Introduction
Rhode Island’s Aviation System
A strong relationship exists between Rhode
Island’s economy and aviation. In today’s global
market place, the state’s system of commercial
service and general aviation airports is essential.
Rhode Island’s airport system facilitates economic growth and diversification. In addition to
supporting the state’s economy, Rhode Island’s
airports are themselves economic generators.
Beyond the economic impacts quantified in this
report, the airport system also provides essential
qualitative benefits to the residents, businesses
and visitors, who also rely on the airport system
for health, welfare, and safety needs. Further,
Rhode Island’s airports are also home to military
facilities, which are important to our national
security.
Rhode Island is served by a diversified system of commercial service and general aviation airports.
While T.F. Green accommodates the majority of Rhode Island’s commercial passenger activity, both
Westerly and Block Island airports also accommodate limited scheduled commercial service. In doing
so, T.F. Green, and the other five general aviation airports underpin Rhode Island’s business base and
tourism industry.
To quantify the economic impacts and other
benefits attributable to Rhode Island airports, the
Rhode Island Airport Corporation (RIAC) periodically commissions economic impact studies.
This update study quantifies the impacts to the
New England region, the State of Rhode Island
and to the City of Warwick.
Aviation is generally assigned to three categories: commercial, general aviation, or military. Commercial
aviation includes all scheduled airline flights, charter flights, and flights flown by air cargo companies.
All other flights by civilian aircraft are classified as general aviation. Aside from commercial and general
aviation, Rhode Island’s public airports also accommodate military aircraft. In fact, two of the airports,
Newport and especially Quonset, are home to National Guard Units.
Commercial Service Airport
general aviation airports
T.F. Green is the major commercial service airport
in Rhode Island with non-stop scheduled commercial passenger service to airports nationwide. In
addition, air cargo carriers such as FedEx, UPS,
and DHL rely on T.F. Green. It is worth noting that
a high percentage of total annual takeoffs and
landings at all commercial airports is attributable
to general aviation aircraft.
General aviation is the largest segment of aviation
in the U.S. General aviation aircraft range from
high-powered, sophisticated business jets that fly
from Rhode Island non-stop to destinations around
the world, to small, single-engine planes flown for
recreational use. Rhode Island’s five general aviation airports serve different users and purposes
ranging from corporate/business jets to smaller
twin-engine aircraft to national guard units.
Existing
Airport
System
1
Rhode Island Airport Corporation
Airport Economic Impact Study Update 2006
2
Study Methodology
Impact Totals
A methodology approved by the Federal Aviation Administration (FAA) was used to calculate the economic impacts associated with Rhode Island’s civilian airport system. Airport related economic impacts
were identified for three types: direct, indirect, and multiplier. Impact totals are measured in three ways:
jobs, earnings and economic activity.
Rhode Island’s six public use airports generate $2.1 billion in annual economic activity, of which $0.7
billion is paid in earnings to 23,318 full-time-equivalent jobs. The vast majority of these impacts (over
93%) reflect activity associated with T.F. Green. The summary impacts are presented below by each
airport.
impact types
Example of multiplier impacts
Direct impacts associated with on-airport
employers, business, and tenants result from the
provision of aviation services. Indirect impacts
arise from spending by visitors who arrive at one
of Rhode Island’s public commercial or general
aviation airports. As direct and indirect impacts
circulate in the local, regional and statewide
economies, additional multiplier impacts occur.
The economic impacts created by the multiplier
effect re-circulate until the benefits ultimately
reach their primary source or leak outside of the
study region. For this report, multipliers specific
to Southern New England and Rhode Island were
used to complete the economic impact analysis.
Many people in Rhode Island are employed by
businesses located at one of the public airports.
For instance, aircraft mechanics are found at
many facilities. When an aircraft mechanic is
paid, he or she uses their income to buy groceries, fuel for their car, shoes for their children, and
supplies for their pet. All of this spending helps to
support other jobs, payroll and spending in Rhode
Island.
Airport
Economic
Activity
Earnings
Commercial Service Airport
T.F. Green
$1,961,400,000
$603,900,000
21,857
General Aviation Airports
Block Island
$14,245,700
$4,338,600
189
Newport
6,019,700
1,867,000
77
North Central
9,583,900
3,003,000
100
102,205,600
45,130,100
994
Quonset
Westerly
Total Gen. Aviation Arpts.
