Value Pricing Pilot Program In Small Urban Areas

Value pricing, also called congestion pricing, uses fees which vary by time-of-day and location of use to reduce congestion. Value pricing can provide improved service to transportation users, reduce emissions, makes more efficient use of existing transportation capacity, and reduce the need for future capacity expansion. It is horizontally equitable, i.e., those who are responsible for generating the need for additional capacity are faced with some or all of the costs to pay for that capacity. The concept of assessing relatively higher prices for travel during peak congestion periods is the same as that used in the private sector of the economy to respond to peak-use demands. Airlines and hotels offer off-peak discounts, and public utilities offer peak/off-peak pricing plans. Through the Value Pricing Pilot Program of the Transportation Equity Act for the 21st Century (TEA-21), the Federal Highway Administration (FHWA) supports State and local efforts to plan, test and evaluate this market-based concept. FHWA supported the implementation of 3 projects under the predecessor Congestion Pricing Pilot Program established by the Intermodal Surface Transportation Efficiency Act (ISTEA) in 1991. One of these was in a small urban area in Lee County, Florida. Two new operating projects have been funded under TEA-21. Also currently underway are 12 pre-project studies funded by FHWA, two of which are in small urban areas. The project implemented in Lee County involves the use of peak/off-peak bridge toll differentials for passenger vehicles. In addition, two studies are getting underway in Lee County. The first involves extending the use of peak/off-peak bridge toll differentials to trucks. The second examines a pricing strategy involving queue-jumps which allow vehicles an opportunity to avoid a congested location (e.g., intersection) by diverting to a priced bypass facility, lane, or route. A concept being studied for implementation in Santa Cruz County, California involves tolling on High-Occupancy Vehicle (HOV) lanes to allow vehicles not meeting HOV occupancy requirements to buy the right to use the HOV lanes. This concept is known as High Occupancy/Toll or HOT lanes. FHWA anticipates additional pre-project study applications in the coming months from several other small urban areas.


  • English

Media Info

  • Media Type: CD-ROM
  • Pagination: 12p
  • Monograph Title: Seventh National Conference on Transportation Planning for Small and Medium-Sized Communities, September 28-30, 2000, Little Rock, Arkansas

Subject/Index Terms

Filing Info

  • Accession Number: 01045231
  • Record Type: Publication
  • Files: TRIS, TRB
  • Created Date: Mar 2 2007 2:28PM