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Study: DOD Economic Impact on San Antonio PDF 3MB

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This site is a portal to the many military-related organizations of San Antonio.  Use this navigator as a reference guide to access the military bases and their supporting governmental and commercial institutions.  More than any other city, San Antonio proudly goes far beyond “critical mass” in clustering defense assets.  America turns to San Antonio when it needs defense solutions.



 

Wilford Hall Refractive Surgery Center
at Lackland Air Force Base has some of the
 most advanced equipment in the world.

 


By providing the platform and support for military operations since the transformation of the Alamo, the City of San Antonio has become known as Military City USA. From a review of the history of the military in San Antonio it shows land and support provided to the Military by the City has been and continues to be a good investment for its citizens of San Antonio.  The data below shows the current economic impact of the Military in San Antonio and the continued growth expected from recent and projected BRAC actions.

Economic Impact

In 2006, DD activities in San Antonio registered an economic impact of $13,297,753,428.  The breakdown of this activity is shown in Table 1.

Table 1: Economic Impact by Activity

 

Activity

Impact

Civilian and Military Personnel

$5,404,922,849

Retirees and Beneficiaries

$2,183,049,308

DoD Contracts

$5,531,744,931

Purchase Card

$178,036,340

Total

$13,297,753,428

As can be seen in the table, contracting activity, which includes spending by the military bases as well as economic activity generated by private sector companies receiving DoD contracts, accounts for the largest impact, with spending by civilian and military personnel accounts for the second largest impact.

Economic Impact of BRAC

The Base Realignment and Closure (BRAC) activities that are scheduled to occur in San Antonio by September 2011 could arguably be one of the largest economic development projects the city has ever seen.  San Antonio is expected to receive 4,886 new personnel and their families, 9,000 additional students per year, and $2.1 billion in construction of military facilities as San Antonio becomes the home of military medicine.  By comparison, Toyota and its suppliers invested $1.1 billion in new manufacturing facilities and created 4,100 new jobs. 

The estimated economic impact of BRAC through 2011 is $5,652,821,961.  The impact from the new operations is estimated to be $621,163,961 with the balance of the impact ($5,031,658,000) resulting from the construction activity. 

Employment due to the new operations is anticipated to increase by another 4,886 direct jobs, and when the multiplier impacts are included an additional 1,330 jobs will be supported.  The full-time equivalent employment resulting from the employment through 2011 is estimated to be 46,339.  It is worth noting that this does not mean that 46,339 new jobs will be created from the construction activity, but rather, the activity will support this number of full-time equivalent positions over the period of the construction.  For example, a construction worker may work on the job each year from the beginning, which would be captured in this estimate, but we would not count the fact the he or she works on the site in 2008 and 2009, say, as two new jobs.  Furthermore, this estimate includes multiplier effects, so this is not the direct employment resulting from the construction activity.

Earnings will increase by $2,174,628,569.  New operations will increase earnings by $324,876,979 with additional earnings resulting from the multiplier effects of $193,387,590.  The construction activity will generate earnings through 2011 of $1,656,364,000.


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