00816506

Component

https://doi.org/10.3141/1747-01

http://scholar.google.com...mens&publication_year=2001

Government agencies and private-sector corporations tend to approach financial reporting in different ways. Presentation of government-agency financial information by corporate-style reporting could accomplish two specific goals. First, it might provide a more economically sound picture of the financial status of governmental undertakings. Second, this approach may allow a better comparison of the net profit and return on investment that is generated from the state highway system and the true value of the highways to be made. The results of an analysis showed that Arizona's sate highways are at best a "breakeven" proposition that does not allow for traffic growth or other contingencies. The amount that is charged to the users of the state highways is approximately 2.5 cents/vehicle-km (4 cents/vehicle-mi), whereas the estimated minimum value of the combined vehicle-highway system to its users is in excess of 18.6 cents/vehicle-km (30 cents/vehicle-mi). This implies that fees could be increased to allow the state highway system to generate an appropriate return on investment without significantly depressing usage. The current system of pricing of highway resources is inefficient and may not generate monies sufficient to replace deteriorating roadways and to build additional capacity as demand increases. Implementation of a differential pricing strategy (for example, electronic tolling) would provide a more economic and socially efficient and equitable way to charge for transportation services. A corporate-style analysis allows an efficient price for these services to be determined, and electronic tolling provides an efficient method of collection of these revenues.

This paper appears in Transportation Research Record No. 1747, Transportation and Public Policy 2001.

English

p. 3-11

2001

Transportation Research Record

0309072069

Figures (1) ; References (11) ; Tables (1)

Automated toll collection; Financial analysis; Pricing; Profits; Return on investment; State highways; User charges; Valuation

Arizona

Finance; Highways; I10: Economics and Administration

TRIS, TRB, ATRI

Sep 25 2001 12:00AM

• APPLYING GOVERNMENTAL ACCOUNTING STANDARDS BOARD STATEMENT 34: LESSONS FROM THE FIELD
• ASSESSING ECONOMIC BENEFITS FROM IMPLEMENTATION OF NEW PAVEMENT CONSTRUCTION METHODS
• CREATING A NEW CENTURY OF TRANSIT OPPORTUNITY: STRATEGIC PLANNING FOR TRANSIT
• EFFICIENCY GAINS FROM VALUE PRICING: CASE STUDY OF SUNOL GRADE
• EMPIRICAL EXAMINATION OF RELATIONSHIP BETWEEN FIRM LOCATION AND TRANSPORTATION FACILITIES
• FINANCES OF COMMERCIALIZED URBAN ROAD NETWORK SUBJECT TO CONGESTION PRICING
• IMPACT OF VARIABLE PRICING ON TEMPORAL DISTRIBUTION OF TRAVEL DEMAND
• LIGHT RAIL PROXIMITY: BENEFIT OR DETRIMENT IN THE CASE OF SANTA CLARA COUNTY, CALIFORNIA?
• METHODOLOGY TO DETERMINE LOAD- AND NON-LOAD-RELATED SHARES OF HIGHWAY PAVEMENT REHABILITATION EXPENDITURES
• PRODUCTIVITY BENEFITS AND COST EFFICIENCIES FROM INTELLIGENT TRANSPORTATION SYSTEM APPLICATIONS TO PUBLIC TRANSIT: EVALUATION OF ADVANCED VEHICLE LOCATION
• REGIONAL STRATEGIES FOR THE SUSTAINABLE INTERMODAL TRANSPORTATION ENTERPRISE: FIVE YEARS OF RESEARCH
• ROAD FINANCING AND MANAGEMENT IN THE BALTIC STATES
• RURAL INLAND WATERWAYS ECONOMIC IMPACT KIT: A SYNOPSIS
• STATIC VERSUS DEMAND-SENSITIVE MODELS AND ESTIMATION OF SECOND-BEST CORDON TOLLS: AN EXERCISE FOR EIGHT ENGLISH TOWNS