Defense budget impact on San Diego
House Republican leaders are proposing a bill to increase military funding by about $30 billion to $584 billion. Sully Sullivan was on Good Morning San Diego to explain how this will impact a huge military city like San Diego.
· The spending bill would also provide two years of funding for the federal community health center program, which lapsed last year and is at risk of running out of spending authority, and would also extend several other programs.
· “This budget will be a public safety and national security budget,” Trump said at a bipartisan gathering of US governors at the White House Monday, vowing substantial increases in defense, law enforcement and infrastructure spending.
How does this affect San Diego?
According to The San Diego Military Economic Impact Report for 2016 – San Diego is poised to continue to see a big economic boost – the report shows the military and defense industry in San Diego is continuing to maintain similar growth of the last two years.
· There are 60,000 Marines and Sailors that call San Diego home, and having a supportive community for their families is also important to the success of the military’s mission. That is something money can’t buy,
· It’s not just what the military brings to San Diego, but what the ecosystem here means to the nation’s defense – You cannot do what we do here in San Diego anywhere else in the world.
· The report shows that 1 in 7 people in the region have some tie to the military, accounting for $23.3 billion dollars in direct spending.
· The military sector is generating more than 300,000 of the region’s total jobs in 2016, This represents one out of every five jobs existing in the County.
· The report also shows the military and defense companies will generate an estimated $44.7 billion of gross regional product (GRP) for San Diego County in fiscal 2016.
Is there a tourism benefit?
Yes! Another reason San Diego continues to be a place that the Department of Defense taps for growth is that – according to the study, because of the number of visitors that are brought into the region.
1. subcontracting companies coming to meet with defense contractors
2. parents coming to one of the dozens of Marine graduations at MCRD
3. people who come to visit family stationed here.
1. One fifth of San Diego County’s economy relies on this key sector.
2. In 2016, defense spending will generate roughly $45 billion-or 20 percent-of the region’s total Gross Regional Product (GRP).
3. Additionally, an estimated $23 billion in direct spending related to defense has been sent to San Diego and the military will generate one out of every 5 jobs in the county, this year.
4. The military sector generates more than 300,000 of the region’s total jobs in 2016, or about one out of every five jobs in San Diego County
5. Income generated as a result of all of the direct and multiplier effects of military-linked spending will amount to an estimated $19.6 billion in fiscal year 2016.
6. In fiscal 2016, the 53 U.S. Navy ships home ported in San Diego will see direct spending of about $2 billion that will equate to a total economic impact of $6 billion in GRP.
The two aircraft carriers in San Diego will bring a combined $1.5 billion to the local economy. San Diego’s home-ported ship count is projected to climb to a total of 84 by calendar ye
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