n The Economic Impact of Georgia's Deepwater Ports On Georgia's Economy in FY 2009 n April 2010 Jeffrey M. Humphreys, Director Selig Center for Economic Growth Terry College of Business The University of Georgia This study was supported by a grant from the Georgia Ports Authority. 1 Executive Summary This summary highlights some of the findings regarding the economic impact of Georgia's deepwater ports on Georgia's economy in fiscal year 2009. The ensuing sections contain the comprehensive technical report. The statewide economic impact of Georgia's deepwater ports in fiscal year 2009 includes: n $61.7 billion in sales (8.6 percent of Georgia's total sales); n $26.8 billion in state GDP (6.8 percent of Georgia's total GDP); n $15.5 billion in income (4.6 percent of Georgia's total personal income); n 295,443 full- and part-time jobs (6.7 percent of Georgia's total employment); n $3.5 billion in federal taxes; n $1.5 billion in state taxes; and n $1.1 billion in local taxes. These economic impacts demonstrate that continued emphasis on imports and exports through Georgia's deepwater ports translates into jobs, higher incomes, greater production of goods and services, and revenue collections for government. Ports operations help to preserve Georgia's manufacturing base, and foster growth of the state's massive logistics, distribution, and warehousing cluster. Output Impacts Measured in the simplest and broadest terms, the total economic impact of Georgia's deepwater ports on Georgia's economy is $61.7 billion, which is 8.6 percent of Georgia's output in FY 2009. Out of the total, $36.5 billion represents initial spending, or direct economic impact; $25.1 billion is indirect and induced spending, or the re-spending (multiplier) impact. Dividing the FY 2009 total output impact ($61.7 billion) by initial spending ($36.5 billion) yields an average multiplier value of 1.688. On average, therefore, every dollar initially spent by the ports industry and ports users generates an additional 69 cents for the state's economy. State GDP (Value Added) Impacts Measured in terms of GDP or value added, Georgia's deepwater ports contribute $26.8 billion to the state's economy in fiscal year 2009, which is 6.8 percent of Georgia's total GDP. Out of the total, $13.2 billion represents the direct effects of initial spending, or the direct economic impact; $13.6 billion is indirect and induced spending, or the re-spending (multiplier) impact. Income Impacts Measured in terms of income, Georgia's deepwater ports contributed $15.5 billion to the state's economy in fiscal year 2009, which is 4.6 percent of Georgia's total personal income. Of the total, $7.8 billion represents the 2 direct effects of initial spending, or the direct economic impact; $7.7 billion is indirect and induced spending, or the re-spending (multiplier) impact. Employment Impacts The economic impact of Georgia's deepwater ports probably is most easily understood in terms of its effects on employment. Measured in these terms, Georgia's deepwater ports support 295,443 full- and part-time jobs, which is 6.7 percent of Georgia's total employment (as defined by a survey of households). This means that one job out of every fifteen is in some way dependent on the ports. Of the FY 2009 total employment impact, 128,733 jobs represent the direct effects of initial spending, or the direct economic impact; 166,710 jobs constitute the indirect and induced effect of spending, or the re-spending impact. Tax Impacts State: The total economic impact of Georgia's deepwater ports on tax collections by state government in fiscal year 2009 is $1.5 billion. Local: The total economic impact of Georgia's deepwater ports on tax collections by local governments in fiscal year 2009 is $1.1 billion. Federal: The total economic impact of Georgia's deepwater ports on tax collections by the federal government in fiscal year 2009 is $3.5 billion. Deepwater ports are one of Georgia's strongest economic engines, fostering the development of virtually every industry. The ports are especially supportive of other forms of transportation, manufacturing, wholesale/distribution centers, and agriculture. The outstanding performance of Georgia's deepwater ports relative to other American ports reflects strong competitive advantages that allowed Georgia's ports to expand their share of activities. These advantages are largely the result of strategic investments in port facilities by the State of Georgia over many years. As the state and national economies gain momentum, Georgia's deepwater ports will thrive, generating even more substantial economic impacts in future fiscal years. 3 Introduction Georgia's deepwater ports industry consists of public marine terminals in Savannah and Brunswick owned by the Georgia Ports Authority as well as private marine terminals. Georgia's deepwater ports are thriving, and Savannah's port is one of the fastest growing container ports in the world. The superb performance of Georgia's ports relative to other ports reflects strong comparative advantages that allowed them to expand their shares of regional and national waterborne cargo traffic. These comparative advantages are the result of a series of strategic expansions over many years. It is obvious that Georgia's deepwater ports create substantial economic impacts on the state in terms of output (sales), state GDP, income, employment, and tax revenues for federal, state, and local governments. Nonetheless, this study provides a quantitative assessment of the changes in overall economic activity as a result of the presence and operations of Georgia's deepwater ports in fiscal year 2009. The facilities owned by the Georgia Ports Authority in Savannah and Brunswick will be referred to as the Port of Savannah and the Port of Brunswick, respectively; and cargo volumes, expenditures, and impact estimates for these facilities will be reported separately from those for private facilities/docks. The amounts expressed in this report (including the executive summary and appendices) are reported in current dollars (2009). Economic Impact Highlights The fundamental finding of this study is that the strategic decisions by state government to invest public resources in the two deepwater ports have contributed to substantial economic activity in Georgia. The statewide economic impact of the deepwater ports in fiscal year 2009 includes: n $61.7 billion in sales (8.6 percent of Georgia's total sales); n $26.8 billion in state GDP (6.8 percent of Georgia's total GDP); n $15.5 billion in income (4.6 percent of Georgia's total personal income); n 295,443 full- and part-time jobs (6.7 percent of Georgia's total employment); n $3.5 billion in federal taxes; n $1.5 billion in state taxes; and n $1.1 billion in local taxes. Measured in the simplest and broadest possible terms, the total economic impact of Georgia's deepwater ports on Georgia's economy is $61.7 billion. This amount represents the combined impact of the ports industry and ports users on output, which can be thought of as the equivalent of business revenue, sales, or gross receipts. The $61.7 billion output impact accounts for 8.6 percent of Georgia's total output in FY 2009. Out of the $61.7 billion, $3.2 billion (5 percent) represents the results from the ports industry and $58.5 billion (95 percent) represents the results from ports users. Of the FY 2009 total output impact, $36.5 billion represents initial spending, or direct economic impact; and $25.1 billion is indirect and induced spending, or the re-spending (multiplier) impact. Dividing the FY 2009 total output impact ($61.7 billion) by initial spending ($36.5 billion) yields an average multiplier value of 1.688. On average, therefore, every dollar initially spent by either the ports industry and ports users generates an additional 69 cents for the economy. 