Economic Impacts of Oregon s Brownfields Programs

Transcription

1 Economic Impacts of Oregon s Brownfields Programs October 2014 Prepared for: Oregon Business Development Department ECONorthwest

2 Contact Information ECONorthwest (ECO) specializes in economics, planning, and finance. Established in 1974, ECONorthwest has over three decades of experience helping clients make sound decisions based on rigorous economic, planning, and financial analysis. ECONorthwest gratefully acknowledges the substantial assistance provided by staff at Maul Foster & Alongi, Redevelopment Economics, and Blue Mountain Economics. Many other firms, agencies, and staff contributed to other research on which this report relied. Lorelei Juntunen, Emily Picha, and Carsten Jensen prepared this report. ECONorthwest is solely responsible for its content. Throughout the report we have identified our sources of information and assumptions used in the analysis, and described our analytic techniques and their limitations. Within the limitations imposed by uncertainty and the project budget, ECO has made every effort to check the reasonableness of the data and assumptions and to test the sensitivity of the results of our analysis to changes in key assumptions. ECO acknowledges that any forecast of the future is uncertain. The fact that we evaluate assumptions as reasonable does not guarantee that those assumptions will prevail. For more information about ECONorthwest, visit our website at For more information about this report, please contact: Lorelei Juntunen ECONorthwest 222 SW Columbia Street Portland, OR

3 Table of Contents 1. Findings and Conclusions Summary Economic Impact Summary: Methods and Findings Policy and Programmatic Findings Conclusion... 13

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5 Brownfields are: A brownfield is a vacant or underused property where actual or perceived environmental contamination complicates its expansion or redevelopment. Common examples include former gas stations, dry cleaners, and industrial properties. 1. Findings and Conclusions Summary InOregon,fourmajorstatesponsoredprogramssupportremediationof environmentalcontaminationthroughacombinationoffundingforsite assessmentandcleanupandtechnicalassistancetopropertyowners.forthe purposesofthisstudy,econorthwestcompiledadatabaseof250sitesthathad receivedeithertechnicalorfundingassistancethroughoneofthosefourstatec sponsoredprograms. 1 Thedatabaseincludedprojectsassistedbetween1994and 2013bythefourprograms(seesidebaronthefollowingpage)administeredby eithertheoregonbusinessdevelopmentdepartmentdbabusinessoregon (OBDD)ortheOregonDepartmentofEnvironmentalQuality(ODEQ).The projectsaddressedcontaminationinnearlyeverycountyinthestate(30outof36 counties),includinglargeindustrialproperties,commercialandmixedcuse properties,andopenspaceandparklands.todate,nodatahavebeenavailable todescribetheroletheseprogramshaveplayedinadvancingtheredevelopment ofcontaminatedproperties,orhowtheredevelopmentshaveaffectedstateand localeconomies. BusinessOregonmanagestwofinancingprograms thestatecfundedbrownfield RedevelopmentFundandthefederallyCfundedOregonBrownfieldsCleanup Fund whichprovidefinancingassistancetoprojects,ofteninconjunctionwith, orsequentiallywith,thedeq sprograms.theconsultantteamof ECONorthwest,MaulFoster&Alongi,BlueMountainEconomics,and RedevelopmentEconomicswascontractedtoevaluatethecommunityand economicimpactsofthoseprograms.specifically,theteamfocusedon identifyingandquantifyingtheeconomicimpactsofredevelopmentthat occurredaspartoforfollowingcleanupoftheproperty. Thestudymethodologyandanalysiscomprisedthreesteps:(1)asurveyof programparticipantsregardingdevelopmentoutcomes;(2)supplemental researchtoverifyandexpandonsurveyfindingsincludingcasestudyand nationalbestpracticesresearch;and(3)aneconomicimpactsanalysis.this documentsummarizeskeyfindingsandconclusionsfromtheresearch,with detailedmethodologyandsurvey,casestudy,andimpactanalysisfindings includedasappendices. 1 DEQadministersanumberofotherprograms,includingtheLeakingUndergroundStorage ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 1

