ECONOMIC EFFECTS OF INTERSTATE 80, GRINNELL, IOWA

THIS STUDY OF THE ECONOMIC EFFECTS OF INTERSTATE 80 WHICH BYPASSES GRINNELL, IOWA (POPULATION 8,400) WAS CONDUCTED OVER 10 YEARS IN THREE PHASES: 1960-1962 (BEFORE THE INTERSTATE), 1963-1964 (I-80 PARTIALLY OPENED) AND 1965-1969 (AFTER CONSTRUCTION). DATA ON BUSINESS, EMPLOYMENT, LAND USE, ZONING, TAX BASE, AND ACCIDENTS WERE COLLECTED AND COMPARED FOR GRINNELL AND THE SURROUNDING AREA. A PUBLIC OPINION SURVEY WAS ALSO CONDUCTED. RESULTS OF THE STUDY INDICATED THAT TRAFFIC ALONG IOWA 146 INCREASED SINCE IT HAD BECOME THE MAJOR ACCESS ROUTE TO INTERSTATE 80. RETAIL SALES INCREASED BY 78 PERCENT OVER THE 10 YEAR PERIOD COMPARED TO 69 PERCENT FOR THE AVERAGE OF 10 SURROUNDIONG COMMUNITIES AND 75 PERCENT FOR THE STATE OF IOWA. RESULTS OF COMPARISON BETWEEN GRINNELL AND THE 10 SURROUNDING COMMUNITIES OF POWESHIEK COUNTY ARE USED FOR CONTROL PURPOSES. ALTHOUGH 8 SERVICE STATIONS CLOSED ON U. S. 6, THE ROUTE NEARBY THAT I-80 PARALLELS, THOSE WHICH REMAINED CHANGED THE EMPHASIS OF THEIR OPERATION TO ATTRACT LOCAL CUSTOMERS. INCREASED COMMERCIAL AND INDUSTRIAL DEVELOPMENT IN GRINNELL WAS LARGELY ATTRIBUTABLE TO INTERSTATE 80. FOR EXAMPLE, SPOKESMEN OF THREE OF THE FOUR NEW INDUSTRIES IN GRINNELL STATED THAT ACCESSIBILITY TO INTERSTATE 80 WAS A MAJOR DETERMINING FACTOR IN THE SELECTION OF THEIR PRESENT LOCATION. ALSO THE TAX BASE IMPACT ON THE COUNTY WAS POSITIVE, SINCE INCREASED TAX COLLECTIONS RESULTING FROM THE INCREASED COMMERCIAL DEVELOPMENT MORE THAN OFFSET LOSSES FROM THE ACQUISITION OF I-80 RIGHT-OF-WAY. IN ADDITION, THE STATE REIMBURSED THE COUNTY FOR TEMPORARY LOSS OF SCHOOL TAXES FROM INTERSTATE RIGHT-OF-WAY ACQUISITION. ANALYSIS OF ACCIDENT DATA INDICATED THAT THE INTERSTATE HIGHWAY REDUCED THE ACCIDENT RATE IN THE GRINNELL AREA BY MORE THAN 30 PERCENT. FINALLY, THE GENERALLY FAVORABLE EFFECTS OF INTERSTATE 80 ON GRINNELL WERE SUBSTANTIATED BY THE RESULTS OF THE PUBLIC OPINION SURVEY WHERE MORE THAN 90 PERCENT OF THE RESPONDENTS INDICATED THAT I-80 WOULD BE PERSONALLY BENEFICIAL AND NEARLY TWO-THIRDS OF THE RESPONDENTS INDICATED THAT THE ENTIRE CITY WOULD BENEFIT. THE LOWER PROPORTION OF FAVORABLE RESPONSES FOR CITY-WIDE BENEFITS MAY BE A RESULT OF THE RECOGNITION OF ANTICIPATION OF SOME ECONOMIC LOSSES BY TOURIST-ORIENTED BUSINESSES. /FHWA/

  • Corporate Authors:

    Iowa State Highway Commission

    /Highway Planning Surveys Dept
    ,   United States 

    Federal Highway Administration

    Division of Planning and Research, 1200 New Jersey Avenue, SE
    Washington, DC  United States  20590
  • Authors:
    • Studer, R
    • Buboltz, C
    • Bootsma, E
  • Publication Date: 0

Subject/Index Terms

Filing Info

  • Accession Number: 00201242
  • Record Type: Publication
  • Source Agency: Federal Highway Administration
  • Files: TRIS, USDOT, STATEDOT
  • Created Date: Sep 17 1973 12:00AM