SURVEY OF THE USE OF HIGHWAY COST ALLOCATION IN ROAD PRICING DECISIONS

The objective of this research project was to assess the extent to which highway cost allocation has been used in road pricing decisions in the United States, Britain, Australia and New Zealand. This assessment was based upon a survey of U.S. federal and state highway officials, an analysis of current U.S. road user charges and a review of the cost allocation literature for the countries which were studied. The primary focus was on the United States. The study documents the large volume of cost allocation activity which has occurred in the United States and summarizes the methodologies, results, and impact of the state and federal studies. It also compares the sources and level of road user charges by state, making comparisons between states which do and do not carry out highway cost allocation studies. These comparisons address fuel taxes, charges levied on heavy trucks, the use of toll facilities and the degree of reliance on dedicated funding. The main finding of the study is that the utility of cost allocation has varied significantly from state to state.