ECONOMIC IMPACT OF BURBANK BOB HOPE AIRPORT TOTALED $1.8 BILLION AND 12,440 JOBS IN FISCAL YEAR 2013
Study by Los Angeles County Economic Development Corporation Identifies Effects of Airport Revenue and Spending, Employment, and Traveler Expenditures
BURBANK, Calif., May 19, 2014 – Burbank Bob Hope Airport had a total economic impact of $1.8 billion in the Los Angeles County regional economy during its fiscal year of July 2012 through June 2013 that generated 12,440 jobs, according to a study by the Los Angeles County Economic Development Corporation (LAEDC) released at today’s meeting of the Burbank-Glendale-Pasadena Airport Authority Commission.
“This study shows that the impact of the Airport to our economy is of major importance, and the information will help guide the Authority, the City of Burbank and the community as we continue to build a unified vision of the Airport’s future,” said Authority President Susan Georgino.
Dr. Christine Cooper, Vice President of Economic and Policy Analysis of the LAEDC, headed the study effort, which was commissioned last fall by the Authority. In presenting the study findings, Cooper said the study approach was to identify Airport operational revenues and capital improvement expenditures as direct economic activity, which was then used to estimate indirect and induced impacts, using accepted economic modeling tools.
The findings describe total economic output in a wide variety of industry sectors by activities occurring at the Airport and by visitor spending of arriving tourists and overnight flight crews.
“Of the 11,710 jobs generated by Airport operations, almost one-third were in the transportation and warehouse sector, and another 28 percent were in accommodation and food services,” Cooper said. “However, virtually all industry sectors receive a positive impact from the activities attributable to the Burbank Bob Hope Airport, including retail trade, real estate and rental activities, administrative services and health and social services,” she added.
Another 730 jobs during the fiscal year were generated by Airport capital project expenditures, including construction of the $112 million Regional Intermodal Transportation Center, which is scheduled to open in July.
Other findings of the analysis were that $662.9 million in labor income was associated with the Airport’s impact, $134.9 million in federal taxes, and $122 million in state and local taxes.
Included in local taxes are approximately $2 million in parking taxes paid by the Airport Authority to the City of Burbank, and $4.5 million in taxes to the City on taxable assessed value of $888 million, of which $795 million is attributable to private and airline aircraft.
During FY 2013, the Airport served 3.9 million passengers; had 50,700 airline operations; spent $67 million on capital improvements; and had an estimated 1,890 on-airport employees.
The complete report is available online on the Airport’s website at http://www.bobhopeairport.com/images/stories/AirportAuthority/burbank%20bob%20hope%20airport_final.pdf
About the LAEDC: www.LAEDC.org
The LAEDC is the region's leading provider of economic development services. Since 1981, the LAEDC's mission is to attract, retain and grow businesses and jobs for the regions of Los Angeles County. The LAEDC serves the 88 cities and more than 100 unincorporated communities of L.A. County through its free business assistance and attraction programs, economic research, fee-supported economic and policy analysis, and public policy leadership. The LAEDC's Economic and Policy Analysis Group (EPAG) provides highly-regarded in-depth and objective economic and policy analysis for public and private entities in order to foster informed decision-making and strategic planning.
News Release: For Immediate Release
BURBANK-GLENDALE-PASADENA AIRPORT AUTHORITY
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News Media Contact: Victor J. Gill, (818) 840-8840 or Lucy M. Burghdorf, Manager, Public Relations & Government Affairs, (818) 729-2208, LBurghdorf@bur.org