Association Leaders Discuss Impact of U.S. Golf Industry on Society; Congressional Resolution Recognizes Contributions
WASHINGTON, D.C. April 16, 2008 – The golf industry is the sports and entertainment worlds’ largest contributor to the U.S. economy, generating $76 billion in direct economic impact according to a recent study discussed today by some of the nation’s leading golf association executives.
In a press conference at the National Press Club to commemorate the first National Golf Day, the golf leaders also discussed the industry’s environmental stewardship and its multi-billion dollar annual contributions to charitable activities.
“We are here as a very strong industry coalition to present data that demonstrates golf’s extremely positive contributions to the economic health of our nation,” said David B. Fay, Chairman, World Golf Foundation, and Executive Director of the USGA. “In addition, we want to highlight golf’s environmental stewardship and the game’s very positive charitable and human impact on our society. Our message is built around the fact that golf is a vital contributor to our nation’s health on a number of significant levels.”
Joining Mr. Fay at the press conference were Tim Finchem, Commissioner of the PGA TOUR; Joe Steranka, Chief Executive Officer of the PGA of America; Steve Mona, Chief Executive Officer of World Golf Foundation; Joe Louis Barrow, Jr., Chief Executive Officer of The First Tee; and Libba Galloway, Deputy Commissioner of the LPGA. Representatives of the Golf Course Superintendents Association of America, National Golf Course Owners Association, Club Managers Association of America, Golf Course Builders Association of America and American Society of Golf Course Architects were also in Washington in recognition of National Golf Day. Each organization is a supporting member of World Golf Foundation.
According to U.S. Census data, the $76 billion U.S. golf economy is larger than the motion picture and video industries and that golf facility operations generated $28 billion in revenue, exceeding revenues from all other professional and semi-professional spectator sports combined. The study, which was completed earlier this year, also found that golf generates more than $3.5 billion annually for charities across the country. A bipartisan Congressional resolution sponsored by U.S. Representatives Ron Klein (DFL) and John Mica (R-FL) declared April 16, 2008 as National Golf Day.
The golf leaders stressed that the game’s impact on society could best be viewed through three perspectives: economic, environmental and human.
Economic Impact
A comprehensive study, the 2005 Golf Economy Report, commissioned by World Golf Foundation’s GOLF 20/20 initiative and recently completed, determined that golf in the United States generated $76 billion in direct economic impact in 2005, up significantly from $62 billion five years ago. The five-year growth of approximately $14 billion represents an average annual growth rate of 4.1 percent, well ahead of the average annual inflation rate of 2.5 percent during the years 2000-2005. The study was conducted by SRI International.
In addition to golf’s direct revenues, the 2005 Golf Economy Report presents for the first time the direct, indirect, induced and total economic impact of golf on the U.S. economy. The report indicates that golf generated a total economic impact of $195 billion in 2005, creating approximately 2 million jobs and wage income of $61 billion.
Golf’s impact is similarly strong at the state level. SRI has also completed studies that quantify golf’s economic impact for nine states, including Virginia, Ohio, Iowa, Michigan, Minnesota, Louisiana, Texas, Massachusetts and California, and the data indicates strong contributions in each case to the states’ overall economies.
Environmental Impact
The golf industry is taking important steps to assume a leadership role as a sound steward of the U.S. environment. For decades, the golf industry has been dedicated to investing resources to ensure golf’s compatibility with the environment.
Golf courses have gained their status as sound environmental stewards through professional and proactive management. From 1996 to 2006, a U.S. golf course, on average, implemented five significant environmental improvements. These include installation of native plantings, creating wildlife habitat areas, implementing erosion control measures, irrigation system upgrades and enhancing wetlands.
Golf courses are also documented to be efficient users of water, with golf course irrigation accounting for only one half of one percent (0.5%) of the 408 billion gallons of water used annually in the United States. Conservation techniques include weather stations, hand watering and more efficient irrigation systems. The great majority of golf courses utilize non-drinking water supplies such as wells, stormwater, on-site ponds and lakes, and recycled water.
Human Impact
Golf is unique among sports in that it is used on a daily basis as the vehicle to raise substantial sums for charities. According to the 2005 Golf Economy Report, golf generates more than $3.5 billion annually for charities across the country. Golf’s professional Tours generate more than $130 million annually through individual tournaments, and the players themselves generate significant sums through their own fundraisers and foundations. More than $3 billion annually is generated at the community level through fundraisers at the more than 16,000 local golf facilities.
Similarly, golf leaves a positive mark on U.S. communities through the game’s foundation of positive values. As just one example, The First Tee, a World Golf Foundation youth development initiative, is impacting the lives of young people by providing learning facilities and educational programs that promote character development through the game of golf. The First Tee has reached more than 1.2 million young people at more than 500 learning facilities and program affiliates. And The First Tee National School Program, which trains physical educators to introduce children to golf and The First Tee nine core values, has reached almost one million students since 1997.
As another example of golf’s positive human impact, the USGA, through its “For the Good of the Game” Grants Initiative, supports organizations that use the game and its values as a vehicle to improve the quality of life for individuals and for society in general. More than $59 million has been dedicated to this initiative over the last 10 years, with another $5 million committed annually on an ongoing basis.
More recently, organizations such as the PGA TOUR , the PGA of America and the USGA have embraced initiatives designed to provide support to U.S. military personnel and their families, and in particular those who have been injured or perished in the line of duty in Iraq or Afghanistan. The PGA of America and USGA collaborated to create the inaugural Patriot Golf Day in 2007, resulting in more than $1.1 million in donations to military families in need. The PGA TOUR and its players, through the Birdies for the Brave fundraising events conducted at the TOUR’s network of Tournament Players Clubs, have raised more than $2.5 million for military homefront groups that directly support service men and women and their families.
The senior leaders of each organization were also scheduled to participate in several functions throughout the day.
The First Tee earlier today hosted its sixth Congressional breakfast. Attendees learned first-hand about golf’s ability to positively impact the lives of young people through comments from two The First Tee scholars, Ashlee Philyaw from The First Tee of Pittsburgh and Jeffrey Tran from The First Tee of Augusta, as well as from insights shared by PGA TOUR Commissioner Tim Finchem, World Golf Hall of Fame member Hale Irwin and Joe Louis Barrow, Jr., Chief Executive Officer of The First Tee.
At a luncheon chaired by Senator Bill Nelson (D-FL) and hosted by the Michigan Economic Development Commission, the golf executives met with Senators to answer questions, provide insights into golf’s significant impact at the state and national levels and discuss golf as a vehicle to promote travel and tourism. At an evening reception hosted by the golf organizations and their Congressional co-hosts, Sam Farr (D-CA-17) and Jon Porter (R-NV-03), golf’s leaders were expected to carry the message of golf’s status as a very significant industry in discussions with numerous members of Congress and their staffs.
Contact:
Bob Combs Greg McCarthy
World Golf Foundation Powell Tate
(904) 940-4203 (202) 585-2141
