i-69 or interstate 69 opponents, Count Us!

Tolling Existing Intestate highways and privatizing their profits.
This web page proves this can be done.


This is important because as Indiana's  Major Moves Tolling bill  was introduced in 2006,
Any Indiana Governor, could have toll/ leased, any Indiana roads or the whole system, for any length of time, to any body, for any amount of money, for up to 99 years.



In order for Governor Mitch Daniels to get Major Moves legislation passed, he needed Hoosiers to believe our existing interstates could not be tolled.  Otherwise, the legislators representing the Interstate communities would have recognized that their communities would be obvious next targets for this new power of the Governor,  and INDOT.

The Federal Highway Administration is pushing Tolling of our roads and has in January of 2006 announce new incentives to convert existing Intestate highways into toll roads including privatization:

One need look no further than the home page of The US Federal Highway Administration to find this new emphasis:

http://www.fhwa.dot.gov/

SAFETEA-LU; Value Pricing Pilot Program Participation

A Federal Register Notice was published on January 6, 2006. The purpose of this notice is to invite State and local governments and other public authorities to apply to participate in the Value Pricing Pilot (VPP) program and presents guidelines for program applications. This notice describes the statutory basis for the VPP program and updates a notice published in the Federal Register on May 7, 2001 (66 FR 23077), by providing revised procedures, process timelines, and guidance for program participation. The notice also introduces the Tolling and Pricing Opportunities Web site.

http://www.ops.fhwa.dot.gov/images/ops_images/home-tollingpricing.gif

Provides information about the tolling and pricing programs and provisions available under the FEDERAL-AID HIGHWAY PROGRAM (Title 23 of the United States Code), following enactment of Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU), and to invite Expressions of Interest from States and/or other public entities. read more about the Tolling and Pricing Programs


From their home perhaps the definitive proof is:

http://www.ops.fhwa.dot.gov/tolling_pricing/announcement/tolling_announcement.htm


Surely, The Innovative Finance Primer (IFP) is a most important resource in this discussion:  http://www.fhwa.dot.gov/innovativeFinance/ifp/message.htm

The IFP stands in relationship to Tolling/ Privatization the way FHWA's Environmental Handbook stands in relationship to NEPA regulations.

We took one more step. 

We expressed interest in tolling of existing intestates.  Here is the transcript of our responses from the the Federal Highway administration:



-----Original Message-----
From: Bikesmiths
Sent: Thursday, January 26, 2006 5:02 PM
To: TollingandPricingTeam
Subject: Tolling an existing interstate


What is the process for tolling an existing interstate? That is what is
the process for making a currently free interstate one paid for by tolls?

John Smith
Phone # provided
_______________________
-----Original Message-----
From: Spiller, Neil On Behalf Of TollingandPricingTeam
Sent: Friday, January 27, 2006 10:10 AM
To: 'Bikesmiths'
Subject: RE: Tolling an existing interstate


Approximately 1/2-dozen opportunities (programs) exist for States to gain approval. At base-level, States require approval from FHWA to toll Interstate facilities that are maintained by States, but still fall under purview of FHWA by reason of funding (Federal-aid, etc.) and federal oversight implications. Depending on which program a State DOT will seek, there are differing criteria. But overall, there must be a justifiable reason to toll, be it to reduce "high" congestion in a corridor, reduce emissions to meet regional air quality reg's, finance construction or related work, test ("pilot") a new strategy, retire debt incurred by a public/private partnership to build facilities, or similar. Tolling approval is not granted lightly, but rather must meet a rigorous checklist of warrants, criteria, and justification. Historically, tolls were fixed-price fees that were collected at tollbooths. In recent years, tolling has expanded to include variable pricing (higher fees during higher congested times), variable timing (on or off during peak hours), and use of cashless systems (toll cards). One system that is gaining more favor is to allow single drivers to pay to use high occupancy lanes that would otherwise exclude them . These high occupancy toll (HOT) lanes are very topical these days.

for more information one can search "Tolling" or "Pricing" on the FHWA website www.fhwa.dot.gov


Neil Spiller
Transportation Specialist
FHWA HQ Room 3404
202.366.2188
neil.spiller@fhwa.dot.gov



-----Original Message-----
From: Spiller, Neil
Sent: Friday, January 27, 2006 10:27 AM
To: 'Bikesmiths'
Subject: RE: Tolling an existing interstate


In re-reading my response, I realize I didn't directly answer your question.

