• Home
• Introduction
• Innovation and Entrepreneurship
• Infrastructure
• Education
• Recommendations for Sustained Excellence for Policy Research & Implementation

Infrastructure

Traffic congestion and the high cost of energy are some of the largest obstacles to business growth in Connecticut.  With available federal stimulus dollars and the public's focus on "green jobs" now is the time to put these projects at the forefront. Establishing such a priority would confront head-on what discourages businesses from locating or staying in Connecticut.

Investment in infrastructure provides both short-term economic stimulus and long-term competitive advantage. Infrastructure projects create a large number of jobs that generally pay well. They provide public benefits long after they are completed. If properly conceived and executed, they can benefit the environment and reduce energy usage and cost. 

The Roundtable recommends maximizing job creation through state bonding.  At this moment we can take advantage of historically low interest rates and lower construction costs which will make our dollars go further.

It is also worth mentioning that, investing in a strong energy infrastructure will also positively impact job creation and make the electric supply system stronger and more reliable, allowing access to multiple generation sources.  Rather than delve into policy regarding rate structure, the group focused on energy efficiency, which is the quickest way to drive down energy costs. One recent study demonstrated that for every $1 we invest in energy efficiency we put $6 to $8 back in the Gross State Product.¹⁸  That being said, the group does recognize the need to address energy costs as fundamental to the future economic health of the state, but that task was beyond its scope of expertise.

The three areas that the Roundtable suggests focus on are:

1. Transportation

2. Water

3. Energy

A. Transportation

• Invest capital funds in double-tracking the New Haven to Springfield rail line, and advocate for one-seat high speed rail service between the Hartford area and New York City and beyond – leveraging Connecticut's proximity to New York City's  financial mega center by encouraging support service companies and workers to locate here.

• Invest capital funds in multi-modal transit systems in the state's metropolitan areas, to facilitate access between housing and jobs and decrease vehicle miles traveled.  Transit reduces costs to workers and companies, and has the positive side benefits of using less energy and reducing the production of carbon and greenhouse gases.

• Rebuild and enhance wastewater treatment facilities using Clean Water Fund and federal stimulus dollars. This is a highly productive way to create jobs, and has positive benefits for the environment.  It is estimated that between 10 and 100 direct and indirect jobs are created for every $1 million spent.  The current level of Clean Water Fund allocations will create a minimum of 2,600 jobs.  Improved water quality will grow local businesses access to sustainable fisheries and open prime state shellfish beds, and promote healthy tourism by maintaining open beaches. The Clean Water Fund can be made more flexible. 

• Encourage investment in green infrastructure as a water management strategy.

C. Energy

• Provide incentives (using the Clean Energy Fund and other sources) to enhance energy efficiency in the initial construction and the rehabilitation of homes and businesses, and to promote distributed generation facilities that use "green" resources, including but not limited to fuel cell, solar, hydro, geothermal and wind.  One of the most cost-effective ways to lower energy costs is to reduce the demand for fossil fuels. Using energy more efficiently also has a beneficial impact on the environment.¹⁹
• Provide incentives for the manufacturing of green energy products.
• Create competitive grant program for schools to make energy efficiency improvements and allow for energy efficiency upgrades of schools to be funded by school construction bonding.
• Allow for municipalities to site renewable generation on their buildings that are owned/installed by private entities.  And, design policy that would allow those municipalities to capture energy cost savings in return for doing so.
• Create and support financing mechanisms for residential users to make efficiency improvements. Allowing for municipalities to do "green bonding".  This concept, according to the Clean Energy Fund, will enhance potential for federal approval as they award dollars to green projects. This would allow homeowners to borrow for efficiency projects and pay back via property tax payment.  Obligation for repayment transfers to a new owner.  Some have suggested the payback of borrowing could be via utility bills, allowing the consumer to capture some of the energy costs, and also payback the loan via the utility bill.
• To promote more efficient use of existing infrastructure, incent functional collaboration among municipalities.

No Cost/Low Cost actions that might also be considered

More Information about recommended actions and other possible actions

¹⁸Environment Northeast, "Energy Efficiency: Engine of Economic Growth, A Macroeconomic Modeling Assessment, pp. 29-30.

¹⁹Direct state investment in clean energy enterprises also supports innovation and job creation.  See, especially, "The CleanEnergy Economy: Repowering Jobs, Businesses and Investments Across America" (Pew Charitable Trusts, 2009), located at http://www.pewcenteronthestates.org/uploadedFiles/Clean_Economy_Report_Web.pdf

Members:

Representative Denise Merrill
House Majority Leader

Senator Martin Looney
Senate Majority Leader

Senator Gary LeBeau

Representative Chris Perone

Representative Brendan Sharkey

Representative Jeffrey Berger

Representative Peggy Sayers

Fred Carstensen
Connecticut Center for Economic Analysis

Bill Cibes
Chancellor Emeritus of CSU & former OPM Secretary

Richard Cole
CT Academy for Education in Mathematics, Science & Technology

Karla Fox
UConn School of Business

Elliot Ginsberg
Connecticut Center for Advanced Technology

Theresa Hopkins-Staten
Northeast Utilities

Ed Marth
American Association of University Professors

Mike Meotti
Department of Higher Education

John Meyers, Consultant

Matthew Nemerson
Connecticut Technology Center

David Pepin
Next Generations Venture, LLC

Bob Tessier
Connecticut Coalition of Taft-Hartley Health Funds

Lyle Wray
Capitol Region Council of Governments