4 Expressed in other dimensions, the ports industry and port users together support $26.8 billion in state GDP and $15.5 billion in income, which account for 6.8 percent and 4.6 percent of Georgia's GDP and total personal income, respectively. The total economic impact on employment is 295,443 full- and part-time jobs. The combined impact of the ports industry and ports users on state tax collections is $1.5 billion. The combined impact of the ports industry and ports users on local tax collections is $1.1 billion. The combined impact on federal tax collections is $3.5 billion. The distribution of total economic impacts of cargo-based activity at the Georgia Ports Authority's facilities in Savannah and Brunswick by mode of cargo indicates that containerized cargo accounts for 91 percent of the reported economic impacts. Breakbulk cargo accounts for 4 percent of the reported impacts, and auto/vehicle cargo accounts for 3 percent of the reported impacts. Liquid bulk and dry bulk cargoes each account for about 1 percent of reported impacts. The Concept of Port Economic Impact The total economic impact of Georgia's deepwater ports consists of (1) direct spending by the ports industry, (2) direct spending by ports users, and (3) the secondary or indirect and induced spending--often referred to as the multiplier effects--created as direct expenditures by either the ports industry or ports users are re-spent. The ports industry is defined to include economic activity (spending) that involves the transportation of waterborne cargo and ports services, including the ports themselves, the companies engaged in deepwater transportation as well as companies that provide ship services, and companies that provide inland transportation of waterborne cargo. Ports investment (capital expenditures) for additions and/or improvements to Georgia's deepwater ports also are included as part of the ports industry. This definition of the ports industry is identical to the definition used by the U.S. Department of Transportation, Maritime Administration in the MARAD Port Economic Impact Kit. Thus, the ports industry includes activities that take place on the vessel, at the terminal, and during the inland movement of cargo. Since the firms and enterprises that provide these activities locate in Georgia because of the existence of the ports, all of their activity (spending) can be counted as direct economic impact. Ports users are mainly manufacturers, wholesalers, distributors, and warehousing and storage firms that use the ports to transport materials and/or products. Although most users are importers and exporters, some ship materials or products to and/or from domestic locations. All of the economic activity (spending) generated by ports users whose decision to locate, remain, and/or expand in Georgia hinges on the presence of these deepwater ports can be counted as direct economic impact. But since most ports users are only partially dependent on the presence of Georgia's deepwater ports, only a portion of their total economic activity is counted as direct economic impact. For example, firms that use Georgia's deepwater ports due to cost advantages over other ports or other modes of transportation are only partially dependent on Georgia's ports. Also, users that only ship a portion of their production and materials through Georgia's deepwater ports are only partially dependent on the ports. To avoid double counting, ports users' activity is defined to exclude their transportation expenditures associated with the waterborne cargo that is handled by Georgia's ports industry. Secondary spending often is referred to as the multiplier effect of direct spending. There are two types of secondary spending: indirect spending and induced spending. Indirect spending refers to the changes in inter-industry purchases as Georgia's industries respond to the additional demands triggered by spending by either the ports industry or ports users. It consists of the ripples of activity that are created when the ports industry or ports users purchase goods or services from other industries located in the state. Induced spending refers to the additional demands triggered by spending by households as their income increases due to changes in production. Basically, the induced impact captures the ripples of activity that are created when households spend more due to the increases in their earnings that were generated by the direct and indirect spending. The sum of the direct, indirect, and induced economic impacts is the total economic impact, which often is expressed in terms of output (sales), state GDP, income, or employment. Output is gross receipts or sales, plus or minus inventory. Total output impacts are the most inclusive, largest, measure of economic impact. Because of their 5 size, output impacts typically are emphasized in economic impact studies and receive much media attention. One problem with output as a measure of economic impact, however, is that it includes the value of inputs produced by other industries, which means that there inevitably is some double counting of economic activity. The other measures of economic impact (GDP, income, and employment) are free from double counting and provide a much more realistic measure of the true economic impact of Georgia's deepwater ports. State GDP is value added, which consists of employee compensation, proprietor income, other property income, and indirect business taxes. Value added is equivalent to gross output (sales or receipts and other operating income, commodity taxes, and inventory change) minus intermediate inputs (consumption of goods and services purchased from other industries or imported). It is often referred to as the state-level counterpart of the nation's gross domestic product (GDP). Income is all forms of employment income, including wages, salaries, and proprietors' incomes. It does not include non-wage compensation (e.g., pensions and health insurance), transfer payments (e.g., welfare or social security benefits), or unearned income (e.g., dividends, interest, and rent). Employment includes total wage and salary employees as well as self-employed individuals. It encompasses both full- and part-time jobs and is measured in annual average jobs. Methodology Estimating the economic impact of Georgia's deepwater ports involved two distinct steps. First, data regarding tonnage by type and capital expenditures were obtained from the Georgia Ports Authority. The tonnage and capital expenditure data were imported into the U.S. Department of Transportation's MARAD Port Economic Impact Kit to estimate the direct, indirect, induced, and total economic impacts of the ports industry. Second, ports users' spending was estimated. Ports users were surveyed in 2003 to determine the degree to which they depend on Georgia's deepwater ports. To help correct for non-response and/or incomplete responses and to update the analysis, several types of government and administrative data were used to assess the proportion of revenue or sales in various industries that could be attributed to ports usage. The IMPLAN Version 3.0 economic impact assessment software system was used to estimate the indirect and induced economic impacts of the ports-related portion of spending by users. Estimating the Ports Industry's Economic Impact A revised version of the U.S. Department of Transportation's MARAD port economic impact model that was built specifically for Georgia was used to estimate the direct, indirect, and induced economic impact of spending by the ports industry. A detailed discussion of the model, including its structure, methods, and use can be found in the twovolume MARAD Port Economic Impact Kit. The Georgia Ports Authority provided the fiscal year 2009 data on cargo volume (import and export) by mode of transportation for the Savannah and Brunswick facilities that the MARAD model required. The cargo volume reported for the Port of Savannah includes data for the Garden City and Ocean