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HomeMy WebLinkAboutAppendixF-TxDOTEconomicImpactFor more information contact:The Texas Department of TransportationAviation Division125 E. Eleventh StreetAustin, TX 78701-2483Prepared by: Wilbur Smith Associates, Inc. www.wilbursmith.com TH E E C O N O M I C I M P A C T O F GE O R G E T O W N MU N I C I P A L A I R P O R T Total Employment 56,700 jobsTotal Payroll $1.9 billionTotal Economic Activity $5.9 billion GENERAL AVIATION ACTIVITYIN TEXAS CREATES FI R S T - R O U N D I M P A C T SE C O N D A R Y I M P A C T TO T A L A I R P O R T I M P A C T To t a l E m p l o y m e n t 66 5 J O B S To t a l P a y r o l l $2 0 M I L L I O N To t a l E c o n o m i c A c t i v i t y (O u t p u t ) $9 5 . 2 M I L L I O N Ge o r g e t o w n M u n i c i p a l A i r p o r t , o w n e d a n d o p e r a t e d b y t h e C i t y o f G e o r g e t o w n , i s a g e n e r a l a v i a t i o n r e l i e v e r a i r p o r t l o c a t e d i n W i l l i a m s o n C o u n t y , T e x a s . T h e ai r p o r t , w h i c h o c c u p i e s a p p r o x i m a t e l y 6 0 0 a c r e s , h a s t w o a s p h a l t r u n w a y s : Ru n w a y 1 8 / 3 6 , w h i c h m e a s u r e s 5 , 0 0 0 f e e t i n l e n g t h a n d 1 0 0 f e e t i n w i d t h ; a n d Ru n w a y 1 1 / 2 9 , m e a s u r i n g 4 , 1 0 0 f e e t i n l e n g t h a n d 7 5 f e e t i n w i d t h . Ge o r g e t o w n M u n i c i p a l A i r p o r t s u p p o r t s a p p r o x i m a t e l y 1 4 0 f u l l - t i m e a v i a t i o n - re l a t e d j o b s , w i t h a n e s t i m a t e d d i r e c t p a y r o l l o f m o r e t h a n $ 6 m i l l i o n . T h e d i r e c t ou t p u t a t t r i b u t a b l e t o t h e a i r p o r t i s e s t i m a t e d t o b e m o r e t h a n $ 4 4 . 6 m i l l i o n . Ad d i t i o n a l l y , m o r e t h a n 4 7 , 0 0 0 g e n e r a l a v i a t i o n v i s i t o r s a r r i v e a t t h e a i r p o r t e a c h ye a r , s u p p o r t i n g m o r e t h a n 3 0 0 j o b s a n d $ 6 . 2 m i l l i o n i n p a y r o l l . G e n e r a l a v i a t i o n vi s i t o r s a r e a l s o r e s p o n s i b l e f o r n e a r l y $ 9 . 9 m i l l i o n i n d i r e c t o u t p u t . Wh e n c o m b i n e d , t h e g e n e r a l a v i a t i o n t e n a n t s a n d v i s i t o r s a t G e o r g e t o w n Mu n i c i p a l A i r p o r t a r e r e s p o n s i b l e f o r $ 9 5 . 2 m i l l i o n i n t o t a l e c o n o m i c o u t p u t , ap p r o x i m a t e l y 6 6 5 f u l l - t i m e p o s i t i o n s , a n d n e a r l y $ 2 0 m i l l i o n i n p a y r o l l . So m e o f t h e r e c e n t l y c o m p l e t e d u p g r a d e s a t t h e a i r p o r t i n c l u d e t e r m i n a l re m o d e l i n g a n d e x p a n s i o n , a n d r u n w a y r e h a b i l i t a t i o n . A v i a t i o n a c t i v i t i e s t h a t oc c u r a t t h e a i r p o r t o n a r e g u l a r b a s i s i n c l u d e f l i g h t i n s t r u c t i o n , c o r p o r a t e u s e , a n d re c r e a t i o n a l f l y i n g . A d d i t i o n a l l y , t h e C i v i l A i r P a t r o l a c t i v e l y u s e s t h e a i r p o r t f o r se a r c h - a n d - r e s c u e o p e r a t i o n s . T h e a i r p o r t a l s o s u p p o r t s v a r i o u s c o m m u n i t y ou t r e a c h p r o g r a m s , s u c h a s m o n t h l y f l y - i n s a n d t h e Y o u n g E a g l e s f l i g h t e d u c a t i o n pr o g r a m . Fi r s t - R o u n d I m p a c t s in c l u d e bo t h d i r e c t a n d i n d i r e c t i m p a c t s . Di r e c t i m p a c t s a r e t h o s e b e n e f i t s as s o c i a t e d w i t h o n - a i r p o r t bu s i n e s s e s a n d g o v e r n m e n t sp e n d i n g t h a t s u p p o r t g e n e r a l av i a t i o n . I n d i r e c t i m p a c t s ge n e r a l l y t a k e p l a c e o f f - a i r p o r t a n d ar e u s u a l l y a t t r i b u t a b l e t o t h e sp e n d i n g o f v i s i t o r s w h o a r r i v e in a c o m m u n i t y v i a g e n e r a l av i a t i o n a i r c r a f t . Se c o n d a r y I m p a c t s p r i m a r i l y co n s i s t o f i n d u c e d i m p a c t s , w h i c h ar e t h o s e b e n e f i t s t h a t r e s u l t f r o m th e r e - c i r c u l a t i o n o f d i r e c t a n d in d i r e c t i m p a c t s w i t h i n t h e ec o n o m y . T h i s r e - c i r c u l a t i o n i s co m m o n l y r e f e r r e d t o a s t h e "m u l t i p l i e r e f f e c t " . To t a l I m p a c t s a r e t h e co m b i n a t i o n o f a l l f i r s t - r o u n d a n d se c o n d a r y i m p a c t s . Em p l o y m e n t m e a s u r e s