Steve HemingerExecutive Director

Metropolitan Transportation Commission

May 2010

Financing California’s

Transportation System

Financing California’s

Transportation System

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“We’ve run out of money. Now we’ll have to start thinking.”

-Anonymous

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1. What Should the Feds Do?

1. What Should the Feds Do?

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Protect Ike’s LegacyProtect Ike’s Legacy

Interstate Highway System

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Move the GoodsMove the Goods

Article 1, Section 8

“To regulate commerce with foreign nations, and among the several states…”

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Keep the Engines PrimedKeep the Engines Primed

Key Indicator Metro Areas > 1 million

1 Share of U.S. Population 58%

2 Share of GDP 61%

3 Share of Traffic Congestion 97%

4 Share of Transit Ridership 92%

5Share of Population Exposure to Criteria Pollutants

88%

Sources: U.S. Census, Texas Transportation Institute, U.S. Conference of Mayors, EPA

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Enhance Energy SecurityEnhance Energy Security

Annual Petroleum Trends in the U.S. 1949-2006

Source: Energy Information Administration

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2. What Should the State of California Do?

2. What Should the State of California Do?

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Transportation ParadigmsTransportation Paradigms

Interstate Era

Build Highways

Post-Interstate Era

Build Anything BUT Highways

Post-Post-Interstate Era

Manage What You’ve Built

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Average Daily Person Travel, State of CaliforniaAverage Daily Person Travel, State of California

36%

4%9%

50%

1%

Public T ransitBike/PedLocal RoadFreewayOther

Source: Caltrans, HPMS

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Operations ProjectsBenefit/CostRatio (avg.)

Freeway Ramp Metering 14:1

Incident Response 8:1

Arterial Signal Timing 35:1

Region-Wide ITS Deployment 9:1

Capital Projects

New HOV Lanes 2:1

New Mixed Flow Lanes 1.2:1

Interchange Improvements 1.2:1

Auxiliary Lanes 5:1

Truck Climbing Lanes 1.3:1Source: MTC, Caltrans, and FHWA

Cost/Benefit of Operations and Capital ProjectsCost/Benefit of Operations and Capital Projects

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Traffic Congestion

CaltransBudget

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3. What Should the Metros Do?

3. What Should the Metros Do?

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Price the SystemPrice the System

Change in Motion

Create an 800-mile Regional High-Occupancy Toll (HOT) Network on Bay Area freeways

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Change in Motion

$400 million for Lifeline Transportation Program

$1 billion for Regional Bicycle Network

$2.2 billion for Transportation for Livable Communities Program

TOD Policy for Transit Expansion Program

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Leverage Land-Use Changes

Leverage Land-Use Changes

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Meet the Climate ChallengeMeet the Climate Challenge

RTAC Target Recommendation: X% CO2 per capita reduction between 2005 and 2020/2035

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www.mtc.ca.gov