Truck stop economics — a closer look

Tennessee-based Pilot Flying J is making big promises to New Mexicans. In recent public meetings, company representatives explained that the proposed Santa Fe truck stop will generate up to $2 million in annual fuel taxes to the state, as well as $250,000 in annual taxes to the county. Pilot also is promising 80 to 90 jobs (excluding two highly paid managers that will come from Oklahoma to run the place).

All this sounds pretty darn good to those working to expand and diversify our local economy. But wait. Let’s take a closer look at these promises.

First, exactly how will the state reap several million in new taxes? An intriguing question, especially when Pilot Flying J representatives have assured locals concerned about traffic safety that there will really be no new truck traffic generated by the facility. How does this work, when Pilot Flying J’s national company data show each truck stop averages 300 trucks and 3,000 other vehicles each day?

Here’s how. In a July 18 public meeting (“Residents: Truck stop plan won’t fly,” My View, July 19), Pilot Flying J assured attendees that the trucks pulling off Interstate 25 for service won’t be a traffic safety hazard because there will really be no new trucks, only the same trucks already traveling north. They will just hop on and off the interstate, or idle overnight, then keep on truckin’.

OK. The trucks stopping at the new truck stop will just be the same trucks already passing. If they are the same trucks, now paying fuel taxes down the road, how will they generate new state tax revenue? I scratched my head at this, until a friend explained that the new taxes will really be the same taxes now being paid to pueblo fueling businesses.

Second, here’s hoping county decisionmakers carefully examine the proposed local $250,000 annual tax revenue before assuming this will be pure profit. The truck stop will require additional road construction that Pilot Flying J says it will pay for, but that is a slippery slope. Water, wastewater and sewage plans could very well contain unanticipated costs to the county.

Third. Is Pilot really creating new jobs? If so, what kind of jobs are we talking here? The truck stop will house a Wendy’s, Dunkin’ Donuts and PJ Fresh deli (“Rancho Viejo residents heckle, walk out of Flying J meeting,” June 21).

In a September public meeting, Pilot Flying J noted that about half of the 90 anticipated jobs will be part-time. Most likely all will pay minimum wage, no benefits. Hmm … so much for generating jobs leading to careers in green and clean industries that support sustainable growth in Santa Fe.

So, how do all of these promises square with Santa Fe County’s vision for sustainable economic development? In its 2015 Sustainable Growth Management Plan, the county envisions, “Appropriate economic activities [that] support a healthy economy which enriches community life and promotes values such as a healthy environment, protection of social and cultural resources, selfreliance, self-sufficiency; maximize[s] infrastructure investments to support economic development; and support[s] industries including but not limited to: green industry, arts and culture, agriculture, media, and clean technology.”

So what is the truth? Will costs outweigh anticipated benefits?

James L. Myers is a resident of Santa Fe County.