Highway traffic congestion costs Northwest Indiana region millions

The South Shore Line has the potential to put 8,000 people to work in Northwest Indiana.

It doesn't plan to swell its work force of 316 to that size, but that's the number of jobs an expansion of the railroad eventually could create in the region, according to an economic forecast prepared for the railroad.

"We argue the NICTD extension would lessen congestion and open opportunities for people here," said Bill Sheldrake, president of Policy Analytics LLC, which prepared the report on the commuter railroad run by the Northern Indiana Commuter Transportation District. "It basically expands the entire economic pie for residents and workers."

Sheldrake spoke to the Regional Development Authority at the Portage Yacht Club on Tuesday afternoon. His talk was part of a presentation by district officials.

The chief benefit of a South Shore extension running to Lowell and Valparaiso would be the way it would lessen congestion, Sheldrake said.

That, in turn, would improve the quality of life and its attractiveness to employers. The result would be an $800 million increase in annual output and a $277 million increase in disposable income in the region, according to findings of the study.

"Relatively small additional efficiencies in travel and reductions in congestion have significant impacts on the economy," Sheldrake said.

There is plenty of room for improvement in the Chicago area when it comes to congestion. Outside studies have consistently ranked the region among the two or three most congested areas in the U.S.

The Texas Transportation Institute recently ranked the Chicago area, which includes Northwest Indiana, second only to Los Angeles when it comes to clogged roadways.

Region commuters spend an average of a workweek and a half stuck in traffic. Those delays cost the Chicago area more than $4 billion. That means road congestion easily costs Northwest Indiana more than $100 million, perhaps much more, Sheldrake said.

Some RDA members had questions on just who would get those 8,000 new jobs forecast by the report.

"Do you think there will be significant movement of people coming from Chicago to Northwest Indiana for jobs?" RDA board member Ned Ruff asked.

"Wherever those people come from, you will see an increase in jobs in Northwest Indiana," Sheldrake said.