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Oregon Department of Transportation

Oregon Department of Transportation. Road Usage Charging Pilot Program . EV Stakeholder Meeting May 11, 2012 James Whitty, Manager Office of Innovative Partnerships and Alternative Funding. 1. Oregon Department of Transportation. No Technology Push Integrate with Technology Markets

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Oregon Department of Transportation

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  1. Oregon Department of Transportation Road Usage Charging Pilot Program EV Stakeholder MeetingMay 11, 2012 James Whitty, Manager Office of Innovative Partnershipsand Alternative Funding 1

  2. Oregon Department of Transportation No Technology Push Integrate with Technology Markets An Open System Motorist Choice Public Private Partnerships New Vision Build Road User Charging System Upon Political and Economic Realities 2

  3. 2012Road Usage Charge Pilot Program • Demonstrate a rudimentary open system • Employ multiple vendors to provide commercially available technologies andtax processing functions • 40 to 50 Volunteer Participants from Oregon • From ODOT, Oregon Transportation Commission, Road User Fee Task Force, Oregon Legislature • Pay 1.56 cents per mile in lieu of fuel tax • Nevada and Washington state to join 3

  4. Road Charge Processing Subsystem Mileage Collection Subsystem Undifferentiated Certified Service Provider Basic OBU Transaction Processor Location Based Account Management Factory Installed Advanced OBU Mileage Tax Accounting Subsystem Basic OBU with Wireless Connection to Mobile Computing Device ODOT Transaction Processor Account Management After Market Advanced OBU 4

  5. Issue 1 Who are the Responsible Persons (e.g. those who pay the mileage tax)? • Vehicles other than EVs and PHEVs should be added to those responsible for paying the mileage tax • Non-resident motorists should pay the mileage tax • Perhaps add volunteer ICE vehicles to the new system 5

  6. Issue 2 What should be the operative date? • What mechanisms can be used to protect the EV market in the early adoption stages? • The start date should depend on market penetration levels (perhaps 1%). How can this be recognized as having been reached? 6

  7. Issue 3 What should be the rate level and structure for the mileage tax? • A rate of 1.56 cents per mile is too high; the rate should be set at the equivalent level that the most fuel efficient HEV pays in gas tax. • The rate should be structured to incent adoption of EVs or, alternatively, act as a disincentive to the internal combustion engine. Should there be multiple tiers to reflect efficiencies? 7

  8. Issue 3 (cont’d) What should be the rate level and structure for the mileage tax? • The rate should be variable for EVs, based on size and weight. ODOT should add a separate database for the purpose of differentiating weight by vehicle and then applying an escalating rate structure for light vehicles based on weight • The rates should be phased in based on market penetration. 8

  9. Issue 3 (cont’d) What should be the rate level and structure for the mileage tax? • Query: should the flat fee alternative be an average rate or a high rate based on unlimited miles? • Uncertain about whether EVs should start with a transitional rate leading to a full rate. • Oregon’s cost responsibility policy should be adjusted to account for externalities 9

  10. Issue 4 What are the methods of compliance? • The mileage tax reporting and payment requirements should not be too frequent. • There should be an express definition of the methods for reporting miles driven. • Will the system make a push to use of technology to report mileage? 10

  11. Issue 4 (cont’d) What are the methods of compliance? • Motorists should have a non-OBU based method of self-reporting mileage. • What will be the expense for electronic reporting via the odometer? • What will be the inconvenience of electronic reporting via the odometer? 11

  12. Issue 4 (cont’d) What are the methods of compliance? • What will be the expense for electronic reporting via vehicle location device (e.g. GPS)? • What will be the inconvenience of electronic reporting via vehicle location device (e.g. GPS)? 12

  13. Issue 5 What are appropriate penalties? • Penalties should not be too severe; need review of tampering and false reporting penalties 13

  14. Issue 6 How should private information be protected? 14

  15. Issue 7 How difficult will it be to obtain a refund or offset for mileage driven on private property or out-of-state? 15

  16. Issue 8 How will new system revenues be allocated? • Revenues generated from EVs should benefit areas where they are driven. 16

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