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Recent development in the aspects of low-level image processing for feature extraction, as well as in the standardization of description schemes for video description, provide means for the development of Intelligent Transportation Systems. ITS may support a wide range of abilities, including vehicle identification and reidentification, event detection and optimum resource management. This paper analyzes the structure operation principles and the structure of an integrated highway management system. Its operation is based on the combination of sensor networks, low-level image processing algorithms and high-level description schemes. Low-level algorithms perform the tasks of license plate recognition for vehicle identification, as well as feature extraction through change detection, for event detection purposes. High level schemes are based on the recently developed MPEG-7 Description Schemes and are utilized as an information processing framework, which formulates identification and event representation procedures.