East Coast Greenway Economic Development from Trails East Coast Greenway

Connecting 65 million people in communities from Key West, Florida to Calais, Maine

2,900-mile trail linking cities, suburbs, schools, work places, cultural nodes, businesses and transit East Coast Greenway in

165.75 miles 52.89 miles on trail 3.62 miles in bike lanes 0.7 miles with sharrows 80.08 miles with narrow shoulders 29.55 miles with wide shoulders 27.97 miles of sidewalks Estimated investment to build out = 189 million East Coast Greenway in Maryland

Trails create Personal and Community Economic Development

Case Study • Economic Impact Analysis and Planning Study. Alta Planning + Design, Econsult Solutions, Robert and Company 61 mile trail 13 miles northwest of Connects to 33 mile in Silver Comet Trail Economic Benefit Categories:

Direct activity – Direct use results in user spending that benefits local merchants Economic Benefit Categories:

Tourism Activity – Direct users can be residents, others are visitors. Expenditures include travel, accommodations, food and entertainment Economic Benefit Categories:

Spillover Impacts – As trail use increases, small business and large ramp up operations and increase jobs. New employees spend a portion of earnings locally. Economic Benefit Categories:

Unmet Demand – The new and increased demand creates existing business growth and new business opportunities Economic Benefit Categories:

Fiscal Impacts – Economic expansions growth tax base Economic Benefit Categories:

Property Value Impacts – Real estate in proximity to a trail increases property values Economic Benefit Categories:

New Development – New homes and developments will be drawn to proximity of a trail Economic Benefit Categories:

Employer and Employee Attraction – Retention of existing employers and employees increases commercial activities Economic Benefit Categories:

Mobility – Increased number of non-motorized trips creates better economic and environmental benefits for all Economic Benefit Categories:

Direct Use and Health Benefits – With access, users will derive Positive health benefits, lowering Health care costs Direct activity –

1.9 million use/trips a year Spending per use $% 0-50 79 50-100 11% 100-200 4% 200+ 5% Weighted average $49 Aggregate Spending –

1.9 million uses x 1 use/trip x 2 people x $50/ a use = $47 million annually Tourism Spending –

Typically expenditures include recreational amenities before, during and after a trip. Travel, food and potential overnight stays are typical additional Expenses.

Therefore expenditures impact a broad region and the locality of the trail. Tourism Spending –

Conservatively tourism spending adds $50 per use at $100 per use per day without overnight stay

Out of State visitors expenditures = $20 million within the state Spillover Impacts –

Indirect Effect- Locally sourced materials generates increased needs and output from local vendors.

They in turn increase their own sourcing and activities. Spillover Impacts –

Induced Effect- Workers wages, and job volume increase.

This spillover can be modeled with the Regional Input-Output Modeling System (RIMSII) Input-output models, when applied correctly, are powerful tools for estimating the economy-wide effects of an initial change in economic activity. Recreational and Tourism Spending– The Silver Comet Trail is responsible for $57 million in direct spending per year.

It is responsible for about $100 million in total expenditures in the Region (4 Counties) per year. Recreational and Tourism Spending– This supports about 750 jobs and $20 million in earnings, and generates about $120 million in total expenditures in the state, supporting about 1,300 jobs and $37 million in earnings. Recreational and Tourism Spending– Expenditures in the Region (4 County area) Retail Trade 31.1% Food Services/Drinks 12.9% Transportation & warehousing 8.2% Arts, Ent. And Recreation 7.0% Real Estate, rental & leasing 6.6% All other Industries 34.2% Recreational and Tourism Spending– Expenditures in the State

Retail Trade 27.7% Food Services/Drinks 11.3% Transportation & warehousing 8.0% Arts, Ent. And Recreation 7.6% Real Estate, rental & leasing 6.1% All other Industries 39.3% Unmet Demand–

Combining the findings of a Leakage Analysis- (Consumption and sales patterns of local residents and merchants) Retail Opportunities near trailheads (What commercial opportunity is missing from each area) Fiscal Impacts–

Positive Impacts- Tax revenue in the state is about $3.5 million Income Tax $1.1 Sales Tax $2.4 Business Tax $0.1 Property Value Impacts–

Property values are higher in proximity to trails which increases tax base for municipalities and school districts Property Value Impacts–

Conservatively stated, property values are 4% to 7% higher within ¼ mile of a recreational amenity.

A trail is built and a property valued at $300,000 increases to $312,000/$321,000 with no cost to the land owner. Property Value Impacts–

Within ¼ mile of the Silver Comet Trail the value of the residential units would increase by $180 million.

Properly assessed this would equate to $2 million in additional property tax. Development Opportunities–

Development occurs when the return on investment is higher than other uses of capital. The 4% to 7% increase can be the tipping point for development to occur. Walkway Over the Hudson

The Walkway Over the Hudson Economic Impact Update Report was done by Camoin Associates.