6 Programs Evaluated Business Oregon Programs: Brownfield Redevelopment Fund. Grants and loans to public and private property owners for projects that are designed to facilitate economic development or community revitalization. Brownfields Cleanup Fund. Grants and loans to public or private property owners for cleanup only on projects that result in economic or community redevelopment. 2. Economic Impact Summary: Methods and Findings Thisstudy smainpurposewastoevaluatetheeconomicimpactsof redevelopmentonpropertiesthatreceivedassistancefromoneorseveralofthe stateprograms.asshowninexhibit1,thedatafortheeconomicimpactanalysis drewfromsurveyfindingsandsupplementalresearch,resultinginfocusonthe following92studysites: 54sitesforwhichdataweregeneratedviadirectsurveyoftheparticipants thatinteractedwithstateprograms 38sitesforwhichdataweregeneratedviasupplementalresearch(internet research,aerialimagery,assessors databases) Exhibit 1. Sites Evaluated: Summary of Methods DEQ Programs: Orphan Site Program. DEQ funds remediation at sites where the owner or liable party is unknown, unable, or unwilling to pay for needed cleanup. Prospective Purchaser Agreements. In return for liability relief, prospective buyers of contaminated sites negotiate an agreement with DEQ, requiring buyers to implement remedial action or other substantial public benefit. This program does not provide direct monetary support to projects. Site-Specific Assessment Program. Site-specific assessment assistance is provided by DEQ, utilizing federal EPA funds awarded to the State to evaluate environmental contamination on potential brownfield sites. ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 2

7 Aftercollectingdataonprojectdevelopment,ECONorthwestusedaninputC outputmodeltotrackdollarsastheymovedthroughoregon seconomyfrom onesectortothenext,startingwithinitialexpenditures. 2 Themodeldetermined thetotalnumberofjobs,amountofincome,anddollarsofeconomicoutputthat couldbetracedtotheinitialproject. Remediatingenvironmentalcontaminationisjustoneamongmanyvariables thatleadtopropertyredevelopment,resultinginacomplexcausalrelationship betweeninvestmentsinbrownfieldsremediationandredevelopment.forthese reasonsandothers,thisstudy smethodologyprovidesan^orderofmagnitude^ approachthatadvancesavailablepublicinformationabouttherelativeimpacts ofthestate_sbrownfieldsprograms,andleadstoconclusionsandfindingsthat canimproveserviceprovisioninthefuture.fulldetailsofthemethodscanbe foundinappendix*b:*technical*methods*and*initial*findings.overviewsofselect projectscanbefoundinappendix*a:*case*studies. The92stateCsupportedbrownfieldprojectsforwhichdatawereavailable generatedthefollowingimpacts: Redevelopment+outcomes+ Redevelopmenthasoccurredonmanyofthepropertiesforwhichdata wereavailable.about+88%+of+these+properties+have+redevelopment+ completed,+underway,+or+planned.+morespecifically: 30projectshaveredevelopmentplannedinthecomingyears. 51projectshaveredevelopmenteithercompletedorunderway. The51propertiesgeneratethequantifiableeconomicimpactsdescribedin theremainderofthereport.additionalredevelopmentmayhaveoccurred onotherpropertiesforwhichdataarenotavailable. Construction+jobs+and+investment+ The51completedorunderwayprojectsgenerated$814+millioninprivate constructioninvestment. +3 Constructionactivitiesonthesepropertiesgenerated5,100directand 3,800indirectjobs. 2 ECONorthwestusedIMPLAN(regionaleconomicmodelingsoftware)toestimateconstruction employmentdirectlyresultingfromdevelopmentactivity. 3 Unlessotherwisenoted,alldollarfiguresinthisreportarepresentedin2011dollars. ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 3