Total
8,436,400
2,618,400
101
$140,491,300
$56,957,100
1,461
$2,101,891,300
$660,857,100
23,318
employment impacts
impact measures
For this report, economic impacts are expressed
in terms of jobs/employment, payroll/earnings,
and total annual economic activity or output.
Each of these measures include the direct, indirect, and multiplier impacts types.
Economic
Activity
+
+
+
=
3
Payroll/
Earnings
Jobs
Direct impacts
inDirect impacts
multiplier impacts
39%
Most of these jobs, 21,857, are attributable to
the extensive commercial passenger, cargo and
general aviation service at T.F. Green Airport. In
addition, the other five general aviation airports in
Rhode island generate another 1,461 jobs.
Rhode Island Airport Corporation
12%
Jobs, Direct
Jobs, Indirect
49%
Thousands of Southern New England jobs, 2,702
full-time equivalent jobs, are directly created by
businesses, tenants and other activities located
at commercial service or general aviation airports.
In addition, spending by visitors who arrive by air
supports an additional 11,452 jobs in the hospitality and service related sectors. These direct
at-airport and indirect visitor-related jobs result in
an additional 9,155 multiplier-related jobs. Combined, the direct, indirect, and multiplier activities
generate a total of regional 23,318 jobs.
Jobs, Multiplier
6%
Jobs, T.F. Green
Jobs, General
Aviation
94%
T.F. Green
Airport
Direct
Indirect
Multiplier
total impacts
Jobs
Total
General Aviation
Aiports
Total Jobs
2,014
697
2,711
11,330
122
11,452
8,513
642
9,155
21,857
1,461
23,318
Airport Economic Impact Study Update 2006
4
T.F. Green
PVD
total impacts and regional distribution
T.F. Green Airport has become a vital transportation alternative for air travelers in Southern New England. Indeed, since 1995, passenger traffic at T.F. Green rose from 2.2 million to 5.7 million, and has
become a critical catalyst for economic growth. Located in Warwick, Rhode Island, the medium hub
commercial service airport serves the State of Rhode Island and an area that stretches into southeastern
Massachusetts and eastern Connecticut. The airport is conveniently accessed one mile off of Interstate
95 with the passenger terminal at the end of Exit 13, and Providence is within a short 15-minute drive.
Owned by the State of Rhode Island and operated by the Rhode Island Airport Corporation, T.F. Green
offers two asphalt runways: Runway 5/23, measuring 7,166 feet long by 150 feet wide; and Runway
16/34, measuring 6,081 feet long by 150 feet wide.
on-airport tenants and direct impacts
visitors and indirect impacts
In 2005, T.F. Green served over 5.7 million air passengers with over 250 daily aircraft operations. In
doing so, the airport businesses/tenants and the
capital improvement projects generate significant
regional impacts. Over 60 on-airport businesses
or tenants include airlines, cargo services, aircraft
maintenance services, as well as terminal-related
support services, restaurants, ground transportation providers, rental car companies, gift shops,
etc. Local, state, and/or federal entities charged
with the day-to-day operation and maintenance of
the airport also generate direct impacts. Construction and capital improvements, such as runway
or terminal improvements employ Rhode Island
residents and use supplies and other services
from local sources. Combined, these tenants and
airport operations employed 2,014 people who
earned $83.3 million and generated $190.4 million
in direct output.
Thousands of visitors arrive daily at T.F. Green
on a commercial airline flight, a general aviation
charter, or a privately owned general aviation aircraft. These visitors typically stay in the region
for several days and spend money on hotels,
meals, shopping, entertainment, ground transportation, and other items. A detailed passenger
survey indicated that approximately 1.2 million of
the total 2.9 million annual passengers enplanements were visitors to the region. In 2005, these
commercial passenger visitors spent an estimated
$776.2 million in the region’s hotels, restaurants
and retail establishments. General aviation activities attracted another 62,000 visitors who spent
approximately $5.5 million. In addition, local travel
agents earned $9.8 million booking passengers
through T.F. Green. Combined, the indirect impact
associated with T.F. Green created 11,330 jobs and
total output of $791.5 million.
The total economic impact of T.F. Green on the
Southern New England Region totals $2.0 billion
in annual economic activity (output), of which $0.6
billion in earnings is paid to an estimated 21,857
full-time equivalent jobs.
Detailed surveys and analysis also enabled a
breakdown of these impact totals for the State
of Rhode Island and the airport’s home City of
Warwick. The study findings indicate 12,706 jobs
(58% of total regional jobs) occur in Rhode Island,
and 1,277 jobs (5.8%) occur in Warwick, which
represent 3.2% of total city employment.
