Road Usage Char ging in Or e gon Gove rnors T ra nsporta tion - PowerPoint PPT Presentation

Road Usage Char ging in Or e gon Gove rnor’s T ra nsporta tion Vision Pa ne l No ve mb e r 10, 2015

Pur pose of Road Use r F e e T ask F or c e Legislative Mandate “ To develop a design for revenue collection for Oregon ’ s roads and highways that will replace the current system for revenue collection. ” 2

Histor y of the Pe r - Mile Char ge in Or e gon 3

Or e gon’s F ir st Pe r Mile Char ge Pilot Pr ogr am Road Use r F e e Pilot Pr ogr am 2006- 07 • Mile a g e re po rting a t fue l pump • GPS mile a g e re po rting de vic e se le c te d b y ODOT • Pa yme nt a t fue l pump with fue l purc ha se 4

Na tiona l Re vie w & Support 5

Or e gon’s Se c ond Pe r Mile Char ge Pilot Pr ogr am Roa d Usa g e Cha rg e Pilot Prog ra m 2012- 13 • Mile a g e re po rting wire le ssly fro m ma c hine to ma c hine • Co mme rc ia l ma rke t o ffe re d thre e c ho ic e s fo r mile a g e re po rting • Pa yme nt o f pe rio dic b illing b y c he c k o r c a rd 6

Ca te g orie s of Mile a g e Re porting ive n (b a sic ) 1. Re por ting all mile s dr ting mile s by loc ation (a dva nc e d) 2. Re por ting of mile s (switc ha b le ) 3. Change able r e por Assume maximum annual mile s (simplifie d) 4. 7

ORe GO Or e gon’s Road Usage Char ge Pr ogr am 8

Or e gon Pe r - Mile Road Usage Char ge L aw Se na te Bill 810 dire c ts Ore g o n DOT to imple me nt a 1.5 c e nt pe r-mile ro a d usa g e c ha rg e fo r up to 5,000 vo lunte e r lig ht ve hic le s a s a n o pe ra tio na l pro g ra m o n July 1, 2015 9

Or e gon’s Road Usage Char ge Pr ogr am Will ORe GO b e a g o ve rnme nt o pe ra te d, sing le te c hno lo g y, c lo se d syste m tha t will b e e xpe nsive to o pe ra te a nd e xtre me ly diffic ult to c ha ng e ? We ll, No . Ore g o n is e sta b lishing a n o pe n Ma rke t fo r ro a d usa g e c ha rg ing . 10

Str ate gic Obje c tive for Or e gon’s Pe r Mile Road Usage Char ge “Cre ate a sustainab le ro ad usag e c harg e marke t that is simple and e asy fo r paye rs, fle xib le and e nc o urag e s e vo lutio n o f mile ag e re po rting te c hno lo g ie s and b usine ss syste ms into e ffe c tive , affo rdab le , c o nve nie nt and attrac tive o ptio ns fo r the mo to ring pub lic .” 11

Or g a nizing Cha r a c te r istic s for Or e g on’s Pe r Mile Cha r g e Syste m De sig n pro g ra m Pro vide T e c hno lo g y with o pe n mo to rists a g no stic a rc hite c ture c ho ic e s Pro vide a c c e ss I nte ro pe ra b le , to priva te sc a la b le a nd Po lic y Ne utra l se c to r a c c o unt g e o g ra phic a lly ma na g e me nt unlimite d 12

Road Usage Char ge T r ansac tions 13

Roa d Usa g e Cha rg e Ac c ount Ma na g e me nt Cre a tio n o f a Co mme rc ia l Ma rke t DOT Ac c ount Manage me nt Comme r c ial Ac c ount Manage r s • Must a c c e pt a ny vo lunte e r • Re c ruit a nd c ho o se vo lunte e rs • Only b a sic re po rting (no GPS) • All mile a g e re po rting te c hno lo g ie s tha t me e t sta nda rds • No va lue a dde d se rvic e s • Ca n se ll va lue a dde d se rvic e s • Ca nno t se ll mile a g e da ta • With e xpre ss a ppro va l o f RUC pa ye r, c a n se ll mile a g e da ta 14

Volunte e r E xpe r ie nc e - E ntr y 1. Se le c t Pr ovide r 15

Volunte e r E xpe r ie nc e – E nr ollme nt 2. Sign up and se le c t 3. Install or ac tivate mile age r e por ting mile age r e por ting me thod de vic e 4. Dr ive 16

Volunte e r E xpe r ie nc e - Payme nt 5. Ac c ount se ttle me nt • Na ture o f b illing • T iming o f pa yme nt • Me tho d o f pa yme nt Va rie s b y a c c o unt ma na g e r 17

ORe GO E ar ly Re sults for Contr ac ting with ac c ount manage r s Suc c e ss Suc c e ss Ce r tific ation of ac c ount manage r s Suc c e ss E nr ollme nt pr oc e ss Billing pr oc e ss Suc c e ss Ac c ount manage r r e por ting Suc c e ss Payme nt pr oc e ssing Suc c e ss Custome r satisfac tion T BD Public ac c e ptanc e T BD 18

ORe GO E nrollme nt Sta tus a s of Nove mbe r 10  950 Ore g o nia ns ha ve sig ne d up fo r ORe GO  Be lo w 17 MPG = 228 (24%)  Be twe e n 17 a nd 22 MPG = 300 (32%)  22 MPG a nd a b o ve = 422 (44%)  T ype o f mile a g e re po rting de vic e s c ho se n b y vo lunte e rs  No n-GPS re po rting de vic e s = 28%  GPS re po rting de vic e s = 72%  Mo st e nro lle d ve hic le type is T o yo ta Prius  Se c o nd mo st e nro lle d ve hic le type is F o rd F -150 19