8 Includingthe30additionalprojectsforwhichredevelopmentisplanned leadstoaprojectionofa$1.4billionininvestmentandtotalof12,700 constructionjobs(directandindirect). Permanent+jobs+ Forthe51completedorunderwayprojects,4,300permanentjobsare directlyattributabletotheredevelopment.intotal,8,900+indirect+and+ direct+jobsresultedfromoncsiteoperations. Almost+60%+of+jobs+are+in+industrial+sectors,whichmeansthatthe brownfieldsprogramsareimportantcontributorstothestate seconomic base. Tax+revenues+for+state+and+local+governments+ $19.4+million+in+state+income+taxesaregeneratedannuallybytheongoing operationsofthebusinessoccupants(directimpactsonly). Asmuchas$10.5+million+in+annual+property+taxesflowtolocal governments. 4 Appendix*C:*Detailed*Results*of*survey*and*I/O*analysisprovidesadditionaldetail regardingthesefindings,aswellasafullreportingofthesurveyfindings. 3. Policy and Programmatic Findings 1. While redevelopment on brownfield sites generates community development,, environmental, and health benefits, economic development is the primary motivation for local governments to assist in remediation. Addressingsoilandgroundwatercontaminationreduceshumanexposureto toxinsandimproveshabitatforprotectedandotherspecies.becausebrownfields aredisproportionatelylocatedinlowercincomeareas,removingblightand sourcesoftoxicexposureisalsoimportanttoachievingsocialequityand environmentaljusticeoutcomes.whiletheseoutcomesareveryimportant,the primarymotivatorofactionforsurveyrespondentswaseconomic:brownfields createblightandhindertheabilitytomakeefficientuseofthelandsupply. TheeconomicimpactsanalysisdescribesthekeyshortCandlongCtermeconomic impactfindingsforthe92studysitesforwhichredevelopmentinformationwas compiled.thestateoforegonspentnearly$19millionthroughbrownfields programsonthe92sitesanalyzedinthisstudy.thereturnonthisinvestmentfor 4 Propertytaxabatementprograms,suchasEnterpriseZones,werenotconsideredinthisanalysis andmayreducethistotalpropertytaxestimate. ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 4

9 Oregon scitizensandlocalgovernmentsisnoteworthyandthecontinuing economicdevelopmentoutcomesaresignificant. Ofnote,redevelopmentonbrownfieldshasgeneratedeconomicoutcomesfor: Oregon s+residents,throughjobsandassociatedearningscontainedinthe redevelopedsites,asfollows: $470millionannualearningsthroughonCsitejobsonprojectsthathave alreadyredeveloped $610millioninprojectedannualearningsfortheonCsitejobsthatwill becontainedonplannedprojects $532millionintotalearningsthroughconstructionjobsonprojectsthat haveredevelopedorareplannedtoredevelop Local+governments,throughpropertytaxesandredevelopment,as follows: $10.5millioninpropertytaxrevenueforprojectsthathavealready redeveloped 5,6 $600millioninvestedinredevelopmentprojectsamongthesites analyzedinthisstudy,withanother$211millionunderwayand$566 millionplanned State+general+fund,throughincometaxrevenues,asfollows: $19.4millionannuallythroughexistingonCsitejobs $22.8milliontotalforconstructionjobsonexistingprojects Brownfieldsprogramshaveaclearimpactonredevelopmentthroughoutthe state.asaresultofstateinvestmentthroughthebrownfieldsprograms,about $600millionofprivateinvestmenthasbeenmadeintheredevelopedprojects analyzedinthisstudy,withanother$211millionintheprojectsthatare underway,foratotalof$811millioninthe51projectsthatareeitherconstructed orunderway.another$566millioninnewinvestmentwillbemadeinthe30 plannedredevelopmentprojects.thisisatotalofabout$1.4billioninexistingor plannedinvestmentonremediatedsites. 5 Theestimatedimpactonlocalpropertytaxesdoesnotaccountfortheuseofpropertytax abatementprogramsforspecificprojects. 6 Thecatalyticeffectonnearbypropertiescouldincreasethisamountby4.9%to11.1%.Ifnational estimatesholdtrueinoregon,weestimateanadditional$2.4millioninlocalpropertytaxes attributabletobrownfieldscleanupsatthe92studysites(seeappendix*bformoredetails). ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 5

