Tolling & Road Pricing

Innovative Finance and Traffic Modeling

MnPASS System Study and Evaluation

Departments of transportation (DOT) across the United States are increasingly turning to toll express lanes as they struggle with increasing traffic demands and constrained budgets. CS worked with the Minnesota DOT on two efforts related to toll lanes.

MnPASS System Study. CS evaluated the cost, operational, revenue, and travel implications of potential systems of toll lanes, and evaluated the impacts of MnPASS express toll lanes on the existing transportation system and on future policy plans. We also assessed the operational and financial effectiveness of alternative networks of MnPASS lanes. CS worked with a Steering Committee made up of elected officials and other stakeholders to develop a policy related to the future development of MnPASS lanes in the region. The MnPASS System Study report can be viewed here. 

For additional information on the MnPASS System Study please visit the MnPASS web site. 

I-394 Evaluation. In parallel with the System Study, Mn/DOT converted the I–394 high-occupancy vehicle (HOV) lane to a high-occupancy toll (HOT) lane. CS is assessing the impacts of the MnPASS implementation on travel times, speeds, safety, mode choice, and revenues. The results of this technical evaluation will be used to assess the potential applicability of HOT lane expansion to other regional corridors. Preliminary findings of the ongoing evaluation can be found here, or our more detailed case study.

Information on Mn/DOT’s MnPASS program can be found at: http://www.mnpass.org

Cambridge Systematics offers services related to forecasting demand and revenue of tolled highways and transit systems. Our staff prepares forecasts at all levels of detail, from exploratory feasibility studies through “investment-grade” studies that are used to support bond financing. Cambridge Systematics’ resources are unparalleled when it comes to constructing analytical models to assess the willingness of people to pay for transportation services. We have an internationally acclaimed travel demand modeling staff, as well as a full-service market research group. We supplement these superb technical skills with documentation and presentation skills that are tailored to the specific needs and concerns of the financial community.

Our Services

• Traffic and Revenue Forecasts for Toll Roads, Bridges, and Tunnels. Toll revenue financing has become a popular way to get projects built long before they could through tax-supported means. However, toll projects do not work everywhere or under all circumstances. Cambridge Systematics staff understand the special risks that toll projects face. We provide a methodical analytic approach and carefully explain these risks so that they can be understood by project sponsors, potential investors, and bond rating analysts.
• Special Use Lanes. Transportation agencies everywhere are trying to get the most effective use out of every mile of highway, and special use lanes have some potential to offer such efficiencies. Cambridge Systematics staff have developed innovative techniques to evaluate high-occupancy toll lanes, tolled express lanes, and tolled truck-only lanes to help clients decide whether these special facilities make sense under their particular circumstances.
• Variable, Value, and Congestion Pricing. Pricing can be used to accomplish a variety of objectives, from optimizing traffic flow to optimizing revenue. The market research capabilities of Cambridge Systematics are well suited to analyzing travelers’ sensitivities to different prices, payment methods, and service levels.
• Policy Implications of Pricing. Historically, pricing of transportation facilities was used solely for the purpose of raising revenue for construction and operations. More recently, pricing is being considered as a traffic management tool, which raises complex policy questions. Cambridge Systematics provides advice and analysis to those seeking to incorporate pricing into their ongoing transportation planning process.

Why Cambridge Systematics

Tolling and pricing present enormous opportunities for transportation organizations to build infrastructure that they might not otherwise be able to afford, and to squeeze the most efficiency out of transportation investments. The opportunities come with challenges as well, that Cambridge Systematics is well suited to address. Cambridge Systematics does not design or build toll facilities, so our only concern is giving well reasoned, defensible forecasts and findings to our clients. We combine the latest state-of-the-art analytical techniques with the ability to communicate complicated concepts to decision makers. These skills are critical when introducing new and unfamiliar ideas like tolling and pricing.