terminals. The cargo volume reported for the Port of Brunswick includes data for Colonel's Island, Brunswick East River, Logistec (Marine Port Terminals), and the Mayor's Point Terminal. Table 1 summarizes cargo volume for cars, containerized cargo, breakbulk cargo, dry bulk cargo, and liquid bulk cargo. Cargo volume is expressed on a per-vehicle basis for auto/vehicle cargo; a per-TEU (Twenty Foot Equivalent Unit) basis for containerized cargo; and a per-short ton (2,000 pounds) for breakbulk, dry bulk, and liquid bulk. In addition, the Georgia Ports Authority provided estimates of cargo volume for the private facilities/docks based on an analysis of data obtained from PIERS, and the estimates are summarized in Table 2. The Georgia Ports Authority also provided capital expenditures (ports investment) in FY 2009 for the facilities that it owns. Capital expenditures by the private facilities/docks are not included in this analysis, however. Estimating the Ports Users' Economic Impact A confidential survey of the entire population of current users of the Georgia Ports Authority's facilities was conducted in 2003 to identify the industries that utilize the ports, their sales, and the extent to which they depend on the 6 ports. The Economic Impact of Georgia's Deepwater Ports on Georgia's Economy in FY 2003 (April 2004) contains both the survey instrument and a brief summary of responses. Secondary sources of information supplemented and updated the information obtained from the survey. These secondary sources include: (1) The U.S. Department of Commerce, Bureau of Economic Analysis' historical data on gross domestic product and output, gross state product, and personal income (estimates for 2009 were prepared by the Selig Center). (2) The U.S. Department of Labor's and the Georgia Department of Labor's historical data on employment by industry. (3) U.S. Department of Transportation, Maritime Administration, Office of Ports and Domestic Shipping on the economic impact of ports users at the national level. (4) A study of the economic impacts of the U.S. Deepwater Port System prepared for the American Association of Port Authorities. (5) The Georgia Department of Community Affairs and the Department of Industry Trade and Tourism's summary information from their survey of manufacturers regarding their international trade activity and current and future exports of their products. Based on an analysis of both the survey and secondary information sources, it was determined that port-related sales (output) totaled $34.5 billion in Georgia in fiscal year 2009, or about 4.8 percent of Georgia's total output that year. Manufacturers were estimated to account for about 75 percent of port-related sales, while wholesale/ distribution/warehousing/storage activities accounted for about 19 percent of port-related sales, and agriculture, forestry, and mining accounted for the remaining 6 percent. The IMPLAN Version 3.0 modeling system was used to estimate the indirect and induced economic impact of ports users' direct expenditures. A detailed discussion of the IMPLAN modeling system, including its structure, methods, and use, can be found at www.implan.com. The Results The total economic impact of Georgia's deepwater ports on output, GDP, income, and employment is summarized in Table 3. The direct, indirect plus induced, and the total economic impacts of Georgia's deepwater ports in terms of output, income, and gross state product are reported in Table 4. Similarly, Table 5 and Table 6 report the employment and tax impacts, respectively. Table 7 reports the overall multiplier values for output, employment, income, and GDP. Table 8 reports the total economic impacts of cargo-based activity by mode of cargo at the Georgia Ports Authority's operations in Savannah and Brunswick. Table 9 shows the ports industry's employment impact by occupation. Table 10 details the employment impact of port users by industry. More detailed tabulations of the economic impact of Georgia's deepwater ports are included in Appendix 1. n Output Impacts n Measured in the broadest terms, the total economic impact of the Port of Savannah and the Port of Brunswick on Georgia's economy is $61.7 billion, which is 8.6 percent of Georgia's output in FY 2009. Out of the total, $3.2 billion (5 percent) represents the results from the ports industry, of which the GPA's operations at the Port of Savannah contribute 76 percent. Ports users' total output impact, however, is nineteen times greater than that of the ports industry $58.5 billion. Indeed, ports users account for almost 95 percent of the total output impact of Georgia's deepwater ports. Of the FY 2009 total output impact, $36.5 billion represents initial spending, or direct economic impact; $25.1 billion is indirect and induced spending, or the re-spending (multiplier) impact. Dividing the FY 2009 total output impact ($61.7 billion) by initial spending ($36.5 billion) yields an average multiplier value of 1.688. On average, therefore, every dollar initially spent by either the ports industry or ports users generates an additional 69 cents for the state's economy. n GDP (Value Added) Impacts n Measured in terms of GDP or value added, Georgia's deepwater ports contributed $26.8 billion to the state's 7 economy in FY 2009, which is 6.8 percent of Georgia's total GDP. Out of the total GDP impact, $1.5 billion (6 percent) represents the results from the ports industry. The GPA's operations at the Port of Savannah contribute 77 percent of this $1.5 billion. But the $25.2 billion GDP impact attributed to ports users is sixteen times greater than that of the port industry, so users account for 94 percent of the total GDP impact of Georgia's deepwater ports. Of the FY 2009 total GDP impact, $13.2 billion represents the direct effects of initial spending, or the direct economic impact; $13.6 billion is indirect and induced spending, or the re-spending (multiplier) impact. Dividing the FY 2009 total GDP impact ($26.8 billion) by the direct GDP impact ($13.2 billion) yields an average multiplier value of 2.028. On average, therefore, every dollar of direct GDP produced by the ports industry and ports users yields an additional 103 cents for the state's economy. n Income Impacts n Measured in terms of income, Georgia's deepwater ports contributed $15.5 billion to the state's economy in fiscal year 2009, which is 4.6 percent of Georgia's total personal income. Out of the total, $1.1 billion (7 percent) represents the results from the ports industry. The GPA's operations at the Port of Savannah contribute 77 percent of this $1.1 billion, but ports users' $14.4 billion income impact is almost thirteen times greater. Indeed, users account for 93 percent of the total income impact of Georgia's deepwater ports. Of the FY 2009 total income impact, $7.8 billion represents the direct effects of initial spending, or the direct economic impact; $7.7 billion is indirect and induced spending, or the re-spending (multiplier) impact. Dividing the FY 2009 total income impact ($15.5 billion) by the direct income impact ($7.8 billion) yields an average multiplier value of 1.994. On average, therefore, every dollar of direct income produced by the ports industry and ports users generates an additional 99 cents for the state's economy. n Employment Impacts n The economic impact of Georgia's deepwater ports probably is most easily understood in terms of its effects on employment. Measured in these terms, Georgia's deepwater ports support 295,443 full- and part-time jobs, which equal 6.7 percent of Georgia's total employment based on the household survey definition of employment. This means that one job out of every fifteen is in some way dependent on the ports. Out of the 295,443 jobs, 28,234 (10 percent) represent the results from the ports industry. The GPA's operations at the Port of Savannah contribute 77 percent of these 28,234 jobs, but ports users' 267,209-job impact is nine times greater, so users account for 90 percent of the total employment impact of Georgia's deepwater ports. Of the FY 2009 total employment impact, 128,733 jobs represent the direct effects of initial spending, or the direct economic impact; 166,710 jobs constitute the indirect and induced effect of spending, or the re-spending (multiplier) impact. Dividing the FY 2009 total job impact (295,422 jobs) by the direct job impact (128,720 jobs) yields an average multiplier value of 2.295. On average, therefore, each job created directly by the ports industry and ports users yields an additional 1.3 jobs in the state. n State Tax Impact n Spending by the ports industry and ports users generate substantial tax revenue for Georgia's state government. The total economic impact of Georgia's deepwater ports on tax collections by state government in fiscal year 2009 is $1.5 billion. n Local Tax Impact n Spending by the ports industry and ports users generate substantial tax revenue for Georgia's local governments. The total economic impact of Georgia's deepwater ports on tax collections by local governments in fiscal year 2009 is $1.1 billion. 