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During the past year, the 405 Express Lanes has transformed travel through and within Orange County, delivering substantial improvements in mobility while gaining rapid popularity among commuters.

2024-25 Annual Report

A Message from the CEO


We are proud to share good news about the first full year of operation of the 405 Express Lanes, a time-saving travel alternative built in the center of Interstate 405 as part of the I-405 Improvement Project.

Performance on the express lanes exceeded expectations. More than 17 million trips were taken during the fiscal year by drivers who value the reliability of the tolled lanes.

For those seeking the quickest and most predictable trips, the 405 Express Lanes offers a free-flowing, congestion-free option. The 14-mile trip takes about 15 minutes at all times.

All drivers benefit from the broader I-405 Improvement Project. Travel times in the regular lanes have been reduced by up to 12 minutes northbound during weekday evening rush hours.

The express lanes are funded through a Transportation Infrastructure Finance and Innovation Act loan, repaid solely by drivers who choose to pay a toll. Revenue collected beyond repayment will help make future improvements along the corridor.

The 405 Express Lanes is off to a strong start, helping all travelers move safely and efficiently through one of the busiest stretches of highway in the nation.

Sincerely,

Darrell E. Johnson
Chief Executive Officer
Orange County Transportation Authority

68 million

Transactions in the first full fiscal year

17.4 million

Number of trips during first full fiscal year

$43 million

Total gross potential toll revenue exceeded $43 million.

Introduction: An Even More Successful Year Than Anticipated


The 405 Express Lanes has transformed travel through and within Orange County, delivering substantial improvements in mobility while gaining rapid popularity among commuters.

Redefining Daily Commutes

The Orange County Transportation Authority (OCTA) opened the 405 Express Lanes in December 2023 as part of the I-405 Improvement Project, a broader effort in partnership with the California Department of Transportation (Caltrans) designed to ease congestion and prepare for regional growth. In addition to the tolled segment built in the center of the project stretching from the Los Angeles County line to Costa Mesa, the I-405 Improvement Project included one new general-purpose lane in each direction, along with upgrades to bridges and surrounding local streets.

Since then, public demand for the 405 Express Lanes has exceeded expectations. In the first full fiscal year from 2024 to 2025, there were 68 million transactions, the equivalent of more than 17.4 million trips. Thursdays were the busiest day of the week. Total gross potential toll revenue exceeded $43 million, with 22,143 total active accounts.

Drivers in Garden Grove, Huntington Beach, Irvine and Long Beach took the most express lanes trips, demonstrating widespread regional adoption.

Account Growth


Total gross potential toll revenue exceeded $43 million, with 22,143 total active accounts.

Delivering More Life On Time, Every Day


The 405 Express Lanes redefines the daily commute, giving drivers more than just speed—it gives them back their time. By consistently delivering a 15-minute trip across the 14-mile corridor, it offers predictability and peace of mind.

Time Savings for All

During peak weekday hours, northbound drivers saved up to 22 minutes, and weekend users gained up to 24 minutes compared to pre-project conditions. Perhaps most significantly, weekday evening northbound commutes improved by 60%, dropping from 37.2 minutes to just 14.8 minutes. That’s more than 20 minutes reclaimed on each trip.

The benefits extend beyond the express lanes. Travelers in the general-purpose lanes have also experienced notable improvements: Northbound weekday PM commutes were reduced by up to 12 minutes, and weekend travel times improved by up to 17 minutes.

These results confirm the project’s broader success in reducing congestion and in enhancing quality of life. Whether the result is more time with family, fewer frustrating delays, or arriving on schedule, the 405 Express Lanes helps Orange County commuters experience more life on time.

Tolled Lanes Benefits


The 405 Express Lanes ensures free-flow speeds for those who choose to take them, encourages carpooling with free tolls for three or more in a car, and potentially provides future funding for transportation improvements.

More Innovative Thinking Leads to More Efficiency


In 2024, OCTA earned the International Bridge, Tunnel and Turnpike Association (IBTTA) Toll Excellence Award in the Administration & Finance category, a testament to OCTA’s forward- thinking, fiscally sound approach to tolling.

Consistent, Dependable Travel

The 405 Express Lanes uses congestion-management pricing to help assure it remains congestion-free, providing consistent, dependable service around the clock. By varying toll prices according to demand, the system efficiently manages the volume of vehicles in the express lanes, optimizing usage and enhancing overall traffic efficiency.


This successful model of congestion-management pricing was pioneered by OCTA on the 91 Express Lanes, the first all-electronic tolling facility, which OCTA has owned since 2003.

HOV tolling policies


In addition, free High-Occupancy Vehicle (HOV) tolling policies incentivize carpooling and reduce the number of single- occupancy vehicles on the road, encouraging more environmentally friendly travel options and minimizing traffic congestion.

The system is fully interoperable with California’s other toll facilities and supports seamless, contactless tolling.

More Intelligent Infrastructure for More Reliable Trips


The 405 Express Lanes is actively managed by OCTA’s Traffic Operations Center.

Adapting to Meet Demand

This centralized hub monitors conditions in real time and coordinates swift responses to incidents, ensuring smooth operation. Continuous performance analytics such as tracking trip volumes, revenue, and usage patterns allow OCTA to adapt operations to meet demand.

This commitment to an exceptional travel experience makes the 405 Express Lanes a smarter, more responsive transportation alternative that strengthens commuter confidence and supports long-term regional sustainability.

More Innovative Financing Delivers More Savings


OCTA employed a first-of-its-kind financing strategy to fully fund the I-405 Improvement Project, including the 405 Express Lanes, while maximizing benefits to the community.

An Alternative to Bonds

To support the project, OCTA secured a $629 million federal loan through the Transportation Infrastructure Finance and Innovation Act (TIFIA). Compared with traditional bond financing, the original loan was projected to save approximately $300 million over its term. Later, OCTA refinanced the loan and reset the interest rate to just 1.95%, resulting in an additional $158 million in savings.


The TIFIA loan will be repaid entirely through toll revenue from drivers who choose to use the 405 Express Lanes. Any toll revenue collected beyond what is needed for repayment will be reinvested into transportation improvements benefiting all travelers along the I-405 corridor, whether or not they use the 405 Express Lanes.

Taxpayer Savings


Altogether, OCTA’s strategic and responsible financing approach is expected to save taxpayers approximately $509 million, making more funds available sooner for additional transportation enhancements.

An Investment That Delivers More of What Matters: More Life On Time


Together, the 405 Express Lanes and the I-405 Improvement Project deliver congestion relief, provide travel options, and enhance safety.

Ready for the Future

In addition to providing faster trips, improving regional flow, and empowering more flexible travel, they help to build a more connected, efficient, and livable Orange County.


In the coming months, OCTA will continue to work with Caltrans and cities along I-405 to complete remaining items such as landscaping, drainage, maintenance, roadway, and electrical elements.


As these final touches are completed, motorists stand ready to fully realize the long- term benefits of this landmark transportation project.

Transforming Travel


The 405 Express Lanes and the improved I-405 corridor have already transformed daily commutes by reducing travel times and enhancing reliability, and they will continue to serve the region’s growing needs into the future.

Financial Report

Independent auditor’s report on internal control over financial reporting and on compliance and other matters based on an audit of financial statements performed in accordance with government auditing standards.

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