Economic development, Transportation Economic Assistance Program

The Transportation Economic Assistance (TEA) Program is a rapid response grant program designed to create new employment and to retain existing employment and to encourage private investment in Wisconsin. Communities can apply for TEA funds to encourage new businesses or business expansions in their regions by building such transportation improvements as access roads, highway improvements, or rail spurs. The program covers up to 50% of the total cost of eligible projects.

Role of TEA in economic development

The transportation projects funded under the program reduce transportation costs for applicant businesses, and the businesses in turn promise to create new jobs. These new jobs then support additional indirect jobs in other supplier businesses, and more employment is also supported in the region when new employees spend their wages in their communities. Through this "ripple effect," program funds are leveraged to act as a catalyst for economic expansion in the state.

The TEA program began in September 1987. Through December 2011, 72,780 jobs have been directly and indirectly created or retained through the $85 million invested in grants awarded to 195 communities. Some 339 businesses have benefited from the grants. TEA has helped leverage over $4.7 billion in private capital investment in the state's economy.

Case studies

In 2009, the Village of Mount Pleasant in Kenosha County was awarded a grant of $1,000,000 to expand the capacity of County Highway Q from 2 lanes to 4 lanes. The project also improved access and provided signalization to Uline, Incorporated. The purpose of the project was to improve geometrics, safety, and access. These improvements were part of the transportation and economic incentive package that helped attract Uline, Incorporated to build its new distribution facility in Wisconsin. This package combined state funds and private investment to support the creation of 478 new jobs and the retention of 530 jobs. These direct job benefits also supported the indirect generation of an estimated 323 additional jobs among suppliers to the plant and area retailers where the new employees spend a share of their wages.

In 2008, the City of Park Falls in Price County was awarded a grant of $250,000 to replace a structurally-deficient service road bridge, which in turn helped to re-open the Flambeau River Papers paper mill. This allowed 285 employees to be called back to work. By improving the structural integrity and truck access to the plant for paper and pulp operations, the 285 re-employed workers were able to indirectly create an additional 294 new jobs in the city and county.

For more information, including application materials, see WisDOT's TEA Program Web page, or contact Don Uelmen, Bureau of Planning, (608) 266-3488.

Harley Davidson's transmission plant in Wauwatosa

Recipient of a TEA grant

Apply for funds and get more information about the TEA Program