8 n Federal Tax Impact n Spending by the ports industry and ports users generate substantial tax revenue for the federal government. The total economic impact of Georgia's deepwater ports on tax collections by the federal government in fiscal year 2009 is $3.5 billion. Comparisons to Previous Estimates In 2007, the Georgia Ports Authority retained the University of Georgia's Terry College of Business to estimate the economic impact of Georgia's deepwater ports on the state's economy. Economic impact estimates for FY 2006 were published in The Economic Impact of Georgia's Deepwater Ports on Georgia's Economy (2007). The methods used were very similar to those used in this study. The FY 2006 impact of Georgia's deepwater ports were $55.8 billion in sales, $24.8 billion in state GDP, $14.9 billion in income, and 286,476 full- and part-time jobs. In 2004, the Georgia Ports Authority retained the University of Georgia's Terry College of Business and Savannah State University to estimate the economic impact of Georgia's deepwater ports on the state's economy. Economic impact estimates for FY 2003 were published in The Economic Impact of Georgia's Deepwater Ports on Georgia's Economy in FY 2003 (April 2004). The study found that the FY 2003 impact of Georgia's deepwater ports were $35.4 billion in sales, $17.1 billion in gross state product, $10.8 billion in income, and 275,968 full- and part-time jobs. In 1997, Booz-Allen & Hamilton, Inc. conducted the study and published its results (for 1996) in Economic Impacts of Georgia's Deepwater Ports of Savannah and Brunswick (March 20, 1998). Instead of using actual cargo volumes and standard macroeconomic input-output modeling systems (e.g., MARAD Port Economic Impact Kit, IMPLAN, RIMS, or REMI) to measure direct, indirect, and induced economic impacts, Booz-Allen & Hamilton relied primarily on direct survey methods, which they said is "somewhat unique." Due to the unique character of their methods as well as the use of non-conventional definitions of standard economic impact terms, it is very difficult to make meaningful direct comparisons of their results to the results of this study, or to those of any other port economic impact study. Booz-Allen & Hamilton found that the total economic impact of Georgia's deepwater ports on output (sales) and employment were $22.3 billion and 76,672 jobs, respectively. Their estimates of the economic impact on tax collections by state and local governments was $569 million, and that the economic impact on wages was $1.7 billion. The estimates produced by the Terry College of Business (based on data for FY 2003) were considerably larger. The order of magnitude of Booz-Allen & Hamilton's output impact ($22.3 billion), however, appears to be somewhat reasonable considering that: (1) the Port of Savannah and the Port of Brunswick both experienced exceptionally rapid growth in cargo volumes from 1996-2003 (implying that direct spending by the ports industry was much smaller in 1996 than it was in 2003); (2) Georgia's overall economy was much smaller in 1996 than it was in 2003 (implying that ports-related impacts were much smaller in 1996 than in 2003); (3) the survey-based approach did not capture all of the direct economic impacts; (4) the survey-based approach is incapable of capturing many of the indirect economic impacts; and (5) the survey-based approach does not capture any of the induced economic impacts. In 1999, Georgia Southern University applied more conventional input-output modeling techniques to re-estimate the ports' 1996 economic impact. But it appears that they basically relied on Booz-Allen & Hamilton's estimate of direct economic impact. Nonetheless, Georgia Southern's use of the REMI model to re-estimate both the indirect and induced economic impacts more fully captured the indirect and induced economic impacts of the direct spending (as estimated by Booz-Allen & Hamilton). Consequently, their impact estimates were somewhat higher than those produced by Booz-Allen & Hamilton. 9 Closing Comment This study investigates the economic impact of Georgia's deepwater ports, and finds substantial economic impacts in terms of output (gross receipts or sales), state GDP, income, employment, state and local tax revenues, and federal tax revenues. The findings are based on analytical methods that are standard in regional economics and economic consulting. 10 Table 1 Cargo Volume by Mode of Transportation at the Georgia Ports Authority's Facilities in Savannah and Brunswick (Import and Export) in FY 2009 Cargo Volume1 Cargo Type Mode Total Savannah Brunswick Autos Long Dist. Truck 120,278 5,945 114,334 Short Dist. Truck 85,750 0 85,750 Rail 87,236 1,486 85,750 Total 293,265 7,431 285,834 Containerized Long Dist. Truck 986,992 986,991 1 Short Dist. Truck 962,975 962,975 0 Rail 456,303 456,303 0 Total 2,406,271 2,406,270 1 Breakbulk Long Dist. Truck 793,915 527,295 266,620 Short Dist. Truck 619,891 410,341 209,550 Rail 459,677 237,372 222,305 Total 1,873,483 1,175,008 698,475 Dry Bulk Long Dist. Truck 29,289 0 29,289 Short Dist. Truck 502,499 65,260 437,239 Rail 857,997 0 857,997 Total 1,389,785 65,260 1,324,525 Liquid Bulk Long Dist. Truck 0 0 0 Short Dist. Truck 176,943 169,132 7,811 Rail 739,263 721,036 18,227 Total 916,206 890,168 26,038 Percent of Total by Mode 41 29 30 100 41 40 19 100 42 33 25 100 2 36 62 100 0 19 81 100 1 Cargo volume is expressed on a per-vehicle basis for auto/vehicle cargo; a per-TEU ("Twenty-Foot Equivalent Unit") basis for containerized cargo, a per-short ton (2,000 pounds) basis for breakbulk, dry bulk, and liquid bulk cargo. Cargo volume is for the public facilities owned by the Georgia Ports Authority and does not include cargo volume for private facilities/docks. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, The University of Georgia (www.selig.uga.edu) based on data provided by the Georgia Ports Authority for FY 2009, 2010. 11 Table 2 Cargo Volume for Private Facilities/Docks in Savannah and Brunswick (Import and Export) in FY 2009 Cargo Type Breakbulk Dry Bulk Liquid Bulk Cargo Volume1 Total 1,811,668 3,314,093 5,226,785 Total 10,352,546 1Cargo volume is expressed on a per-short ton (2,000 pounds) basis. Cargo volume is for the privately owned facilities/docks and does not include cargo volume for facilities owned by the Georgia Ports Authority. