On the Move:Cashless All-Electronic Tolling in the U.S.

Mark ComptonPresident, International Bridge, Tunnel and Turnpike AssociationCEO, Pennsylvania Turnpike Commission

November 10, 2021

The International Bridge, Tunnel and Turnpike Association (IBTTA) is the worldwide association for the owners and operators of toll facilities and the businesses that serve tolling. Founded in 1932, IBTTA has members in more than 20 countries on six continents.

The Worldwide Tolling Industry

Tolling in the United States Toll Operators = 130Toll Facilities = 354Centerline Miles = 6,400

• Tolling in 34 States• Annual US Toll

Revenue > $22B

Since 2010, 97% of new toll facilities in the U.S. were built as cashless systems.

Nearly 6 out of every 10 U.S. toll facilities are operated without a cash payment option.

55% of all tolled centerline miles in the U.S. are now cashless.

U.S. Cashless Tolling Implementation Trends

Tolling brings benefits to transport systems and recognized value for road users. Cashless tolling amplifies these benefits. • Technology• Innovation• Emissions Reduction• Convenience• Customer Service• Reliability• Safety• User-based finance/funding• State of Good Repair

Crash Type Hybrid AET Conversions

Full AET Conversions

Fatalities & Injuries - 46% - 76%

Property Damage Only - 54% - 67%

Rear-End Collisions - 65% - 81%

Lane Change/Side-Swipes - 55% - 75 %

Total Crash Reduction - 47% - 77%

All-Electronic Tolling (AET) Technologies Advance SafetyElectronic tolling designs that introduce free-flow highway speed tolls or eliminate cash payment options entirely have proven safety benefits.

Crash Reductions from AET Conversions

A University of Central Florida study showed a reduction in total crashes of 47% in hybrid AET conversions and 77% in full AET conversions .

Source: “Safety Evaluation of All-Electronic Tolling Systems”Muamer Abuzwidah & Mohamed Abdel-AtyUniversity of Central Florida, TRB 2015

Pandemic Response: Contactless Toll CollectionSuspension of Cash Toll Collectiono Contactless toll collection without casho Use of Violations Enforcement Systems &

workflows to bill motoristsClosure of Electronic Toll Account Walk-In Centers o Mobile apps for payments & account mgmt. o Web site & phone system designs for more self-

service o Expanded payment options at retail locations

Closure Electronic Tolling Call Centerso Mobile equipment & interfaces to work from

homeo CSR systems and security o Added technical support, troubleshooting, and

training

Opportunities to Accelerate Cashless Tolling

Agencies with advanced planning and design for AET conversions were able to accelerate permanent cashless toll operations.

Operators with less advanced plans and designs for system conversions tended to resume cash collections after some time.o Systems and business process capabilities

were stretchedo Revenue recovery suffered

Sources of Toll Revenue Leakage and Solutions • Equipment maintenance & tuning• System diagnostics• Low light illuminators• OCR engine improvements• Manual image reviews • New license plate designs

Technical Leakage: unavailable transactions due to missing or unreadable images because of system issues (e.g., camera performance, equipment failures, system downtime) or customer behavior (e.g., obscured license plates).

• 3rd-party contracts for expanded out-of-state access

• Creative/iterative business process for better DMV success rates

• NCOA data & address skip tracing

Business Leakage: unbillable transactions because of failures in identifying a vehicle owner, such as deficient DMV information, undeliverable addresses, etc.

• Billing processes• Payment channels• Pricing incentives• Effective enforcement and

adjudication

Default Leakage: vehicle owners that are correctly noticed for tolls owed, but simply do not make payment.

IBTTA’s Lost Revenue Task ForceA 2021 Presidential initiative created a Lost Revenue Task Force comprised of industry leaders to:• identify impacts of lost revenue• assess industry best practices• highlight potential improvements in

toll revenue collection and prevention of revenue loss.

Objectives:• Strengthen the ability to correctly identify and bill customers• Improve billing processes to encourage customers to pay on time• Explore the role of enforcement practices on payment rates• Leverage existing collections contract terms and completed studies

Right s ize customer connected licenseplate -based products

• Registered/prepaid/pay-as -you-go license plate -based products

• Mobile apps• Cash payment network locations

Maximize highest guarantee, lowest loss/cost products

• Transponders / OBUs

Minimize post-paid invoicing of customers without a connection

Eliminate or minimizelosses / leakage

Addressing Toll Revenue Leakage

• Toll pricing differentials (transponder vs. pay-by-plate)

• Early invoice payment incentives

• Collection agency contracts• License / vehicle registration

suspension• Enforcement / Court Action

Thank You

Mark ComptonCEO, Pennsylvania Turnpike CommissionPresident, International Bridge, Tunnel & Turnpike Association