WATERWAY USER CHARGE PROPOSAL

The Iowa DOT reviewed Corps of Engineers accounting records to determine the costs of operating and maintaining a 300 mile section of the Mississippi River. An analysis of accounts was made, and costs were separated into channel and lock maintenance components. The Iowa DOT examined the impact of assessing 43% of the attributable charges against the barge companies, an amount comparable to that paid by the trucking industry for the publicly-owned highway system. The results were: 3found per gallon of fuel; $32 per single lockage. The above waterway user charges would cause a 3% to 4% increase in barge rates (e.g., Davenport to New Orleans from $5.32/ton to $5.47/ton, or + 1/2found/bushel). Such rates do not appear sensitive to variations in the 43% cost-coverage assumption, since a plus or minus 10% change = plus or minus 1% rate change. The proposed charges would generate $75 to $100 million annually across the nation. User charges were not recommended for recreational boaters. The Iowa DOT urges further study to determine whether the 300 mile section studied is nationally representative in its maintenance costs, standards, and the analytical methodology used.

Media Info

  • Pagination: 14 p.

Subject/Index Terms

Filing Info

  • Accession Number: 00153802
  • Record Type: Publication
  • Source Agency: Iowa Department of Transportation
  • Files: TRIS, STATEDOT
  • Created Date: Jun 17 1977 12:00AM