History
The California Department of Transportation (Caltrans) received four grants totaling $6.68 million from the federal Surface Transportation System Funding Alternatives (STSFA) program. STSFA grants were used to expand outreach and education efforts, explore alternative ways to collect revenue at the pump, investigate emerging technologies and explore the viability of the current global positioning system (GPS) technology to determine which roads are public and can be subject to a RUC.
STSFA Awards
| Fiscal Year |
Grant Amount |
Description |
|
2016
|
$750,000
|
Pilot a potential RUC utilizing pay-at-the-pump/charging stations.
|
|
2017
|
$1,750,000
|
Explore mechanisms to collect revenue at pay-at-the-pump/charging stations.
|
|
2018
|
$2,030,000
|
Study emerging technologies including usage-based insurance, transportation network companies and automated vehicles.
|
|
2020
|
$2,150,000
|
Explore the viability of the current global positioning system technology to determine which roads are part of a public network and may be subject to a RUC.
|
Legislative Activity
The California Road Charge Pilot was created in 2014 via SB 1077 (enacted). That law also ordered the California State Transportation Agency (CalSTA) to convene a 15-member Road Charge Technical Advisory Committee (Road Charge TAC). The Road Charge TAC was tasked with studying alternatives to the gas tax, gathering public comments and developing recommendations for a Road Charge Pilot Program that would collect revenues based on miles traveled using mock invoices and payments.
SB 1328 (2018, enacted) extended the Road Charge TAC until Jan. 1, 2023. In 2021, SB 339 (enacted) authorized an RUC pilot that will test revenue collection via a RUC. CalTrans has applied for a federal grant for this pilot. The Road Charge TAC was also extended until Jan. 1, 2027 and directed to make recommendations about the RUC pilot by July 1, 2023 and a final report is due to the legislature by Dec. 31, 2026. According to Caltrans, the “pilot will be an important step to determining a road charge revenue collection system that works within California’s unique financial and administrative structure and offers an opportunity to study the impact of differing RUC rates.”
Project Details
California’s initial pilot was state funded and used mock invoices and payments. A report was published by CalSTA in December 2017. Notable findings in the report included that over 5,000 participating vehicles were sustained over a nine-month period, four third-party vendors were utilized to collect fata and issue mock invoices, six reporting and methods were examined including a no-tech, low-the and high-tech reporting. Heavy commercial vehicles were also included.
Tasks completed using FY 2016 grant funds emphasized expanding education and outreach, developing an organizational structure and compliance program and testing technology solutions to potentially be utilized along with determining their effectiveness. Specific tasks involved informing the public on the current system of generating revenues for transportation projects, as well as how funds are distributed and used. Research was also conducted to identify improvements to the current gas tax revenue model and determine effective enforcement and compliance strategies.
The findings from the California sponsored RUC pilot recommended further research on the impacts of a RUC on disadvantaged communities. Caltrans contracted with the Foundation for California Community Colleges to research potential impacts of a RUC program on low-income individuals. The RUC pilot also gathered information regarding the public’s awareness of transportation funding, perceptions of a RUC and explored potential privacy concerns related to how information may be collected as part of a RUC program. These activities have since been completed.
FY 2017 and 2018 grant funds were combined for California’s demonstration project and pilot testing conducted from January to June 2021. 2020 funds awarded in July 2021 will be used to start the procurement process for a public/private roads pilot to test GPS road identification and focus on impacts to rural and tribal communities. The Public/Private Roads Project will also test using one of California’s existing tolling agencies as a commercial account manager.
Caltrans outlined six goals for its STSFA awards. Two goals address the design, acceptance and implementation of alternative revenue mechanisms, as well as improving the functionality of user-based alternative revenue mechanisms. The third focuses on public outreach and the need for alternative funding sources. Finally, goals four, five and six emphasize recommendations to implement user-based alternative revenue mechanisms, while also minimizing administrative and collection costs.