Alabama's Return on Investment in Forever Wild
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Alabama’s Return on Investment in Forever Wild Alabama’s Return on Investment in Forever Wild The Trust for Public Land February 2017 Printed on recycled paper ©2017 The Trust for Public Land This Trust for Public Land report was completed in partnership with The Nature Conservancy in Alabama and Conservation Alabama Foundation, with generous support from the Doris Duke Charitable Foundation, Birmingham Audubon, and The Conservation Fund. The Trust for Public Land creates parks and protects land for people, ensuring healthy, livable communities for generations to come. The Trust for Public Land’s Conservation Economics team measures the economic value and fiscal impacts of parks and land conservation. We quantify these impacts using models developed in consultation with leading academics across the country and with our award-winning GIS team. tpl.org/al-roi-report Contents Executive summary .......................................................................................................... 2 Introduction ...................................................................................................................... 4 Investment in land conservation .................................................................................... 5 Natural goods and services ............................................................................................ 7 Highlighting the economic value of natural goods and services .............................. 9 Return on investment in land conservation ................................................................ 12 Land conservation supports the economy ................................................................. 14 Human health benefits .................................................................................................. 23 Economic development ................................................................................................ 24 Conclusion ...................................................................................................................... 25 About The Trust for Public Land ................................................................................... 26 Bibliography ................................................................................................................... 27 Appendix: Methodology .............................................................................................. 31 alabama’s return on investment in forever wild 1 Executive summary The Trust for Public Land conducted an economic analysis of the return on Alabama’s investment in land conservation through the Alabama Forever Wild Land Trust Program, which funds land acquisition statewide, and found that every public $1 invested in land conservation returned $5 in natural goods and services to the state. In addition, land conservation funded by Alabama supports key industries that depend on the availability of high-quality protected land and water. A summary of the key findings and the benefits of open space investments by the State of Alabama is presented below.1 natural goods and services: Lands conserved in Alabama provide valuable natural goods and services such as wildlife habitat, food production, flood control, and water quality protection. The Trust for Public Land used a benefits transfer methodology to analyze lands conserved using Forever Wild and found that every $1 invested in land conservation returns $5 in economic value of natural goods and services. tourism and outdoor recreation: Conservation lands are critical to the state’s tourism and outdoor recreation industries. Each year, tourists spend $12.6 billion in Alabama: the state’s scenery and opportunities for outdoor recreation play an important role in attracting visitors. A recent survey found that 18.9 percent of respondents were going to participate in outdoor recreation while in the area. In addition to tourists, at least 57 percent of Alabama residents participate in outdoor recreation each year. Together, tourists and residents spend $7.5 billion annually on outdoor recreation, which generates $494 million in tax revenues. This spending also supports 86,000 jobs with an associated $2 billion in wages. hunting and fishing: The conservation of Alabama’s special lands and waters supports hunting, fishing, and wildlife watching. These activities are important to Alabama residents and to the economy. In 2011, 1.7 million residents and nonresidents fished, hunted, or viewed wildlife in Alabama and spent over $2.1 billion on trips and equipment. forestry, commercial fishing, and agriculture: Land conservation supports forestry, commercial fishing, and agriculture in Alabama by helping to maintain the intact working landscapes on which these industries depend. A 2013 study by Auburn University found that forestry, agriculture, and related industries in Alabama supported 580,000 jobs and contributed $70.4 billion to Alabama’s total economic output, representing 22 percent of Alabama’s workforce and 40 percent of its gross domestic product. The state’s commercial fishing industry landed 26.6 million pounds of seafood in 2015, at a value of over $50.9 million. economic development: Land conservation contributes to Alabama’s economy by maintaining the scenic beauty of the state, improving quality of life for residents, and enabling the state to attract and retain new businesses and high-quality workers. fiscal health: Land conservation saves Alabama communities money through avoided costs on expensive infrastructure and other municipal services required by residential property owners, such as schools, police, and fire protection. A nationwide study found that at the median, residential lands require $1.16 in services for every $1.00 paid in local taxes. At the same time, working and open lands require only $0.35 in services for every dollar contributed in property taxes. human health: Access to parks and conserved lands increases the physical activity and the health of residents and workers in Alabama. This reduces health care costs related to obesity, which, in Alabama, are estimated to reach between $3.68 billion and $7.50 billion by 2018. In 2014, 27.6 percent 1 All numbers reported in the text and tables are rounded to three significant digits unless otherwise noted. Because of rounding, some report figures and tables may appear not to sum. 2 alabama’s return on investment in forever wild of the state’s adults were physically inactive. In addition, in 2014, 62.7 percent of adult women and 71.3 percent of adult men were overweight or obese. Availability of parks and proximity to such spaces increase the physical activity of adults and children. Researchers have found that as the percentage of park area within a child’s neighborhood increases, so does a child’s physical activity. leverage federal, private, and nonprofit funds: Forever Wild is a state funding program with an impact greater than that of its budget. The program facilitates cooperation between a range of partner organizations and catalyzes additional land conservation investments. Forever Wild plays a critical role in bringing together federal, private, and nonprofit sources of funding to complete often complicated and nuanced land acquisition projects. hunter nichols about the trust for public land: The Trust for Public Land has extensive experience in determining the return on state investment in land conservation. Its Conservation Economics team has published return-on-investment analyses in states across the country, including Georgia, North Carolina, Virginia, Colorado, Illinois, Maine, Massachusetts, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, and Wyoming. The Trust for Public Land has worked with leading academic partners to advance this research, including Georgia Institute of Technology, University of Georgia, Colorado State University, Dartmouth College, Plymouth State University, University of Minnesota, and University of Wyoming–Ruckleshaus Institute of Environment and Natural Resources. alabama’s return on investment in forever wild 3 Introduction Alabama is a geographically diverse state—covered by mountains, coastal beaches, grassland plains, forests, farms, lakes, and rivers. Residents and visitors benefit from the scenic beauty and natural resources that extend from the Cumberland Plateau to the Tennessee River, the Appalachian Mountains to the Piedmont Uplands, and the Piedmont Plateau to the Coastal Plain. The Alabama Forever Wild Land Trust Program (Forever Wild) is essential for conserving these diverse natural assets, particularly in a state where protected public lands make up less than five percent of the total land area. Forever Wild has been used to purchase land for general recreation, nature preserves, wildlife management areas, and state parks. Some popular conservation lands that have been protected through Forever Wild include Little River Canyon, Sipsey River Complex, Cathedral Caverns, Ruffner Mountain, Weeks Bay Reserve, Splinter Hill Bog, and the Turkey Creek Nature Preserve. Wildlife Management Areas such as the Cahaba River, Coosa, and Skyline properties are likewise critical components of Forever Wild. Last, Forever Wild has enabled important additions to the Alabama State Parks System, including Monte Sano, Desoto, and Blue Springs State Parks. Forever Wild was established in 1992 by constitutional amendment when ratified by Alabama voters with 84 percent support. In 2012, voters opted to extend the constitutional amendment to fund Forever Wild for another