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, The University of Georgia (www.selig.uga.edu) based on data provided by the Georgia Ports Authority for FY 2009, 2010. Table 3 Summary of the Economic Impact of Georgia's Deepwater Ports on Georgia in Fiscal Year 2009 (millions of 2009 dollars) Total Economic Impact on: Output State GDP Income Ports Industry 3,165 1,544 1,090 Savannah Cargo-Based Activity 2,417 1,186 837 Brunswick Cargo-Based Activity 111 55 36 Ports Investment 76 41 32 Private Facilities/Docks 561 262 185 Ports Users 58,490 25,208 14,407 Total Output/Revenue Impact 61,655 26,752 15,497 Employment (jobs) 28,234 21,628 912 712 4,982 267,209 295,443 Note: The ports industry refers to firms/enterprises located in Georgia because of the existence of the ports. Savannah and Brunswick cargo-based activity refers to impacts generated by the public facilities owned by the Georgia Ports Authority. Private facilities/docks refers to impacts generated by privately owned facilities/docks. Ports users are firms/enterprises that utilize ports facilities (primarily importers and exporters). Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, The University of Georgia (www.selig.uga.edu), 2010. 12 Table 4 Economic Impact of Georgia's Deepwater Ports on Output (Revenue), Income, and State GDP in Georgia, Fiscal Year 2009 (millions of 2009 dollars) Direct Economic Impact on Output/Revenue Indirect & Induced Economic Impact on Output/Revenue Ports Industry 2,060 1,104 Savannah Cargo-Based Activity 1,575 842 Brunswick Cargo-Based Activity 73 38 Ports Investment 46 30 Private Facilities/Docks 366 194 Ports Users 34,461 24,029 Total Output/Revenue Impact 36,521 25,133 Direct Economic Impact on Income Indirect & Induced Economic Impact on Income Ports Industry 729 361 Savannah Cargo-Based Activity 561 276 Brunswick Cargo-Based Activity 24 12 Ports Investment 22 10 Private Facilities/Docks 122 63 Ports Users 7,043 7,365 Total Income Impact 7,772 7,726 Direct Indirect & Induced Economic Impact on Economic Impact on Gross State Product Gross State Product Ports Industry 1,004 Savannah Cargo-Based Activity 775 Brunswick Cargo-Based Activity 36 Ports Investment 26 Private Facilities/Docks 167 Ports Users 12,185 Total State GDP 13,189 540 412 19 15 94 13,022 13,562 Total Economic Impact on Output/Revenue 3,165 2,417 111 76 561 58,490 61,655 Total Economic Impact on Income 1,089 837 36 32 185 14,407 15,497 Total Economic Impact on State GDP 1,544 1,186 55 41 262 25,208 26,752 Note: The ports industry refers to firms/enterprises located in Georgia because of the existence of the ports. Savannah and Brunswick cargo-based activity and refers to impacts generated by the public facilities owned by the Georgia Ports Authority. Private facilities/docks refers to impacts generated by privately owned facilities/docks. Ports users are firms enterprises that utilize ports facilities (primarily importers and exporters). Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, The University of Georgia (www.selig.uga.edu), 2010. 13 Table 5 Economic Impact of Georgia's Deepwater Ports on Employment in Georgia, Fiscal Year 2009 (full- and part-time jobs) Direct Economic Impact on Employment (full- and part-time jobs) Indirect & Induced Economic Impact on Employment (full- and part-time jobs) Total Economic Impact on Employment (full- and part-time jobs) Ports Industry 18,421 9,813 Savannah Cargo-Based Activity 14,131 7,499 Brunswick Cargo-Based Activity 577 334 Ports Investment 446 266 Private Facilities/Docks 3,267 1,714 Ports Users 110,312 156,897 Total Employment Impact 128,733 166,710 28,234 21,628 912 712 4,982 267,209 295,443 Note: The ports industry refers to firms/enterprises located in Georgia because of the existence of the ports. Savannah and Brunswick cargo-based activity refers to impacts generated by the public facilities owned by the Georgia Ports Authority. Private facilities/docks refers to impacts generated by privately owned facilities/ docks. Ports users are firms/enterprises that utilize ports facilities (primarily importers and exporters). Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, The University of Georgia (www.selig.uga.edu), 2010. Table 6 Economic Impact of Georgia's Deepwater Ports on Tax Collections in Georgia, Fiscal Year 2009 (millions of 2009 dollars) Federal Taxes State Taxes Local Taxes Ports Industry 333.3 62.3 64.1 Savannah Cargo-Based Activity 256.6 48.3 50.0 Brunswick Cargo-Based Activity 11.3 2.1 2.2 Ports Investment 9.3 1.6 1.5 Private Facilities/Docks 56.6 10.3 10.4 Ports Users 3,211.5 1,435.4 1,082.9 Total 3,545.1 1,497.7 1,147.0 Note: The ports industry refers to firms/enterprises located in Georgia because of the existence of the ports. Savannah and Brunswick cargo-based activity refer to impacts generated by the public facilities owned by the Georgia Ports Authority. Private facilities/docks refers to impacts generated by privately owned facilities/docks. Ports users are firms/enterprises that utilize ports facilities (primarily importers and exporters). Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, The University of Georgia (www.selig.uga.edu), 2010. 14 Table 7 Overall Multipliers for Output, Employment, Income, and State GDP, Fiscal Year 2009 Ports Industry Savannah Cargo-Based Activity Brunswick Cargo-Based Activity Ports Investment Private Facilities/Docks Ports Users Total Output Multiplier Value 1.536 1.535 1.521 1.652 1.533 1.697 1.688 Employment Multiplier Value 1.533 1.531 1.581 1.596 1.525 2.422 2.295 Income Multiplier Value 1.495 1.492 1.500 1.455 1.516 2.046 1.994 GDP Multiplier Value 1.538 1.530 1.528 1.577 1.569 2.069 2.028 Note: The ports industry refers to firms/enterprises located in Georgia because of the existence of the ports. Savannah and Brunswick cargo-based activity and refer to impacts generated by the public facilities owned by the Georgia Ports Authority. Private facilities/docks refers to impacts generated by privately owned facilities/ docks. Ports users are firms/enterprises that utilize ports facilities (primarily importers and exporters). Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, The University of Georgia (www.selig.uga.edu), 2010. Table 8 Distribution of Total Economic Impacts of Cargo-Based Activity at the Georgia Ports Authority's Facilities in Savannah and Brunswick by Mode of Cargo, Fiscal Year 2009 Output/Revenue State GDP Model/Impact (Mil. $2009) (Mil. $2009) Containerized Breakbulk Auto/Vehicle Dry Bulk Liquid Bulk 2,305 97 77 29 20 1,131 48 38 13 10 Total 2,529 1,241 Percent of Total Containerized Breakbulk Auto/Vehicle Dry Bulk Liquid Bulk 91.2 91.2 3.9 3.9 3.0 3.1 1.1 1.1 0.8 0.8 Total 100.0 100.0 Income Employment (Mil. $2009) (jobs) 797 36 25 9 6 20,552 1,015 641 207 125 873 22,540 91.3 4.2 2.9 1.0 0.7 100.0 91.2 4.5 2.8 0.9 0.6 100.0 Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, The University of Georgia (www.selig.uga.edu), 2010. 15 Table 9 Ports Industry Employment Impact by Occupation in Georgia, Fiscal Year 2009 (full- and part-time jobs) Occupational Category Executive, administrative and managerial Managerial and administrative Management support Professional specialty Engineers Architects and surveyors Life scientists Computer, math, and operations research Physical scientists Religious workers Social scientists Social and recreation workers Lawyers and judicial workers Teachers, librarians, and counselors Health diagnosing Health assessment and treatment Writers, artists, and entertainers All other professionals Technicians and related support Health Engineering Other technicians Marketing and sales Cashiers Counter and rental clerks Insurance sales agents Marketing and sales worker supervisors Models, demonstrators, product promoters Parts salespersons Real estate agents and brokers Retail salespersons Sales engineers Securities, commodities, financial service sales Travel agents All other sales and related Administrative support Adjusters, investigators, and collectors Communications equipment operators Computer operators Information clerks Mail clerks and messengers Postal clerks and mail carriers Material recording, scheduling, dispatch, distributing Records processing Secretaries, stenographers, typists Other administrative support 16 Ports Industry Impact (full- and part-time jobs) 2,321 1,745 