10 Exhibit2showshowmuchinvestmentwasmadeforevery$1thestateinvested inbrownfieldremediationprojectsusingallstateprograms.foreverydollarthe stateinvested(throughallprograms)inthe92completedbrownfields redevelopmentprojects,anadditional$116wasinvestedtoward redevelopment. 7 Theseratiosmaycaptureinvestmentsfromanumberoflocal sourcesthatthestateprogramsleverage.forexample,someoftheprojectsmay haveleveragedadditionallocalincentives(suchastaxincrementfinance, infrastructureinvestments,etc.)thatalsocontributedtotheredevelopment outcome.thestateprogramsarecriticaltounlockingtheredevelopment potentialontheseprojects. Exhibit 2. Amount of Redevelopment Spurred by $1 Investment through Brownfield Program All State Programs Total $73 Redevelopment Planned $67 Redevelopment Underway $82 Redeveloped $116 Source: OBDD Database and ECONorthwest Team research. Note: This chart includes redevelopment associated with the PPA program, a technical assistance program that does not have state investment associated with it. AsshowninExhibit3,forbrownfieldsredevelopmentprojectsparticipatingin OBDDprograms,everydollarofstatefundsinvestedinnowCcompletedprojects spurredanadditional$15towardredevelopment. 7 ThisleverageratioissimilartofindingsfortheMassachusettsBrownfieldsTaxCreditprogram andishigherthantheleverageratioscalculatedforbrownfieldsprogramsinnewyork,missouri, andohio,aswellastheleverageratiofortheusepabrownfieldsprogram.however,itwould takeamoreincdepthcomparativeanalysistomakeadefinitivefinding,becauseoftheneedto controlforvariationsinmethodologiesandexpenditurescounted. ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 6

11 Exhibit 3. Amount of Redevelopment Spurred by $1 Investment through Brownfield Program OBDD Only Programs Total $35 Redevelopment Planned $22 Redevelopment Underway $86 Redeveloped $15 Source: OBDD Database and ECONorthwest Team research. 2. State funding and support is critical. The study found that more than 5,600 industrial jobs (60% of all jobs generated from ongoing operations) can be attributed to new activities resulting from completed or planned redevelopment on brownfield sites. Oregon exceeds Massachusetts, New York, and Missouri in the percentage of industrial jobs created on redeveloped or re-used brownfield sites. Brownfieldredevelopmentprojectscanbecomplex,requiringmanypartners andfinancingsourcestomoveforward.inthiscontext,statefundingand technicalsupportcanserveasacatalysttoactionthatcanhelpfillproject fundingandprocessgaps.exhibit4showstheredevelopmentstatusforthesites representedbysurveyrespondents. Exhibit 4. Summary of Redevelopment Status by Brownfield Program, Survey Respondents OBDD Fund Orphan Fund No Redevelopment Planned or Not Cleaned Up Cleanup Underway SSA Completed or Planned Redevelopment or Re-use PPA 0% 20% 40% 60% 80% 100% Source: ECONorthwest, Note: Sites that were categorized as No redevelopment planned/not cleaned up included open space sites and sites that had a use in place, but had contamination that needed to be addressed. ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 7

