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Fixing LA's 4 Worst Traffic Bottlenecks Would Yield $26.5B in Benefits

13 April 2000

Fixing Los Angeles's Four Worst Traffic Bottlenecks Would Yield $26.5 Billion in Economic Benefits, Study Finds
             American Highway Users Alliance Documents Savings in
         Personal Time, Commercial Time, Fuel, Safety and Environment


    WASHINGTON, April 13 A report released today by the
American Highway Users Alliance finds that Southland residents and commuters
would reap $26 billion in economic benefits if needed improvements were made
to the four worst traffic bottlenecks in Los Angeles and Orange Counties.
    The four bottlenecks, which are among the 17 worst snarls in the country,
are I-405 (San Diego Freeway) at the I-10 Interchange, US-101 (Ventura
Freeway) at the I-405 Interchange, State Route 55 (Costa Mesa Freeway) at the
State Route 22 Interchange and I-10 (Santa Monica Freeway) at the I-5
Interchange.  Work is currently underway on the State Route 55 (Costa Mesa
Freeway) at State Route 22 Interchange.  Completing improvements to all four
bottlenecks would result in individual savings for commuters using the
bottlenecks of up to $1,127 per year, according to the report.
    At a time when consumers are feeling the pinch of both the April 15 tax
deadline and soaring gas prices, the data from the Highway Users' report shows
the value of investing in improving America's traffic bottlenecks. The study
details the substantial payoff to businesses and consumers from completing
congestion-busting highway projects - not only in gas savings, but in reduced
environmental emissions, fewer traffic accidents, and time savings.
    The report, Saving Time, Saving Money: The Economics of Unclogging
America's Worst Bottlenecks, assesses the economic impact of the impressive
gains from bottleneck improvements identified in Unclogging America's
Arteries: Prescriptions for Healthier Highways, a 1999 report performed by
Cambridge Systematics for the Highway Users.  According to the report, its
data "gives transportation officials, policy makers and the public a clearer
understanding of the significant social and economic rewards to be reaped by
improving traffic flow at key choke points."
    Unclogging America's Arteries identified and analyzed the 166 worst
bottlenecks in America, and included four from the Los Angeles area in its
list of the top 17 bottlenecks in the country.  Saving Time, Saving Money has
taken those findings the next step and assigned monetary values to the time
and fuel savings, safety improvements and environmental benefits.
    "This report shows that these bottlenecks aren't just a nuisance, but a
major drain on the Los Angeles regional economy and the personal productivity
of its citizens," said Bill Fay, Executive Director of the Highway Users.
"With so much to be gained, we need to find a way to streamline the process so
that everyone can begin reaping these benefits."
    The report points out that commuters and citizens nationwide would enjoy
more than $336 billion in economic benefits from improvements to the nation's
worst bottlenecks.  The average commuter traveling through one of these 166
worst bottlenecks twice each workday could expect to save approximately $345
each year in time and fuel alone, if improvements were made.
    "We need to move quickly to fix these bottlenecks," Fay said.  "The
opportunity cost of delays -- in wasted time and fuel, highway accidents, and
tailpipe emissions that could be avoided if improvements were completed now
rather than later -- is staggering."  The report estimates that a three-year
delay in undertaking needed improvements to the 166 bottlenecks yields an
opportunity cost of nearly $30 billion.
    "The good news, however," Fay continued, "is that there's hope for curing
congestion on our highways -- which will save lives, improve the environment
and create more free time to spend with our families and friends."

    Note:  The attached fact sheet provides a breakdown of the savings from
improvements to the Los Angeles traffic bottlenecks. Details on the
methodology for deriving the figures are included in the report, which is
available from the contacts listed on this release, and at http://www.highways.org .

                            LOS ANGELES FACT SHEET

                       From "Saving Time, Saving Money"
                    American Highway Users Alliance Study
                                April 13, 2000

    Bottleneck descriptions at a glance

    I-405, also known as the San Diego Freeway, connects to I-5 both north and
south of Los Angeles and is a major access route for the coastal communities
in the Los Angeles area. I-10 intersects with I-405 only a few miles from its
western terminus in Santa Monica. The California DOT (Caltrans) District 7
estimates that the 11-mile segment of I-405 between I-10 and US-101
experiences congestion for almost five hours every weekday afternoon.
    The most recent federal Transportation Improvement Program from the
Southern California Association of Governments identifies the addition of an
HOV lane in each direction on I-405 on both sides of the interchange.  The
project is expected to start in 2000 and last two years.
    The US-101/I-405 interchange is located in the San Fernando Valley area
north of Beverly Hills. Commuters from the west and north destined for
downtown Los Angeles must pass through this area. Caltrans District 7
estimates traffic is congested in this area for nearly five hours every
weekday afternoon.
    The State Route 55/State Route-22 interchange is located on the border of
the cities of Orange and Santa Ana in Orange County. SR-55 links to SR-91
about five miles north of the interchange; together they represent a major
commuter route from the San Bernardino-Riverside area to the commercial
districts of coastal Orange County. Caltrans District 7 estimates that an
eight-mile segment through the SR-55/SR-22 interchange area is congested for
four and a half hours every weekday afternoon.
    The I-10/I-5 interchange is located on the eastern edge of the City of Los
Angeles in an area where many freeways converge. Dodger Stadium, the
University of Southern California, and the Civic Center are all in close
proximity to the interchange. Caltrans District 7 estimates that traffic is
congested in this area for four hours every weekday afternoon.

    Savings from improvements

    Listed below are the total economic benefits to be derived from
improvements to Los Angeles's four worst bottlenecks.  The economic values
listed for each of the bottlenecks are cumulative over the construction period
and the 20-year useful life of the project. The "individual savings" identify
the amount that a typical commuter traveling through the bottleneck twice each
workday would save in time and fuel.

    I-405 (San Diego Freeway) at the I-10 Interchange

    Personal Time Savings:    $2.8 billion
    Commercial Time Savings:  $1.2 billion
    Fuel Savings:             $430 million
    Safety Savings:           $430 million
    Environmental Savings:    $230 million (greenhouse gases); $350 million
    (air pollution)
    Total Savings:            $5.4 billion
    Individual Savings:       $581/year for a typical commuter

    US-101 (Ventura Freeway) at the I-405 Interchange

    Personal Time Savings:    $3.4 billion
    Commercial Time Savings:  $1.4 billion
    Fuel Savings:             $520 million
    Safety Savings:           $500 million
    Environmental Savings:    $270 million (greenhouse gases); $380 million
                              (air pollution)
    Total Savings:            $6.5 billion
    Individual Savings:       $711/year for a typical commuter

    State Route 55 (Costa Mesa Freeway) at the State Route 22 Interchange

    Personal Time Savings:    $4.6 billion
    Commercial Time Savings:  $1.9 billion
    Fuel Savings:             $700 million
    Safety Savings:           $530 million
    Environmental Savings:    $360 million (greenhouse gases); $540 million
                              (air pollution)
    Total Savings:            $8.6 billion
    Individual Savings:       $1,127/year for a typical commuter

    I-10 (Santa Monica Freeway) at the I-5

    Personal Time Savings:    $3 billion
    Commercial Time Savings:  $1.3 billion
    Fuel Savings:             $460 million
    Safety Savings:           $460 million
    Environmental Savings:    $240 million (greenhouse gases); $330 million
                              (air pollution)
    Total Savings:            $5.8 billion
    Individual Savings:       $570/year for a typical commuter