5
Rhode Island Airport Corporation
New England
Rhode Island
The City of Warwick also received over $11.5 million in airport-related taxes and other payments
in 2005. These include $7.4 million in real estate
and personal property taxes paid directly to the
City. State of Rhode Island taxes from hotel, offairport parking and rental car taxes redistributed
back to Warwick totaled another $3.6 million. In
addition, RIAC pays the City of Warwick $0.5 million annually for fire and police support.
Warwick
$190.4 million
$979.6 million
Multiplier impacts
The circulation of direct and indirect impacts
through the regional economy generates additional multiplier impacts associated with suppliers
and the respending of earnings and wages. The
application of standard, approved methods suggests that these impacts result in an additional
8,513 regional jobs and output of $979.6 million.
T.f. green
Employment impacts
$2.0 billion
$791.5 million
Total Employment
21,857
Total Payroll
$0.6 billion
Total Economic Impact
$2.0 billion
Airport Economic Impact Study Update 2006
6
Block Island
Block Island Airport is located at the center of the
ten square-mile island, 14 miles from the mainland.
The only access to the island is via air or ferry. The
airport is owned by the State of Rhode Island and
operated by the Rhode Island Airport Corporation.
The airport provides essential emergency, general
aviation and limited commercial access to the
Island, and is classified as a Special Use General
Aviation airport due to its unique location and vital
community service. Block Island Airport has one
asphalt runway, Runway 10/28, measuring 2,501
feet long by 100 feet wide.
BID
The airport generates $2.0 million in direct output,
of which $680,600 is paid to approximately 24
direct full-time equivalent jobs. Additionally, over
24,800 visitors arrive at the airport each year,
generating another $5.7 million in indirect aviationrelated output. Including the multiplier effect, the
airport tenants and visitors at Block Island Airport
generate $14.2 million in total economic output, of
which $4.3 million in payroll is paid to 189 full-time
equivalent jobs.
Newport/Robert F. Wood
Colonel Robert F. Wood Airpark, more commonly
known as Newport Airport, is located in the Rhode
Island town of Middletown on Aquidneck Island,
and is less than two miles due north of downtown
Newport. It can be accessed via Forest Road from
Route 114 and Route 138. The airport is owned
by the State of Rhode Island and operated by the
Rhode Island Airport Corporation. Newport Airport
has two asphalt runways; Runway 4/22, measures
2,999 feet long by 75 feet wide; and Runway 16/34
measures 2,623 feet long by 75 feet wide.
A quick 12-minute scheduled commercial air service links Block Island to Westerly, which is regularly used by residents, tourists and businesses.
Other regular airport activities include vital cargo
service and emergency/medication evacuation.
General aviation usage of the airport is highly
seasonal with up to 200 aircraft often parked on
the airfield in the summer. The essential link to the
offshore vacation retreat provided by Block Island
Airport is an essential component of the island’s
economy and way of life.
Designated as a General Aviation Business Airport, Newport Airport primarily accommodates
small multi-engine and single-engine general aviation aircraft. Some smaller corporate aircraft also
use the airport. Services at the airport include a
basic-service fixed-base-operator, onsite aircraft
maintenance and a terminal pilot lounge and flight
planning area. These airport facilities and services help support local tourism and the yachting
industry.
The airport generates $2.0 million in direct output,
of which $887,600 is paid to approximately 30
direct full-time equivalent jobs. Additionally, about
5,500 general aviation visitors arrive at the airport
each year, generating another $1.3 million in indirect aviation-related output. Including the multiplier
effect, the airport tenants and visitors at Newport
Airport generate $6.0 million in total economic output, of which $1.9 million in payroll is paid to 77
full-time equivalent jobs.
$2.0 million
$2.0 million
$2.7 million
$6.5 million
$6.0 million
$14.2 million
$1.3 million
$5.7 million
Total Employment
Total Payroll
Total Economic Impact
7
UUU
Rhode Island Airport Corporation
189
$4.3 million
$14.2 million
Total Employment
77
Total Payroll
$1.9 million
Total Economic Impact
$6.0 million
Airport Economic Impact Study Update 2006
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North Central
SFZ
The North Central Airport is located in northeastern Rhode Island in the towns of Smithfield and
Lincoln, approximately 10 miles northeast of Providence and 10 miles south of the Massachusetts
border. North Central Airport can be accessed via
Jenckes Hill Road from RI-146, as well as from
the north and west via I-295 to RI- 116 to Albion
Road. The airport is owned by the State of Rhode
Island and operated by the Rhode Island Airport
Corporation. North Central Airport has two asphalt
runways; Runway 5/23, measures 5,000 feet long
by 100 feet wide; and Runway 15/33 measures
3,210 feet long by 75 feet wide.
