March 20
March 20, 2007Vergie Petersen
March 23, 2007
The eight-year-old Houma-Terrebonne Civic Center had a $9.1 million impact on the Houma area economy in 2006.
It also generated $238,500 in income for fiscal year 2006, the excess of revenues over expenditures, and it generated another $356,620 in state and local tax revenue. And, it created 22 new jobs at the center, and 132 new jobs in the Terrebonne Parish area, all according to results of a study on its economic impact, by University of New Orleans’ economists.
David Ohlmeyer, executive director of the center, presented results of the survey to the Terrebonne Parish Council last Wednesday.
“It should be noted that the economic impact of the Houma-Terrebonne Civic Center does not include the spending of the local residents of the Houma area who attended events at the civic center,” Ohlmeyer said. “It is assumed that these residents would have spent these dollars elsewhere in the local economy.”
Ohlmeyer commissioned the study with Dr. Janet F. Speyrer, professor and director of the Division of Business and Economic Research at the University of New Orleans.
Ohlmeyer told the council he paid $1,750 for the study, because “there had never been an economic impact report compiled before, on the facility.”
The only objection came from Council Chairman Alvin Tillman, who told the civic center director he believed someone within the parish government could have compiled the information, which would have saved the cost.
However, Ohlmeyer said he wanted an unbiased outside agency to compile the information.
The survey found that during 2006, the center hosted 163 events, reflecting a utilization rate of 82.5 percent of the facility.
The 100,000-square-foot center is a multi-purpose building with a 5,000-seat arena, a theatrical/banquet area with a 2,500-person capacity, and a 10,000-square-foot meeting room area. The facility was built at a cost of $18.1 million, using taxpayer dollars, and is a division of the Terrebonne Parish government. It opened Jan. 6, 1999.
The UNO survey estimates that 163,991 people attended events at the center in 2006, of which 44,918 were from outside of Terrebonne Parish.
A further breakdown of 2006 tax revenues generated shows the $203,449 the state will receive is derived from:
• $44,673 in income taxes;
•†$46, 813 in excise taxes;
•†$55,410 in sales taxes;
•†$15,437 in business taxes; and
•†$41,116 in hotel taxes.
A breakdown of 2006 local tax revenues generated, shows the $153,171 parish agencies will receive is derived from $65,799 in local taxes and $87,372 in hotel taxes.
The study also compares the results of 2006, to that of 2005 an 2004, as well as, to the 2006 budget.
Overall, in 2006, the center took in $2.046 million. In 2005, that figure was $1.852 million, and in 2004 its gross in-take was $1.594 million.
Expenditures, in 2006 were $1.808 million; in 2005, $1.652 million; and in 2004, $1.661 million.
The excess of revenues over expenditures in 2006 was $238,500; in 2005, $199,878; and in 2004, the facility experienced a loss of $67,320.
“In 2006, the Houma-Terrebonne Civic Center produced a total new direct spending in the Houma area economy of $6.3 million. This primary spending generated secondary spending of an additional $2.8 million. Therefore, the total economic impact of the Houma-Terrebonne Civic Center in 2006 was $9.1 million,” Ohlmeyer said.
“The center far exceeded all expectations in 2006 following the tumultuous year of the storms in 2005,” he added. “The primary mission of the facility is to be an economic catalyst to the parish while providing cultural enrichment, diverse entertainment, a public forum and space for corporate and association conferences.”
