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                                                                                 September 2015



America's Transportation Challenges:


Proposals for Reform


By R. Richard Geddes


Politicians and civil engineers alike often refer toAmericas immense surface transportation system as our nation's
crumbling infrastructure. Major segments of the system are in need of renovation, and its problems are exacer-
bated by deferred maintenance and unstable, inadequate revenue sources. New approaches tofunding,financing,
operating, and maintaining the US transportation system are necessary. Policymakers should adhere to three main
principles: infrastructure should be paidfor by those who use it, ideally through user fees; public-private partner-
ships should be used to streamline financing, operations, and maintenance; and public policy should complement
emerging transportation technologies, especially those related to vehicle autonomy.


merica's surface transportation system is com-
     osed of a vast array of interstate highways, state
roads, local streets, bridges, overpasses, and tun-
nels. The 46,876 miles of interstate highways in the
United States contain 55,512 bridges and 82 tunnels,
and the National Highway System includes an addi-
tional 117,000 miles of major roads (US Department
of Transportation, Eisenhower). The overall road
system covers more than 4 million miles of state roads
and millions of miles of local streets. Those facili-
ties together constitute a crucial public asset-vitally
important for the movement of both people and
goods-valued at almost $3 trillion in 2009 dollars (US
Department of Commerce).

Americans traveled almost 3 trillion miles on US roads
in 2011, which was nearly double the amount traveled
in 1980 (US Department of Transportation, New
FHWA Report). They also spend almost 175 billion
hours in transit each year, valued at some $760 billion
in 2007 dollars (Winston 2013).

Unfortunately, America's transportation system
is dogged by an array of problems that hinder its


performance. Traffic congestion is a mounting concern,
particularly in urban areas. In 2014, congestion wasted
6.9 billion hours of motorists' travel time and almost
3.1 billion gallons of fuel (Schrank, Eisele, Lomax, and
Bak 2014). Moreover, congestion's overall social costs
are growing rapidly over time. The congestion invoice
in the United States for added fuel and time costs grew
from $42 billion in 1982 to about $160 billion in 2014
(in 20 14 dollars)-almost a three-fold increase-An the
471 urban areas studied by the Texas Transportation
Institute (Schrank, Eisele, Lomax, and Bak 2014).

Furthermore, the revenue sources available to operate,
maintain, and-where necessary-expand the road
network are often unstable and inadequate. Large seg-
ments of the system are well past their original design
lives and in need of major renovation. Deferred main-
tenance of roads, bridges, and tunnels in the United
States is endemic and growing, and its long-term social
costs are high. New approaches to funding, financing,
operating, and maintaining the US transportation
system are necessary. Policies that were crucial to the
construction of a new, far-flung transportation network
are inadequate for the maintenance and improvement


AMERICAN ENTERPRISE INSTITUTE

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