Win-Win Transportation Solutions

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1 Win-Win Transportation Solutions Todd Litman Victoria Transport Policy Institute Presented Lipinski Symposium on Transportation Policy Chicago, Illinois 15 October 2007

2 What is The Transportation Problem? Traffic congestion? Road construction costs? Parking congestion or costs? Excessive costs to consumers? Government costs? Traffic crashes? Lack of mobility for non-drivers? Poor freight services? Environmental impacts? Inadequate physical activity? Others? 2

3 Reductionist Decision-Making Current transportation planning tends to be reductionist, problems are considered individually. This often results in solutions to one problem that exacerbate other problems facing society, and tends to undervalue strategies that provide multiple but modest benefits. 3

4 Win-Win Strategies Put another way, more comprehensive planning helps identify Win-Win strategies: solutions to one problem that also help solve other problems facing society. Ask: Which congestion-reduction strategy also reduces pollution emissions and saves consumers money and which emission reduction strategy also reduces traffic and parking congestion 4

5 Comparing Benefits Planning Objectives Reduce Vehicle Travel Expand Roads Reduce congestion Roadway cost savings Parking cost savings Consumer cost savings Better mobility options Traffic safety Efficient or Alt. Fuel Vehicles Reduce pollution Energy conservation Land use objectives Improved fitness & health = supports objective 5

6 Traffic Services Comparing Costs $3,000 $2,500 $2,000 $1,500 $1,000 $500 $0 6 Roadway Land Value Fuel Externalities Pollution Emissions Vehicle Ownership Crash Damages Parking Subsidies Vehicle Operation Roadway Costs Residential Parking Traffic Congestion Average Annual Cost Per Vehicle

7 Congestion Costs $1,200 Annual Dollars Per Capita $1,000 $800 $600 $400 $200 $0 San Francisco Dallas Miami Philadelphia Chicago Los Angeles 0 5,000 10,000 15,000 20,000 City Population (Thousands) New York Large Rail Small Rail Bus Only 7

8 Traffic Fatalities 25 Traffic Fatalities Per 100,000 Population Large Rail Small Rail Bus Only Deaths Per 100,000 Population Large Rail Small Rail Bus Only ,000 1,200 Annual Per Capita Transit Passenger-Miles 8

9 Geauga County, OH Traffic Risk Clinton County, MI Fulton County, OH Walton County, GA Yadkin County, NC Goochland County, VA Davie County, NC Isanti County, MN Stokes County, NC Miami County, KS Baltimore city, MD Smartest Growth Most Sprawled New York County, NY Kings County, NY Bronx County, NY Queens County, NY San Francisco County, CA Hudson County, NJ Philadelphia County, PA Suffolk County, MA Richmond County, NY Traffic Deaths Per 100,000 Pop.

10 Consumer Cost Savings High quality transit provides about $500 annual per capita consumer cost savings. Annual Per Capita Dollars $3,500 $3,000 $2,500 $2,000 $1,500 $1,000 $500 $0 Large Rail Small Rail Bus Only 10

11 Per Capita Transport Energy Denmark Finland France Germany Italy Japan Netherlands Norway Spain Sweden Switzerland United Kingdom Canada United States Annual Tonnes of Oil Equivelent Per Capita OECD in Figures, 2005

12 Market Distortions - Examples Roadway costs not borne directly by motorists. Free/underpriced parking. Fixed vehicle insurance and registration fees. Uncompensated environmental damages. Land use policies favoring lower-density, automobile-oriented development. Planning biases that favor mobility over accessibility and automobile travel over alternative modes. Others... 12

13 Win-Win Transportation Solutions Market reforms justified on economic principles that help provide various economic, social and environmental benefits. Improved travel options. Incentives to use travel alternatives. Accessible land use. Policy and market reforms. 13

14 Pay-As As-You-Drive (PAYD) Pricing Motorists pay by the vehicle-km, so a $600 annual premium becomes 5 /mile and a $1,200 annual premium becomes 10 /mile. This gives motorists a significant financial incentive to drive less, but is not a new fee at all, simply a different way to pay an existing fee. 14

15 PAYD Savings A typical motorist with $10.00 a 50-mile daily $8.00 commute would save $6.00 an additional $3.00 each day they use $4.00 alternative modes $2.00 rather than drive $0.00 alone. Insurance Fuel Current Pricing With PAYD 15

16 Efficient Parking Management Reduced and more flexible parking requirements. Shared parking Parking pricing Parking cash out Parking property taxes 16

17 Parking Pricing and Cash Out Parking is never really free, consumers either pay directly or indirectly. Paying directly tends to be more fair and efficient, and typically reduces parking demand about 20%. 17

18 Smart Financing Expand when and where onstreet parking is priced. Per-space parking taxes. Increased vehicle fuel taxes. Local improvement districts around transit stations. Employer levies. Transportation management association fees. Road tolls and congestion pricing 18

19 Employee Trip Reduction Programs Employers encourage employees to walk, bicycle, carpool and ride transit rather than drive to work. For example, offer a tax incentive for businesses that have effective commute trip reduction programs. 19

20 Mode Shifts How do we convince people who drive luxury cars to shift mode? 10/16/2007

21 Attracting Discretionary Riders Quality service (convenient, fast, comfortable). Low fares. Support (walkable communities, park & ride facilities, commute trip reduction programs). Convenient information. Parking pricing or cash out. Integrated with special events. Positive Image. 21

22 Ridesharing Market studies suggest that a third of suburban automobile commuters would consider vanpooling, if it had: Flexibility. High Occupant Vehicle priority lanes and parking. Financial incentives. Integration with public transit. Employer support. 22

23 Walking and Cycling Improvements More investment in sidewalks, crosswalks, paths and bike lanes. More traffic calming. Bicycle parking and changing facilities. Programs to encourage safe walking and cycling. 23

24 Freight Transport Management Efficiently road pricing. Improve rail and marine transport services. Encourage more efficient local delivery services. 24

25 Significant Impacts and Benefits If implemented to the degree justified by economic principles, Win-Win strategies would reduce total vehicle travel by a third or more, while making consumers better off overall. 25

26 For more information Online TDM Encyclopedia Win-Win Transportation Solutions 26

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