Portland Public Schools’ proposed school modernization bond would provide a significant boost to the local economy – adding almost 2,600 jobs in the Portland region and $222 million in personal income over the six-year construction time-period, according to an analysis by a local economic consultant firm.
November, the school district commissioned ECONorthwest to measure the
local economic impact of a $548 million, six-year school modernization
bond. The bond would update learning environments and upgrade safety,
security and building systems at every PPS school. At a rate of
approximately $2 per $1,000 of assessed value, the bond would cost the
median homeowner about $25 per month.
Carole Smith noted, “We know that jobs and the weak economy are very
much on people’s minds as they consider investments in our school
facilities. We wanted to be able to answer that basic question: What
impact will this have on the local economy?”
Economist Alec Josephson of ECONorthwest measured three types of projected impacts to the local economy:
- Direct impacts in the form of jobs and income for local construction workers, manufacturers, contractors, architects and project managers.
- Indirect impacts
such as business-to-business transactions within the supply chain, for
example, contractors purchasing concrete, wood and steel for
- Further impacts such as increased spending by newly employed workers and businesses.
local property owners would finance the project, Josephson accounted
for a reduction in personal spending across the region to arrive at the
net economic impact. His findings are summarized in the table below.
Type of impact
(Bond program expenditures)
Reduced household spending
study focused on the immediate impact modernization spending could have
on the Portland metro area,” Josephson said. “Although we didn’t
quantify it, I would also expect to see benefits across Oregon.” For
example, he noted, “there’s a good chance a lumber mill in Roseburg
could benefit from supply-chain sales related this program.”
Portland School Board is holding a public hearing on the proposed
school bond measure this evening, Tuesday Dec. 1 at 5:30 p.m. at the
Blanchard Education Service Center, 501 N. Dixon Street.
Community input – from principals, teachers, parents and community members – already is prompting
to the superintendent’s original proposal. A board committee will
review the final package on Tuesday, Dec. 7, before the Portland School
Board votes on placing the modernization bond on the May 2011 ballot.
More information about the proposed bond is available online, including a
of the proposed school modernization plan; a detailed
of improvements proposed for each school;
to frequently asked questions and.a
of safety, building system and educational updates at schools across the district.