|BUSINESS PARK PROFILES|
TDC Business Park Impacts:
Investments and Revenues
The primary goal of TDC management and operation of a business park is to promote economic development for the benefit of Knox County. One measure of economic impact is a comparison of investments and revenues. The following table provides a snapshot (as of December, 2008) of the simple returns generated by the investments made by TDC within its five existing business parks.
|TDC Business Park Investment and Revenue|
|Investment in property and improvements in the parks
|Revenues from lot sales, real property tax collection, PILOT payments, and personal property tax collection in the parks, from 1997 to December 2008
Employment and Compensation
The most significant measure of economic impact for a TDC business park is the creation and support of jobs and the wages and benefits that result from those jobs. A standard way to capture that information is through the use of nationally recognized economic impact modeling packages, tailored to the Knox County market. The Knoxville Chamber partnership uses the IMPLAN® modeling system “…to create complete, extremely detailed Social Accounting Matrices and Multiplier Models of local economies" (information from the IMPLAN® website).”
The following table shows the employment and compensation impact of TDC business parks. The table is split into two sections – the actual number of employees and projected number of employees. In the Actual section, “Actual Employment” is the direct number of people employed by businesses located in TDC business parks, as annually surveyed by the Knoxville Chamber and updated as information is available. “Actual Compensation” is the IMPLAN® generated wages and benefits paid to actual, direct TDC business park employees.
In the Projected section, “Projected Employment” is the direct number of additional employees projected, at full build out of TDC business parks, to be employed by businesses located in TDC business parks. “Projected Compensation” is the IMPLAN® generated wages and benefits paid to additional, projected employees at full build out of the TDC business parks, paid by businesses located in the parks.
The “Secondary Employment & Compensation” parts of the table are IMPLAN® generated indirect and induced number of employees and their compensation. Indirect impacts are defined as employment and compensation due to inter-industry purchases, as they respond to demands of the directly impacted industry (i.e., employment and compensation for Knox County parts suppliers to PBR, Exedy, Timken, NTRC, Alstom Power, etc.). Induced impacts are employment and compensation generated by household spending due to production by Direct and Indirect businesses in Knox County (i.e., employment and compensation for various other services provided in Knox County that support the employees of businesses in the business parks and at their Knox County suppliers).
|Actual Impact (to December 2008)
|Total Actual Employment & Compensation in the Parks
|Total Actual Secondary Employment & Compensation Generated by the Parks
|Total Projected (Additional) Employment & Compensation in the Parks
|Total Projected (Additional) Secondary Employment & Compensation Generated by the Parks
|Total Employment & Compensation Impact of the Parks