Quonset
North Central Airport is designated as a Reliever
Airport capable of accommodating the most
demanding general aviation jet aircraft, as well as
recreational aircraft activities and flight training. In
doing so, the airport serves the Blackstone River
Valley and helps meet the growing needs of the
business corridor that extends from Providence
into Massachusetts. Services offered at North
Central Airport include a full-service aircraft maintenance operation, as well as fuel trucks and onsite rental cars.
Quonset Airport is located in Rhode Island on the
western shore of Narragansett Bay at Quonset
Point in the town of North Kingstown. The airport is
16 miles south of downtown Providence and nine
miles due south of T.F. Green Airport. Quonset Airport can be accessed via Rt. 4 to Rt. 403, Quonset
Point/Davisville Road. The airport is owned by the
State of Rhode Island and operated by the Rhode
Island Airport Corporation. Quonset Airport has
two asphalt runways; Runway 16/34, measures
7,500 feet long by 100 feet wide; and Runway 5/23
measures 4,003 feet long by 75 feet wide.
The airport generates $54.7 million in direct output, of which $31.1 million is paid to approximately
587 direct full-time equivalent jobs. Additionally,
approximately 5,800 general aviation visitors arrive
at the airport each year, generating another $0.5
million in indirect aviation-related output. Including
the multiplier effect, the airport tenants and visitors
at Quonset Airport generate $102.2 million in total
economic output, of which $47.0 million in payroll
is paid to 994 full-time equivalent jobs.
The airport generates $4.8 million in direct output,
of which $1.2 million is paid to approximately 30
direct full-time equivalent jobs. Additionally, almost
3,500 general aviation visitors arrive at the airport each year, generating another $0.3 million
in indirect aviation-related output. Including the
multiplier effect, the airport tenants and visitors at
North Central Airport generate $9.6 million in total
economic output, of which $3.0 million in payroll is
paid to 100 full-time equivalent jobs.
OQU
Designated a Reliever Airport, Quonset Airport
serves as a joint use facility with two notable military operations: the Rhode Island Army National
Guard and the Rhode Island Air National Guard.
The Quonset Point area is also home to a large
industrial park with many manufacturing companies including General Dynamics. For these reasons, the area offers unique multimodal access
via air, water and rail. In doing so, Quonset Airport
supports a full range of aircraft, including corporate/ business jets. Airport services include a
limited fixed-base-operator and rental cars.
$54.7 million
$4.8 million
$47.0 million
$4.5 million
$102.2 million
$9.6 million
$0.5 million
$0.3 million
Total Employment
9
100
Total Employment
Total Payroll
$3.0 million
Total Payroll
Total Economic Impact
$9.6 million
Total Economic Impact
Rhode Island Airport Corporation
994
$45.1 million
$102.2 million
Airport Economic Impact Study Update 2006
10
Westerly
WST
Westerly Airport is located in southwestern Rhode
Island just north of the Connecticut border. Primary
access to Westerly Airport is via U.S. Route 1 to
Airport Road, or State Route 78 (Westerly Bypass)
to Airport Road. The airport is owned by the State
of Rhode Island and operated by the Rhode Island
Airport Corporation. Westerly Airport has two
asphalt runways; Runway 7/25, measures 4,010
feet long by 100 feet wide; and Runway 14/32
measures 3,980 feet long by 75 feet wide.
Other Qualitative Benefits
The airport generates $3.0 million in direct output, of which $0.9 million is paid to approximately
26 direct full-time equivalent jobs. Additionally,
approximately 11,100 visitors arrive at the airport
each year, generating another $1.6 million in indirect aviation-related output. Including the multiplier
effect, the airport tenants and visitors at Westerly
Airport generate $8.4 million in total economic output, of which $2.6 million in payroll is paid to 101
full-time equivalent jobs.
Designated as a General Aviation Business Airport, Westerly Airport serves the aviation needs
of southeastern Rhode Island and northwestern
Connecticut. The airport accommodates singleengine general aviation aircraft as well as small
corporate aircraft. From Westerly, New England
Airlines provides limited, but critical commercial
air passenger and cargo service to Block Island.