576 858 134 14 8 143 21 48 10 33 24 142 13 71 106 91 270 97 101 74 2,134 487 100 36 263 20 23 13 541 4 19 5 621 4,606 223 42 21 172 137 32 1,183 839 455 1,501 (continued) Table 9 Ports Industry Employment Impact by Occupation in Georgia, Fiscal Year 2009 (full- and part-time jobs) (continued) Occupational Category Service Cleaning and building service Food preparation and service Health service Personal service Private household workers Protective service Agriculture, forestry, and fishing Production, craft, and repair Blue collar worker supervisors Construction trades Extractive and related workers Mechanics, installers, and repairers Machinery mechanics, installers, and repairers Vehicle and mobile equipment mechanics Other mechanics, installers, and repairers Precision production Plant and systems Operators, fabricators, and laborers Numerical control machine tool operators Combination machine tool setters, etc. Machine setters, operators, and tenders Hand Workers, including assemblers Transportation and material moving machine/vehicle Helpers, laborers, and material movers, hand Total all occupations Ports Industry Impact (full- and part-time jobs) 2,078 298 1,259 100 67 34 308 120 3,358 745 348 24 1,338 122 596 187 237 23 12,229 2 2 258 276 9,339 2,349 28,234 Note: The ports industry refers to firms/enterprises located in Georgia because of the existence of the ports. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, The University of Georgia (www.selig.uga.edu), 2010. 17 Table 10 Ports Users Employment Impact by Industry in Georgia, Fiscal Year 2009 (full- and part-time jobs) Impacted Industry Ag, Forestry, Fishing & Hunting Mining Utilities Construction Manufacturing Wholesale Trade Retail Trade Transportation and Warehousing Information Finance & Insurance Real Estate & Rental Professional, Scientific, & Tech. Services Management Administrative & Waste Services Educational Services Health & Social Services Arts, Entertainment & Recreation Accommodations & Food Services Other Services Government Total Employment (jobs) 17,290 2,989 1,016 2,055 66,529 38,193 19,106 22,459 3,411 8,218 9,408 11,564 5,162 14,987 2,601 14,180 2,917 11,710 11,306 2,108 267,209 Note: Ports users are firms/enterprises that utilize ports facilities (primarily importers and exporters). Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, The University of Georgia (www.selig.uga.edu), 2010. 18 Table A-1 The Economic Impact of Port Industry Activity at the Georgia Ports Authority's Facilities in Savannah and Brunswick on Georgia in Fiscal Year 2009 (thousands of 2009 dollars) Total Economic Impact Model Output (000 of 2009$) Model Employment (jobs) Model Income (000 of 2009$) Model GSP (000 of 2009$) Agriculture Agri. Serv., Forestry, & Fish Mining Construction Manufacturing Trans. & Public Utilities Wholesale Retail Trade Finance, Ins., & Real Estate Services Government 2,770.4 1,088.6 4,033.7 31,905.1 166,939.6 1,745,815.1 64,581.8 140,700.9 155,146.8 194,229.1 18,894.2 10.0 21.0 40.0 96.0 516.0 15,574.0 374.0 2,520.0 900.0 2,328.0 132.0 265.5 486.9 578.4 4,388.4 26,237.1 622,960.8 26,262.3 51,733.0 49,687.5 83,482.6 6,021.0 459.2 600.9 1,392.3 9,845.0 48,396.9 865,672.0 27,439.5 81,901.9 98,885.8 94,777.1 10,488.1 Total 2,526,105.3 22,519.0 872,104.1 1,239,858.7 Distribution of Economic Impact 1. Direct Impact 1,646,814.7 14,695.0 584,119.6 809,806.1 2. Indirect & Induced Impacts 879,291.0 7,825.0 287,984.6 430,053.0 3. Total Economic Impact 2,526,105.3 22,519.0 872,104.1 1,239,858.7 4. Multipliers (e.g., 3/1) 1.534 1.532 1.493 1.531 Composition of Gross State Product 1. Wages (Net of Taxes) 771,168.7 2. Taxes, Total 194,438.8 a. Local Taxes 32,316.6 b. State Taxes 29,055.6 c. Federal Taxes 133,065.9 3. Profits, dividends, rent and other 274,251.6 4. Total Gross State Product (1+2+3) 1,239,858.7 Tax Accounts Total 370,143.9 Local 52,225.6 State 50,435.8 Federal 267,482.8 Effects Per Million Dollars of Initial Expenditures Employment (jobs) 13.7 Income 529,170.1 State Taxes 30,603.2 Local Taxes 31,689.1 Gross State Product 752,314.0 Initial Expenditure in Dollars 1,648,060,063.7 Note: Employment includes full- and part-time jobs. Detail may not sum to totals due to rounding. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, the University of Georgia (www.selig.uga.edu), using the MARAD Port Economic Impact Kit for Georgia, 2010. 19 Table A-2 The Economic Impact of Port Industry Activity at the Georgia Ports Authority's Facilities in Savannah on Georgia in Fiscal Year 2009 (thousands of 2009 dollars) Total Economic Impact Model Output (000 of 2009$) Model Employment (jobs) Model Income (000 of 2009$) Model GSP (000 of 2009$) Agriculture Agri. Serv., Forestry, & Fish Mining Construction Manufacturing Trans. & Public Utilities Wholesale Retail Trade Finance, Ins., & Real Estate Services Government 2,650.4 1,054.4 3,749.2 29,983.5 157,585.4 1,677,194.4 61,862.9 135,004.6 148,025.8 184,837.1 15,470.3 10.0 21.0 37.0 91.0 492.0 15,017.0 358.0 2,418.0 861.0 2,206.0 112.0 254.2 471.5 538.4 4,120.9 24,989.7 600,076.2 25,156.7 49,639.0 47,615.5 79,041.8 4,865.1 439.5 581.1 1,294.8 9,254.2 45,902.5 831,410.9 26,284.2 78,589.0 94,268.6 90,108.5 8,251.8 Total 2,417,417.8 21,628.0 836,769.4 1,186,385.3 Distribution of Economic Impact 1. Direct Impact 1,575,431.2 14,131.0 560,889.0 774,660.9 2. Indirect & Induced Impacts 841,986.9 7,499.0 275,880.7 411,724.5 3. Total Economic Impact 2,417,417.8 21,628.0 836,769.4 1,186,385.3 4. Multipliers (e.g., 3/1) 1.534 1.531 1.492 1.531 Composition of Gross State Product 1. Wages (Net of Taxes) 740,038.3 2. Taxes, Total 186,446.0 a. Local Taxes 30,935.2 b. State Taxes 27,833.0 c. Federal Taxes 127,677.6 3. Profits, dividends, rent and other 259,901.0 4. Total Gross State Product (1+2+3) 1,186,385.3 Tax Accounts Total 355,032.1 Local 50,037.5 State 48,346.9 Federal 256,648.2 Effects Per Million Dollars of Initial Expenditures Employment (jobs) 13.7 Income 530,770.0 State Taxes 30,666.9 Local Taxes 31,739.2 Gross State Product 752,534.4 Initial Expenditure in Dollars 1,576,519,687.9 Note: Employment includes full- and part-time jobs. Detail may not sum to totals due to rounding. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, the University of Georgia (www.selig.uga.edu), using the MARAD Port Economic Impact Kit for Georgia, 2010. 20 Table A-3 The Economic Impact of Port Industry Activity at the Georgia Ports Authority's Facilities in Brunswick on Georgia in Fiscal Year 2009 (thousands of 2009 dollars) Total Economic Impact Model Output (000 of 2009$) Model Employment (jobs) Model Income (000 of 2009$) Model GSP (000 of 2009$) Agriculture Agri. Serv., Forestry, & Fish Mining Construction Manufacturing Trans. & Public Utilities Wholesale Retail Trade Finance, Ins., & Real Estate Services Government 120.0 34.3 284.5 1,921.6 9,354.2 68,620.7 2,718.9 5,696.3 7,121.0 9,392.0 3,423.9 0.0 0.0 3.0 5.0 24.0 557.0 16.0 102.0 39.0 122.0 20.0 11.3 15.5 40.0 267.5 1,247.5 22,884.5 1,105.6 2,094.0 2,072.0 4,440.9 1,155.9 19.7 19.8 97.4 590.9 2,494.4 34,261.0 1,155.3 3,313.0 4,617.2 4,668.6 2,236.3 Total 108,687.5 891.0 35,334.7 53,473.5 Distribution of Economic Impact 1. Direct Impact 71,383.5 564.0 23,230.5 35,145.2 2. Indirect & Induced Impacts 37,304.1 326.0 12,103.9 18,328.5 3. Total Economic Impact 108,687.5 891.0 35,334.7 53,473.5 4. Multipliers (e.g., 3/1) 1.523 1.580 1.521 1.522 Composition of Gross State Product 1. Wages (Net of Taxes) 31,130.4 2. Taxes, Total 7,992.8 a. Local Taxes 1,381.4 b. State Taxes 1,222.6 c. Federal Taxes 5,388.3 3. Profits, dividends, rent and other 14,350.6 4. Total Gross State Product (1+2+3) 53,473.5 Tax Accounts Total 15,111.7 Local 2,188.1 State 2,088.9 Federal 10,834.6 Effects Per Million Dollars of Initial Expenditures Employment (jobs) 12.5 Income 493,912.6 State Taxes 29,199.2 Local Taxes 30,585.5 Gross State Product 747,458.5 Initial Expenditure in Dollars 71,540,375.9 Note: Employment includes full- and part-time jobs. Detail may not sum to totals due to rounding. