News Release


February 27, 2007

Boise State Research Shows Idaho National  Laboratory Operations Play Vital Role in State's Economy

Combined research, cleanup and administrative operations at the Idaho National Laboratory site make INL Idaho’s third largest employer, pumping $85 million annually into the state’s tax coffers and accounting for 2.52 percent of personal income in the state, according to research recently completed at Boise State University.

INL contracted with the Center for Business and Economic Research at Boise State last June to measure and analyze INL’s impact on the state economy. The findings were presented earlier today as part of INL Day at the Legislature.

“Everyone knows how important Micron is to our economy,” said Geoff Black, chairman of the Economics Department at Boise State and one of the researchers on the project. “They might be surprised to know that the economic impact of INL is close to that of Micron.”

Among the report’s key findings:

— INL is the third largest employer in Idaho. With 8,452 employees and an annual budget of about $1.23 billion, INL ranks behind only state government and Micron Technology, and is by far the largest employer in eastern Idaho.
— INL operations annually account for 19,860 jobs in Idaho. The combined direct and secondary economic impacts of INL account for 15,570 jobs in the state. In addition, there are longer-term effects on the economy due to the continued presence of the lab in eastern Idaho, accounting for an additional 4,290 jobs.
— INL annually accounts for 2.7 percent of total Idaho employment. With 733,400 people employed in Idaho in 2006, the direct and secondary impacts of INL account for 2.1 percent of the total workforce in the state and more than 9 percent of employment in eastern Idaho. Including the longer-term effects on employment, INL accounts for 2.7 percent of Idaho employment.
— INL accounts annually for 2.52 percent of personal income in the state. The direct and secondary effects on personal income amount to $1.108 billion annually.
— Fiscal impacts of Idaho state tax revenues by INL and its employees approach $85 million. INL and its employees make payments to the state in the form of personal income, corporate income, sales and other taxes. In total, INL accounts for 3 percent of total Idaho tax revenues.
— Direct tax payments to the state of Idaho by INL and its employees exceed the cost of state-provided services. The total state budget per capita is $1,442. State tax payments by INL employees for themselves and their families amount to $1,926 per capita.
— INL employees in Idaho also contributed 221,000 hours of volunteer services.

In summary, the report stated that, “Whether improving quality of life through the development and commercialization of cutting-edge technologies, reducing risks through accelerated environmental cleanup, providing much needed tax revenues, or stabilizing and strengthening Idaho’s economy by its mere presence, INL’s overall impacts on Idaho are unquestionably significant. This report and the study it summarizes provide a means to quantify and help state residents better understand these considerable effects.”

The research took into consideration INL’s rural location.

“If you were to remove the Lawrence Livermore National Laboratory from the San Francisco Bay area, you would not have nearly the same long-term impact as if you were to take an INL out of southeastern Idaho,” Black said. “You get a lot of bang for your buck having INL in a rural area of the state.”

The work was done by Boise State faculty members Black, Don Holley and John Church. The economists took a unique approach to their research, analyzing the economic impact of INL specific to its location in rural Idaho, and recently presented their findings at a professional conference.

The Center for Business and Economic Research’s primary mission is to issue economic forecasts for the regions of Idaho. Reseachers have also completed studies on the dairy industry and early childhood development since beginning work last spring.

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Contact: Geoff Black, Economics Department, (208) 426-1359, gblack@boisestate.edu;  Marilyn Whitney, INL, (208) 334-9572
Media Contact: Sherry Squires, University Communications, (208) 426-1563, ssquires@boisestate.edu;  John Walsh, INL Communications and Public Affairs, (208) 526‑8646, john.walsh@inl.gov;  Marilyn Whitney, INL‑Boise Office, (208) 334‑9572, marilyn.whitney@inl.gov

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Last reviewed on Tuesday, February 27, 2007