t h e nu m b e r o f f u l l - t i m e e q u i v a l e n t j o b s re l a t e d t o g e n e r a l a v i a t i o n a c t i v i t y . Pa y r o l l m e a s u r e s t h e t o t a l a n n u a l wa g e s a n d b e n e f i t s p a i d t o a l l wo r k e r s w h o s e s a l a r i e s a r e di r e c t l y o r i n d i r e c t l y a t t r i b u t a b l e to g e n e r a l a v i a t i o n a c t i v i t y . Ec o n o m i c A c t i v i t y ( O u t p u t ) me a s u r e s t h e v a l u e o f a l l g o o d s an d s e r v i c e s r e l a t e d t o g e n e r a l av i a t i o n i n T e x a s . T h e o u t p u t o f ge n e r a l a v i a t i o n b u s i n e s s e s i s ty p i c a l l y a s s u m e d t o b e t h e s u m of a n n u a l g r o s s s a l e s a n d a v e r a g e an n u a l c a p i t a l e x p e n d i t u r e s . The Texas system of airports not only provides our State with a safe and efficient mode of t r a n s p o r t a t i o n , i t i s a l s o a n important stimulus for economic growth and development. By providing aviation-related ser v i c e s , t h e s y s t e m o f approximately 300 airports supports tens of thousands of jobs and produces billions of dolla r s i n e c o n o m i c a c t i v i t y . T h e State's largest employers, and many smaller businesses, rely on aviation to rapidly transpo r t p e r s o n n e l , e q u i p m e n t , a n d supplies. Texas airports serve as the base of operation for a diverse group of businesses, in c l u d i n g a i r l i n e s , a i r c a r g o companies, fixed base operators, flight schools, government entities, agricultural applicator s , r e s t a u r a n t s , a n d o t h e r s . Additionally, the vast tourism industry is supported by both commercial service and general a v i a t i o n . T h e m i l l i o n s o f v i s i t o r s that flock to Texas each year support a variety of tourist-related business activities, such as l o d g i n g , d i n i n g , r e t a i l , a n d entertainment. To better understand the relationship between Texas' system of approximately 300 airports t h a t s u p p o r t g e n e r a l a v i a t i o n and the statewide economy, the Texas Department of Transportation, Aviation Division, com p l e t e d a n e c o n o m i c i m p a c t analysis using a method that has been approved by the Federal Aviation Administration (FA A ) a n d a p p l i e d t o a i r p o r t systems throughout the United States. The FAA provided funding support for this study. The total economic imp a c t , o r c o n t r i b u t i o n , o f e a c h a i r p o r t in the Texas system wa s q u a n t i f i e d i n t e r m s o f e m p l o y m e n t , payroll, and output. Thr o u g h a c o m p r e h e n s i v e s u r v e y process, the direct econ o m i c b e n e f i t s r e l a t e d t o o n - a i r p o r t business tenants and th e i n d i r e c t b e n e f i t s a s s o c i a t e d w i t h visitor-related expenditu r e s w e r e d e t e r m i n e d f o r e a c h system airport. The mu l t i p l i e r e f f e c t o f t h e s e b e n e f i t s w a s then calculated to asce r t a i n t h e t o t a l a i r p o r t - r e l a t e d i m p a c t s . For example, when an a i r p o r t e m p l o y e e p u r c h a s e s l o c a l goods and services, the s p e n d i n g a n d r e - s p e n d i n g s p u r s additional economic ac t i v i t y i n t h e r e g i o n . T h e t o t a l economic impact is the s u m o f a l l d i r e c t , i n d i r e c t , a n d multiplier impacts. When all impacts at Tex a s a i r p o r t s w e r e s u m m e d , m o r e than 56,600 jobs can be t r a c e d t o g e n e r a l a v i a t i o n . T h e s e employees receive mor e t h a n $ 1 . 9 b i l l i o n i n p a y r o l l a n d benefits. In total, nearly $ 5 . 9 b i l l i o n i n e c o n o m i c a c t i v i t y can be attributed to gen e r a l a v i a t i o n a c t i v i t y i n t h e S t a t e . In addition to economic b e n e f i t s , t h e s y s t e m o f a i r p o r t s provides numerous criti c a l s e r v i c e s t o e n h a n c e t h e q u a l i t y of life, health, safety an d w e l f a r e o f T e x a s c i t i z e n s . Examples include busin e s s d e v e l o p m e n t , e n h a n c i n g agricultural production, m e d i c a l t r a n s p o r t a n d e v a c u a t i o n , access to remote areas , l a w e n f o r c e m e n t , f i r e p r o t e c t i o n , wildlife management, a n d r e c r e a t i o n . GE O R G E T O W N MU N I C I P A L A I R P O R T GENERAL AVIATION–EVERYONE BENEFITS I N TE X A S IM P A C T T Y P E S IM P A C T ME A S U R E S $5 4 . 5 M I L L I O N $4 0 . 7 M I L L I O N