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, the University of Georgia (www.selig.uga.edu), using the MARAD Port Economic Impact Kit for Georgia, 2010. 21 Table A-4 The Economic Impact of Auto/Vehicle Cargo at the Georgia Ports Authority's Facilities in Savannah and Brunswick on Georgia in Fiscal Year 2009 (thousands of 2009 dollars) Total Economic Impact Model Output (000 of 2009$) Model Employment (jobs) Model Income (000 of 2009$) Model GSP (000 of 2009$) Agriculture Agri. Serv., Forestry, & Fish Mining Construction Manufacturing Trans. & Public Utilities Wholesale Retail Trade Finance, Ins., & Real Estate Services Government 85.5 24.3 86.5 1,439.4 4,428.5 50,809.8 1,595.0 4,022.3 5,328.1 6,254.9 2,821.9 0.0 0.0 1.0 4.0 15.0 415.0 9.0 72.0 29.0 77.0 16.0 8.1 10.8 13.0 200.4 783.0 16,581.0 648.7 1,478.8 1,495.1 2,893.7 954.4 14.1 14.2 30.3 442.6 1,364.6 25,087.1 677.7 2,339.6 3,478.6 3,065.3 1,852.7 Total 76,896.1 641.0 25,066.9 38,366.6 Distribution of Economic Impact 1. Direct Impact 50,115.7 405.0 16,307.6 25,108.8 2. Indirect & Induced Impacts 26,780.5 235.0 8,759.3 13,257.9 3. Total Economic Impact 76,896.1 641.0 25,066.9 38,366.6 4. Multipliers (e.g., 3/1) 1.534 1.583 1.537 1.528 Composition of Gross State Product 1. Wages (Net of Taxes) 22,050.0 2. Taxes, Total 5,704.4 a. Local Taxes 979.6 b. State Taxes 866.0 c. Federal Taxes 3,858.7 3. Profits, dividends, rent and other 10,612.2 4. Total Gross State Product (1+2+3) 38,366.6 Tax Accounts Total 10,754.7 Local 1,551.9 State 1,480.6 Federal 7,722.3 Effects Per Million Dollars of Initial Expenditures Employment (jobs) 12.8 Income 499,103.6 State Taxes 29,480.5 Local Taxes 30,899.5 Gross State Product 763,911.6 Initial Expenditure in Dollars 50,223,852.7 Note: Employment includes full- and part-time jobs. Detail may not sum to totals due to rounding. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, the University of Georgia (www.selig.uga.edu), using the MARAD Port Economic Impact Kit for Georgia, 2010. 22 Table A-5 The Economic Impact of Breakbulk Cargo at the Georgia Ports Authority's Facilities in Savannah and Brunswick on Georgia in Fiscal Year 2009 (thousands of 2009 dollars) Total Economic Impact Model Output (000 of 2009$) Model Employment (jobs) Model Income (000 of 2009$) Model GSP (000 of 2009$) Agriculture Agri. Serv., Forestry, & Fish Mining Construction Manufacturing Trans. & Public Utilities Wholesale Retail Trade Finance, Ins., & Real Estate Services Government 115.1 43.6 212.2 1,209.7 7,725.2 54,862.1 2,520.0 5,801.4 6,340.5 17,188.8 1,477.0 0.0 1.0 2.0 3.0 21.0 516.0 14.0 103.0 36.0 306.0 9.0 11.0 19.6 30.0 165.7 1,091.0 19,726.5 1,024.7 2,133.5 2,002.6 9,537.4 489.3 18.9 24.0 72.8 373.7 2,126.9 26,982.9 1,070.6 3,377.2 4,052.6 9,243.1 916.4 Total 97,495.9 1,015.0 36,231.7 48,259.4 Distribution of Economic Impact 1. Direct Impact 63,439.6 708.0 25,052.1 31,504.1 2. Indirect & Induced Impacts 34,056.4 307.0 11,179.5 16,755.6 3. Total Economic Impact 97,495.9 1,015.0 36,231.7 48,259.4 4. Multipliers (e.g., 3/1) 1.537 1.434 1.446 1.532 Composition of Gross State Product 1. Wages (Net of Taxes) 32,231.9 2. Taxes, Total 7,884.3 a. Local Taxes 1,318.5 b. State Taxes 1,189.3 c. Federal Taxes 5,376.4 3. Profits, dividends, rent and other 8,143.5 4. Total Gross State Product (1+2+3) 48,259.4 Tax Accounts Total 15,183.9 Local 2,145.7 State 2,077.5 Federal 10,960.7 Effects Per Million Dollars of Initial Expenditures Employment (jobs) 16.0 Income 570,550.0 State Taxes 32,714.2 Local Taxes 33,789.5 Gross State Product 759,954.4 Initial Expenditure in Dollars 63,503,087.8 Note: Employment includes full- and part-time jobs. Detail may not sum to totals due to rounding. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, the University of Georgia (www.selig.uga.edu), using the MARAD Port Economic Impact Kit for Georgia, 2010. 23 Table A-6 The Economic Impact of Containerized Cargo at the Georgia Ports Authority's Facilities in Savannah and Brunswick on Georgia in Fiscal Year 2009 (thousands of 2009 dollars) Total Economic Impact Model Output (000 of 2009$) Model Employment (jobs) Model Income (000 of 2009$) Model GSP (000 of 2009$) Agriculture Agri. Serv., Forestry, & Fish Mining Construction Manufacturing Trans. & Public Utilities Wholesale Retail Trade Finance, Ins., & Real Estate Services Government 2,521.3 1,008.9 3,411.3 28,470.6 147,001.7 1,613,092.4 58,751.9 128,556.8 141,016.4 167,817.4 13,840.9 10.0 20.0 34.0 87.0 468.0 14,454.0 341.0 2,303.0 820.0 1,913.0 103.0 242.0 451.2 491.2 3,912.3 23,667.1 577,232.1 23,891.7 47,268.1 45,390.4 69,803.2 4,325.9 418.3 555.8 1,179.6 8,787.3 43,157.1 799,323.1 24,962.6 74,836.5 89,795.4 81,042.6 7,243.6 Total 2,305,489.7 20,552.0 796,675.2 1,131,301.7 Distribution of Economic Impact 1. Direct Impact 1,502,027.2 13,397.0 533,341.0 738,436.3 2. Indirect & Induced Impacts 803,462.5 7,155.0 263,334.4 392,865.4 3. Total Economic Impact 2,305,489.7 20,552.0 796,675.2 1,131,301.7 4. Multipliers (e.g., 3/1) 1.535 1.534 1.494 1.532 Composition of Gross State Product 1. Wages (Net of Taxes) 704,357.7 2. Taxes, Total 177,733.7 a. Local Taxes 29,480.4 b. State Taxes 26,518.1 c. Federal Taxes 121,735.1 3. Profits, dividends, rent and other 249,210.3 4. Total Gross State Product (1+2+3) 1,131,301.7 Tax Accounts Total 338,242.2 Local 47,667.1 State 46,049.2 Federal 244,526.0 Effects Per Million Dollars of Initial Expenditures Employment (jobs) 13.7 Income 530,050.4 State Taxes 30,637.8 Local Taxes 31,714.3 Gross State Product 752,686.9 Initial Expenditure in Dollars 1,503,017,744.2 Note: Employment includes full- and part-time jobs. Detail may not sum to totals due to rounding. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, the University of Georgia (www.selig.uga.edu), using the MARAD Port Economic Impact Kit for Georgia, 2010. 24 Table A-7 The Economic Impact of Dry Bulk Cargo at the Georgia Ports Authority's Facilities in Savannah and Brunswick on Georgia in Fiscal Year 2009 (thousands of 2009 dollars) Total Economic Impact Model Output (000 of 2009$) Model Employment (jobs) Model Income (000 of 2009$) Model GSP (000 of 2009$) Agriculture Agri. Serv., Forestry, & Fish Mining Construction Manufacturing Trans. & Public Utilities Wholesale Retail Trade Finance, Ins., & Real Estate Services Government 27.5 6.9 185.0 414.0 4,449.8 15,158.7 984.3 1,317.1 1,429.5 1,765.8 557.1 0.0 0.0 2.0 1.0 7.0 115.0 6.0 24.0 9.0 19.0 3.0 2.5 3.1 25.3 57.9 397.6 5,248.3 400.2 484.1 458.3 747.2 187.0 4.4 3.9 62.7 127.3 999.0 7,759.1 418.3 765.5 908.0 849.4 358.1 Total 26,295.7 186.0 8,011.3 12,255.7 Distribution of Economic Impact 1. Direct Impact 17,675.9 113.0 5,294.1 8,125.3 2. Indirect & Induced Impacts 8,619.8 74.0 2,717.2 4,130.5 3. Total Economic Impact 26,295.7 186.0 8,011.3 12,255.7 4. Multipliers (e.g., 3/1) 1.488 1.646 1.513 1.508 Composition of Gross State Product 1. Wages (Net of Taxes) 7,064.7 2. Taxes, Total 1,805.7 a. Local Taxes 319.1 b. State Taxes 282.3 c. Federal Taxes 1,204.0 3. Profits, dividends, rent and other 3,385.5 4. Total Gross State Product (1+2+3) 12,255.7 Tax Accounts Total 3,419.6 Local 502.0 State 478.8 Federal 2,438.9 Effects Per Million Dollars of Initial Expenditures Employment (jobs) 10.5 Income 452,038.1 State Taxes 27,018.5 Local Taxes 28,326.2 Gross State Product 691,527.8 Initial Expenditure in Dollars 17,722,579.4 Note: Employment includes full- and part-time jobs. Detail may not sum to totals due to rounding. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, the University of Georgia (www.selig.uga.edu), using the MARAD Port Economic Impact Kit for Georgia, 2010. 