Anthony M. Rufolo

MEASURING THE IMPACT OF LIGHT RAIL SYSTEMS ON SINGLE-FAMILY HOME VALUES: A HEDONIC APPROACH WITH GEOGRAPHIC INFORMATION SYSTEM APPLICATION

In theory, proximity to light rail transit (LRT) may have two different effects on residential property values. On the one hand, accessibility (proximity to LRT stations) may increase property values. On the other hand, nuisance effects (proximity to the LRT line and stations) may decrease property values. Existing empirical studies are inconclusive, and failure to separate the effects of accessibility from the nuisance effects may explain some of the ambiguity. An examination is presented of the impact of the light rail system (MAX) in Portland, Oregon, on single-family home values using distance to rail stations as a proxy for accessibility and distance to the line itself as a proxy for nuisance effects. Geographic information system techniques are employed to create spatial-related variables and merge data from various sources. The study results confirm the hypothesis that the light rail has both a positive effect (accessibility effect) and a negative effect (nuisance effect) on single-family home values. The positive effect dominates the negative effect, which implies a declining price gradient as one moves away from LRT stations for several hundred meters. Without controlling for the nuisance effect of the distance to the rail line, the estimated coefficients on distance from stations appear to be biased and would underestimate the accessibility effect. The finding of an independent nuisance effect suggests that previous hedonic models may have reached contradictory results because the nuisance effect differs with different types of rail or other local characteristics.

Responses to Oregon's Experiment in Road Pricing

The Oregon Department of Transportation tested a system to collect a vehicle-based mileage fee as a replacement for the Oregon gas tax. Devices based on the Global Positioning System were installed on participating vehicles to determine the location and time of vehicle travel. The only information collected was vehicle mileage by location and time category. Midway through the study, vehicles were assigned to one of three groups: control, vehicle miles traveled (VMT), and peak hour. The VMT group was charged a flat fee per mile traveled that approximated the amount of the state gas tax then paid by the average vehicle and was given a credit for the amount of gas tax included in the purchase. The peak hour group was charged a higher mileage fee during peak periods and given a discount on the mileage fee outside the peak times or peak zones. The control group continued to pay the price, including gas tax at the pump, as before. The VMT group showed a reduction in total mileage relative to the control group, and survey responses indicated that people did change their behavior even though there was little price differential. However, this change might have developed because of being in an experiment. The peak hour group showed about a 20% reduction in travel during peak periods relative to the VMT group. This reduction appeared to be due to the pricing system, because factors other than the congestion price differential were likely to affect each group similarly.

The regulation of immobile housing assets under divided ownership1

Abstract The paper analyses a particular type of housing arrangement between owner of a housing unit and owner of the land on which it is sited, where the unit is partially or totally immobile. While the focus is on mobile-home parks, the analysis is also applicable to certain condominium and cooperative housing. After exploring reasons for divided asset ownership, the possibility that divided ownership of immobile housing assets can lead to opportunistic behavior in the form of rent increases and even “gouging” is discussed. Rent control and its effects are examined with emphasis on the resulting wealth transfer from landlord to tenant and the reduction in the number of new parks. Results from an empirical analysis of both issues are presented. While there is strong evidence of a wealth transfer to tenants after rent control enactment, it is not clear whether these gains are offset by losses occurred by tenants prior to enactment.

Transit's Effect on Mileage Responses to Oregon's Experiment in Road Pricing

The Oregon Department of Transportation tested a system to collect a vehicle-based mileage fee as a replacement for the Oregon gas tax. Preliminary analysis of the results for that experiment found that access to transit affected peoples response to pricing. However, the measure used was a self-reported estimate of distance to “the nearest bus or rail stop that could take you places you want to go.” Since this is not a commonly defined measure, household addresses were used to identify actual distance to transit services in relation to various measures of transit service available. The measures of transit service available were not found to affect peoples response to the mileage charges, but actual distance either to any transit or to frequent transit service did have a statistically significant effect on the changes in peak-hour miles in response to the prices. There was also an effect on changes in total miles driven, but it was not statistically significant.

TECHNOLOGY CONSIDERATIONS FOR THE IMPLEMENTATION OF A STATEWIDE ROAD USER FEE SYSTEM

This paper presents alternative technologies and business options for the collection of road user fees. Thus it considers the pros and cons of different road pricing systems, made available by different ITS technologies applications, and derives recommendations. To do so it bases its results on data available from relevant applications in the state of Oregon in the US, which however represent typical ITS toll applications, thus leading to generic conclusions.

Cost Estimates for Collecting Fees for Vehicle Miles Traveled

Interest in collecting mileage fees for road usage is growing. However, the cost of collecting fuel taxes is relatively low, while the cost of collecting mileage fees appears to be quite high. There is relatively little actual experience with mileage systems, but information related to the cost of systems for heavy vehicles, experimental systems, and a proposed Dutch system provides a starting point for identifying the key cost components. This paper summarizes cost information from a variety of sources and identifies key areas for cost comparison.

Residence laws and unionization in municipal labor markets: The case of firefighters

An estimate is made of the impact of residence laws and unionization on compensation (wages plus major fringe benefits) as well as on employment of municipal firefighters. In addition, hypotheses about the manner in which residence laws exert these effects are econometrically tested using data obtained by surveying the mayors of 560 municipalities. The standard view — that is, that residence laws restrict labor supply — is not supported by the empirical evidence. Rather, the data are consistent with the hypothesis that residence laws affect compensation by altering the bargaining environment; for example, effects of unions are weaker when there are residence laws.

Geographic Information System Methodology for Assessing Growth Effects of Highway Improvements

A methodology is presented to assess the induced land use effects of state highway improvements on urban development patterns. The methodology is applied to the case study city of Hillsboro, Oregon, and illustrates a framework for data management and analysis. Temporal land use characteristics and spatial measures are used as predictors of urban development activities resulting from highway accessibility improvements. A logit regression analysis tests the significance of these variables in predicting the locations of urban development over time. The primary objective of this research is to identify the relationship between capacity-increasing highway improvements and changes in urban development. The analysis provides quantifiable indicators that describe the urban development trends associated with the city of Hillsboro.

EFFECT OF OREGON'S AXLE-WEIGHT-DISTANCE TAX INCENTIVE

Oregon’s weight-mile tax was amended in 1990 to provide for a lower tax rate for trucks weighing more than 36 320 kg (80,000 lb) to which axles were added. The additional axles within a weight class reduce the amount of road damage. The tax break was largely based on equity considerations, since trucks within a weight class tend to do less road damage if they have more axles. However, the tax reductions also created an economic incentive to add axles and thus reduce road damage. Whether the tax break actually led to an increase in the number of axles within weight classes and a reduction in the amount of road damage is investigated. Statistical data indicate that a small increase occurred in the number of axles in most weight classes and a large increase occurred in mileage by the heaviest trucks with the most axles. These increases reduced the damage per ton shipped on trucks subject to the axle incentive, but to determine if this was due to the weight-mile tax is not possible. A series of structured interviews supplemented the statistical analysis and indicates that the tax incentive is not a major determinant of truck configuration. One reason for this is that regulatory constraints, particularly weight limits, limit the effectiveness of the tax incentives.

Effects of prevailing wage laws on municipal government wages

Abstract A number of authors have suggested that prevailing wage laws tend to raise the wages of covered employees. Yet, no one has previously tested this hypothesis directly. In OLS regressions the prevailing wage law is found to have a negative effect that is not statistically significant. In a two-stage procedure the effect is found to be positive and statistically significant in the preferred formulation. Further tests provide additional evidence that the existence of prevailing wage laws is responsive to economic conditions.