Economic Impact

ECONOMIC IMPACT OF TRAVEL & TOURISM TO ANNE ARUNDEL COUNTY

(Source: AAACCVB FY15 Marketing Plan)

The Maryland Office of Tourism Development commissioned Tourism Economics to perform an economic impact study of tourism in Maryland and its individual jurisdictions during 2012. According to this most recent study Anne Arundel County surpassed all other Maryland counties and the City of Baltimore in 2012 travel generated expenditures. The county has headed the list since 2007, the first year that the state began tracking the economic impact of tourism in Maryland by individual jurisdictions.

Other key findings of the Tourism Satellite Account (TSA) study include:

  • Over 5.9 million visitors (6.3% growth rate over 2011) to Anne Arundel County left behind more than $3.2 billion in revenue.
  • Of the $3.2 billion tourism dollars spent in Anne Arundel County, $2 billion went to transportation (to and within); $365 million was spent on food and beverages; and over $271 million on lodging costs. Visitors spent $269 million on recreation and $272 million on retail (increase of 3.5%)
  • The travel and tourism industry in Anne Arundel County directly employs 19,910 workers. Another 8,720 jobs are indirectly linked to the travel and tourism industry (13.9% increase)
  • Tourism expenditures in Anne Arundel County account for $420 million in state and local taxes, providing revenue for community infrastructure.
  • 12% of employment in Anne Arundel County comes from tourism

In 2012, visitors to Maryland spent $14.9 billion.

  POSITIONING

 Over the past several years the playing field has leveled just a bit for this destination’s ability to compete with other similar destinations in attracting business.  As the result of legislation introduced by members of our state legislative delegation, the Anne Arundel County Tourism Promotion Act was signed into law by the governor. This law provides for the AAACCVB to receive 17% of the over $18 million annually in hotel tax receipts collected by Annapolis and Anne Arundel County hotels. The fiscal 2014 AAACCVB budget was $3.5 million. This is roughly $1-2 million less than budgets of our competitive set of DMOs including Newport, Savannah, Charleston, and others. But the results of increased funding have meant a considerable increase in the performance metrics of our organization. (See Annual Report)

A study commissioned by the AAACCVB and performed by Rockport Analytics in 2013 shows the Impact Perspective of visitors to Anne Arundel County.

  • Every 169 visitors supported a job within Anne Arundel County
  • Every 198 visitors to Anne Arundel County generates enough state and local taxes to pay for one public school student for a year
  • Tourism is the 4th largest industry in Anne Arundel County
  • Each visitor generated roughly $116 in tax receipts, $68 of which went to state and local authorities
  • Visitor spending to Anne Arundel County saves each household $1,873 in state and local taxes
  • Anne Arundel County was able to retain 70 cents of every $1.00 spent by travelers

Key assets in the county include historic downtown Annapolis, the United States Naval Academy, pristine shoreline communities, rural attractions, maritime heritage and industry, unique meeting spaces, burgeoning shopping districts, BWI Thurgood Marshall Airport and the gateway community emerging around it, Arundel Mills Mall and MD Live! Casino, quality restaurants, and 80+ excellent overnight accommodations.

Anne Arundel County has experienced a period of rapid growth, positioning it as a premier destination for both travelers and those relocating to the DC/Baltimore metro area. The economic recession has served only to slow, but not stop, this development. Between 2002-2009 major hotel development, particularly in the BWI area, added 4,198 sleeping rooms, bringing the total supply to nearly 11,000 rooms. Additional hotels are in the pipeline for the BWI Marshall Airport and MD Live! Casino. The Fort Meade area will feel the effect of BRAC (base realignment and closure), as over 5,000 additional military and civilian personnel will be working on or with the base. Major infrastructure development is planned for the western part of Anne Arundel County in preparation for this influx. The Westfield Mall completed a major expansion, securing its position as a destina­tion mall. Anne Arundel County boasts 1,019 restaurants with a total of 98,248 seats. The Annapolis Towne Centre opened just outside the Historic District of Annapolis. The Centre is continuing to add restaurants and lifestyle shops to this thriving mixed use facility. The proposed National Sail­ing Hall of Fame is progressing through the process of permits and approvals and continues its fundraising.  MD Live! Casino added table games in spring 2013, generating $18 million in additional revenues.