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Allstate Sugar Bowl Brings $2.5 Billion to Region Since Katrina
Tuesday, January 26, 2016
In the 10 years since Hurricane Katrina devastated the region, the Allstate Sugar Bowl has produced an overall economic impact of $2,528,900,000 in New Orleans and Louisiana. For the organization's full slate of events in 2015, including the Allstate Sugar Bowl Football Classic on January 1, 2016, the economic impact was $264.05 million as reported in a study recently completed by Dr. Timothy Ryan.
"Based on the numbers from this year's game and those from the past decade, the amateur sports tourism mission of the Sugar Bowl Committee is obviously alive and well," said Bowl President Carey Wicker. "Even better, with the number of events now on the Bowl's annual calendar, we are positioned to continue this sort of impact for years to come."
The Allstate Sugar Bowl, which has served as an economic engine for the region since its inception in 1934, now hosts and sponsors over 50 events on an annual basis. In the 10 years since Katrina, it has injected an average of over $250 million to the region on an annual basis. Over the past five years, as its annual offerings have increased, the average yearly impact is over $300 million. While serving as a significant economic engine for the region during a traditionally slow time for tourism, the Sugar Bowl Committee has not received any government funding over the last six years.
"Year one of our agreement with the Big 12 and Southeastern Conferences certainly paid dividends for the city and state, much as we expected," said Paul Hoolahan, Sugar Bowl CEO. "That relationship, combined with the Bowl's role as host for the 2018, ‘21 and ‘24 CFP Semifinal Games, has the Allstate Sugar Bowl positioned to generate tourism and tax dollars while bringing a significant national spotlight to the area every year."
This year's Allstate Sugar Bowl, featuring SEC representative Ole Miss and Oklahoma State from the Big 12, had an attendance of 72,117 fans with nearly 70 percent of that group coming from outside the New Orleans area. The average length of stay for visitors to the game was 2.54 nights while each visitor spent an average of $1,342.50 during the visit. In addition, the other activities of the Sugar Bowl brought more than 40,000 visitors to New Orleans last year.
The total economic impact of the Allstate Sugar Bowl is the sum of the impacts of the annual football classic on January 1 plus the impacts of the other events held throughout the year by the Sugar Bowl organization. Considering all aspects, in 2015 the Allstate Sugar Bowl generated direct spending of $149.59 million in the New Orleans area economy. That direct spending produced $114.46 million in secondary spending for a total economic impact of $264.05 million.
In addition, the activities of the Allstate Sugar Bowl generated over $20 million in state and local tax revenue. In total, the state of Louisiana received $12.04 million in tax revenue from the economic activity produced by the Allstate Sugar Bowl in 2015. In addition to state taxes, local governments in the New Orleans area received a total of $8.08 million in tax revenue.
Since being one of the first major events to re-dedicate itself to New Orleans following Hurricane Katrina, the Allstate Sugar Bowl has been responsible for over $200 million in tax revenue. The state of Louisiana has collected $125.57 million in tax revenue due to the Sugar Bowl's activities in the last decade, while the city of New Orleans has received a $77.23 million boost.
In addition to the annual college football game, the organization sponsored competitions in baseball, basketball, bowling, cross country, golf, lacrosse, road-racing, sailing, soccer, swimming, tennis, track and field and volleyball, as well as the championship events for the Louisiana High School Athletic Association. The Sugar Bowl also sponsors the Manning Award, the Eddie Robinson National Coach of the Year Award, the Greater New Orleans Sports Hall of Fame and the New Orleans Chapter of the National Football Foundation and College Football Hall of Fame. Through hosting and sponsorships, the Sugar Bowl Committee supports and honors over 25,000 student-athletes each year.