Economic Impacts of Wind Energy Investments in Colorado

The Public Service Company of Colorado (PSCo) proposed a wind project for the state of Colorado and the Leeds School of Business at the University of Colorado Boulder used the REMI model to quantify the economic impacts of this project’s implementation. The Rush Creek Wind Project involved the manufacturing, purchasing, and erecting of 300 new wind turbines in Colorado, in addition to the creation of access roads, installation of transmission lines, pouring of foundations, and construction of substations. The University of Colorado Boulder research team developed economic scenarios to be evaluated with the REMI model that included the rate and spending changes generated by two different scenarios, which were baseline and wind. This created an estimated forecast of the economy under scenarios where utility rates and spending on operating and capital expenditures change, which could then be compared against the baseline scenario to quantify the statewide economic impacts on the Colorado economy.

University of Colorado Boulder – Economic Impacts of Wind Energy Investments in Colorado [full PDF]

Economic Development Tax Incentives Evaluation Act: Evaluation of Jobs Development Act

This report conducted by the Chief of the Office of Revenue Analysis was required to be completed by Rhode Island law so as to analyze the effects of the Department of Revenue’s economic development tax incentives. In particular, this assessment looked at the Jobs Development Act that provides for a reduction in the Business Corporation Tax, the Taxation of Banks, the Taxation of Insurance Companies, and the Public Service Corporation Tax. The tax benefit is equal to a tax rate reduction for each new unit of employment that is added to a company’s previously established base employment. Analysts used a 70-sector REMI PI+ model to quantify the costs and benefits associated with proposed tax changes and to produce estimates of the total economic effects of the tax credits issued in tax years 2013 and 2015.

Rhode Island Office of Revenue Analysis – Economic Development Tax Evaluation Act-Evaluation of Jobs Development Act [full PDF]

2018-2022 Five-Year Transportation Program

The REMI TranSight model was utilized by the Michigan Department of Transportation to evaluate the outcomes related to investments put toward transportation network development programs. Specifically, the state’s five-year transportation plan involved two programs (Highway and Bridge Program and Transit Program) that were analyzed with the help of economic modeling in order to examine the impacts on employment, real personal income, and gross state product. As the analysis attempted to assess transit benefits comprehensively, it did not account for the substantial additional benefits that can be generated by rapid transit investments in urban areas and, thusly, the model results can be considered conservative. The TranSight model found significant gains for both programs in all three measured categories and outlined the economic impact results for each year of the five-year transportation plan.

Michigan Department of Transportation – 2018-2022 Five-Year Transportation Program [full PDF]

Innovative Metrics for Economic Development: Supplemental Report

Using the REMI PI+ model, SRI International conducted a national-level analysis of the U.S. Economic Development Administration’s (EDA) infrastructure grants, which are presented directly to organizations and communities across the country to support improvement projects. EDA grants often become signaling mechanisms as they validate projects and mobilize outside investment and this assessment was intended to analyze the impact of EDA funds, as well as the additional funds that their grants help mobilize. The combined impact of project costs and private investment generated from the REMI model analysis across the 11-year study period found that EDA-supported projects and the investment they attracted generated an average of an additional 56,554 jobs, $3.187 billion in wages and salaries, and $4.053 billion in personal income each year. SRI also compared the employment estimates from the PI+ model to the reported actuals by EDA grantees in their Government Performance and Results Act reports at 6 years in order to evaluate the differences between the sources.

SRI International – Innovative Metrics for Economic Development: Supplemental Report [full PDF]

The Growing Economic Impact of Craft Brewing in Montana

The economic contribution of Montana craft brewing to Montana’s economy was studied by the Bureau of Business and Economic Research at the University of Montana using the REMI model. At the time of this analysis, Montana ranked third in the United States in breweries per 100,000 adults over age 21, with 40 breweries operating in the state and 11 in the planning phases. The results of this report indicated that statewide craft beer production increased by 49 percent between 2010 and 2013, while sales increased by 55 percent and expenditures rose by 44 percent. Researchers also detailed the additional economic benefits of brewing operations that include 673 additional permanent, year-round jobs existing in the state economy, more than $18 million in income received by Montana households, $60 million more in sales from Montana-based business and organizations, and $4 million extra tax and non-tax revenues.

University of Montana – The Growing Economic Impact of Craft Brewing in Montana [full PDF]