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INDIANAPOLIS -- The annual National FFA Convention in Indianapolis is benefiting its host city across a wide range industries and sectors throughout the Indianapolis metropolitan area. A recent study, conducted for FFA by tourism and economic research firm Global Insight, Inc., shows that attendee spending and convention impact in the Indianapolis metropolitan area totaled more than $40 million in 2007—roughly equivalent to an NCAA Final Four. This spending generated a local economic impact of $34.5 million, after accounting for benefits to suppliers located outside of Indianapolis. Convention and attendee spending supported 836 jobs and $23.8 million in wages for the local economy, and the FFA convention also generated more than $9.2 million in tax receipts.

Eighty-six cents of every dollar spent by convention participants and convention management stayed and contributed to the local economy. The Indianapolis Metropolitan Statistical Area consists of the following 10 counties: Boone, Brown, Hamilton, Hancock, Hendricks, Johnson, Marion, Morgan, Putnam and Shelby.

The FFA convention study was not limited to actual attendee spending, but took a much more comprehensive and accurate look at the overall impact of direct, indirect, and induced spending. Goods and services sold by Indianapolis businesses, including transportation, food, and lodging, are considered direct. Material, supply, and service providers to those businesses are indirect beneficiaries. Finally, wages paid to both direct and indirect related workers are spent and re-spent in the Indianapolis economy, and are defined as induced impact.

During the 2007 National FFA Convention, $10.8 million of attendee spending went to lodging, $8.6 million to food and beverage services and more than $5.5 million to general retail shopping, In addition, nearly $4.25 million poured into entertainment, $5.9 million into transportation and $5 million to direct convention support costs.

While the largest economic impact was felt by core tourism businesses like hotels and restaurants, other industries also saw significant economic benefits. The Public Administration sector showed a larger economic impact than the transportation sectors, receiving $300,000 in indirect impact and $1.3 million in induced impact, clearly illustrating the links between the tourism industry and the rest of the Indianapolis-area economy. And, with $1.8 million in indirect and induced economic impact from convention spending, the Business Services sector showed an effect nearly as large as the total impact of the retail sectors.

The 2007 National FFA Convention directly supported 645 full-time and part-time jobs throughout the Indianapolis area—primarily in lodging, restaurants, transportation, and entertainment. The indirect impact of travelers’ dollars supported another 72 jobs. An additional 120 jobs were generated by the spent wages of direct and indirect tourism employees.

In total, the National FFA Convention generated more than $9.3 million in federal, state, and local taxes in 2007. Indiana state tax receipts related to the convention accounted for more than $2.5 million. These tax receipts are produced without the need for significant investment from state and local governments. The estimated cost of locally provided equipment, person-hours, and police support is estimated at $100,000. Considering state and local tax returns from the convention, the local return on investment is substantial.

For a complete copy of 2007 National FFA Convention impact study, please contact the National FFA Organization.