How should an applicant account for the benefits of a project that affect riders of other systems, for example a Ferry project that would provide additional service in the event of a disaster?
The HMCE analysis for this type of proposal would show its benefits entirely in the value of passenger time. The analysis should describe the number of passengers who would have shortened trips, or who would be able to get to work when their other travel mode is out of service. Note that this type of project could have a positive cost effectiveness ratio even if it does not reduce any direct damages, provided that the social benefits of the project are large relative to the project cost. FTA will carefully evaluate the methodology used to estimate social benefits in cases where the affected infrastructure is owned or operated by a separate entity. As in other parts of the HMCE analysis, information from previous disasters would be valuable in documenting the impact on passengers.