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    Home » Economic Development » Transportation’s Influence on Greater Phoenix Economy
    Economic Development

    Transportation’s Influence on Greater Phoenix Economy

    BEX StaffBy BEX StaffMay 18, 2022No Comments3 Mins Read
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    Expanding and improving the Metro Phoenix transportation infrastructure is a key focus for government and education leaders.

    New transportation solutions and development depend on an array of effort and collaboration to come to fruition.

    On the legislative side, a current area of focus is the Infrastructure Investment and Job Act, which makes $2.9B in transportation grants available for Arizona projects.

    According to information from the Center for Applied Transportation Sciences, IIJA will create jobs in transportation and add projects that help underserved communities, among other benefits. A key improvement from IIJA is the combining of grant requests from The National Infrastructure Project Assistance program, the Infrastructure for Rebuilding America program and the Rural Surface Transportation Grant program under one program.

    Prioritizing solutions to ease Phoenix’s transportation congestion is a key area of focus for area policymakers and for CATS, which works to unite government agencies, educational institutions and private companies to development transportation systems improvements. “Smart cities” are a vital component of their efforts to reduce congestion and improve safety.

    Improving existing roads is a preferred approach to adding new ones under much of CATS’ strategy. Processes include improved signal timing, education on driving habits and promotion of alternative means of transportation.

    Looking at Other Transport Solutions

    In addition to surface transportation, air travel and logistics are another primary concern. According to Chris Camacho, president and CEO of the Greater Phoenix Economic Council, Phoenix’s airport system connects the area of 142 destinations around the world and has an economic impact of more than $38.7B per year.

    That degree of connectivity is a critical economic development engine, both in terms of moving people and products. Phoenix Sky Harbor International Airport can ship and receive more than 900 tons of cargo daily, and Phoenix-Mesa Gateway Airport is the United States’ first international inland air cargo hub to house both U.S. and Mexican customs staffs, helping to streamline international cargo flights.

    Along with road and air travel, the Phoenix region has attracted significant new interest in railway service, particularly around airport-served areas.

    The combination of varied transportation solutions and ongoing investment have proven essential to the Valley’s growth, to date, and leaders are working to ensure continued future investment is in place to push development in the future.

    As such, most leaders are united in their support for renewing the Proposition 400 half-cent transportation sales tax, which has been an essential funding component for transportation improvements since it was first approved in 1985 and renewed by voters in 2004.

    Data from the Land Economics Society projects extending Prop 400 for another 25 years could generate approximately $19B over its lifetime as part of a total investment package of more than $36B when federal and other funding sources are included. (Source)

    Alyssa Ryan CATS Center for Applied Transportation Sciences Chris Camacho GPEC Greater Phoenix Economic Council IIJA Infrastructure for Rebuilding America Infrastructure Investment and Job Act National Infrastructure Project Assistance Phoenix-Mesa Gateway Airport Phoenix-Sky Harbor International Airport Prop 400 Proposition 400 Rural Surface Transportation Grant transportation infrastructure trends U.S. Customs
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    By Roland Murphy for AZBEX In its July 16 meeting, the Eloy Planning and Zoning…

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