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How Metro Phoenix’s transit infrastructure is changing the economy

What comes to mind when you think of transportation in the greater Phoenix area? For some, it might be the freeway closest to you — I-10, Loop 101, Loop 303, or I-17. Or maybe it’s the light rail or other Valley Metro public transit system. And it’s not beyond the bounds of reality to heave a resigned sigh when you think about it. Because if we’re being honest, traffic and congestion are problems that almost every metropolis faces – especially for fast-growing regions like the Valley of the Sun.

ALSO READ: The Loop 303 corridor becomes the global development center

No matter where you are on the spectrum of Metro Phoenix’s transportation infrastructure—yes or no—it’s important to know that your city, government, and education leaders are working to expand and improve the landscape. In addition to investing significant amounts of dollars in new transport routes, research is also ongoing to fine-tune the existing infrastructure. The result of these collective actions is contributing to an already competitive and lucrative global economy—not just in the greater Phoenix area, but throughout the state.

The Legislature

The bipartisan Infrastructure Investment and Job Act (IIJA), announced in March and championed by Senator Kyrsten Sinema and designed by Senator Mark Kelly, provides $2.9 billion in transportation grants available for transportation projects in Arizona.

Alyssa Ryan

“The IIJA is an unconventional amount of federal transportation funding that will have a significant impact on our transportation system,” said Alyssa Ryan, associate director of the Center for Applied Transportation Sciences (CATS). “IIJA will create more jobs in transportation, from planning to new construction of infrastructure. It will also amplify projects in underserved communities, create more transportation solutions that address climate change, and lead to more innovative and intelligent transportation systems that move people more safely and efficiently.”

The IIJA is designed to make it easier for Arizona cities and communities to apply for grants by combining three projects into one application: the National Infrastructure Project Assistance (MEGA) program, the Infrastructure for Rebuilding America (INFRA) program, and the Rural Surface Transportation Grant Program (RURAL).

Traffic Congestion Suggestions for Phoenix

“Arizona is the 11th most urbanized state and Greater Phoenix is ​​one of the fastest growing regions in the nation, accounting for approximately 70% of the state’s population, jobs and economic output,” said Chris Camacho, President and CEO of Greater Phoenix Economic Council (GPEC). “Growth puts more strain on our transportation system – it slows down our commutes, supply lines and our daily lives.”

If you’re curious about the current quantifiable burden caused by booming population growth, the American Society of Civil Engineers (ASCE) gave Arizona’s roads a D+ grade in 2020, according to Ryan. “We must continue to fund innovative ways to manage demand,” she says, “and prioritize investments that sustain and maintain our transportation system to improve our class and provide safer, resilient, and more efficient systems for Arizona residents.”

At the University of Arizona (UArizona), CATS is at the forefront of infrastructure innovation, bringing together government agencies, private companies and educational institutions to improve transportation systems, with a particular focus on smart cities.

Yao Jan Wu

“Our goal is to reduce congestion and improve safety,” said Yao-Jan Wu, center director and associate professor of civil and architectural engineering and mechanics at UArizona.

Wu goes on to say that CATS has two main goals to achieve the above goals: Transition System Management Operations (TSMO) and Mobility on Demand (MOD). “These are the two main strategies for improving traffic on the part of transport operators and demand management,” he says.

Much of CATS’ strategy focuses not so much on fixing infrastructure problems by adding new roads as on how to improve existing roads.

“Building roads isn’t going to solve congestion problems, but traditionally people think, ‘It’s so congested. Why not build or expand a road?’” says Wu.

According to Wu, CATS invites a different perspective by encouraging people to think about the positive effects that can come from improving existing roads. “Without changing capacity, without investing billions of dollars in infrastructure, we should improve signal timing and how people drive, or change people’s minds about choosing a different mode of transportation,” he says.

Planes, trains and cars

Of course, investments in Metro Phoenix’s transportation and infrastructure aren’t just limited to roads.

“The Phoenix Airport System connects the region to 142 destinations both domestically and internationally, allowing businesses to operate at greater scale and reach,” says Camacho. “Its total economic impact in the greater Phoenix area is more than $38.7 billion annually.”