12 Whereredevelopmentwascompleted,underway,orplanned,91%ofsurvey respondentsreportedthatthestateassistancethroughbrownfieldsprograms wascriticalorimportant.respondentsprovidedfeedbackforhowthestate programaffectedtheproject: FundingfromOBDDwastheonlyeconomicalwaytoassistmeetingthe publicpurposeidentifiedforthesite. Aproject,40yearsinthemaking,wouldnothavebeencompleted withouttheassistanceoftheoregonbrownfieldsprogram.theamountof environmentalcontaminantsthatexistedatthesitemadethesitevirtually unusableandexposedanearbyanddownwindsubdivisiontothese contaminants.theprojectremovedthesethreats. Survey respondents and case study interviewees emphasized that land is a fundamental building block for community and economic growth, and that the additional cost and uncertainty associated with the presence of brownfields reduce a community s ability to achieve its fiscal, land use, and environmental health goals. Atthesametime,aboutathirdofrespondentsreportedthattheproject stimulatedadditionalinvestmentinnearbyproperties,butabouthalfofthe respondentswereunsureifitdid.thesurveyrespondentswhoreportedthatthe projectstimulatedotherredevelopmentwereabletonamespecificnearby activitiesthatresultedfromcleaningupthecontaminatedsite.someofthe commentsinclude: Aninvestorpurchasedaderelictwarehousebetweentheredeveloped siteandthedowntownandisrenovatingitforabrewpub. + Theaskingpriceforaneighboringparcelwentupby$2millionafterwe closed Brownfields create a significant constraint to land development. Brownfields redevelopment is a key strategy for meeting the state s growth management and economic development goals of creating vibrant communities and preserving resource lands. In2013,theCityofPortlandandMetroRegionalGovernmentcompleted complementarypolicystudiesdesignedtoexaminetheeconomic, environmental,andsocialimpactsofbrownfieldpropertiesintheirrespective jurisdictions.thesestudiesprovidedaframeworktograspthescaleandimpact ofbrownfieldsandtopresentpolicyoptionsthatwouldencouragetheircleanup andredevelopment.thestudiesrevealedthatenvironmentalcostsandrisks inhibitcleanup,communityrevitalization,andeconomicdevelopment. Specifically,thestudyfoundthatbrownfieldsinthePortlandmetropolitanarea: Limit+opportunities+for+job+creation,+especially+in+industrial+areas,+ commercial+hubs,+and+main+streets.fullbuildoutofallbrownfieldsin theportlandmetropolitanareawouldcreate69,000jobsonthosesites. ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 8

13 Nationally, EPA studies conclude that, on average, brownfields redevelopment uses ¼ to ½ less land than alternative development. 9 They also result in as much as a 30% reduction in vehicular emissions and a 40% reduction in stormwater run-off, in comparison to alternate development patterns. National research also ties brownfields redevelopment to substantial savings in both initial infrastructure investment (at least a 20% reduction) and in city service operating costs (at least a 5% reduction). Exacerbate+health,+social+equity,+and+environmental+justice+issues,+ especially+in+underserved+communities.approximately50percentof siteslistedindeq secsidatabaseintheportlandmetropolitanareawere within1,000feetofsensitiveenvironmentalareas,suchaswetlands and streams. Increase+pressure+for+development+in+natural+areas.InthePortland Metroarea,wherelandforhousingisscarceandtherearepressing infrastructureneeds,fullbuildoutofbrownfieldspropertiescould accommodate138,000newdwellingunits,saveupto$480millionin publicinfrastructureinvestment,andsubstantiallydecreasetheneedto buildinundeveloped,naturalareas. Thisevaluationestimatesthat: 8 Oregonhasabout13,500siteswithknownorsuspectedcontamination 10 Roughly35%ofbrownfieldsiteshaveundergoneassessmentoratleast somecleanupactivities Atleast23%ofbrownfieldsitesareremediatedtoapointwheretheDEQ hasissuedanofurtheractionletter Approximately4%ofallbrownfieldsitesareundergoingcleanup Asmanyas10,000brownfieldsiteshavenotundergoneanyassessmentor cleanupactivities(65%ofknownandsuspectedbrownfieldsites) 54%ofbrownfieldsarelocatedineconomicallydistressedcounties 76%ofbrownfieldsarelocatedwithinanurbangrowthboundary AsshowninExhibit5,Oregon sbrownfieldsitesareconcentratedaroundcities andalongoradjacenttomajortransportationcorridors(highway,rail,and marine).theyalsoaffectruralcommunities,typicallyintheformoflargecscale industrialproperties,mills,lumberyards,woodtreatmentfacilities,and agriculturalsites.thesesitesmakeitdifficultforstrugglingcommunitiesto redevelopinfrastructureandrevitalizetheirlocaleconomy. 8 MFA analysis of DEQ s Environmental Cleanup Site Information database (ECSI) and nonresidential properties in the Leaking Underground Storage Tank (LUST) database. 9 USEPAOfficeofBrownfieldsLandRevitalization, AirandWaterQualityImpactsof BrownfieldsRedevelopment:AStudyofFiveCommunities, BasedonsitesidentifiedinDEQ secsiandlustdatabases. ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 9

