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Economic considerations weighed in Montana transportation decisions

Economic considerations could soon play a more explicit role in establishing transportation priorities around Montana, following completion of a new software program.

By William L. Spence
The Daily Inter Lake

The program was developed at the direction of Gov. Judy Martz and the state legislature. It’s expected to be incorporated into the Department of Transportation’s planning process within the next few months.

A proposal to widen U.S. 2 across northern Montana prompted the governor’s request. She wanted a more formal analysis of the economic benefits associated with that and other suggested transportation improvements.

Chris Warum with Cambridge Systematics said the economic benefits of projects are sometimes based on the assumption that, "If you build it, ‘they’ will come."

"What we tried to figure out with this program is who ‘they’ are, and how many will come," he said.

Cambridge Systematics was the primary consultant on the software development team.

Called the Highway Economic Analysis Tool, Warum said the program looks at a wide range of variables and tries to determine exactly which industries would benefit from proposed road improvements.

It also estimates the likelihood that new industries would be attracted by a better transportation system, and quantifies the overall benefit to Montana’s economy.

The economic impact is "primarily measured in terms of additional jobs, higher personal income and increased gross regional product," Warum said.

Dick Turner, head of planning for the Department of Transportation, said he hopes to start using the HEAT program within the next three months.

"I think it will get national attention," he said. "This kind of thing has been done at the local and regional level, but never at the state level."

It’s unclear at this point whether adding economic criteria to the prioritization process will result in safety considerations being ignored or undermined.

However, Turner noted that some highway funding programs are legally dedicated to safety improvements. In addition, major road projects will still be nominated by local officials, and the state Transportation Commission isn’t obligated to prioritize those projects based on any specific criteria.

In short, the HEAT program "is only one tool in the overall decision process," he said.

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