Barbara W. ReeseBarbara W. ReeseCFO, Virginia Department of TransportationCFO, Virginia Department of Transportation

February 2005February 2005

Dulles Toll Road Rate IncreaseDulles Toll Road Rate Increasein Support of thein Support of the

Dulles Corridor Metrorail ProjectDulles Corridor Metrorail Project

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Dulles Toll RoadDulles Toll Road

•• Built as a toll facility in 1984; 14 miles longBuilt as a toll facility in 1984; 14 miles long

•• 407,500 daily transactions projected for FY 407,500 daily transactions projected for FY 2005 generating $43.6 million in revenue2005 generating $43.6 million in revenue

•• Current tolls have been in place since 1984Current tolls have been in place since 1984

Mainline Plaza = $0.50Mainline Plaza = $0.50 On & Off Ramps = $0.25On & Off Ramps = $0.25Sully Road Ramp = $0.35 at the Dulles GreenwaySully Road Ramp = $0.35 at the Dulles Greenway

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DTR AuthorityDTR Authority

•• 9(c) debt 9(c) debt –– toll revenues pay for debt service toll revenues pay for debt service after operation and maintenance of the after operation and maintenance of the facility; backed by full faith & credit of the facility; backed by full faith & credit of the CommonwealthCommonwealth

•• Toll rate setting is a fiduciary Toll rate setting is a fiduciary responsibility of of the Boardthe Board

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DTR Authority, DTR Authority, cont’dcont’d

•• 1989, 1990, and 1995 Acts of Assembly 1989, 1990, and 1995 Acts of Assembly declare that the Commonwealth declare that the Commonwealth Transportation Board may provide for multiTransportation Board may provide for multi--modal transportation improvements in the modal transportation improvements in the Dulles CorridorDulles Corridor

•• The Acts of Assembly also authorize the The Acts of Assembly also authorize the Board to fix, revise, charge, and collect tolls Board to fix, revise, charge, and collect tolls for the use of the Dulles Toll Road andfor the use of the Dulles Toll Road and

Declares that the tolls can also fund Declares that the tolls can also fund additional transportation improvements in additional transportation improvements in the Corridorthe Corridor

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DTR Authority, DTR Authority, cont’dcont’d

•• 2004 General Assembly authorized $145 2004 General Assembly authorized $145 million in debt (federal TIFIA program) to pay million in debt (federal TIFIA program) to pay a portion of the costs for mass transit in the a portion of the costs for mass transit in the Corridor with tolls repaying the debtCorridor with tolls repaying the debt

•• Since 1992, the CTB has provided up to 85% Since 1992, the CTB has provided up to 85% of excess revenue for mass transit in the of excess revenue for mass transit in the Corridor, including the Dulles Metrorail Corridor, including the Dulles Metrorail projectproject

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DTR Toll Increase AnalysisDTR Toll Increase Analysis

• Financing the Commonwealth’s share of the Dulles Metrorail Project

– Investment Grade Traffic And Revenue Study performed by Wilbur Smith Associates on behalf of the CTB required for TIFIA loan approval by USDOT

– The Study is an estimate of traffic volumes, diversions and growth in the Corridor - any deviation from the study’s results can affect actual revenues resulting from the increase

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Dulles Toll RoadDulles Toll RoadToll Increase Analysis, Toll Increase Analysis, cont’dcont’d

•• 6 Toll Rate Structures Evaluated6 Toll Rate Structures Evaluated

–– Optimal toll option Optimal toll option –– the rate structure that the rate structure that will provide the most revenuewill provide the most revenue

–– Smart Tag/EZSmart Tag/EZ--Pass incentivesPass incentives

–– Peak period adjustable ratesPeak period adjustable rates

–– West of West of Wiehle Wiehle Avenue (Phase 2)Avenue (Phase 2)

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•• Optimal Toll RateOptimal Toll RateHigh rate of diversion; from 50¢ to $1.50

•• Smart Tag/EZSmart Tag/EZ--Pass Incentive RatesPass Incentive RatesInsufficient revenue; from from 50¢ to 75¢ for Smart Tag but 50¢ to $1.00 for others

•• Wiehle Avenue OptionWiehle Avenue OptionRamps increase west of Wiehle after Phase 2 begins; insufficient revenue; high congestion in Reston

•• Peak Period RatesPeak Period RatesHigh rate of diversion; from 50¢ to $1.50 during peak periods

