S.H. 121 – Dallas, TexasS.H. 121 – Dallas, TexasCase Study PresentationCase Study Presentation

National Summit on Future Transportation National Summit on Future Transportation Funding and Finance StrategiesFunding and Finance Strategies

April 11, 2007April 11, 2007

Michael Morris, P.E.Director of Transportation

North Central Texas Council of GovernmentsTransportation Department

www.nctcog.org/trans/mtp/2030

Maintenance and Operationof Existing Facilities

Improve Efficiency of Existing Facilities

Trans. System ManagementIntelligent Trans. Systems

Remove Trips From SystemCarpool/Vanpool ProgramPedestrian/Bicycle Facilities

Induce Switch to TransitBus/Commuter Rail/Light Rail

Increase Auto OccupancyHOV System

Additional Single OccupantVehicle Capacity

Freeway/Tollway Regional Arterial

Management & Operations(ITS,TSM/TDM, Bike/Ped)

Rail and Bus

HOV/Managed

Freeway/Tollway and Arterial

2030 Plan

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Infrastructure Maintenance

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Maintenance and Operationof Existing Facilities

Improve Efficiency of Existing Facilities

Trans. System ManagementIntelligent Trans. Systems

Remove Trips From SystemCarpool/Vanpool ProgramPedestrian/Bicycle Facilities

Induce Switch to TransitBus/Commuter Rail/Light Rail

Increase Auto OccupancyHOV System

Additional Single OccupantVehicle Capacity

Freeway/Tollway Regional Arterial

Management & Operations(ITS,TSM/TDM, Bike/Ped)

Rail and Bus

HOV/Managed

Freeway/Tollway and Arterial

2030 Plan

Fin

anc

ial/

Air

Qu

alit

y C

on

str

ain

t

+

+

+

+

= PolicyDiscussion

Infrastructure Maintenance

Inte

rmo

dal

Pla

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ing

Eff

ort

s ●

Sys

tem

S

afet

y ●

Sys

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MOBILITY 2030MOBILITY 2030Prioritization of ImprovementsPrioritization of Improvements

MOBILITY 2030 DEVELOPMENTMOBILITY 2030 DEVELOPMENT

Congestion is bad and getting worse, and traditional

funds cannot keep up

The Dallas-Fort Worth Region has a need by 2030 for

$129.5 billion to eliminate the most severe congestion

and rebuild aging infrastructure

Construction costs have risen 10% per year recently

Texas HB 3588 and HB 2702 have provided new

development and financial tools

Regional Transit Initiative proposes 0.5% sales tax

increase

Partnerships are part of the key to solving the problem

MOBILITY 2030 HIGHLIGHTSMOBILITY 2030 HIGHLIGHTSFinancially-Constrained RecommendationsFinancially-Constrained Recommendations

Includes $9.6 billion of rail recommendations, including $3 billion of Regional Transit Initiative (RTI) rail lines

Includes $29.8 billion of roadway recommendations, including $16.8 billion of Innovative Funding Strategies

Includes additional unfunded roadway needs for illustrative purposes

Includes policy-level discussion of alternative future and demographic considerations

Includes Environmental Mitigation Strategies

Includes Safety and Security policies and programs

Includes incorporation of Trans-Texas Corridor (TTC-35) into recommendations

INTEGRATED COMPREHENSIVE APPROACH:INTEGRATED COMPREHENSIVE APPROACH: TOLL SYSTEM FOR NORTH TEXASTOLL SYSTEM FOR NORTH TEXAS

Mobility PlanToll Roads andManaged Lanes

Needed Short-Term Improvements

Preliminary Toll Feasibility

Preliminary Agency SelectionCDA Option

ConstructProject(s)

usingBonding Authority

NTTA Option

1. ConstructToll System

with TollLeveraging

2.

$0 Excess Revenue

IrregularMobility Dividends

Operations ofCorridor

Regional Needs

ManagedLane

Projects

TransTexas

Corridor

3. 4.

OtherProjects

Category 2 TxDOT

Funds

Excess Revenue Fund

Priority 3

Prio

rity 2

Priority 1

Source: North Central Texas Council of Governments

Benefit/Cost Ratio of Plan: 1.51

Mobility 2025, Amended April 2005 Year 2025 from Mobility 2030 Plan

Innovative Funding Strategies:• HOV/ Managed Lanes

• NTTA Toll Roads

• Comprehensive Development Agreements

• Public-Private Partnerships

• RegionalTransit Initiative

• Trans-Texas Corridor

• Regional Outer Loop

Annual Cost of Congestion = $6.6 billion Annual Cost of Congestion = $6.1 billion

IDENTIFIED FUNDING NEEDSIDENTIFIED FUNDING NEEDSDALLAS-FORT WORTH REGIONDALLAS-FORT WORTH REGION

(Updated based on Mobility 2030 Funding Levels)(Updated based on Mobility 2030 Funding Levels)Metropolitan Transportation System

ComponentsFunded Needs(Billions/2006 $)

Unfunded Needs (Billions/2006 $)

Operation & Maintenance $18.7

Congestion Mitigation Strategies $2.1

Bicycle & Pedestrian Facilities and Transportation Enhancements

$1.1

Rail and Bus Transit System $11.01

HOV and Managed Facilities $3.3

Freeway and Toll Road System $26.4 $12.72

Regional Arterial and Local Thoroughfare System

$5.7 $6.0

Additional Cost to Purchase Right-of-Way $1.1

Rehabilitation Costs $ 2.6 $32.1Goods Movement/Rail Freight Costs (Trans Tx Corridor)

$6.7

TOTAL $70.9 (55 %) $58.6 (45 %)

$129.5 Billion1 $3.4 billion obtained through Regional Transit Initiative 2 Includes Freeway-to-Freeway Interchanges

Revised: February 28, 2007

S.H. 121 CDAS.H. 121 CDACollin & Denton CountiesCollin & Denton Counties

Upfront Concession Fee $2.10

Excess Revenue Over Time (Net Present Value) 0.70

Construction of S.H. 121 0.56

Operations, Preventive Maintenance, and Capacity Enhancement Costs (Net Present Value) 1.70

Revenue Sharing (Banded Amounts)* ---

Total (Net Present Value) $5.06+

Note: Figures are approximate and are subject to CDA contract execution and financial closing.

* Significant funding may be available if future toll road volumes are higher than anticipated.

Funding in $ Billions

IMPLICATIONS FOR THE PLANNING IMPLICATIONS FOR THE PLANNING PROCESSPROCESS

Importance of Financial Constraint

Importance of Needs Based Plan

MPO – Metropolitan Programming Organization

Increased Decentralization – Impact on State and National

Transportation System

Project Programming without Federal Requirements

IMPLICATIONS FOR PUBLIC POLICYIMPLICATIONS FOR PUBLIC POLICY

Tollroad Impact on Suburbanization – Leveling

Role of Peak Period Pricing on Mobility Goals

Role of Dynamic Pricing with Guarantees on Reliability of

Service

Equity of Costs – Value of Time, Regressiveness, or

“Opportunity Costs”

Equity of Benefits

- “Near Neighbor, Near Time Frame”

- Toll Users

IMPLICATIONS FOR INSTITUTIONAL IMPLICATIONS FOR INSTITUTIONAL ARRANGEMENTSARRANGEMENTS

Maturity of State DOT – MPO Relationship

Greater Role of Private Sector

Greater MPO Role in Policy Setting – Business Terms

Impact on Planning Funds, Research, and Federal Process

Impact on U.S. DOT

Partnerships are Key to Success