14 Exhibit 5. Brownfields in Oregon ECSI LUST County Boundary Source: Maul Foster and Alongi, This study resulted in a first look at the state-wide economic benefits of redevelopment on former brownfield sites, and found a substantial return on the state s direct investments in projects: for every dollar invested in redeveloped properties in the OBDD Program, about $34.60 in total private construction investment was returned, with a return of $58.40 on those projects with redevelopment either complete or underway. Whilevariousstateagencieshavebeeninstrumentalinmovingmanyofthese sitestocompletion,asmanyastwoqthirds+of+the+total+number+of+estimated+sites+ in+oregon+still+have+not+undergone+any+assessment+or+cleanup+activities.these remainingbrownfieldsitescreateblightincommunitiesaroundthestateand consumevaluable,developablelandwithindowntownareasandbusiness districts. ThisstudyconfirmsthatthebrownfieldsCrelatedchallengesidentifiedinthe PortlandMetropolitanRegionare,infact,statewidechallenges.Brownfields hindertheimplementationofgrowthmanagementpoliciesinnearlyevery cornerofthestate.surveyrespondentsandcasestudyintervieweesemphasized thatlandisafundamentalbuildingblockforcommunityandeconomicgrowth, andthattheadditionaluncertaintyandburdenassociatedwiththepresenceof brownfieldsreduceacommunity sabilitytoachieveitsfiscal,landuse,and environmentalhealthgoals.thelocationofbrownfieldscaninhibitnew developmentinalreadyurbanizedareasandlimittheabilitytodevelopvital, attractivecommunitiesandmakeefficientuseofland.thisleadstounnecessary pressuresonurbangrowthboundaries.addressingbrownfieldproperties ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 10

15 supportsoregon slanduseframework,preservingnaturalresourcesandquality oflifewhileallowingoregon scommunitiestogrowandprosper. 4. Because of the complexity of projects, access to a range of programs and tools remains very important. Tocontinuetoaddressthebrownfieldschallengeacrossthestate,partners shouldfocusonmaintainingexistingprogramsaswellasadditionstothetoolkit. Thisevaluationfoundthateachofthestate sprogramshasitsstrengths,whether theyareprovidingassistanceataspecificstageintheredevelopmentprocessor addressingpropertieswithcomplicatedownershiporusepatterns.importantly, estimatedreturnsonredevelopmentoutcomesweregreaterwhenallstate programswereconsidered:one*dollar*of*investment*returned*$116*in*total* construction*value*of*redevelopment.thisratioincludedprogramsthatprovide technicalassistanceratherthandirectprojectfunding(suchasdeq sppa program),whichskewedtheresultsasameasureofreturn,butofferedinsight intothevalueofprovidinganarrayofprogramsthataddressthecompleterange ofchallenges. About 12 of the 92 sites accessed more than one program, emphasizing the need for a range of tools to address complexity of redevelopment projects. Insomecases,aprojectwillusemorethanonestateprogramduring remediationandredevelopment.recapitalizingandcommittingtoexisting programs,suchasobdd sbrownfieldredevelopmentfundanddeq sorphan Fund,increasesthecertaintythatthesetoolswillremainavailableforlocal jurisdictions,privatecsectorinvestors,andbrownfieldslandholders. Atthesametime,existingprogramsareinsufficientforremediatingall propertiesinanyreasonabletimeframe.animportantstepindeterminingthe bestandmostcostceffectiveadditionstoexistingprogramswillbepartnering withlocalgovernmentsandotherleadersinenvironmentalremediation.efforts areunderwaytobetterunderstandthestatusofbrownfieldsandtheeffectsthat theyarehavingonoregon scommunities.throughtheworkofseveralpolicy studies,leadersinbrownfieldpolicyarelookingatoptionsforencouraging brownfieldcleanupandredevelopmentusingnewinitiatives,programs,and funding.acomponent*ofthismaybeastatewidelegislativeagendafor upcominglegislativesessions.otherstates effortscanprovideamodel,with toolsthatincludebrownfieldcleanuptaxcreditsandabatements,landbanks, targetedregulatoryamendments,andqualifiedprofessionallicensingprograms, topromoteefficientandsuccessfulcleanupprocesses. 5. The state could better prepare its programs for future evaluation or analysis with clarified program outcomes and improved data tracking that would help to quantify program impacts over time. ForallgovernmentCledprograms,trackingoutcomesanddescribingimpactsis increasinglyimportant,bothtosecurefuturefundingstreamsandasabasisfor improvingprogramimplementation.theprocessofgatheringdataabout ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 11

