Alec Bowman, Thomas Bridges-Lyman, Michael H. Taylor, Buddy Borden 2024, The Economic Impact of Nevada State Parks, Extension, University of Nevada, Reno

This report estimates the expenditures of visitors to Nevada State Parks in 2022 and analyzes the economic and fiscal impacts resulting from these expenditures for the communities surrounding each park and for the state of Nevada as a whole. This report is the first comprehensive study of the economic impact of Nevada State Park system for the state of Nevada. This research was conducted by University of Nevada, Reno (UNR) faculty and staff affiliated with the Nevada Economic Assessment Project (NEAP) and was funded and supported by Nevada State Parks.

The analysis combines administrative data on park visitation with data from a survey designed by project researchers and implemented by Nevada State Parks personnel. This unique data set is used to estimate (i) total visitor expenditures for the 25 state parks that were open to visitors in 2022; (ii) the proportion of these expenditures that represent “new dollars” for the state of Nevada (i.e., expenditures that would not have taken place in Nevada if the recreational opportunities offered by Nevada State Parks were not available); and (iii) the proportion of expenditures that represent new dollars for the region surrounding each park (i.e., expenditures that would not have taken place within 50 miles of the park if the recreational opportunities offered by the park were not available).

Significant findings on Nevada State Parks visitor expenditures include:

  • An estimated 3,487,984 visitor days to Nevada State Parks generated an estimated $158.9 million in total visitor expenditures in 2022.
  • Over half of this expenditure came from two parks: Sand Harbor State Park (941,293 visitor days; $43.7 million in expenditure) and Valley of Fire State Park (610,090 visitor days; $33 million in expenditure).
  • Nevada State Parks generated $54.2 million new dollar expenditure in Nevada in 2022.
  • Table 1 reports total visitor days, total visitor expenditures, and total new dollar expenditures for all 25 state; parks that were open to visitors in 2022.

The analysis estimates expenditure and economic impacts for four categories of visitors: local day and overnight visitors and non-local day and overnight visitors, where a local is defined as anyone within 50 miles of a park. Results show that per-visitor expenditure varies by category of visitor and by park. For example:

  • Local day visitors have $20 in trip-related expenditures per visitor day at Valley of Fire State Park compared to $76 for non-local overnight visitors.
  • Non-local overnight visitors spend $77 per visitor day at Lahontan State Recreation Area, compared to $61 at Berlin-Ichthyosaur State Park, $57 at Spooner Lake State Park, and $56 at Rye Patch State Park.

This report analyzes how estimated new dollar expenditures associated with each state park translated into economic activity such as employment, output, and tax revenue. Two measures of economic activity are considered. First, this report provides estimates of the total economic contribution of each state park to the 50-mile region surrounding the park and for the entire state. The economic contribution analysis captures the total economic activity supported by new dollar expenditures associated with each state park in 2022.

Significant findings of the economic contribution analysis of Nevada State Parks include:

  • Nevada State Parks contributed an estimated $34.2 million to Nevada’s gross domestic product (GDP) in 2022.
  • In addition to the employment of park staff, Nevada State Parks visitation supported an estimated 561.5 full time jobs in Nevada in 2022.
  • In addition to park fees and permits, Nevada State Parks visitation generated an estimated $3.0 million in state tax revenue in 2022.
  • The economic contributions of Nevada State Parks are concentrated in a small number of parks, with four parks (Valley of Fire, Sand Harbor, Spring MountainRanch, and Cave Rock) contributing over 72.9% of the GDP associated with the entire system.
  • Table 1 reports total employment, GDP, state tax revenue, and total tax revenue that is attributable to the Nevada State Parks system in 2022.

The second measure of economic activity considered in this report is the economic impact of additional visitors to each state park. The reported economic impact measures—or response coefficients—can be used to estimate the increases in employment, GDP, and tax revenue associated with additional visitation to any park in the system.

Significant findings on the economic impact of Nevada State Park visitors include:

  • The impact of an additional state park visitor day on Nevada’s GDP varies substantially by category of visitor, with a non-local visitor day contributing $13 or more to Nevada’s GDP for highly trafficked state parks such as Sand Harbor andSpring Mountain Ranch, compared to approximately $5 per local day visitor at these same parks.
  • The impact of an additional park visitor day for state taxes varies from approximately $1 per visitor day for local day visitors to almost $4 per visitor day for non-local overnight visitors at highly trafficked state parks.
  • The impact of an additional state park visitor day on Nevada’s GDP and other measures of economic activity also varies by park. For example, a non-local overnight visitor day to Spooner Lake State Park contributes an estimated $22 to Nevada’s GDP compared to $14 at Echo Canyon and $16 at Berlin-Ichthyosaur.
 

Learn more about the author(s)

 

Also of Interest: