Here - Chicago Executive Airport

Chicago Executive Airport Economic Impact Study–2007 Page 3-3
earning an annual salary of $60,900. However, average payrolls range significantly between
business type and firm. Government employees, which includes many traffic controllers as well
as other airport operation services, generate the highest average payroll of $95,200, Corporate
operations, which employee pilots, mechanics and other support services ($88,800). The
airport service-related firms average $41,900.
Capital Expenses –The $19.3 million in “capital impacts” (see Exhibit 3.2) comprise capital
investments made in which the recipient of the expenditures typically is located in the region.
Capital investment represents physical improvements to airport facilities, either public or private.
However, capital expenditures on aircraft are excluded because the recipient, the aircraft
manufacturer, is located outside of the study region. Funds may come from private sources such
as leaseholders, government agencies such as the airport operator, or through aid grants from the
Federal Aviation Administration (FAA), or the State of Illinois.
The largest share of capital impacts typically originate from the airport operator who manages the
airport, and finances airside and landside improvements. Total airport operator capital costs
evaluated in this study comprise an annual average of the capital costs over the past ten years
and those programmed over the next five years, inclusive of the matching state and federal
contributions. The annual average estimation approach better reflects the typical annual impact
that large capital investment projects have on the local community. For example, actual airside
and landslide improvements averaged $8.5 million over the last 10 years (1998-2007), the vast
majority attributable to the $46.5 million allocated in 2007. This spike in capital expenditures is
expected to continue with an annual average of $24.1 million in programmed expenditures
between 2008 to 2012.
Operation Expenses – Operation expenses include expenditures for local utilities, operations,
parts and supplies, services, aviation fuel, and other local purchases. All of these are of economic
value to the Chicago Executive Airport service area – totaling an estimated $75.4 million. It is
recognized that a significant portion of the airport operation expenses is made by one airport
business to another at-airport business.
3.2 Indirect Impacts
The estimated $17.7 million in total indirect impacts at Chicago Executive Airport include visitor
impacts associated with air taxi, corporate and personal aircraft operations. Each visitor type
demonstrates different travel patterns regarding percent visitors, percent staying overnight and
expenditures per day, etc. Based on these differences, a composite of the visitor impact
estimation is diagramed in Exhibit 3-3.
Wilbur Smith Associates November 2007