July 8, 2011
Infrastructure and security investments at public-use airports helped generate $50 billion in economic activity in the state in 2009, according to a report from the state Department of Transportation.
The study looked at economic activity, jobs and taxes generated by the aviation sector and showed that it produced an impact greater than the level of public investment required to maintain the system in a state of good repair. It concluded that convenient, affordable and safe airline services are vital to the state’s economic strength. Non-airline or general aviation airports can provide businesses and residents with access to air transportation, while relieving congestion at busy commercial service airports. Most New Yorkers live within 30 minutes of a general aviation airport. Airports provide connectivity for business markets by linking regional, interstate and global markets in a direct and time-effective way.
DOT Commissioner Joan McDonald said continued strategic investments in the state’s aviation industry will help rebuild the economy by attracting and retaining businesses that depend on aviation for shipping and receiving goods, while also providing business and recreational travelers with safe, fast and reliable service.
“This study will help the state Department of Transportation properly plan our capital program in order to generate the greatest economic impact through our transportation infrastructure investments,” McDonald said in a statement.
Other findings of the study included the following:
• In 2009, aviation facilities generated $50 billion in annual economic activity for New York state businesses, equaling 4.4 percent of the total gross state product;
• Federal, state and local funding for capital improvements at airports accounts for approximately 1.2 percent of this total, most of which comes from user fees and taxes. More than $610 million was invested by federal, state and local sources in capital development at New York State airports in 2009;
• Approximately 394,500 jobs in New York State are related directly or indirectly to aviation, representing 4.6 percent of the 8.5 million jobs in the state. Payroll from aviation totals more than $18 billion, or two percent of total income in the state;
• More than $4.5 billion in state and local tax revenues related to aviation were collected, roughly $4.1 percent of all 2009 state and local taxes;
• Economic impacts from aviation in New York State account for 6 percent of the nation’s total aviation economic impact;
• JFK International and LaGuardia airports make up almost 84 percent of the state’s aviation economic impact;
Funded jointly by the Federal Aviation Administration and NYSDOT, the study looked at 90 public-use airports across the state included in the state Airport System Plan. Public-use airports are publicly owned and can be used to transport people or goods. Facilities in the state include 18 airline airports offering scheduled commercial services and 72 general aviation facilities, which do not have scheduled airline service.
Source: LONG ISLAND BUSINESS NEWS