FTA’s Approach to Assessing the Benefits of Transit

1. FTA’s Approach to Assessing the Benefits of Transit System Performance and Major Investments

2. Assessing the Benefits of Transit • System Performance – Program Benefits • Project Evaluations – New Starts

3. Traditional Measures:Internal Economic Performance • Internal service measures • e.g. expense per vehicle revenue mile • Service supply and consumption • e.g. trips per vehicle revenue mile

4. A Policy Function Approach • Complements internal performance measures • Identifies benefits to transit customers -- and community at-large • Highlights public policy functions of transit • Useful at local and national level • Similar to Functional Classification of Highways

5. Transit’s Public Policy Functions Basic Mobility Congestion Management Livable Communities

6. Basic Mobility • Meets needs of transit dependent: • Age • Disability • Income • Common in: • Small urban areas • Rural areas • Low density portions of large urbanized areas

7. Congestion Management • Transit operating on separate right-of-way • Peak period work commutes • Transit investment benefiting all transportation system users

8. Livable Communities • Transit oriented development • Maintains existing infrastructure • Reduces automobile VMT • Reduces household expenditures for automobile ownership and maintenance

9. Transit Performance Monitoring System • Common survey instrument • Test and refine indicator questions • Develop survey methodology • 9 pilot surveys conducted throughout U.S.

10. Trip purpose Transit access and egress mode Number of transfers Frequency of transit use Duration of transit use Auto availability Demographics (age, income, sex) Optional: agency defined questions TPMS Survey Questions

11. Trip Classification • Basic Mobility (59%) • Not auto available for trip • Annual household income < $20,000 • Congestion Management (79%) • Trip purpose = work • Would still make trip if transit unavailable • Livable Communities (54%) • Non-work trip • Annual household income > $20,000 • Some households with income < $20,000

12. TPMS Initial Results • Gender – Women 57% of bus, 52% rail • Age – 60% between 25 and 64 • Household Income – 50% <$20k • Trip Frequency – 70% at least 5 days/week • Years Using Transit – 50% less than 4 years • Trip Purpose – Large Systems – 58% work, Small Systems – 33% work

13. TPMS Initial Results • Auto Availability – Over 1/3 car available, higher in medium and large systems • Access Mode – 2/3 walk, 80% walk in small systems • Trip Alternatives – About ½ by car • People Served – At least 3 people per daily user; More in earlier Life Stages

14. Valuation of Benefits of Transit • Congestion Management - $19 Billion • Net Change in Auto User Costs; Getting Prices Right • Basic Mobility - $23 Billion • Consumer Surplus for Low Income HH’s • Livable Communities - $20 Billion • Reduced Auto Ownership and Operating Costs • Environmental Benefits • Property Values • Compared to Total Public Spending of $20 Billion

15. Project Evaluation: New Starts • $6 Billion Authorized in TEA-21 • Current Status: • 29 Existing FFGA’s • 13 Projects in Final Design • 34 Projects in Preliminary Engineering • FTA Tracking >110 Planning Studies Considering Major Capital Investments • Anticipating 20 PE Requests and 15 Final Design Requests in Next 6 Months

16. FTA New Starts Justification Criteria • Transportation System User Benefits (Cost Effectiveness) • Mobility Improvement • Environmental Benefits • Operating Efficiencies • Existing Land Use, Transit Supportive Land Use Policies, and Future Patterns

17. Transportation System User Benefits • Forecast Change in Incremental Capital and Operating Costs per Incremental Hours of Perceived Travel Time for all Transportation System Users • Replaces New Riders and Measures Benefits for Users Changing Modes as well as Existing Riders and Highway Users • Addresses Congestion Management Function

18. Mobility Improvements • Transportation System User Benefits(Incremental Hours of Perceived Travel Time for all Transportation System Users) • Number of Low-Income Households located within ½ Mile of New Stations • Number of Jobs located within ½ Mile of New Stations • Addresses Basic Mobility Function

19. Environmental Benefits • Forecast Change in Criteria Pollutant and Precursor Emissions and Greenhouse Gas Emissions • Forecast Change in Regional Energy Consumption (expressed in BTU) • EPA Air Quality Designation for Region • Addresses Part of Livable Community Function

20. Operating Efficiencies • The Forecast Change in Operating Cost per Passenger-Mile in the Forecast Year • Reported for Entire Transit System

21. Land Use • Based on Balance Between: • Existing Land Use • Transit Supportive Plans and Policies • Performance and Impacts of Policies • Not Quantitative • Addresses Livable Community Function

22. Overall Justification Rating • Transportation System Benefits and Land Use Get Most Attention • Mobility Improvements Get Second-Most Attention • Environmental Benefits, Operating Efficiencies, and Other Factors as Tie Breakers • Focuses on Public Policy Functions and Their Overall Value

23. FTA Project and Program Evaluation • Based on Broader Conceptualization of Performance: Public Policy Functions • Concepts Used for Assessing: • Benefits of Transit Assistance • New Starts Worthiness