Keystone XL Pipeline -- Why counties will benefit

OMAHA, Nebraska -- The Platte Institute for Economic Research has released a policy brief analyzing the economic benefits of the Keystone XL pipeline for counties in Nebraska, including job and revenue projections for the twelve counties in the proposed pipeline's path. The brief also summarizes the economic impact for the counties impacted by the first Keystone pipeline.

The brief found:

State-specific estimates predict between 5,500 and 7,500 of new jobs created will be in Nebraska;

In Nebraska, direct TransCanada spending during the first year of the KXL construction is projected at approximately $580.2 million. This would lead to overall economic activity of $817.4 million, not including additional labor income of $375.6 million;

For the 15 years following construction--when the pipeline is actually in operation-- $580.3 million in direct and indirect labor income will be added, boosting Nebraska's GDP by roughly $679.3 million over that same time period;

Research from Creighton University economist Dr. Ernie Goss shows the twelve counties in KXL's path will see substantial increases in tax receipts during the construction and operation of the pipeline. Specifically, Goss estimates these counties should see increases of over $49 million in total gross property taxes adjusted for inflation ;

The tremendous benefits from the first Keystone pipeline give a preview of what can be expected from construction of KXL. Counties along KXL's route could reasonably expect to see even greater revenues because KXL is wider (36 inches in diameter compared to the 30 inches of the original) and longer (288 miles in Nebraska compared to the first's 215 miles), which means there is more to tax.