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 RICHMOND, VA. — The proposed Route 460 Corridor - Interstate 85 Connector Improvement Project between Hampton Roads and Petersburg will do far more than present an alternative to the congested I-64 corridor, according to a new report released by Chmura Economics, a national consulting firm based in Richmond. Chmura's study states that the $1.6 billion project to provide a new four-lane highway linking the Port of Virginia to commercial and population centers to the south and west will have an annual economic impact by 2020 estimated at $7.3 billion, supporting 14,120 jobs in the corridor, and $5.7 billion, supporting 11,255 jobs in the Hampton Roads area alone.

"The Route 460 Corridor -I-85 Connector Project has been, and will continue to be, one of my top priorities as governor," said Governor Bob McDonnell. "The new highway will not only reduce citizen travel times, but it will help create much-needed jobs and economic development in some of Virginia's communities that have been hardest hit by the economic recession. The Port of Virginia is one of the Commonwealth's greatest economic assets. Over the coming years, the port is expecting to undergo tremendous growth, but it cannot achieve this growth without the infrastructure and support systems necessary for a thriving port. The proposed new Route 460 – I-85 Connector will help address these infrastructure concerns and, combined with the proposed Economic Development Zone, will provide an incentive to grow for the many different businesses and support facilities that will help create jobs for thousands of Virginians."

In conjunction with the Route 460 – I-85 Connector Project, McDonnell has proposed creating the Route 460 Corridor Interstate 85 Economic Development Zone as part of his comprehensive Port of Virginia Promotion and Reform Package (HB 1183/SB 578). Any company involved in the manufacturing of goods that are shipped through the port or that are involved in maritime commerce, that locates within the zone, and meets the job creation thresholds will receive a two-year exemption from corporate taxes. The purpose of this exemption is to help fully develop the manufacturing and support facilities needed to create jobs and help the port grow.

Chmura's report goes on to highlight a number of the potential economic impacts of the new highway:
• From 2012 through 2016, the construction of the project can generate an annual economic impact of $559.1 million supporting 4,295 jobs in the Route 460 corridor and $151.5 million supporting 1,182 jobs in the Hampton Roads area.
• Starting in 2020, the project can provide $133.1 million in annual costs savings for businesses and residents in the corridor and $71.9 million for businesses and residents in the Hampton Roads area as a result of reduced travel times.
• Starting in 2020, Route 460 can support 40 services businesses, directly sustaining 689 workers, with a subsequent impact of 975 jobs and an annual economic impact of $112.9 million in the Route 460 corridor.
• Starting in 2020, Route 460 can support 22 service businesses, directly sustaining 394 workers, with a subsequent impact of 550 jobs and an annual economic impact of $63.6 million in the Hampton Roads area.
• As a result of the project, state government will receive an additional $59.3 million in annual tax revenues while local governments will receive $3.7 million and $2.5 million in the Route 460 Corridor and Hampton Roads area, respectively.

Speaking about today's announcement, Secretary of Transportation Sean T. Connaughton said, "The Route 460 project is critical to the economic vitality of the Port of Virginia, Hampton Roads, and Southside Virginia. Construction of the new project will not only provide much needed link to many of the manufacturing facilities located along the I-85 corridor, but it will create much-needed jobs from Virginia Beach to Chesapeake, Suffolk, Isle of Wight and the Tri-Cities areas."

A full copy of Chmura's report can be found at www.transportation.virginia.gov/initiatives/R460_EconomicImpact.pdf.