Study: New York’s Economy tied to Golf

By Chris Onorato

ALBANY – Given the fiscal crisis facing New York’s budget, there’s cause for concern that the game of golf could be indirectly affected by cutbacks. So says Joe Steranka, World Golf Foundation Chairman and PGA of America CEO. He spoke in Albany with the New York State Turfgrass Association on Wednesday.

“It’s about priorities,” Steranka says. “We’re all having to reset the cost of doing our business. It’s important for the members of the New York State Legislature to realize golf is a very efficient economic model.”

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Steranka played heavily on numbers in a report showing golf’s financial impact on the state in 2007. The report, “The New York Golf Economy,” commissioned by Golf 20/20, for the New York Alliance for Golf Task Force and prepared by SRI International. It shows the golf industry had a total impact of $5.3 billion in 2007, while supplying more than 56,000 jobs. Steranka says in the last two years, the number of rounds played is down only 2% and revenue is down 6%.

To put that $5.3 billion number in some perspective, Florida, where golf is a year-round sport, saw an impact of $7.5 billion, Steranka said.

At Wednesday’s luncheon at the Empire State Plaza, State Senator Darrel J. Aubertine (D-Watertown), Chairman of the Senate Agriculture Committee, reassured Steranka and Turfgrass advocates that even with tough economic times, the game of golf will not be overlooked.

“Here in the Capital Region, golf is a major part of the local economy in the summertime,” Aubertine said. “Golf is an industry that needs to be recognized and I think what we’re trying to do in this year’s budget will help that.”

BUSINESSES AND CHARITIES

Golf’s impact not only affects local businesses, it stretches to local charities, Steranka said. In the report, golf helped raise nearly $125 million in ’07 for charities. Steranka says even though people are cutting back financially, “The nature of golf brings like-minded people together for a fun day in the fresh air and when you throw in the chance to support a charitable cause, that’s a no-brainer. So you’ll still see golf be a major contributor to charity.”

The study also finds that charitable giving attributed to the game of golf in New York approached $125.6 million in 2007.

“Golf’s impact in New York is a reflection of its passionate sports enthusiasts, who take pride in the game and recognize how the sport adds vitality to the state by providing thousands of jobs while at the same time preserving open space and addressing environmental concerns,” said Jay Mottola, executive director of the Metropolitan Golf Association. “Golf has provided citizens of New York with a healthy industry that has a significant impact on economic growth by driving tourism, residential development and retail sales, while also generating millions for charitable causes meeting the environmental concerns.”

In 2007, New York’s direct golf economy – $2.9 billion – is comparable to architectural services ($2.7 billion), women’s apparel manufacturing ($4.4 billion), and semiconductor and electronic component manufacturing ($8.2 billion).

Among the findings in the New York Golf Economy Report:
-With 818 golf courses, 64 stand-alone ranges and 86 miniature golf facilities generated more than $1.5 billion of revenues.
-38 golf resorts and nine annual championships spurred $520.2 million of golf-related tourism spending.
-Out-of-state shipments by New York golf apparel and equipment manufacturers and magazine publishers were approximately $352.3 million.
-The total amount of charitable giving attributed to golf in New York approached $125.6 million.

The New York Golf Economy Report is supported by the New York Alliance for Golf Task Force is made up of following associations: Metropolitan and New York State Chapters of the Club Managers Association; Long Island, Hudson Valley and Metropolitan Golf Course Superintendents Association Chapters; Metropolitan Golf Association (MGA); the New York State Golf Association (NYSGA); the New York State Turfgrass Association (NYSTA); the Central, Metropolitan, Northeastern and Western New York PGA Sections and certified public accounting firm Condon O’Meara McGinty & Donnelly.

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