Tag Archives: driving

Oregon testing out five different ways to pay vehicle-miles traveled tax

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The state of Oregon is currently running a small test program with five different ways of paying a vehicle-miles driven tax:

The new usage charge pilot program, which began in November and runs through the end of this month, involves about 40 volunteers from state government. Participants chose the tracking plan that best fit their privacy tastes and will pay 1.56 cents for each mile driven — receiving a credit for any gas tax paid during the test period. The idea is to make sure each tracking option works in practice…

The five tracking plans vary in terms of oversight. Two are managed by the Oregon D.O.T., three by a third-party vendor. They also vary in terms of payment: some require setting up an online account tied to credit or debit information, others go the old fashion route of monthly bills payable by check.

The key difference is the tracking system. Two advanced plans track mileage data as well as movement with a G.P.S.; the advantage here is that users aren’t charged a fee for driving on private or out-of-state roads — only public roads in Oregon. Two basic plans involve an odometer-type device that collects mileage data but has no G.P.S. to track movement. Users may end up paying a little more, but they’re getting privacy in return.

The most primitive plan, for people who want the most privacy, uses no tracking device at all. Users pre-pay a flat fee that assumes a monthly mileage. At some point, say when the car gets official inspections, the odometer is checked and the difference between miles paid and miles driven is reconciled…

Despite these cautions, Oregon is preparing to take its system public soon. The state legislature has prepared a bill that would implement a V.M.T. fee on all vehicles getting 55 miles per gallon or better. (The change only applies to car models beginning in 2015, however, and as currently written the law wouldn’t go into effect until that year.) Olson says the bill will be introduced sometime in 2013.

It sounds like this small test is more about finding about which of the five options are doable and/or appealing, mainly on the dimension of privacy, rather than asking whether a vehicles miles tax should be implemented at all. As the article notes, a bill will come up this year to start the ball rolling. If this is the case, why not run a test bigger than 40 state employees?

Another thought: the system is set up so that drivers only pay for driving on Oregon’s public roads. Wouldn’t a comprehensive system of driving tax collection have to account for driving in other states?

Broke highway fund might mean up to 250% increase in pay-per-mile tax

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Here is more grist for the rumor mills about a pay-per-mile driving tax: a new GAO report suggests the tax will need to be increased from current levels.

An on-again, off-again move by the Obama administration to scrap the federal gas tax in favor of a pay-per-mile fee would boost the tab to Americans as high as 250 percent, raising their current tax of 18.4 cents a gallon to as high as 46 cents, according to a new government study.

But without a tax increase, said the Government Accountability Office study, the government’s highway fund is going to go dry. One reason the fund is going broke: President Obama’s push for fuel efficient cars has resulted in better mileage, and fewer stops at the pump.

The GAO study is just the latest review of federal spending that paints a grim picture of the nation’s infrastructure. Just keeping spending at current levels, the GAO said, would require a near doubling of the gas tax to 32 cents a gallon, and that would jump to as high as 46 cents should the federal government add spending to fix crumbling infrastructure and build new roads.

The average driver pays about $96 a year in federal gas taxes, said GAO. Should the administration seek to raise the highway trust fund from $34 billion to the $78 billion needed to fix and maintain roads, that could rise to $248. Translated into a pay-per-mile plan, drivers would face a tax of 2.2 cents per mile compared to the 0.9 cents they pay now. Trucks would pay far more.

Infrastructure and driving are not cheap. I imagine this might easily be the most unpopular tax in years even with its relatively small impact on individual drivers. How can the federal government make driving, a necessity in America due to our planning and past policies plus a favorite activity of Americans for decades, more expensive?

Considering replacing the gas tax with a tax per mile driven or a flat fee for electric vehicles

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Here is a recap of efforts to replace the gasoline tax and the relatively less revenue collected because the federal gas tax hasn’t risen in years and the future decrease in gas consumption with more hybrids, electric cars, and fuel-efficient vehicles:

The favored answer of road engineers? Taxing by the mile driven. A handful of states — Oregon, Minnesota and Nevada — have already tested ways to use GPS and other electronics to adjust taxes. In the Nevada and Oregon tests, drivers had devices installed on their cars that sent data to special fuel pumps; those pumps automatically adjusted their fees based on how far the vehicles had driven, without revealing data that would amount to tracking drivers.

The GAO told Congress this week it should allow a similar test on electric vehicles and commercial trucks, and estimated that a pay-by-the-mile tax of 0.9 cents to 2.2 cents per mile designed to replace fuel taxes would raise a typical driver’s costs from $98 to between $108 to $248.

