The Arkansas Good Roads Foundation and the Arkansas State Chamber of Commerce released a study Tuesday that showed the projected economic impact of increased spending on state roads and highways.
More: See the full report.
The study, conducted by the American Road & Transportation Builders Association, found that an additional annual investment of $478 million would result in a statewide economic impact of at least $1.3 billion, creating 5,729 jobs throughout all sectors of the state’s economy.
The $478 million figure is based on a 2017 report by Arkansas Legislative Audit, which determined the additional amount needed each year to meet the state’s current highway and bridge maintenance and improvement needs.
The study shows construction activity from the $478 million would increase sales outputs for business in all sectors of the state’s economy by $941.6 million each year, resulting in increased state and local tax revenue of $56.7 million annually.
“This study is another blunt reminder that few things impact the quality of life in Arkansas like good roads that connect and link us,” Joe Quinn, executive director of the foundation, said in a news release. “People want safe roads that make it easier for new business, new families and tourists to come to their area. We need to find a long term solution to shrinking the gap between what we need to spend maintaining and building roads, and what we are actually spending.”
“Adequate transportation infrastructure is vital to Arkansas’ ability to attract and keep industry here,” Randy Zook, president and CEO of the state chamber, said in the news release. “It is essential that our state find a way to make the kind of road funding investment that will at least maintain our current system. To know that investment would also result in the creation of thousands of new jobs and an economic boost of millions of dollars throughout the state, means we can’t afford not to act.”
The foundation and chamber said that driving on state roads in need of repair costs the average Arkansan $589 each year. It also said studies show that poor road conditions contribute to more than half of all roadway fatalities, and Arkansas saw 545 roadway fatalities in 2016.
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