Many believe that making large investments in our car-dominated transportation system is a cost-effective way to spur jobs and economic recovery, and they see no reason to evaluate that claim. However, what does it really cost all of us in Hawaii — you, me, our communities — to drive from here to there? For the first time, we know the answer.
It costs about $21.8 billion annually! That’s a huge sum, no matter how you look at it, as revealed in “The Cost of the Vehicle Economy in Hawaii,” a recent report prepared for Ulupono Initiative by transportation consultants at ICF Incorporated LLC (see ulupono.com). The report — the first of its kind in Hawaii and only the second in the nation — defines “vehicle economy” as all costs, directly and indirectly, related to our overall vehicle transportation system, including those borne by the public and individual car owners.
About $10.6 billion is carried by consumers, including vehicle ownership, maintenance and operational costs. That’s approximately $22,400 per household annually.
The remaining $11.2 billion is shouldered by all of us in the form of state and county expenditures, social and economic costs such as congestion or injuries and fatalities, and the value of the land set aside for roadways and parking. That amounts to approximately $15,000 per taxpayer or $24,400 per household, regardless of car ownership.
As consumers, we are painfully aware of the high cost of car ownership. As taxpayers, we may not be as conscious of the total price tag to society, especially as it relates to the cost to our environment, our quality of life, and our desire to create a sustainable and equitable society. Rather than car ownership being about freedom, it has become the price many are forced to pay to participate in our economy.
Moreover, as this report warns, we cannot afford the current system, much less its expansion through new roads and lanes. Our maintenance backlog is double our annual capital expenditures. And, as we add roadway or lanes, we only make that problem worse. These maintenance costs are only slated to increase, even excluding costs related to climate change, which is projected to affect 10-15% of our current transportation system.
In addition, this system doesn’t seem to be serving us all that well. It continues to be the largest contributor to greenhouse gas emissions in the state. And despite 20 years of investment, congestion has increased by 166% from 1990 to 2018. Moreover, the Hawaii Department of Transportation projects an increase of 11% in miles traveled by 2024, leading to more congestion, injuries, fatalities and lost opportunities.
This doesn’t mean investing less in transportation, but rather conducting a more robust assessment of these investments around important community goals and commitments. Are these investments really maximizing our economic recovery and diversifying our transportation system in favor of improving access for everyone? Are investments working for or against our energy and environmental goals? How is the status quo increasing our high cost of living?
As Gov. David Ige asked recently in his State of the State address, “The pandemic brought our economy to a screeching halt. But could it be an opportunity to reassess our path forward?”
The vehicle economy plays a huge role in our overall economy. Surely, a reassessment of the latter necessitates a similar review of the former.
Kathleen Rooney is the director of transportation policy and programs at Ulupono Initiative.
