Economic Impact Analysis for H-GAC’s High Capacity Transit (HCT) Project

This analysis that was completed by the Houston-Galveston Area Council (H-GAC) used the REMI TranSight model to evaluate the economic impacts of certain project investments that would factor into the region’s transportation plan. H-GAC sought out to measure the likelihood of economic activity and transportation efficiencies within the High Capacity Transit (HCT) projects, in addition to the macroeconomic effects. Researchers found that when using the REMI TranSight model, economic impacts can be considered and evaluated during planning for transportation projects, long-range system planning, or corridor planning. This report also involved combining the REMI model and a Travel Demand Model in order to strengthen the RPC and MPO Long-Range Transportation Plan with implementation strategies and data-driven recommendations.

Houston-Galveston Area Council – Economic Impact Analysis for HGAC’s High Capacity Transit (HCT) Project [full PDF]

Draft Tier 1 Environmental Impact Statement and Preliminary Section 4(f) Evaluation

The Arizona Department of Transportation incorporated their REMI TranSight model into their analysis of the environmental and economic impacts that correspond with improvements made to Interstate 11 in Arizona. They also accounted for the potential support that new highway interchanges and other transportation improvements might provide to various businesses. The draft report considered two alternatives: No Build and Build Corridor. Two types of impacts that were assessed include the short-term impacts resulting from construction-related expenditures and the long-term impacts resulting from production cost savings, amenity benefits, and consumption reallocation. Analysts also provided approaches for addressing I-11’s intended purpose of mitigation transportation issues and needs as it supports improved regional mobility for goods, people, and homeland security.

Arizona Department of Transportation – Draft Tier 1 Environmental Impact Statement and Preliminary Section 4(f) Evaluation [full PDF]

Macroeconomic Feedback Effects of Medicaid Expansion: Evidence from Michigan

The University of Michigan’s Research Seminar in Quantitative Economics (RSQE) selected the state of Michigan as a case study for evaluating Medicaid expansion and its state-level fiscal impacts. This analysis took into account the importance of macroeconomic feedback effects relative to the fiscal effects ordinarily estimated by state budget agencies. Michigan established the Healthy Michigan Plan (HMP) in 2014 and by December 2018, the plan covered more than 670,000 low-income residents. The REMI model was utilized in this report to analyze the macroeconomic feedback effects that correspond with the impacts in spending related to the HMP because of the importance of modeling year-by-year impacts and the model’s realistic dynamic employment and demographic responses. The methodology from this study can be incorporated into any state-level analysis of the fiscal impacts associated with expanding Medicaid.

University of Michigan – Macroeconomic Feedback Effects of Medicaid Expansion-Evidence from Michigan [full PDF]

Impacts of the Property Assessed Clean Energy (PACE) Program on the Economies of California and Florida

The University of Southern California’s Sol Price School of Public Policy performed a regional economic impact analysis of Property Assessed Clean Energy (PACE) financing using the REMI PI+ model. Ygrene Energy Fund, Inc. had provided over $1.16 billion to finance more than 54,500 property improvement projects at the time of this report, with the majority of their projects being developed in California and Florida. The study’s researchers used the REMI model to evaluate the net impact in terms of gross output, gross domestic product, personal income, and employment of these financing projects on the two states’ economies. The aggregate stimulus effects from the expenditure of the PACE financing were found to generate an average annual increase in gross state product of $134.7 million and employment of 1,305 full-time equivalent jobs in California. Florida also enjoyed an average annual increase in gross state product of $51 million and employment of 603 jobs during the same study period.

University of Southern California – Impacts of the Property Assessed Clean Energy (PACE) Program on the Economies of California and Florida [full PDF]

Budget: Investing for Growth

Policy Matters Ohio proposed a tax plan to reinstate state income tax rates on the highest income brackets earned by the wealthiest Ohioans, thereby closing big and unproductive tax breaks. The plan also supports and emboldens Ohio’s Earned Income Tax Credit (EITC) that provides tax assistance to low-income families with children. Policy Matters Ohio worked with the Institute on Taxation and Economic Policy (ITEP) to develop this new revenue strategy and these organizations used the REMI model to evaluate the economic impact of investing increased revenues into public services. The revenue plan involved restoring the 7.5 percent income-tax rate on income over $217,400 approved in 1992, adding a new 8.5 percent rate on income over $500,000, repealing the business income deduction enacted in 2013, making the Ohio EITC refundable, removing a cap on how much of a credit citizens receive, and raising the EITC to 20 percent above the federal amount. The analysis found that enacting these policies and updating the tax structure could generate $2.6 billion in state revenue.

Policy Matters Ohio – Budget: Investing for Growth [full PDF]