The WOH is located between Poughkeepsie and Highland NY. Walkway Over the Hudson Walkway Over the Hudson

Schumer pledges support for transformative Poughkeepsie waterfront development; connecting WOH to a series of waterfront trails, parks, Metro North & mixed use development. – Schumer lays out Federal funding opportunities to get project moving forward. 12-18-14 Walkway Over the Hudson 500,000 people per year come to use the bridge. Of that 48% of the people are from outside the two counties that the bridge spans.

The Walkway Over the Hudson photo by the Millbrook Independent Walkway Over the Hudson Non-County Residents Spending (240,000 People) Average Total Net New per personAnnual Spending

Transportation $5.78 $1,386,810 Restaurant $20.93 $5,022,109 Groceries $3.16 $757,555 Lodging $23.80 $5,711,162 Retail $3.87 $929,859 Recreation $2.90 $695,339 Other $3.93 $943,882 Total $64.36 Annual Direct Spending $15,446,716 Walkway Over the Hudson Out of State Spending Impact on State: Category Average Total per person Transportation $6.62 $929,278 Restaurant $22.22 $3,118,270 Groceries $3.55 $497,891 Lodging $27.07 $3,798,528 Retail $3.71 $520,408 Recreation $3.39 $475,673 Other $8.42 $1,181,728 Total $70,562 $74.99 Annual Direct Spending $10,521,777 Walkway Over the Hudson Economic Impact on New York State Direct Indirect Total Sales $10,521,777 $11,468,737 $21,990,514 New Jobs 130 78 208 Wages $3,980,841 $4,538,159 $8,519,000 Walkway Over the Hudson County Tax Revenues: Direct sales $23,942,410 Percent Taxable 60% Taxable sales $14,365,446 County sales Tax 3.88% New Local Tax $556,661

County Tax Revenue from Earnings: Total New Earnings $9,435,000 Amount spent in County @ 70% $6,604,500 Amount taxable @ 20% $1,320,900 New County Tax Revenue $51,185 Walkway Over the Hudson County Tax Revenues: Hotel Tax Revenue: New Visitation Lodging Spending $ 5,711,162 Hotel Tax 3% New County Hotel Tax Revenue $ 171,335

Combined New County Tax Revenue: Sales Tax - Direct Sales $ 556,661 Sales Tax - Earnings $ 51,185 Hotel Tax $ 171,335 Combined County Revenue $ 779,181 Walkway Over the Hudson State Fiscal Impact: Direct Sales $ 21,990,514 Percent Taxable 60% Taxable Sales $ 13,194,308 State Sales Tax Rate 4.00% New State Tax Revenue $ 527,772

State Sales Tax Revenue – Earnings: Total New Earnings $ 8,519,000 Amount Spent in County (70%) $ 5,963,300 Amount Taxable (20%) $ 1,192,660 State Sales Tax Rate 4.00% New State Tax Revenue $ 47,706 Walkway Over the Hudson State Fiscal Impact:

Combined New State Revenue Sales Tax - Direct Sales $ 527,772 Sales Tax - Earnings $ 47,706 Hotel Tax N/A Combined State Revenue $ 575,479 Walkway Over the Hudson

• Annual direct spending due to the bridge is $15,446,716. • Annual revenue due to the bridge to the state and the counties is $1,354,660 Walkway Over the Susquehanna Walkway Over the Susquehanna Walkway Over the Susquehanna Walkway Over the Susquehanna Walkway Over the Susquehanna

What could the Walkway over the Susquehanna do for the State of Maryland, Harford County, Cecil County, Perryville and Havre de Grace?

Nearly 9,000 people of which 2,200 are from Maryland signed the East Coast Greenway petition to build the bridge. Signatures to build the bridge came from every state in the USA. https://www.change.org/p/maryland-department-of-transportation-ensure-that-the-new-amtrak-susquehanna- river-bridge-will-accommodate-cyclists-and-walkers Walkway Over the Susquehanna

Almost 40,000,000 Strong East Coast Greenway Alliance AARP Bike Maryland Rails to Trails Bike Advocates Anne Arundel County Conservancy Bikemore September Eleventh National Memorial Trail Alliance Mason Dixon Trail League of American Bicyclists White Clay Bicycle Club Lower Susquehanna Heritage Greenway Bike Wilmington Susquehanna Gateway Heritage Area Bike American Canoe Association Bike Walk Coalition Washington Area Bicycle Association Bicycle Coalition of Greater Philadelphia Adventure Cycling Association New York Bicycle Coalition People for Bikes America Walks Alliance for Biking and Walking Backpacker Magazine Oxon Hill Bicycle & Trail Club, Inc Walkway Over the Susquehanna

Support the building of the Bridge, connect Cecil County and the Eastern Shore to the rest of Maryland for the communities and the economic development potential Thank You! Andy Hamilton, RLA, LCI, APBP East Coast Greenway Alliance, Mid-Atlantic Coordinator DCNR Trail Advisory Committee, Member September 11th National Memorial Trail, Vice Chair Circuit Steering Committee [email protected] (267) 236-3407 www.greenway.org