But it’s not the only answer to filling this financial sinkhole. Washington state lawmakers have put a flat fee of $100 a year on electric vehicles to make up for the gas taxes they don’t generate, and Oregon lawmakers may follow suit. In Virgina, Gov. Bob McDonald has proposed abolishing the gas tax entirely, replacing it with a sales tax and a new $100 fee on “alternative fuel” cars and trucks. That idea has already drawn fire from critics who point out that it would make Virginians who never drive pay for roads while letting people who travel through the state do so for free.

I’ve covered the proposals in some of these states earlier (see here) but I haven’t heard of the electric car flat fee. I imagine a flat fee will not be specific enough to target electric cars – why not just go by a reduced mile-driven rate as well to account for all of the roads being used?

I suspect the first state to institute this will encounter lots of protests. At what point can a tax like this be implemented: before taxes start to decline or only once it is really clear that gas tax revenues aren’t enough to cover road costs? A case could be made that we are already at the second scenario and need more revenue to cover federal roads.

Selling car insurance by the mile

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The idea of replacing the gas tax with a tax by miles driven is being tested so what about car insurance by the mile? One company has introduced the concept in Portland:

You wouldn’t buy an unlimited fare card if you only took a few transit rides per month, but when it comes to car insurance that’s pretty much how things work. Drivers who are similar in age, gender, and residence pay about the same premium even if some drive 5,000 miles a year and others 50,000 miles. The problem is not only that low-mileage drivers end up subsidizing high-mileage ones — it’s that everyone has an incentive to drive as much as they can.

One idea to undercut this system is pay-per-mile car insurance. Earlier this month at The Atlantic, Matthew O’Brien explained (via this 2008 Brookings report; PDF) just how much America stands to save with such a service. Driving would fall 8 percent nationally; oil usage and carbon emissions would drop 2 and 4 percent, respectively; fewer traffic and accidents could be worth upwards of $60 billion a year.

Since city residents have transportation alternatives at their disposal, they’re likely to benefit from mileage-based systems more than most. That’s the basic idea behind MetroMile, a new per-mile car insurance company that launched earlier this month in Portland, Oregon. While conventional car insurance companies dabble in mileage programs, MetroMile was created explicitly with that low-car lifestyle urban driver in mind — even down to the name…

MetroMile users receive a device called a Metronome (sadly, the “N” isn’t capitalized) that plugs into the car and tracks mileage in real-time. Drivers pay a monthly base rate that’s around $20-30, says Pretre, then pay 2 to 6 additional cents per mile. He says anyone driving fewer than 10,000 miles a year should start to save, and once you get down to 8,000 miles, the savings approach 20 to 25 percent over major car insurers…

While it makes sense to introduce this in Portland or a number of other dense cities where mass transit usage or alternatives to driving are common, would this work as well in the suburbs? Would the costs of paying car insurance be enough to prompt people to change their living patterns? Maybe it depends on how much cheaper that car insurance could be or perhaps the quest for the cheaper house that provides more bang for the buck would still win out.

The 2008 Brookings report cited above titled “Pay-As-You-Drive Auto Insurance: A Simple Way to Reduce Driving-Related Harms and Increase Equity” makes an interesting point: increased driving is related to increased income (see page 10 and 40). In other words, Americans who have the money to do so drive more. This helps explain the reluctance of higher-income Americans to use buses.

New study says congestion could be lessened by reducing a small number of trips from certain neighborhoods

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A new study suggests a targeted reduction of trips from certain locations could greatly reduce congestion:

To learn more about traffic congestion in the hope of finding ways of relieving it, an international team of scientists analyzed road use patterns in the San Francisco Bay area and the Boston area. They used mobile phone information from more than 1 million users over the course of three weeks to map out where drivers were concentrated on roads. (The data was rendered anonymous before the investigators looked at it, the study authors noted.)

Based on their analysis, the researchers suggest that certain neighborhoods in these urban areas were home to drivers that caused major congestion. The scientists found that canceling just 1 percent of trips from these neighborhoods could drastically reduce travel time that was otherwise added due to congestion.

“In the Boston area, we found that canceling 1 percent of trips by select drivers in the Massachusetts municipalities of Everett, Marlborough, Lawrence, Lowell and Waltham would cut all drivers’ additional commuting time caused by traffic congestion by 18 percent,” said researcher Marta González, a complex-systems scientist at the Massachusetts Institute of Technology. “In the San Francisco area, canceling trips by drivers from Dublin, Hayward, San Jose, San Rafael and parts of San Ramon would cut 14 percent from the travel time of other drivers.”

The location of these neighborhoods apparently makes it easy for them to impact their cities. “Being able to detect and then release the congestion in the most affected arteries improves the functioning of the entire coronary system,” González  told TechNewsDaily.

