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ADVANCING THE ARTS ACROSS MARYLAND

Nonprofit Arts a $1 Billion Boost for Maryland

Nonprofit Arts a $1 Billion Boost for Maryland

Nonprofit Arts a $1 Billion Boost for Maryland

November 25, 2013Press Release

Maryland’s nonprofit arts sector has a $1.07 billion impact on the state’s economy and supports 12,700 full-time equivalent jobs—a 1,266 jobs increase over last year, according to a report released today by the Maryland State Arts Council (MSAC). The Economic Impact of the Arts in Maryland: FY2012 report details how spending by the MSAC’s 241 grantee arts organizations and their audiences boosts Maryland’s economy by creating and retaining jobs, and generating revenues for businesses and state and local governments.

“Our investment in the arts fuels job growth, attracts visitor spending and promotes our vibrant, inviting climate for business and residents,” said Maryland Governor O’Malley. “The arts support the vitality of Maryland’s economy and advance some of our highest priorities as a state like education, community revitalization and quality of life.” 

The benefits of Maryland’s vibrant nonprofit arts industry are felt widely. According to the report, the cultural sector generates 12,700 full-time equivalent jobs that return $426.5 million in salaries to local residents. Local business owners and workers are not the only ones to benefit; nonprofit arts generate $47.9 million in tax revenues for Maryland’s state and local governments. And, every $1 of the arts organizations’ operating budgets generates an additional $3.60 in total economic activity.

Areas of Growth
The number of full-time equivalent jobs supported by arts organizations and audiences in FY 2012 increased by 11.1% compared to FY 2011, with the greatest increase—43.6%—occurring in the Upper Eastern Shore region of Maryland. An overall increase was also seen in total salaries, which grew by 6.9% over FY 2011.

The arts industry supported state and local tax revenue of $47.9 million, up from $37.8 million last year—an increase of 27%.

Visitor spending has increased 14% from last year, with 7.7 million visitors of arts events generating an estimated $345 million in direct spending, up from $302 million in fiscal year 2011.

Arts Audience
Visitors to Maryland's non-profit arts organizations generate significant economic impacts for the state.  An estimated 7.7 million people visited the MSAC’s 241 grantee organizations—and of that group, nearly 63% attended free.

Based on the number of visitors to Maryland's non-profit arts organizations, the Maryland Department of Commerce estimates spending of $345 million on lodging, transportation, restaurants, gifts, and other travel-related incidentals in FY 2012.

Economic Impact by Region
The study analyzed the state regionally, dividing it into six regions. Maryland’s Central region comprised of Baltimore City and Anne Arundel, Baltimore, Carroll, Cecil, Harford and Howard counties contributed $547.5 million in economic impact from the arts, and supported 6,568 arts-related jobs. The Capital region, which includes Frederick, Montgomery and Prince George’s counties, contributed $438.2 million and supported 5,226 jobs. The remainder of the state, which is divided into Western Maryland, Southern Maryland, the Upper Eastern Shore and the Lower Eastern Shore, contributed a combined $80.2 million and supported a combined total of 906 arts-related jobs.

To review the complete report, visit www.msac.org/economicimpact.

About Economic Impact of the Arts FY 2012
Statistics for the study were drawn from 241 Maryland organizations that produce or present the arts around the State, and receive grants from the Maryland State Arts Council for ongoing support of their operations and programs. Data was collected utilizing the Maryland Cultural Data Project. The study did not take into account the economic impact of for-profit arts organizations and the activities of individual visual, performing and literary artists. 

About the MSAC
The mission of the Maryland State Arts Council, an agency of the Maryland Department of Commerce, Division of Tourism, Film and the Arts, is to encourage and invest in the advancement of the arts for the people of Maryland. For more information about the Maryland State Arts Council call (410) 767-6555 or TDD/TTY (410) 333-4519 or connect to the MSAC web site at www.msac.org.

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