Moreover, the cooperative partnership between Oklahoma Turnpike Authority, the MPO (INCOG), ODOT, City of Tulsa, and Tulsa County to advance the long planned and NEPA-cleared Gilcrease Expressway is expected to add traffic volumes once built, in turn significantly enhancing the overall benefits of this project. Table 16: Overall Results of the Benefit Cost Analysis (Regional Impacts), Millions of 2015 Dollars Project Evaluation Metric 7% Discount Rate 3% Discount Rate Total Discounted $354.9 $650.9 Benefits Total Discounted Costs $84.2 $98.1 Net Present Value $270.7 $552.7 Benefit / Cost 4.21 6.63 Internal Rate of Return 25.04% (%) Payback Period (years) 3 years : Benefit Estimates by Merit Criteria for the Full Build Alternative (Regional Impacts) Merit Criteria Benefit Categories 7% Discount Rate 3% Discount Rate Travel Time Savings $334,630,965 $611,468,896 Economic Vehicle Operating -$38,846,729 -$67,162,641 Cost Savings Accident Cost Safety $54,630,055 $98,963,514 Reduction Community and Emissions Cost $4,438,142 $7,599,533 Environmental Reduction Total Benefit Estimates $354,852,433 $650,869,302 BCA Sensitivity Analysis The BCA outcomes presented in the previous sections rely on a large number of assumptions and long-term projections; both of which are subject to considerable uncertainty. The primary purpose of the sensitivity analysis is to help identify the variables and parameters whose variations have the greatest impact on the BCA outcomes: the variables.” “critical The sensitivity analysis can also be used to: Evaluate the impact of changes in individual critical variables how much the final results – would vary with reasonable departures from the or most likely value for the “preferred” variable; and Assess the robustness of the BCA and evaluate, in particular, whether the conclusions reached under the set of input values are significantly altered by reasonable “preferred” departures from those values.
Moreover, the cooperative partnership between Oklahoma Turnpike Authority, the MPO (INCOG), ODOT, City of Tulsa, and Tulsa County to advance the long planned and NEPA-cleared Gilcrease Expressway is expected to add traffic volumes once built, in turn significantly enhancing the overall benefits of this project. Table 16: Overall Results of the Benefit Cost Analysis (Regional Impacts), Millions of 2015 Dollars Project Evaluation Metric 7% Discount Rate 3% Discount Rate Total Discounted Benefits $354.9 $650.9 Total Discounted Costs $84.2 $98.1 Net Present Value $270.7 $552.7 Benefit / Cost 4.21 6.63 Internal Rate of Return (%) 25.04% Payback Period (years) 3 years : Benefit Estimates by Merit Criteria for the Full Build Alternative (Regional Impacts) Merit Criteria Benefit Categories 7% Discount Rate 3% Discount Rate Economic Travel Time Savings $334,630,965 $611,468,896 Vehicle Operating Cost Savings -$38,846,729 -$67,162,641 Safety Accident Cost Reduction $54,630,055 $98,963,514 Community and Environmental Emissions Cost Reduction $4,438,142 $7,599,533 Total Benefit Estimates $354,852,433 $650,869,302 BCA Sensitivity Analysis The BCA outcomes presented in the previous sections rely on a large number of assumptions and long-term projections; both of which are subject to considerable uncertainty. The primary purpose of the sensitivity analysis is to help identify the variables and parameters whose variations have the greatest impact on the BCA outcomes: the “critical variables.” The sensitivity analysis can also be used to: Evaluate the impact of changes in individual critical variables – how much the final results would vary with reasonable departures from the “preferred” or most likely value for the variable; and Assess the robustness of the BCA and evaluate, in particular, whether the conclusions reached under the “preferred” set of input values are significantly altered by reasonable departures from those values.
ODOT%20I-44-FL2%20BCA%20Tech%20Memo%2012.05.2016.docx