Economic Impact PENNSYLVANIA Airports
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PENNSYLVANIA Airports Economic Impact The Pennsylvania Airport System Pennsylvania’s aviation industry con- vate aircraft owners, and recreational Study Process tinues to provide high quality jobs airplane pilots. Manufacturers in the and spur important local spending by state rely on airports to access mar- This study, sponsored by the Pennsylva- on-airport businesses and agencies. kets and to receive supplies. Busi- nia Department of Transportation, Bu- The commonwealth’s system of 15 nesses rely on airports to conduct reau of Aviation, analyzes the economic impact of Pennsylvania’s aviation indus- commercial service and 117 general face-to-face meetings with customers try as a whole, as well as the impacts of aviation airports connects Pennsylva- and business associates within the its individual airports. The study confirms nia businesses and residents to the United States and abroad. Leisure that many people—beyond the immediate national and global economy. This travelers use airports to reach recre- environs of each airport—derive signifi- system is comprised of a network of ational and tourist sites and to visit cant economic benefits from the daily op- airports, airlines, air cargo business- with family and friends. eration of the airport system. The study es, corporate flight departments, pri- also evaluates some of the less-quantifi- able impacts linked with aviation, such as Pennsylvania’s Total Annual Economic Impacts health, safety, recreation, education, and overall community strength. from Aviation A detailed modeling effort was undertak- en to quantify the economic impacts of When all of the impacts of Pennsyl- construction. A part-time employee is on-airport activities (airlines, fixed base vania’s system airports are added counted as half a full-time employee. operators, flight schools, corporate flight together, nearly 304,500 total jobs Payroll measures the total annual departments, government, and various can be traced to the aviation industry. wages and benefits paid to all work- other business). Also quantified were the These employees receive more than ers whose salaries are directly attrib- impacts derived from the expenditures of $9.2 billion in total payroll, and gen- visitors who arrive via scheduled service utable to airport activity. erate nearly $23.6 billion in total eco- and general aviation aircraft. These on- nomic activity. In addition, Pennsyl- Economic Activity (Output) measures airport impacts and visitor expenditures vania’s airports provide a number of the value of goods and services re- support additional economic activity health, welfare, and safety benefits, lated to airports in Pennsylvania. The throughout Pennsylvania. the impacts of which are immeasur- output of on-airport businesses is As initial waves of activities associated able. Such services include aerial ag- typically assumed to be the sum of with the airport system are released into ricultural spraying, medical transport annual gross sales and average an- Pennsylvania’s economy, successive and evacuation, flight training, law nual capital expenditures. waves of employment, payroll, and eco- enforcement, wildlife management, nomic benefit occur. These additional benefits are measured using sector-spe- military exercises, and search and Total Jobs – 304,464 cific employment, payroll, and economic rescue operations. impact multipliers. Impact Measures Total Payroll – $9.2 billion Employment measures the number of full-time equivalent (FTE) jobs related Total Output – $23.6 billion to airport activity, including on-airport Qualitative Benefits Economic Impact of University Park Airport is located just north of The Pennsylvania State University and State College. Ac- University Park Airport cess to the airport is available via Interstate 99 and U.S. Route 322. Direct On- Visitor University Park Airport is classified as a Commercial Airport Impacts Output Service airport by the Pennsylvania Bureau of Avia- Output tion. The airport has 62 based aircraft and expe- $38.5 million $72.4 million riences approximately 56,000 annual operations. The sole runway, Runway 06/24, is 6,701 feet long by 150 feet wide and equipped with high intensity runway lighting (HIRL). Runway 06/24 is outfitted Induced Multiplier with one precision approach (ILS RWY 24) and Indirect Impacts three non-precision approaches. In 2010, the air- Output port completed construction on an air traffic con- $92.9 million trol tower. University Park Airport is owned and operated by The Pennsylvania State University, and the Airline Terminal Building is owned and operated by the Total Total Jobs: 2,861 Centre County Airport Authority. The airport serves Impacts Total Payroll: $80.0 million the commercial service and general aviation needs Total Output: $203.8 million of the local community and the surrounding region, as well as providing direct access to The Pennsylvania Source: Wilbur Smith Associates State University. Three airlines—Delta, United Express, Impact Types and US Airways Express—offer several daily flights to hubs in Detroit; Washington, D.C.; and Philadelphia. Direct Impacts include both direct im- pacts related to on-airport businesses The airport also offers extensive general aviation services and government agencies, and off-air- and facilities. The airport-run fixed base operator offers fu- port impacts, which are usually attribut- eling, parking and hangar rental, maintenance, de-icing, and able to visitor spending. pilot supplies. Over 20 other on-site businesses offer car rent- als, flight instruction, maintenance, and cargo. The Pennsylva- Multiplier Impacts are comprised of indirect and induced impacts. These nia State University manages an FAA Certified Repair Station impacts are attributed to employees and Flight Department at the airport. Due to these services and spending their earnings at local busi- proximity to the university, the airport sees corporate flight activ- nesses, and the on-airport businesses ity on a daily basis. These companies use the airport regularly: purchasing goods and services locally. • Raytheon • Wiggins Airways (FedEx Ex- This re-circulation is commonly referred • Semcoa press) to as the “multiplier effect.” • Blackberry Aviation • Geisinger LifeFlight Total Impacts are the combination of all • Shaner Hotel Group • First Quality Enterprises, Inc direct, indirect, and induced impacts. • AirNet Systems, Inc. • Thoroughbred Aviation • AviaTerra • PA Air National Guard’s 112th • Geospatial, Inc. Air Operations Squadron Daily activities include recreational flights, air cargo, flight training, and emergency medical operations. Other common activities include touch-and-go operations, flights by Civil Air Patrol charters, and flights by the Pennsylvania State Police. The Centre County Airport Authority and the airport run an Airport Awareness campaign, which markets the airport throughout the region to spread knowledge and increase awareness of University Park Airport at sporting events..