GPEC REPORT - ROSS DISTRIBUTION IMPACT ANALYSIS.PDF
Extracted text (via pymupdf)
5791 characters
Ross Distribution Impact Analysis May 2022 Impact Analysis Impact Analysis Overview Below is an analysis of Ross Distribution’s impact over the next 10 years to demonstrate the economic value the company will generate in the county. Based on the assumptions outlined below, Ross Distribution will generate an estimated $6.7 million in direct tax revenues and an additional $422,826 in indirect tax revenues for a total of $7.1 million in tax revenue to Maricopa County over a 10-year period. In 10 years this company will directly create an estimated $492.0 million of personal income, plus an additional $144.2 million in indirect personal income for a total of $636.2 million. Over a 10-year period Ross Distribution will create $2.3 billion in economic output, with $1.8 billion in direct economic output, and $476.9 million in indirect output. Assumptions Total Employment at the end of 10 Years: 1,308 jobs Annual Payroll at the end of 10 Years: $56.6 million Total Square Feet of Property: 1,700,000 square feet by Year 1 Total Real Property Improvement Investment: $275.4 million Total Personal Property Investment: $331.8 million 10-Year Economic Impact to Maricopa County Impact Jobs Personal Income Economic Output Revenues Direct 1,308 $492,009,580 $1,809,142,186 $6,705,652 Indirect 321 $144,223,886 $476,990,258 $422,826 Total 1,629 $636,233,466 $2,286,132,444 $7,128,474 Impact Analysis Direct Revenue and Economic Impact Year Jobs Personal Income Output Revenues 2022 881 $38,116,465 $140,156,020 $2,804,692 2023 881 $38,116,465 $140,156,020 $390,322 2024 881 $38,116,465 $140,156,020 $390,322 2025 881 $38,116,465 $140,156,020 $390,322 2026 1,308 $56,590,620 $208,086,351 $454,999 2027 1,308 $56,590,620 $208,086,351 $454,999 2028 1,308 $56,590,620 $208,086,351 $454,999 2029 1,308 $56,590,620 $208,086,351 $454,999 2030 1,308 $56,590,620 $208,086,351 $454,999 2031 1,308 $56,590,620 $208,086,351 $454,999 Total 1,308 $492,009,580 $1,809,142,186 $6,705,652 Year Jobs Personal Income Output Revenues 2022 216 $11,173,166 $36,952,904 $32,757 2023 216 $11,173,166 $36,952,904 $32,757 2024 216 $11,173,166 $36,952,904 $32,757 2025 216 $11,173,166 $36,952,904 $32,757 2026 321 $16,588,537 $54,863,107 $48,633 2027 321 $16,588,537 $54,863,107 $48,633 2028 321 $16,588,537 $54,863,107 $48,633 2029 321 $16,588,537 $54,863,107 $48,633 2030 321 $16,588,537 $54,863,107 $48,633 2031 321 $16,588,537 $54,863,107 $48,633 Total 321 $144,223,886 $476,990,258 $422,826 Year Jobs Personal Income Output Revenues 2022 1,097 $49,289,631 $177,108,924 $2,837,448 2023 1,097 $49,289,631 $177,108,924 $423,078 2024 1,097 $49,289,631 $177,108,924 $423,078 2025 1,097 $49,289,631 $177,108,924 $423,078 2026 1,629 $73,179,157 $262,949,458 $503,632 2027 1,629 $73,179,157 $262,949,458 $503,632 2028 1,629 $73,179,157 $262,949,458 $503,632 2029 1,629 $73,179,157 $262,949,458 $503,632 2030 1,629 $73,179,157 $262,949,458 $503,632 2031 1,629 $73,179,157 $262,949,458 $503,632 Total 1,629 $636,233,466 $2,286,132,444 $7,128,474 Indirect Revenue and Economic Impact Total Revenue and Economic Impact Impact Analysis Year Property Taxes Total Company Residential 2022 $268,223 $231,860 $36,363 2023 $268,223 $231,860 $36,363 2024 $268,223 $231,860 $36,363 2025 $268,223 $231,860 $36,363 2026 $285,847 $231,860 $53,987 2027 $285,847 $231,860 $53,987 2028 $285,847 $231,860 $53,987 2029 $285,847 $231,860 $53,987 2030 $285,847 $231,860 $53,987 2031 $285,847 $231,860 $53,987 Total $2,787,974 $2,318,600 $469,374 Property Tax Analysis Impact Analysis Impact Analysis About GPEC Economic Impact Model The Greater Phoenix impact model calculates economic and revenue impacts of new business in the region. The underlying theory behind this regional model is that all communities benefit when a new business locates in the region, both in terms of employed residents and new revenues. The purpose of the model is to show how this distribution of economic benefits may occur. Economic Impact The impact model uses county-level multipliers from the Minnesota IMPLAN Group for Maricopa County to calculate direct and indirect impact on specific communities in the Greater Phoenix region. The model also calculates economic impact to the county and state economies in terms of new jobs, output, and revenue generated. In addition to jobs, new businesses create new consumer spending throughout. The payroll from the new businesses can be converted into effective buying income. On a regional basis, effective buying income is distributed across retail and service categories based on spending patterns from the Bureau of Labor Statistics. Revenue Impact Direct revenue impacts include revenues generated directly by the businesses, based on project information such as real property values, employment, direct sales, and local and nonlocal purchases. Additional revenues generated by related supplier and consumer jobs, and supported residents are included in the indirect and total impact results. All revenue projections are in current dollars. Disclaimer The results from this analysis suggest only one possible scenario based on given project parameters and assumptions, and do not exclude other development possibilities under different assumptions. The economic impact model serves as a tool for basic quantitative evaluations for economic development projects. The results are based on the current economic structure of the communities, and current tax rates. The results of the model are order-of-magnitude estimates and are intended only as a general guide as to show how businesses and development projects may impact the region.