This study examines the economic impact of cultural facilities operated by the Evocities of NSW. The Evocities are a partnership between Albury City Council, Armidale Dumaresq Council, Bathurst Regional Council, Dubbo City Council, Orange City Council, Tamworth Regional Council and Wagga Wagga City Council.
The facilities under examination include museums, galleries, theatres, multi-purpose facilities and entertainment centres. The study draws on financial information for the year ending June 2013 only.
Adding Value! presents the economic impact generated by all Evocity cultural facilities as a combined total. Specifically this report examines the economic impact of the operations of the facilities, capital expenditure related to the facilities, induced expenditure of non-local (tourist) visitation and the return on investment. It also examines the impact of employment and value of volunteering at the facilities, on the local and regional economies. Data has been sourced from the Australian Bureau of Statistics, Tourism Research Australia and information provided by the 26 cultural facilities.
Adding Value! builds on the findings of the 2009 study Value Added! and uses modelling prepared by Western Research Institute (WRI) that was commissioned by Museums & Galleries of NSW (M&G NSW) in consultation with, and on behalf of, the Evocities.
The study found that:
- Once the flow-on effects are taken into consideration the facilities provide a positive return on investment from Local, State and Federal Government funding.
- There is a positive economic impact on the local and regional economies from the operations of the facilities, capital expenditure related to the facilities, and non-local (tourist) visitation in the financial year ending June 2013.
- There is a positive impact on employment and volunteering at the facilities and on the local and regional economies.
When flow-on effects are taken into account, the 26 cultural facilities of the Evocities generate:
- An additional $23.84 million from an initial impact of $37.96 million to create a total of $61.81 million in goods and services at the last stage of production where they are ready for consumption. The total is derived from operations ($41.44 million), capital expenditure ($2.43 million) and the impact of tourist visitation ($17.93 million).
- An additional $10.76 million from an initial impact of $21.59 million to create $32.35 million in net value that is added to the regional gross economies. This is derived from operations ($24.37 million), capital expenditure ($820,000) and the impact of tourist visitation ($7.16 million). This represents 0.24% of the combined Evocities’ gross regional product.
- An additional $4.86 million dollars from an initial impact of $10.54 million to create $15.40 million in income to households across the Evocities regions. This is derived from operations ($11.35 million), capital expenditure ($420,000), and the impact of tourist visitation ($3.62 million). This represents 0.24% of regional household income of the combined Evocities.
- An additional 8.5 full time equivalent positions for every 10 full time equivalent positions. This results in a total of 293 full time equivalent jobs which represents 0.27% of the total full time equivalent employment for the seven Evocities. This is derived from economic impact of operations (210 FTE), capital expenditure (7 FTE) and the impact of tourist visitation (76 FTE).
- An average return on investment by Local, State and Federal Government of 69%.