25 Table A-8 The Economic Impact of Liquid Bulk Cargo at the Georgia Ports Authority's Facilities in Savannah and Brunswick on Georgia in Fiscal Year 2009 (thousands of 2009 dollars) Total Economic Impact Model Output (000 of 2009$) Model Employment (jobs) Model Income (000 of 2009$) Model GSP (000 of 2009$) Agriculture Agri. Serv., Forestry, & Fish Mining Construction Manufacturing Trans. & Public Utilities Wholesale Retail Trade Finance, Ins., & Real Estate Services Government 20.9 5.0 138.7 371.3 3,334.3 11,892.1 730.5 1,003.3 1,032.2 1,202.1 197.2 0.0 2.0 3.5 0.0 2.2 3.0 1.0 18.9 47.0 1.0 52.1 114.1 5.0 298.4 749.2 74.0 4,172.9 6,519.8 4.0 297.0 310.4 18.0 368.6 583.1 6.0 341.2 651.3 13.0 501.1 576.8 1.0 64.4 117.2 Total 19,927.8 125.0 6,119.0 9,675.3 Distribution of Economic Impact 1. Direct Impact 13,556.2 72.0 4,124.8 6,631.6 2. Indirect & Induced Impacts 6,371.7 54.0 1,994.3 3,043.6 3. Total Economic Impact 19,927.8 125.0 6,119.0 9,675.3 4. Multipliers (e.g., 3/1) 1.470 1.736 1.483 1.459 Composition of Gross State Product 1. Wages (Net of Taxes) 5,464.5 2. Taxes, Total 1,310.7 a. Local Taxes 219.0 b. State Taxes 199.9 c. Federal Taxes 891.8 3. Profits, dividends, rent and other 2,900.1 4. Total Gross State Product (1+2+3) 9,675.3 Tax Accounts Total 2,543.5 Local 358.8 State 349.8 Federal 1,834.9 Effects Per Million Dollars of Initial Expenditures Employment (jobs) 9.2 Income 450,163.4 State Taxes 25,730.7 Local Taxes 26,399.9 Gross State Product 711,797.0 Initial Expenditure in Dollars 13,592,799.7 Note: Employment includes full- and part-time jobs. Detail may not sum to totals due to rounding. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, the University of Georgia (www.selig.uga.edu), using the MARAD Port Economic Impact Kit for Georgia, 2010. 26 Table A-9 The Economic Impact of Port Industry Activity at Private Facilities/Docks in Savannah and Brunswick on Georgia in Fiscal Year 2009 (thousands of 2009 dollars) Total Economic Impact Model Output (000 of 2009$) Model Employment (jobs) Model Income (000 of 2009$) Model GSP (000 of 2009$) Agriculture Agri. Serv., Forestry, & Fish Mining Construction Manufacturing Trans. & Public Utilities Wholesale Retail Trade Finance, Ins., & Real Estate Services Government 594.3 161.6 1,626.5 6,321.1 49,072.1 364,618.0 16,739.8 30,342.7 32,731.9 52,701.3 5,691.9 2.0 2.0 17.0 19.0 113.0 3,215.0 97.0 543.0 191.0 743.0 37.0 56.7 71.3 226.5 868.2 5,934.9 122,906.4 6,807.3 11,153.9 10,646.4 24,751.3 1,852.7 98.2 92.2 554.7 1,951.2 12,565.3 170,830.3 7,112.4 17,657.6 20,814.6 26,648.1 3,362.0 Total 560,601.3 4,982.0 185,275.8 261,686.4 Distribution of Economic Impact 1. Direct Impact 366,233.8 3,267.0 122,202.1 167,283.8 2. Indirect & Induced Impacts 194,367.5 1,714.0 63,073.8 94,402.7 3. Total Economic Impact 560,601.3 4,982.0 185,275.8 261,686.4 4. Multipliers (e.g., 3/1) 1.531 1.525 1.516 1.564 Composition of Gross State Product 1. Wages (Net of Taxes) 165,278.8 2. Taxes, Total 39,861.4 a. Local Taxes 6,126.0 b. State Taxes 5,725.4 c. Federal Taxes 28,010.1 3. Profits, dividends, rent and other 56,546.1 4. Total Gross State Product (1+2+3) 261,686.4 Tax Accounts Total 77,189.5 Local 10,355.4 State 10,267.5 Federal 56,566.5 Effects Per Million Dollars of Initial Expenditures Employment (jobs) 13.6 Income 505,322.9 State Taxes 28,003.8 Local Taxes 28,243.4 Gross State Product 713,725.7 Initial Expenditure in Dollars 366,648,432.2 Note: Employment includes full- and part-time jobs. Detail may not sum to totals due to rounding. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, the University of Georgia (www.selig.uga.edu), using the MARAD Port Economic Impact Kit for Georgia, 2010. 27 Table A-10 The Economic Impact of Port Investment (Capital Expenditures) at the Georgia Ports Authority's Facilities in Savannah and Brunswick on Georgia in Fiscal Year 2009 (thousands of 2009 dollars) Total Economic Impact Model Output (000 of 2009$) Model Employment (jobs) Model Income (000 of 2009$) Model GSP (000 of 2009$) Agriculture Agri. Serv., Forestry, & Fish Mining Construction Manufacturing Trans. & Public Utilities Wholesale Retail Trade Finance, Ins., & Real Estate Services Government 106.9 116.4 1,624.7 24,043.8 16,417.4 4,157.5 2,992.8 5,299.8 5,123.7 15,922.2 381.5 0.8 1.6 8.8 301.0 87.5 20.9 16.9 94.7 29.7 146.9 3.2 10.9 44.1 547.1 13,653.8 4,256.7 1,072.5 1,217.0 1,955.4 1,644.6 7,466.6 115.0 19.3 65.8 873.1 16,781.7 6,193.4 1,802.0 1,271.6 3,107.1 3,268.8 7,167.1 177.8 Total 76,186.7 711.9 31,983.7 40,727.6 Distribution of Economic Impact 1. Direct Impact 45,700.1 446.2 21,898.7 26,017.3 2. Indirect & Induced Impacts 30,486.6 265.7 10,085.1 14,710.3 3. Total Economic Impact 76,186.7 711.9 31,983.7 40,727.6 4. Multipliers (e.g., 3/1) 1.667 1.596 1.461 1.565 Composition of Gross State Product 1. Wages (Net of Taxes) 29,418.1 2. Taxes, Total 5,994.8 a. Local Taxes 771.4 b. State Taxes 812.4 c. Federal Taxes 4,411.0 3. Profits, dividends, rent and other 5,314.7 4. Total Gross State Product (1+2+3) 40,727.6 Tax Accounts Total 12,438.6 Local 1,501.5 State 1,596.5 Federal 9,340.6 Effects Per Million Dollars of Initial Expenditures Employment (jobs) 13.5 Income 606,573.0 State Taxes 30,278.0 Local Taxes 28,476.0 Gross State Product 772,401.0 Initial Expenditure in Dollars 52,728,560.0 Note: Employment includes full- and part-time jobs. Detail may not sum to totals due to rounding. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, the University of Georgia (www.selig.uga.edu), using the MARAD Port Economic Impact Kit for Georgia, 2010. 28 Table A-11 The Economic Impact of Port-Related Activity on Georgia in Fiscal Year 2009 (thousands of 2009 dollars) Total Economic Impact Model Output (000 of 2009$) Model Employment (jobs) Model Income (000 of 2009$) Model GDP (000 of 2009$) Agriculture 2,650,449 17,290 465,211 Mining 685,582 2,989 252,591 Construction 193,599 2,054 91,519 Manufacturing 29,344,818 66,529 4,391,122 Trans, Info, Utilities 3,111,905 23,475 1,221,192 Retail & Wholesale Trade 9,139,441 57,299 3,488,865 Services 13,031,836 95,464 4,362,359 Government 332,518 2,108 135,094 Total 58,490,147 267,208 14,407,954 Distribution of Economic Impact 1. Direct Impact 34,461,103 110,312 7,043,330 2. Indirect & Induced Impacts 24,029,044 156,897 7,364,625 3. Total Economic Impact 58,490,147 267,208 14,407,955 4. Multipliers (e.g., 3/1) 1.697 2.422 2.046 784,175 398,054 104,868 8,034,651 2,083,480 5,977,741 7,681,744 143,002 25,207,715 12,185,366 13,022,349 25,207,715 2.069 Note: Employment includes full- and part-time jobs. Detail may not sum to totals due to rounding. Source: Estimated by the Selig Center for Economic Growth, Terry College of Business, the University of Georgia (www.selig.uga.edu), using the 2008 IMPLAN State Package for Georgia, 2010. 29 Bibliography Printed Publications: American Association of Port Authorities (February 2006). America's Ports Today. American Association of Port Authorities (March 2004). U.S. Public Port Facts. Booz-Allen & Hamilton Inc. (March 20, 1998). Economic Impacts of Georgia's Deepwater Ports of Savannah & Brunswick. Prepared for the Georgia Ports Authority. Bureau of Business Research & Economic Development, Georgia Southern University (January 25, 1999). The Regional Impacts of Georgia's Deep Water Ports. Prepared for the Georgia Ports Authority. 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Prepared for the Florida Seaport Transportation and Economic Development Council. 31 Websites: American Association of Port Authorities: www.aapa-ports.org Georgia Department of Economic Development: www.georgia.org Georgia Department of Labor: www.dol.state.ga.us Georgia Department of Revenue: www.dor.ga.gov Georgia Ports Authority: www.gaports.com Maritime Administration, U.S. Department of Transportation: www.marad.dot.gov Minnesota IMPLAN Group, Inc.: www.implan.com PIERS: www.piers.com U.S. Bureau of the Census: www.census.gov U.S. Bureau of Economic Analysis: www.census.gov U.S. Bureau of Labor Statistics: www.bls.gov U.S. Bureau of Transportation Statistics: www.bts.gov U.S. Department of Commerce: www.commerce.gov U.S. Department of Labor: www.dol.gov 32