July 23, 2013
What kind of positive economic impact will the Confluence Project have for the community? VenuWorks, an Iowa-based consulting firm, was hired by the Confluence partners to answer that question. The group’s report, which was released in May, highlights the positive impact the Confluence Project would have on Eau Claire’s economy: In its first year of operation, the Confluence would create $4.5 million in economic activity, the study estimated. In addition, because private, taxable development would be part of the project, in the Confluence’s first three years of operation the city would gain a total of $1.1 million in new tax revenue while the county would gain a total of $444,000. That means more money for city and county programs that benefit the entire community, as well as less demand for taxes from other homeowners and businesses.
The study found other economic benefits for residents and taxpayers as well. In the Confluence Project’s first decade, it is estimated to increase city room tax revenue by $904,000, to boost county sales tax revenue by $1.8 million, and to expand state sales tax revenue by $18 million. And in addition to boosting revenue, the project would also create jobs, including an estimated 525 construction jobs, 141 jobs in new businesses by helping revitalize the downtown, and 40 jobs in the arts and culture sector.