Recent technological advances in computer hardware, software, and image processing have led to the development of an automated license plate reader (ALPR). This equipment was developed primarily for enforcement and security applications, such as monitoring parking garages or border crossings. Because license plate data are used in several transportation planning studies, ALPRs have the potential to increase the quality and efficiency of many typical activities of transportation planning agencies. The key performance attributes of an ALPR with respect to the specific needs of transportation planning are determined. The following general needs are investigated: ( a) the specific license plate data requirements of transportation planning studies; ( b) the effect of the equipment on traffic operations and safety; and ( c) special equipment characteristics required because of the temporary nature of transportation planning and the constraints of transportation planning agencies. In addition, an existing ALPR was tested in situations likely to be encountered in transportation planning applications. Technical specifications for an ALPR for transportation planning are developed. These specifications can be used to provide motivation and direction for the future development of an ALPR for transportation planning. Finally, the technical challenges to developing the ALPR are discussed.