Traffic congestion can be eliminated by restraining the number of vehicles within an urban region to be below its critical density. To achieve that, [1], [2] proposed a route-reservation architecture that makes appropriate routing schedules according to a region's critical density, and controls vehicle departure times, so that vehicles arrive at their destination in the earliest possible time while avoiding roadsegments that are expected to be at their critical density. However, the critical density is not always known and may vary depending on the road conditions. In this paper, we adobe the Stochastic Fluid Modeling framework to model the critical density of a homogeneous region of the road network and employ the route-reservation scheme to control traffic within this region for congestion-free operation. To derive the critical density, we employ Infinitesimal Perturbation Analysis (IPA) that provides a stochastic approximation which can be employed in an on-line fashion to capture the dynamic changes in the critical density value as a consequence of different incidents.