Azuga Continues Research With I-95 Corridor Coalition in East Coast Mileage-Based User Fee Pilot

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Hundreds of volunteers are expected to use Azuga’s location and geofencing technology during Phase 2 of study for multi-state travel and tolling

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Azuga has been at the forefront of the transportation funding revolution since the beginning and we know the importance of meeting the needs and expectations of every driver and the governments that represent them.

Azuga, the leading global provider of connected vehicle and fleet technologies, announced that it has been selected by the I-95 Corridor Coalition as the exclusive technology provider for the second phase of its multi-state mileage-based user fee pilot program. Led by the I-95 Corridor Coalition and other regional stakeholders, Phase 2 of the pilot is designed to further explore the feasibility of replacing the current fuel tax system with mileage-based user fees (MBUF) on the East Coast. The Departments of Transportation in Pennsylvania and Delaware, along with other states in the region, expect to have up to 1,000 volunteers participate in Phase 2 of the pilot, which will also examine the viability of leveraging the MBUF system to handle tolls along the I-95 Corridor.

Driven by improved vehicle fuel efficiency, fuel tax revenues are expected to continually decline, which is prompting many states to explore alternative sources to fund road repairs and improvements. This multi-state pilot is an opportunity to continue to observe unique challenges such as cross-state line travel and toll interoperability, as each state would have differing MBUF rates and revenue streams. Utilizing mileage data collected by Azuga technology, the Coalition aims to gain a better understanding of how a per-mile fee could work throughout a region where drivers may drive through two or even three states a day.

“More than twenty percent of miles driven during the Coalition’s initial pilot occurred outside the drivers’ home states, confirming that figuring out how to handle out-of-state mileage is critical to understanding if MBUF could be a potential transportation funding option for the country,” said Dr. Patricia Hendren, Executive Director of the I-95 Corridor Coalition. “We are excited to continue our working relationship with Azuga during our second and expanded MBUF pilot that will further test the boundaries of MBUF technology including the integration with toll facilities and value-added amenities such as visual trip logs.”

Azuga’s easy-to-use connected car technology accurately captures miles driven as well as proximity to toll stations for fair monthly assessments. Azuga’s services also offer auto-calculation functions like subtracting fuel taxes paid at the pump and/or tallying toll charges. Then, on the state’s behalf, Azuga automatically invoices for the net MBUF. For select participants, Azuga auto-invoices for total tolls. Though, no actual funds will be transferred as part of the pilot. As an added benefit, the company’s end-to-end MBUF solution also provides value-added services to keep drivers engaged, such as engine health, battery voltage and driving behavior insights.

Results from the first phase of the I-95 Coalition’s 2018 mileage-based user fee pilot study, completed with 155 participants across 13 East Coast states, showed that MBUF technology is feasible for collecting tolls. Phase 1 of the study also revealed that participation in the pilot markedly reduced common concerns around privacy and security, dropping the percentage of concerned participants from 57% at the beginning of the pilot to just 30% after the pilot. Approximately 90% of participants would be willing to partake in another pilot. As phases are completed, researchers will gather and evaluate participant feedback and vehicle data to better understand the challenges and opportunities presented by a per-mile user fee in a multi-state region.

“Azuga has been at the forefront of the transportation funding revolution since the beginning and we know the importance of meeting the needs and expectations of every driver and the governments that represent them,” said Nate Bryer, Vice President of Innovation at Azuga. “We look forward to continuing our successful relationship with the Coalition as they bring more driver viewpoints to the national MBUF movement.”

Learn more about Azuga’s government telematics solutions by visiting https://more.azuga.com/Government-Telematics.html. To stay updated on I-95 Corridor Coalition Mileage-Based Usage Fee study, visit https://www.i95coalitionmbuf.org/.

About Azuga
Azuga, backed by Sumeru Equity Partners, is a leading global connected vehicle platform, helping our customers turn data from vehicles and their use into intelligence that improves operations and safety while reducing cost and risk. Azuga provides reliable end-to-end solutions for commercial fleets, government agencies, insurance companies and automotive industry suppliers, through leading hardware technology, integrated driver rewards program, award-winning fleet applications and data analytics. Our award-winning Azuga Fleet solution is used by thousands of businesses—from the small fleet of a few vehicles up to several thousand—and is lauded by our customers for its ease-of-use, robust features, and affordable pricing. For more information, visit https://www.azuga.com and follow us on Twitter @Azuga_GPS.

About the I-95 Corridor Coalition
The I-95 Corridor Coalition is a partnership of transportation agencies, toll authorities, public safety, and related organizations, from the State of Maine to the State of Florida, with affiliate members in Canada. The Coalition provides a forum for key decision makers to address transportation management and operations issues of common interest. This volunteer, consensus-driven organization enables its myriad state, local and regional member agencies to work together to improve transportation system performance far more than they could working individually. The Coalition has successfully served as a model for multi-state/jurisdictional interagency cooperation and coordination for over two decades.

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Erika Van
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