updated: 8/31/2012 7:29:57 AM
The Indianapolis International Airport Authority says a new study shows the airport and related businesses generate more than $56 million in state and local tax revenue each year. The organization says more than $7 million supports area school districts.
August 30, 2012
Indianapolis, Ind. -- According to a study released this week by BKD, a national CPA and advisory firm, the Indianapolis International Airport (IND) and airport-associated business activity generate more than $56.5 million in direct tax revenues each year for local tax jurisdictions and the state of Indiana, including more than $7.4 million in direct support of local school districts.
In addition to IND’s economic activities, the study analyzed those of nearby businesses that would likely not be operating without the airport’s presence, including rental car companies, airlines, and logistics companies. The study did not include the additional tax revenue generated by the Indianapolis Airport Authority’s (IAA) significant capital and operating expenditures nor the multiplier effect created by the investments of the IAA and associated businesses.
“With U.S. airports linked to more than 10 million American jobs and an annual payroll of $365 billion, it’s no surprise that IND plays a significant role in our local economy,” said Bob Duncan, executive director for the IAA. “As we work with all of our stakeholders to maximize and expand the value IND produces for our community, it’s important to understand the positive impact that IND has locally.”
“Although IND’s budget is not funded by local or state taxes, we play a significant role in creating economic activity and tax revenue in Central Indiana, producing more than $50 million in tax revenues for our region each year,” Duncan added.
“This study further confirms that America’s airports are economic hubs that drive our local, state and national economies, both inside and outside the airport fenceline,” said Greg Principato, president of Airports Council International-North America (ACI-NA), a trade group that promotes cooperation with all elements of the commercial aviation industry. “Airports are bright spots in a time of economic uncertainty, especially for the 10.5 million American workers who depend on airports for good jobs across the USA,” Principato continued.
“IND is an economic engine for the Indianapolis region and will be as vital to job creation and economic growth for the Indianapolis economy over the next ten years as it has been over the last decade,” Principato added.
About the Indianapolis Airport Authority
The Indianapolis Airport Authority owns and operates Indiana’s largest airport system. In addition to Indianapolis International Airport, its facilities include the Downtown Heliport, Eagle Creek Airpark, Hendricks County Airport, Indianapolis Regional Airport, and Metropolitan Airport. IND has received several prestigious awards recognizing it as a leader within its class, including annual Airport Service Quality awards for performance excellence by Airports Council International. IND is the first airport in the U.S. to win LEED® certification for an entire terminal campus, and the airport has won recognition for excellent customer service, concessions programs, and art and architecture.
IND’s economic impact in Central Indiana is more than $3.3 billion annually, and about 10,000 people work at the airport each day. IND serves more than 7 million business and leisure travelers each year and averages 135 daily nonstop flights to 33 destinations. Home of the world's second-largest FedEx Express operation and the nation’s eighth-largest cargo facility, IND is committed to becoming the airport system of choice for both passenger and cargo service. For more information, visit IND’s Facebook page at Indianapolis International Airport and Twitter page at @INDairport.
Source: Indianapolis Airport Authority