Direct and Shareable Economic Benefits

The direct economic benefits for this study are defined as tangible assets (land, buildings, cash) held by the project developers, the present value of profits accruing to private property managers, and present value of tax revenues accruing to local governments. All estimates of direct economic benefits are based on documents which were posted on websites, or which were obtained through formal public records act requests. The potential shareable amount of the direct economic benefits is defined for each category by reviewing past practices of government agencies and private enterprises, with some leeway for incorporating a restorative element to mitigate systemic racism which suppressed asset accumulation in neighboring communities. For example, a past practice of local governments in California is to permit 100% of new property tax revenue from a project (e.g., tax increment), which otherwise could go to the city, to be allocated back to the project or to other activities in a defined geographic area to benefit an adjacent community. So, for this analysis, the potential shareable economic benefit is 100% of the present value of new property taxes accruing to the city. Since this represents all the direct economic benefits in this subcategory, no upward adjustment can be made for restorative justice.

The primary categories of direct economic benefits for this study are land assets, building assets, cash assets, and tax revenue.