Dulles Toll RoadDulles Toll RoadToll Increase Analysis, Toll Increase Analysis, cont’dcont’d

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•• Recommended Option Recommended Option –– 5050¢¢ to 75to 75¢¢ at main lineat main line–– All ramps to 50All ramps to 50¢¢

•• Diverts least traffic of all optionsDiverts least traffic of all options

•• Provides 100 percent financing of Provides 100 percent financing of Commonwealth’s share of Phase 1 when Commonwealth’s share of Phase 1 when combined with other already available combined with other already available Commonwealth funding Commonwealth funding

Dulles Toll RoadDulles Toll RoadToll Increase RecommendationToll Increase Recommendation

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Dulles Corridor Metrorail ProjectDulles Corridor Metrorail Project(in millions)(in millions)

Commonwealth Phase 1 ShareCommonwealth Phase 1 Share $380.4$380.4VTA 2000 For Phase 1 VTA 2000 For Phase 1 (52.4)(52.4)TIFIA ProceedsTIFIA Proceeds (145.0)(145.0)Prior Year DTR Revenue Prior Year DTR Revenue (85%) (85%) (11.1)TIFIA Debt Service Payments TIFIA Debt Service Payments (Thru FY 15)(Thru FY 15) 95.595.5

Phase 1 NeedPhase 1 Need $267.4$267.4Current Excess DTR Revenue Current Excess DTR Revenue (Thru FY 15)(Thru FY 15) ((155.6)155.6)

Remaining Phase 1 Need Remaining Phase 1 Need $111.8$111.8Excess Revenue From 25 Excess Revenue From 25 ¢¢ Increase Increase (Thru FY 15) (Thru FY 15) (254.1)(254.1)Excess Available for Phase 2 Excess Available for Phase 2 (Thru FY 15) (Thru FY 15) ((142.3)142.3)VTA 2000 For Phase 2VTA 2000 For Phase 2 (22.6)(22.6)

Total Available for Phase 2 (Thru FY 15)Total Available for Phase 2 (Thru FY 15) $164.9$164.9

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Dulles Toll Road Rates Dulles Toll Road Rates Compared to Other Toll FacilitiesCompared to Other Toll Facilities

LengthLength One Way TollOne Way Toll Rate Per MileRate Per MileDulles Toll RoadDulles Toll Road -- CurrentCurrent 14.0 Miles14.0 Miles $ 0.85$ 0.85 $0.06$0.06Dulles Toll RoadDulles Toll Road -- ProposedProposed 14.0 Miles14.0 Miles $ 1.25$ 1.25 $0.09$0.09Dulles GreenwayDulles Greenway 14.0 Miles14.0 Miles $ 2.03*$ 2.03* $0.15$0.15George P. Coleman BridgeGeorge P. Coleman Bridge 1.5 Miles1.5 Miles $ 0.25 $0.17$ 0.25 $0.17Powhite ParkwayPowhite Parkway 3.6 Miles3.6 Miles $ 0.50$ 0.50 $0.14$0.14Powhite Parkway ExtensionPowhite Parkway Extension 10.3 Miles10.3 Miles $ 0.75$ 0.75 $0.07$0.07Downtown ExpresswayDowntown Expressway 2.3 Miles2.3 Miles $ 0.50$ 0.50 $0.22$0.22Pocahontas ParkwayPocahontas Parkway 9.0 Miles9.0 Miles $ 2.00$ 2.00 $0.22$0.22Boulevard BridgeBoulevard Bridge 0.5 Miles0.5 Miles $ 0.25$ 0.25 $0.50$0.50Chesapeake Bay BTChesapeake Bay BT 17.6 Miles17.6 Miles $12.00$12.00 $0.68$0.68Chesapeake ExpresswayChesapeake Expressway 16.0 Miles16.0 Miles $ 2.00$ 2.00 $0.13$0.13National AverageNational Average $0.23$0.23* * -- Dulles Greenway Mainline Variable Toll ranges from $2.00 to $2.Dulles Greenway Mainline Variable Toll ranges from $2.00 to $2.45, average is $2.0345, average is $2.03

Barbara W. ReeseBarbara W. ReeseCFO, Virginia Department of TransportationCFO, Virginia Department of Transportation

February 2005February 2005

Dulles Toll Road Toll IncreaseDulles Toll Road Toll Increasein Support of thein Support of the

Dulles Corridor Metrorail ProjectDulles Corridor Metrorail Project