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A methodology to estimate the revenue anticipated from State-level alternative financing approaches in the US

Michael Plotnikov and John Collura

Transportation Planning and Technology, 2016, vol. 39, issue 3, 239-253

Abstract: A major issue that State Departments of Transportation (DOTs) in the US face relates to financing future transportation investments. Questions of interest to State DOT officials relate to the suitability and revenue potential of alternative financing approaches. This paper presents a methodology to estimate the potential levels of revenue associated with the use of selected combinations of financing approaches and to assess the adequacy of these revenues vis-a-vis various levels of investments being considered by decision-makers. The methodology is designed to accommodate a wide array of inputs such as major policy objectives and initial assumptions that may vary significantly from State to State in order to provide a greater flexibility of implementation. The application of this methodology is demonstrated with an illustrative example for Massachusetts. This paper should be of interest to State DOTs seeking an acceptable combination of financing approaches to support future transportation investments.

Date: 2016
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DOI: 10.1080/03081060.2016.1142221

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