16 redevelopmentoutcomestocompletethisevaluationwascomplexandtimec consuming,suggestingthatthestatecoulddomoretodescribeexpected programoutcomesandtotrackdataovertime. Developingmeaningful,rigorousestimatesofprogramimpactsrequiresa foundationalworktoensurethatprogramevaluationproducesuseful quantitativemeasuresofprojectbenefits,andcanaccuratelyreflectwhetheror notindividualprojectshavemetestablishedgoals.remedyingthesituation describedaboveinvolvesdevelopingamoreintentionalevaluationframework. Theframeworkshould: Clarify+and+confirm+desired+program+outcomes.Forexample,isthe programgoalpropertycleanup,propertyredevelopment,orboth? Furthermore,should redevelopment bedefinedasprimarilyan economicmetric,orincorporatelesstangiblemeasuresofcommunity wellcbeing? Identify+quantifiable+outcome+measures+(or+metrics)+directly+related+to+ the+program+goals+that+are+measurable+over+a+reasonable+time+frame. Whileeachprogramcurrentlyhasgoalsassociatedwithit,itisnotclear thatthosegoalsaretiedtometrics.thestateshouldalsocommitto evaluationoverasufficientlylongperiodoftimetoobserveimportant projectoutcomes.redevelopmentcantakemanyyearstocomplete. Identify+sources+for+the+data+necessary+to+calculate+identified+outcome+ measures.somemeasuresmayrequiredevelopmentofnewdatasources (e.g.,propertyownerordevelopersurveys). ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 12

17 4. Conclusion Thisevaluationhasresultedinabetterunderstandingoftheextentof brownfieldsacrossoregon,theeconomicandcommunitybenefitsthatresult fromredevelopmentonbrownfieldsites,andthedegreetowhichbrownfields arehinderingeconomicandcommunityrevitalization.thefindingsfromthis analysisemphasizejusthowcriticaladdressingbrownfieldsistoourstate s abilitytogrowandprosper. Thestudyalsohighlightsgapsinourknowledgeaboutbrownfields.Thereare manybrownfieldsthateitherremainundocumentedorhavenotbeenevaluated, andoregon_sprograms,whilesuccessfulinmanycases,areinsufficientto addressallofthesesites. Thefindingsmakeclearthatpublicsectorinvolvementinbrownfield redevelopmentisoftenthedifferencebetweenlingeringblightandcommunity revitalization,especiallyinareasofthestatewithlargegapsinfinancial feasibility.forprojectsthathavebeenredeveloped,thestatehasseenover tenfoldreturnonitsinvestmentsinobdd sbrownfieldredevelopmentfund, withmorethan$15ofinvestmentgeneratedonredevelopedsitesforevery$1 invested.theinterplaybetweenthefourprogramsevaluatedshowsthatnoone toolwillsufficeinhelpingtoremediateoregon sbrownfields.thestateandits partnerswillneedtobecreative,collaborative,andproactiveincreatinga comprehensivetoolkittoaddressthecontinuingchallengeofspurring brownfieldsredevelopment. ECONorthwest Economic Impacts of Oregon s Brownfield Programs Summary 13