Those connections, says Camacho, are critical to attracting business internationally. “As a hub in the Southwest, Phoenix Harbor International Airport has the capacity to ship and receive more than 900 tons of air cargo per day, keeping supply lines open to the diversified industrial sector in the greater Phoenix area,” he explains, “and because it is financially self-sufficient.” is – conservation, public spending is limited.”

The Phoenix-Mesa Gateway Airport, SkyBridge, also offers an attractive logistics hub as the country’s first international domestic air cargo hub to house Mexican and US customs. Businesses looking to streamline transportation to and from Mexico can benefit from frequent cargo flights (expected to reach 10,000 by 2036).

David Krumwiede

As Arizona’s roads and airports continue to draw interest from businesses from around the world, so does another important mode of transportation. “The growth has generated great interest from new railroad companies and is creating new economic areas around our regional airports,” said David Krumwiede, senior executive vice president of Lincoln Property Company (LPC). “LPC alone has a number of Class A developments that count on proximity to regional airports for their tenant attraction and retention,” he says.

Green light for the global economy

A two-lane asphalt pavement, while charming in a small-town setting, does not constitute a global economic economy. Even when Phoenix Metro was in its humble beginnings, city, business and corporate leaders had the foresight and ingenuity to envision a future that would require robust infrastructure to support burgeoning economic development.

“This infrastructure has consistently proven attractive to companies locating in the greater Phoenix area, with nearly nine out of 10 jobs via the GPEC pipeline located within two miles of a freeway corridor,” says Camacho. “Continued investment means that existing infrastructure can be expanded in proportion to demand and that we can take proactive steps to reduce strain on the region’s transport ecosystem – conscious planning mitigates the unintended consequences of growth.”

Krumwiede points out that corridors like Loops 101, 202, and 303 — with the addition of new freeways — are attracting national and international companies to the valley, “creating thousands of high-paying jobs and expanding our economic diversification and stability,” he says. He also noted that “a wave of manufacturing and e-commerce employers are coming to our state, and one of the main reasons for that is our commitment to our transportation infrastructure.”

Then there’s I-10, a long-standing transportation hub and important economic factor that connects us to the ports of Los Angeles and Long Beach and, according to Krumwiede, “provides a convenient alternative to the high-priced and crowded Inland Empire warehouses and distribution market.”

In the West Valley, industrial activity along the 303 is hotter than ever, with notable transplants like Taiwan Semiconductor Manufacturing Company’s $12 billion manufacturing facility (Arizona’s largest land deal to date).

But industrial, advanced manufacturing, e-commerce, and logistics-based businesses aren’t the only markets moving because of the bounty of transportation. A recent article published by Arizona State University (ASU) reported that biomedical companies choose Phoenix in part for its “excellent public transportation.”

road work ahead

As a variety of industries find their way into the Valley, vigilance in infrastructure investments becomes increasingly important.

“We must continue to fund transportation routes like this and absolutely need to support Prop 400 in November, which extends our half-cent sales tax on transportation,” says Krumwiede. “If we can combine this with the continued development of utility infrastructure for things like power, water and sewage, Phoenix will remain extremely competitive within the region and even the nation.”

Proposal 400, originally approved by voters in 2004, extended the 0.5-cent sales tax on transportation by 20 years, expiring in 2025. According to the Land Economics Society (LAI), the extension of the proposal “is expected to bring in about $19 billion over 25-year-olds in the tax. The overall plan, including anticipated federal and other funds, is over $36 billion.”

If passed, the Prop 400 expansion will continue to help improve transportation that supports major development/population hubs like the Loop 303 and allows for “35 miles of improvements” along the corridor, according to the Maricopa Association of Governments (MAG ). As Maricopa County’s population continues to grow, measures like the Prop 400 are critical to meeting increasing transportation infrastructure demands not just in the West Valley but throughout the greater Phoenix Metro area.

Wu adds, “We actually need to explore new technologies to see how we can use them to solve our daily traffic problems or transportation problems. That’s why, with research grants from local and federal sources, we’re able to continuously examine all of these questions. With this [IIJA] grant we can actually help make our system safer and more efficient.”

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