News Releases for August 2006
August 8, 2006
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Hoeven: Economic Impact Of North Dakota Aviation Surpasses $1 Billion
BISMARCK, N.D. - Gov. John Hoeven today announced that the North Dakota aviation industry and airport system now exceeds $1 billion in economic impact and provides 10,902 jobs, according to an Economic Impact Study released today. This impact includes a 104 percent increase in expenditures and a 25 percent increase in jobs in North Dakota since 1994. The study was prepared by Flint Communications and Akerson Marketing Research, Inc. of Fargo.
"This new report reflects the diversification and growth of the state's economy in general, and the strength of the aviation industry in particular, especially in the areas of leisure and business travel," Hoeven said. "What is especially interesting in the report, however, is that aviation manufacturing, which five years ago was a small sub-sector of the industry, now contributes nearly $120 million to our economy. Advanced manufacturing is one of the industries we've targeted for growth in North Dakota, and now we're seeing the results of our effort reflected in the growth of this dynamic field."
"During the last ten years, the aviation industry has created several niche job markets, all making important contributions," stated Gary Ness, executive director of the North Dakota Aeronautics Commission. "This study confirms the importance of aviation to the state's economy, plus educates us on the scope of aviation's impact."
The study is conducted every five years by the North Dakota Aeronautics Commission using an FAA planning grant. The purpose is to better understand grant priorities and trends. North Dakota has 90 public airports, of which eight are major commercial airports. Combined, these airports offer 102 daily flights serving 1.2 million passengers annually. In 2004, there were a total of 810,000 aviation flights in North Dakota. The number of passenger boardings between 1994 and 2004 grew by nearly 10 percent.
Economic activity associated with aviation in North Dakota provides jobs and expenditures. This spending spreads to the local economies throughout the state, creating additional employment, tax revenue and spending. The economic impact includes both direct and indirect expenditures and employment.
Aviation serves as a support system to the growth of North Dakota's economy, providing convenient travel and access, while assuming the role of a leader in "New Economy" through the growth of the manufacturing sector. The industry is active in the pursuit of new ideas and innovation, expects to continue to serve as a leader in the state.
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