The process is for a State DOT to submit an "Expression on Interest" to toll. This application will address several questions about the facility of interest, including the justification, a description of how tolls would be collected, a timetable, a guarantee that enforcement, maintenance, and electronic toll collection would be enacted, a guarantee to measure the effectiveness of the program, a list of public (or private/public) agencies that would operate it, and a plan to reinvest or reimburse the tolls collected to pay for the project, the construction, or the debt incurred. Upon receipt of an Expression of Interest, FHWA will review it. If everything is ok, then FHWA will recommend to "slot" the request to the most appropriate program office that will make the official approval, or will ask for more detail. If finally approved, the FHWA program office will execute a memorandum of agreement between the State (agency) and the FHWA that will detail the criteria, requirements, and methods that will be expected by both parties to operate the facility, etc.

A more detailed description of the Expression of Interest process is on http://www.ops.fhwa.dot.gov/tolling_pricing/index.htm



Neil Spiller
Transportation Specialist
FHWA HQ Room 3404
202.366.2188
neil.spiller@fhwa.dot.gov

one more email . . then I promise, that's it, unless you have other questions.

Even with Federal approval and justification, et al, there must be State- and local-official support for tolling the facility in question. In other words, absent local support, there's not much chance of a tolling project going forward. There must be a pretty clearcut reason to justify to consider to toll a facility, and give (primarily) commuters the choice to use free, general purpose lanes, or priced, tolled lanes. Also, typically there must be an adjacent corridor (even if it is a series of local streets) that one can use to avoid the tolls. This is not ALWAYS the case, but generally, the officials must be satisfied that the tolls are necessary, either for congestion relief, commute relief, funding, or a combination of these reasons.

Now I'll shut up.
Thanks. : )



Neil Spiller
Transportation Specialist
FHWA HQ Room 3404
202.366.2188
neil.spiller@fhwa.dot.gov


COUNT US! analysis and conclusions:

We have found learning about "Tolling and Pricing" is quite different.  In the past, we could research Federal Highway issues as accessible documents on the US FHWA website.  With "Tolling and Pricing" you must engage the FHWA staff with specific questions, which we have done above.

As we have been watchdogs of the I-69 study process, regulated by the National Environmental Protection act of 1991 (NEPA), we are very aware of the need for the required Environmental Studies to prove that new construction will do little or no harm.  We find that the conditions required for acceptance of an existing interstate into the liberalized Tolling and Pricing program is much easier, in fact it is the opposite:
  • Under NEPA a new road must prove that if built, it will perform better than other possibilities as well as "no build" and do no harm.
  • Under Tolling and Pricing, all a road must do is prove there is some harm, like congestion, commute relief, air quality issues or funding.   Quite frankly, this is relatively "a piece of cake!"
Thankfully, as Major Moves passed through the legislature, senior leadership from both parties in the Senate Appropriations Committee, Vi Simpson(D) and Robert Meeks(R), recognized and stripped the Governors authority to toll/ lease any other Indiana roads without returning to the legislature.  We find it uncomfortable that the House version of Major Moves initially passed by the majority on party lines would have granted this authority. 

We expect these broader power to be requested again.  Hoosiers and citizens nation wide must remain vigilant.

Those who would study how Major Moves was passed must ask themselves; How would your free access interstate stand up to an offer of many billions for extended private toll/ leasing when the rest of the state points out that your interstate is not providing "a return" and has a locked up asset value?



For a look into how Tolling and Pricing became a part of our 2005 FHWA funding package, check out these pages:

Robert Poole Jr. (Reason Foundation - think tank) is a small minded person with a loose and easy hold on logic as he pushes our nation toward a privatized luxury road system with guaranteed profits to foreign ownership. (See our document- Reason's Reasons Wrong)  Poole Jr. cares nothing about delivering roads to USA citizens as a service of government, he sees it only as a commodity to sell to the highest bidder. 

This page show that George Bushes pick for next Federal Highway Administration Commissioner, Mary Peters, has bought Robert Poole Jr.'s illogic, lock stock and barrel.  This folks have absorbed the word "sustainable" into rhetoric that is road construction industry specific.  http://www.innobriefs.com/abstracts/2004/jul04.html


Innovation Briefs- Tolling and Pricing:  http://www.innobriefs.com/cumulative.html#rp


COUNT US! - I-69

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