There are many ways people might reduce the number of drivers hitting the road from these key neighborhoods, the scientists said. For instance, the authorities might encourage alternatives “such as public transportation, carpooling, flex time and working from home,” González said. Mobile phone apps that connect people using the same roads might help them coordinate carpooling, she added.

Two things stand out to me:

1. It seems like the advantage to this method is that it allows officials and drivers to target traffic flows from particular locations and then plan accordingly. More often, we settle for traffic solutions like adding more lanes over a stretch of highway or extending mass transit to a particular location. But this kind of analysis is able to help people target particular areas rather than having to apply catch-all solutions.

2. Collecting and using this data sounds very interesting. This is big data at work: taking information that is collected about over 1 million cell phone users and then using that information in a new way. It also allows researchers to see the system as a whole.

My next question would then be is it be easy politically to target particular areas for congestion reduction?

“Eating plays a central role in both civility and civilization” vs. a fast food society

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According to this argument, perhaps we should worry less about addiction to smartphones and more about how we eat:

There are four clear threats to the modern family and possibly civilization at large; cell phones, video games, the internet, and junk food. We allow the first three because they are cheaper than tutors, private schools, and nannies. Indeed, games and gadgets support a kind of electronic autism where neither parent nor child speaks to each other until the latter is old enough to drive. With junk food the threat is more complicated; a fusion of chemistry and culture. In combination, internet social networks and poor diets seem to be conspiring to produce a generation of pudgy, lazy mutes with short attention spans.

Culture begins and ends on a plate. A proper wake is followed by good food and drink for good reason; a testament to life even without the guest of honor. We eat to live and then we live to eat. From the earliest times, food played a key role in the spiritual and literal growth of families and a larger society. An infant bonds with its mother while nursing; families bond when they share food. We define hospitality with friends by inviting them to break bread – or share a refreshing adult beverage. Alas, eating plays a central role in both civility and civilization.

Contrast this elevated role for food versus the fast food approach common in the United States. I recently led a discussion in my introduction to sociology class about the social forces that lead to having a fast food society where around one-quarter of American adults eat fast food each day. Here are some of the ideas we came up with:

-Americans don’t have time for food preparation and eating as we are too busy doing/prioritizing other things.

-Fast food is cheap (particularly in the short-term) and convenient.

-Food is the United States is more about finding sustenance or nutritional content as opposed to sociability. (I’m thinking of Michael Pollan’s work here.)

-Americans love cars and driving and what could be better than going to a restaurant without ever having to get of the car? (Imagine the outcry if more communities like this one in South Dakota bans eating while driving.)

-Fast food is made possible by changes in the industry where it is now easier to draw upon food sources from all over the world. (The book Fast Food Nation does a nice job describing some of this process.)

-Fast food places offer a homogenized and familiar experience.

-There is a lot of money to be made in fast food.

In other words, there are a variety of social factors that influence why and how we eat. There are not easy fixes to changing a fast food society.

New public relations campaign to convince Chicago area residents that congestion pricing is the way to go

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The Chicago Metropolitan Agency for Planning launched a campaign today intended to raise support for congestion pricing on Chicago area highways:

Would driving a steady 55 mph the entire way be worth the price, say, of a latte, particularly on days when you are crunched for time?

Officials at the Chicago Metropolitan Agency for Planning think drivers will see value in a congestion-pricing plan that the agency is recommending be implemented on new highway lanes planned on six major existing and future roadways across the six-county area. Under congestion pricing, drivers who opt to use free-flowing express lanes pay a fee, or an extra toll on the Illinois Tollway, during peak traffic periods. The price goes down when fewer vehicles are on the roads…

In the proposal, the amount would be 5 cents to 31 cents per mile during rush hours, depending on the specific roadway. That comes out to $2.76 in the Stevenson scenario and $3.41 on the Eisenhower…

CMAP officials said their goal is to get congestion pricing up and running within three or four years, starting on the Addams. A widening project is slated to begin on the I-90 corridor next year, and the tollway has previously identified it for a possible congestion-pricing experiment.

I will be interested to see how people respond and what this public relations campaign looks like. It seems that certain highway solutions in the Chicago area, such as adding more lanes and increasing traffic capacity, are reaching an end or have run their course. Just how many lanes can you add anyway – and it really doesn’t help as this tends to attract drivers. There have been some plans in place to extend mass transit, such as through the delayed STAR Line, but money is lacking. High occupancy vehicle lanes have been discussed but haven’t really gone anywhere. Thus, congestion pricing might kill two birds with one stone: reduce highway traffic (or at least stabilize it) while raising some money that can be reapplied to highways. Of course, this will strike some as unfair, particularly coming after a toll hike (that hasn’t limited tollway traffic much), but no one is being forced to use the express lanes…

Correlation found between less decline in sustainable city transportation and wealth, required state planning

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A new study suggests sustainable city transportation declined less in the last three decades in cities based on two factors: wealthier populations as well as cities located in states that require certain planning measures.