How Doe s An Ope n Ma rke t Affe c t Roa d Usa g e Cha rg e Ope ra tions? Compe tition Minimize s Compe tition Improve s Gove rnme nt F oste rs E volution E ffic ie nc y of F ootprint of T e c hnolog ie s Ope ra tions Va lue Adde d Options Pa ye rs Se rvic e s Re duc e to Choose Cost of Pre fe re nc e s Administra tion 20

Major Issue s for Imple me ntation of Pe r Mile Char ge in the Unite d State s 21

Ke y Issue s Impe ding Adoption of Roa d Usa g e Cha rg ing in the Unite d Sta te s • Priva c y pro te c tio n • E vo lutio n o f te c hno lo g ie s • Sc a la b ility o f syste ms • F le xib ility o f syste ms fo r po lic y a da pta tio ns • Co mple xity o f imple me nta tio n • Diffic ulty o f o pe ra tio ns • Ma king c o mplia nc e simple a nd e a sy • Da ta se c urity • I nte ro pe ra b ility a mo ng sta te s • Co st o f a dministra tio n • E q uity b y inc o me , g e o g ra phy a nd ve hic le type • E nfo rc e me nt • T ra nsitio n 22

 Ke y Issue s E sse ntially Re so lve d in Or e go n  Ke y Issue s Re quir ing Co ntinual De ve lo pme nt  Ke y Issue s No t Ye t Re so lve d  Priva c y pro te c tio n  E vo lutio n o f te c hno lo g ie s  Sc a la b ility o f syste ms  F le xib ility o f syste ms fo r po lic y a da pta tio ns  Co mple xity o f imple me nta tio n  Diffic ulty o f o pe ra tio ns  Ma king c o mplia nc e simple a nd e a sy  Da ta se c urity  I nte ro pe ra b ility a mo ng sta te s  Co st o f a dministra tio n  E q uity b y inc o me , g e o g ra phy a nd ve hic le type  E nfo rc e me nt  T ra nsitio n 23

 Ke y Issue s Not Ye t Re solve d  Co st o f a dministra tio n  E q uity b y inc o me , g e o g ra phy a nd ve hic le type  E nfo rc e me nt  T ra nsitio n 24

 Ke y Issue s Cr itic al to Re ve nue s for Roads  Co st o f a dministra tio n  E q uity b y inc o me , g e o g ra phy a nd ve hic le type  E nfo rc e me nt  T ra nsitio n 25

Estimated Cost of Administration 120% 100% Total Percent of RUC Revenue CAM 80% ODOT 60% 40% 20% 0% 0 1 2 3 4 Millions of Accounts 26 *Estimated prior to passage of SB 810

Why T o E xpe c t Administra tive Cost Re duc tions with a Siza ble Prog ra m? • E c o no mie s o f sc a le with hig he r le ve ls o f pa rtic ipa tio n • L e ve ra g ing o f priva te se c to r e xpe rtise in te c hno lo g y a nd a c c o unt ma na g e me nt • Ro a d usa g e c ha rg e syste m de sig n a llo ws fo r b undling with o the r se rvic e s • T e c hno lo g y c o sts de c re a se o ve r time a nd/ o r vo lume Additio nal po te ntial e c o no mie s o f sc ale asso c iate d with o the r state s ado pting a pe r-mile c harg e and c o mmo n administratio n syste m 27

 T ra nsition: the F ina l Sta g e of De ve lopme nt for Roa d Usa g e Cha rg ing Polic y In Ore g on Stra te g ic pla nning fo r a ma nda to ry ro a d usa g e c ha rg e syste m: • What is the e nd state ? o What is r e plac e d? o Whic h ve hic le s a re in the pro g ra m? o Wha t is r e ? ate str uc tur • What is the tr ansitio n plan? 28

Funding Retained

Pote ntia l F utur e Polic y Applic a tions to ORe GO Platfo r m Local Option Congestion Pricing Other Climate Change Policy

Slide s Re se r ve d F or Q&A 31

U.S. L ight- Duty Ve hic le E ne r gy Use (1995- 2040) History History Projections Projections 2012 2012 10 10 21.5 mpg 8 8 6 6 Million 37.2 Barrels of Oil mpg Equivalent Per Day 4 4 2 2 0 0 1995 2000 2005 2010 2015 2020 2025 2030 2035 2040 32 Sourc e : Annua l E ne rg y Outlook 2014 Re port; U.S. E ne rg y Informa tion Administra tion

Re c e nt History of L ig ht Ve hic le Pe r- mile Cha rg ing in U.S. • 15 Sta te Po o le d F unds Study (2000) • Ore g o n’ s Ro a d Use r F e e T a sk F o rc e (2001) • Ore g o n’ s F irst Pilo t Pro g ra m (2006-07) • Ne va da Studie s (2008-2011) • T e xa s Studie s (2009-2011) • U o f I o wa F ie ld T e sts (2010) • I -95 Co rrido r Co a litio n’ s Ope ra tio na l Co nc e pt • Minne so ta Pilo t Pro g ra m (2011-12) • Wa shing to n Ste e ring Co mmitte e (2012) • Ore g o n’ s Se c o nd Pilo t Pro g ra m with Wa shing to n a nd Ne va da (2012-13) • Ore g o n e na c ts SB 810 fo r vo lunte e r pe r mile c ha rg e pro g ra m (2013) • Ca lifo rnia e na c ts SB 1077 (2014) 33