California has set ambitious climate goals that can only be met by supplementing the state’s efforts to electrify vehicle trips with local programs to reduce vehicle miles traveled (VMT) and congestion. Implementing VMT reduction programs is central to Executive Order 19-19, which requires alignment between transportation investments and state goals on GHG reduction and climate change mitigation. The 2017 Scoping Plan further specifies that the current “gap” between anticipated results of known state greenhouse gas reduction programs and SB 375 should be made up through additional VMT reductions, and that Metropolitan Planning Organizations (MPOs) have a major role and responsibility to achieve the needed, additional VMT reductions. SB 743 has sharpened the focus on VMT reduction as a necessary part of achieving state climate change goals. Variable pricing and incentives for alternative mode use are potentially powerful tools to achieve the behavior changes needed to reduce VMT.The fuel tax is unsustainable as the primary source for raising revenue for maintenance and development of the transportation system. As the fleet of vehicles using the roads becomes more efficient, and includes more hybrid, electric, and ultimately, fuel cell vehicles, the disconnect between fuel consumption and roadway use will widen. As the State is leading the changeover from fuel taxes to a road user charge as the basis for generating revenue, the Sacramento Area Council of Governments (SACOG) —in partnership with Southern California Association of Governments (SCAG) and San Diego Association of Governments (SANDAG)—wants to complement this work by creating a common design framework for variable pricing pilots that will be flexible to adapt to local needs and policy issues. Future pricing pilots that are launched using this framework will help:1. Create a better understanding and defined set of policy issues to be addressed in a pricing program design. E.g. How would an
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