The Indiana Finance Authority commissioned an analysis of the economic and strategic business impacts of two proposed new bridges on the Ohio River in the Louisville area, along with interchange and interstate ramps reconstruction. The analysis included (1) a benefit-cost analysis (BCA) that considered societal benefits provided by the bridges, (2) an economic impact analysis (EIA) of impacts on the regional economy and (3) a financial impact analysis (FIA) or cash flow impacts associated with bridge tolls and operating costs.
TREDIS was used for the regional economic impact analysis. The analysis considered impacts associated with completing a beltway around the city, expanding labor market access across the river, connecting a new industrial zone to the international airport and reducing logistics costs for regional truck deliveries. Effects on business attraction, including development of a new Amazon.com distribution center linked to the UPS Worldport, were also considered.
The TREDIS analysis results informed both public discussion and agency decision-making as it showed how regional jobs, employment and tax revenues could be enhanced, ultimately offsetting the higher costs of the tolls. The project was subsequently approved for funding and it is now under construction.
