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Transportation Policy and
Performance:The challenges and opportunities of
performance-based programs
Deputy Administrator Therese McMillanFederal Transit Administration
March 1, 2010
Next Authorization: Why Measuring Performance Will Be Key
• Demonstrate accountability
• Measure progress
• Respond to flexible, multiple mode funding environment
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Measuring Performance Requires Answering Key Questions
• How many measures?
• Quantitative or qualitative?
• Outcomes and/or outputs?
• Fixed threshold or directional?
• Incentives or penalties?
A Single Measure Does Not Capture The Whole Story
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Summary Rating
Project Justification Rating
Financial Rating
Non-Section5309 Share
(20%)
Capital Finances
(50%)
Operating Finances
(30%)
Other Factors
Mobility Improvements
(20%)
Environmental Benefits
(10%)
Operating Efficiencies
(10%)
Cost Effectiveness
(20%)
Land Use
(20%)
Economic Development
(20%)X X X X X
X_
100 %
Former New Starts Funding Decision Rule
The Multiple Measure Approach Provides a More Robust Assessment
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Summary Rating
Project Justification Rating
Financial Rating
Non-Section5309 Share
(20%)
Capital Finances
(50%)
Operating Finances
(30%)
Other Factors
Mobility Improvements
(20%)
Environmental Benefits
(10%)
Operating Efficiencies
(10%)
Cost Effectiveness
(20%)
Land Use
(20%)
Economic Development
(20%)
Current New Starts Funding Decision Rule
Example: FTA’s “STIC” Program is Based on Performance
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Each factor plays into how much funding a transit agency receives.
Example: US DOT TIGER Grants
• Projects selected based upon long-term outcomes State of Good Repair
Economic Competitiveness
Livability
Sustainability
Safety
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Sustainable Communities Partnership: Potential Ideas
Goal: Transportation Choices
Increase in transit, walk, bike share of trips
Change in vehicle miles traveled per capita
Percent of new homes built within a ½ mile of high capacity transit service
Goal: Economic Competitiveness
Percent of employment within a ¼ mile of high capacity transit services
Increase in residential units within or close to major employment centers
Goal: Equitable Affordable Housing
Increased supply of affordable homes and rental units within a ½ mile of high capacity transit service
Decrease in household transportation costs
Percent of low income households within a 30 minute transit commute of major employment centers
Goal: Support Existing Communities
Share of new residential and commercial construction on previously developed parcels
Decrease in impervious surface per capita
Goal: Leverage Federal Investment
Shared elements in regional transportation, housing, water, and air quality plans tied to local comprehensive land use or capital improvement plans
Dollars of private sector investment within 1/2 mile of high capacity transit
Goal: Value Communities
Decrease in transportation-related CO2, PM NOx VOC emissions per capita
Increase in acres of public recreation and park land per capita
Sustainable Communities Measures Highlights Data Challenges
• Does the data currently exist?
• What is the quality and reliability?
• Who collects and through what mechanism?
• How much burden is data collection?
• Are there unintended consequences?
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