|
NTTA Approves Toll Rate Increase Effective Sept. 1 To maintain a financially viable system and the delivery of regional transportation projects during turbulent economic times, the North Texas Tollway Authority’s (NTTA) Board of Directors voted 8-1 to adjust its toll policy to mirror the Regional Transportation Council’s toll policy. The changes include a rate increase of three-and-a-half cents per mile on the Dallas North Tollway (DNT) and President George Bush Turnpike (PGBT) and the adoption of a more equitable distance-based tolling structure. The new toll policy also establishes a 50 percent price differential that motorists without a TollTag will pay. Adjustments to the tolling policy go into effect on Sept. 1 – three months ahead of a scheduled, previously announced toll increase.
“The board’s decision to raise rates was made after several months of careful consideration and deliberation. As board members, it is our duty to maintain a financially viable system so that we can continue to deliver critical mobility projects to the North Texas region,” said NTTA Chairman Paul N. Wageman. “We understand that drivers have a choice when they travel. NTTA’s high quality roads save our drivers time and provide a superior customer service experience. We sincerely hope our customers will continue to use our roads.”
The action aligns rates on the DNT and PGBT with the rates on the Sam Rayburn Tollway (SRT) and the regional toll rate of 14.5 cents per mile adopted by the Regional Transportation Council in April 2006. TollTag rates will remain at 50 cents on the Mountain Creek Lake Bridge and Addison Airport Toll Tunnel. The rate on Lewisville Lake Toll Bridge, scheduled to open in August 2009, will remain at $1. After Sept. 1, 2009, the adjusted toll rates will be increased bi-annually in July at a compounded annual rate of 2.75 percent. The rates on the PGBT Eastern Extension will increase at a rate equal to 3 percent per annum as required in the project agreement with the Texas Department of Transportation. An amendment to the SRT project agreement was recommended to provide for toll rate increases at a fixed annual rate of 2.75 percent.
“ZipCash customers, who now pay 50 percent more than TollTag customers, are encouraged to get a TollTag. It will save them money and they won’t have to worry about paying invoices,” said NTTA Executive Director Allen Clemson.
Janice Davis, NTTA’s chief financial officer, briefed the NTTA’s Board members that 2009 revenues are below projections developed two years ago when the economy was more robust. New revenue projections reflect the traffic decline as well as lower than anticipated TollTag usage and reduced collection from ZipCash. Last December, Davis implemented quarterly traffic and revenue updates along with annual investment grade traffic and revenue projections to replace previous bi-annual reports.
Davis also said the rate increase will help protect NTTA’s credit rating, ultimately maintaining NTTA’s access to low cost borrowing. “In these challenging times, the rating agencies want to know that the NTTA Board is committed to maintaining the Authority’s financial strength,” Davis said. “NTTA has already imposed cost-cutting moves, and the only other way to further increase financial capacity is through a toll rate increase.”
|