The Revenue Contribution of Montana Department of Transportation Expenditures to the General Fund
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2002-12-01
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Abstract:The Montana Department of Transportation (MDT) during state fiscal year 2002 had expenditures of over $330.2 million directly affecting eighty different Standard Industrial Classification (SIC) sectors while fulfilling its legislative mandates. This study quantifies the economic contribution of expenditures by the MDT to the general fund. Input-Output modeling is used to capture the direct, indirect and induced impacts resulting from MDT spending. Expenditures within the private sector create an economy-wide impact on output of $485.1 million. Labor income generated is $151.7 million, which along with indirect business taxes and other property income yield total contributions to the general fund of $14.1 million. Hence, for every dollar the MDT spends in the private sector, an additional $0.043 is generated for the general fund due to increased economic activity within the state.
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