Distributionally Robust Fair Transit Resource Allocation During a Pandemic

Abstract

This paper studies the distributionally robust fair transit resource allocation model (DrFRAM) under the Wasserstein ambiguity set to optimize the public transit resource allocation during a pandemic. We show that the proposed DrFRAM is highly nonconvex and nonlinear, and it is NP-hard in general. Fortunately, we show that DrFRAM can be reformulated as a mixed integer linear programming (MILP) by leveraging the equivalent representation of distributionally robust optimization and monotonicity properties, binarizing integer variables, and linearizing nonconvex terms. To improve the proposed MILP formulation, we derive stronger ones and develop valid inequalities by exploiting the model structures. Additionally, we develop scenario decomposition methods using different MILP formulations to solve the scenario subproblems and introduce a simple yet effective no one left-based approximation algorithm with a provable approximation guarantee to solve the model to near optimality. Finally, we numerically demonstrate the effectiveness of the proposed approaches and apply them to real-world data provided by the Blacksburg Transit. History: This paper has been accepted for the Transportation Science Special Issue on Emerging Topics in Transportation Science and Logistics. Funding: This work was supported by the Division of Computing and Communication Foundations [Grant 2153607] and the Division of Civil, Mechanical and Manufacturing Innovation [Grant 2046426]. Supplemental Material: The online appendix is available at https://doi.org/10.1287/trsc.2022.1159 .