Currently, two fixed-base-operators provide limited
aircraft service and some aircraft maintenance.
Airports throughout Rhode Island help support and improve the quality of life for all state residents, businesses, and visitors. Airports do so by supporting many activities and services related to one’s health,
welfare and safety, as well as environmental management. Specifically, study information gathered
indicates that airports in Rhode Island support recreational activities, provide gateways to many communities and tourist attractions, facilitate air cargo and air freight shipments, assist in law enforcement,
support the military and its operations, expedite emergency access, and address medical needs.
The qualitative benefits associated with Rhode Island’s airports cannot be quantitatively assessed as
those direct, indirect, and multiplier impacts previously documented throughout this study. Nonetheless,
the qualitative benefits do exist and are extremely important. Their relative importance becomes clear
when one considers the fact that the purpose of aviation transport is to help support the personal and
business needs that drive Rhode Island’s economy. The type and frequency of benefits that each of the
six public use airports provide for Rhode Island residents is shown below.
Activity
T.F.
Green
Block
Island
Newport
North
Central
Quonset Westerly
Recreational Flying
Corporate/Business Activity
Aerial Inspections (Pipeline, etc.)
$3.0 million
Air Cargo
Very Frequent
Gateway for Recreational Visitors
Frequent
Police/Law Enforcement
Infrequent
Prisoner Transport
Military Exercises/Training
Career Training/Flight Instruction
Search & Rescue/Civil Air Patrol
$3.8 million
Environmental Patrol (i.e. wildlife)
$8.4 million
Emergency Medical Evacuation
Physician/Medical Transportation
$1.6 million
Medical Shipments/Patient Transfer
Aerial Photography/Surveying
Real Estate Tours
Total Employment
11
101
Total Payroll
$2.6 million
Total Economic Impact
$8.4 million
Rhode Island Airport Corporation
Aerial Advertising/Banner Towing
Traffic/News Reporting
Air Shows
Skydiving
Airport Economic Impact Study Update 2006
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Aviation’s Past and Current Economic Contribution
Summary
As demand for Rhode Island’s airports continues to grow, so will the economic and other benefits attributable to the airport system. In fact, since the economic impacts of Rhode Island’s airport system were
last measured in 1990, benefits have increased as shown. This impact growth reflects a greater presence of businesses and tenants at the airports, and increased visitors (vacation and business-related)
who arrive by air.
This report demonstrates the importance of Rhode Island’s commercial service and general aviation
airports to the regional, state and local economies. The airports provide critical transport services to
business and tourism. In doing so, the airports are in themselves an important industry that generate
jobs, earnings and economic activity. Beyond the job and dollar impacts the airports also contribute
quality of life benefits throughout the state and across the region.
Commercial and general aviation airports in Rhode Island support an estimated 23,318 jobs with
an annual payroll of $0.7 billion, and generate $2.1 billion in economic activity.
Aviation’s Economic Impact in Rhode Island
1998
2005
T.F. Green Airport
Total Jobs/Employment
16,606
21,857
Annual Payroll/Earnings
$302.8 million
$603.3 million
Annual Economic Activity
$1,034.0 million
$1,961.4 million
Total Jobs/Employment
1,347
1,461
Annual Payroll/Earnings
$48.4 million
$56.9 million
Annual Economic Activity
$112.4 million
$140.4 million
Total Jobs/Employment
17,953
23,318
Annual Payroll/Earnings
$351.2 million
$660.9 million
Annual Economic Activity
$1,146.4 million
$2,101.9 million
General Aviation Airports
Of the 23,318 total jobs, 61% (14,167) are in Rhode Island and 5.5% (1,277) are in the City of
Warwick.
Since 1998, total jobs attributable to commercial and general aviation airport activity in New England grew 30%, annual payroll grew 88%, and total annual economic output grew 83%.
The City of Warwick currently receives $11.5 million in airport-related taxes and other revenues
from T.F. Green related aviation activity.
A first class airport system is essential to Rhode Island. This study found that, a strategic program
to invest in, maintain, and grow commercial and general aviation airports is critical to Rhode Island’s
economic future.
Total Economic Impact
Note: these total impact estimates include direct, indirect and multiplier impacts
13
Rhode Island Airport Corporation
Airport Economic Impact Study Update 2006
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