Overall, transportation has become less sustainable across the country over this period, but some communities have slowed the decline more effectively than others.
Among the best at slowing that decline were Seattle, Las Vegas and even Los Angeles, which owes its success to fewer-than-average solo commuters and relatively high public transit use, the research suggests. In contrast, transportation sustainability declined more quickly than average over those years in such cities as Pittsburgh and New Orleans…
“The findings suggest that planning efforts are worthwhile, and that higher real per-capita income enhances the benefits of community planning, possibly through better implementation,” said McCreery, also a lecturer in sociology at Ohio State.

Could be an interesting story but I wonder if this isn’t simply masking the bigger picture: transportation sustainability is down across the board. Here is the reason why:

“Almost every city has declined in transportation ecoefficiency because we have become more automobile dependent and more spread out so people tend to have to drive farther,” said McCreery, author of the study and a postdoctoral researcher in Ohio State’s Mershon Center for International Security Studies.

People can talk about becoming gas independent to help deal with issues like high gas prices but focusing on sustainable transportation might lead in another direction: planning in such a way that people don’t have to drive as much to start with. Even though rising gas prices may lead to less driving, we still have a lot of communities that require certain amounts of driving. But, this is probably a harder sell or issue to deal with given the American love of cars, space, and local government…

Los Angeles survives Carmageddon II

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The Los Angeles area has now survived Carmageddon and Carmageddon II, which just took place this past weekend. And it also ended a few hours ahead of schedule:

The reopening of the busiest and most congested freeway in the U.S. came hours earlier than predicted. Crews working on dismantling the Mulholland Drive Bridge had a 5 a.m. Monday deadline, and Mayor Antonio Villaraigosa said at a Sunday evening press conference that there would not be an early opening.

Starting around midnight Saturday when that stretch of the I-405 was fully shut down, crews had 53 hours to complete their work. Had they overshot their Monday morning deadline, a late penalty of about $360,000 would have been charged to them every hour…

The demolition is part of the $1-billion Sepulveda Pass Improvements Project, which adds a 10-mile northbound carpool lane. On Sunday, crews also paved the freeway between the Skirball Center Drive and Mulholland Drive bridges…

As for the benefits of Carmageddon, officials said if this year is anything like the last, a lot of people will be breathing a little easier when the weekend is over. According to a study at the University of California, Los Angeles, the air quality in the area of the 405 closure improved more than 80 percent during the 2011 Carmageddon event.

If you live by the highway, you can also die by the highway (closures). See some photos of the work here.

Apparently, the site of an empty highway in Los Angeles is a strange one:

Like Villaraigosa, some drivers couldn’t resist comparing the scenario to a movie.”It’s like that movie `Vanilla Sky,’ … where Times Square is empty,” Sterling Gates told KABC-TV. “It’s kind of like that. We’re known for our traffic, and it’s just nothing.”…

The rare sight of a carless freeway attracted many onlookers, including seven people who were cited for sneaking onto the roadway, the California Highway Patrol said.

Last year, three people slipped onto the freeway at the crack of dawn and snapped photos of themselves enjoying a gourmet meal on an eerily empty freeway.

It is a post-apocalyptic scene…for two days.

Figures: more deaths per capita in horse accidents in NYC in 1900 than in auto accidents today

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I ran across an article titled “From Horse Power to Horsepower” that contains these interesting figures:

Horses killed in other, more direct ways as well. As difficult as it may be to believe given their low speeds, horse-drawn vehicles were far deadlier than their modern counterparts. In New York in 1900, 200 persons were killed by horses and horse-drawn vehicles. This contrasts with 344 auto-related fatalities in New York in 2003; given the modern city’s greater population, this means the fatality rate per capita in the horse era was roughly 75 percent higher than today. Data from Chicago show that in 1916 there were 16.9 horse-related fatalities for each 10,000 horse-drawn vehicles; this is nearly seven times the city’s fatality rate per auto in 1997.

Of course, as the article notes, there were other issues with having thousands of horses on the street each day.

I’ve written before about the risks of driving today, particularly compared to other behaviors which many might think are more dangerous but are not. Yet, these figures are a reminder that we are safer today on the city streets, at least while driving something in the streets, than in the past. It may not seem to be true but I suspect this has more to do with how much we hear about accidents (and crime) more than the actual reality of how dangerous it is.