vanpools / SOV toll users) access to off-line BRT stations and park-and-ride facilities. These connector ramps and stations are spaced roughly every four miles.

I-15 FasTrak currently generates toll revenues of nearly $1 million per year for BRT service in the I-15 corridor. After covering operating expenses, the remaining revenues are earmarked to be spent on improving corridor transit service, an arrangement that helped to gain political and public acceptability of the project.

BENEFITS OF CONGESTION PRICING

The core values of congestion pricing are to reduce the existing traffic congestion through implementation of pricing programs and improve the transportation facilities through the revenue generated. In locations where existing or anticipated excess HOV lane capacity is available, conversion to a HOT lane facility is encouraged as a way to increase throughput and to provide additional travel options for drivers. As part of an overall approach to respond to increased travel demand and address traffic congestion, HOV and HOT lanes can be a practical alternative to adding more general-purpose travel lanes. The FHWA encourages the implementation of HOV or HOT lanes as an important part of an area-wide approach to help metropolitan areas address their requirements for improved mobility, safety, and productivity, while also being sensitive to environmental and quality of life issues. The following system level benefits could be identified by the implementation of congestion pricing:

  1. Reduced congestion through managed corridor traffic.
  2. Improvement in usage of public transportation modes.
  3. Increased funding for transportation facilities.
  4. Improved usage of alternate routes.
  5. Reliable trip travel time.

1 https://www.fhwa.dot.gov/ipd/tolling_and_pricing/tolling_pricing/federal_tolling_programs.aspx [Return to Note 1]

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