An Economic Impact Study of Lakes Menomin and Tainter Megan Isaacs, University of Redlands; Advisor: Dr. Chris Ferguson Research Question The goal of this research project was to obtain an understanding of how a cleaner lake would impact the local economy. This includes changes in recreation as well as the effect on businesses. Downtown Activity Lake Use and Recreation Students and citizens were asked how frequently they engage in the following activities in Lakes Menomin and Tainter under current conditions during the summer, as well as hypothetical cleaner conditions. Results show how the lakes are currently being used below their potential. Average Student Lake Use Methods Current Condition Approximately 40% of respondents indicated that they would visit downtown more frequently if Lake Menomin were cleaner. Current Average Participation in Menomonie Activities Average Non-Student Lake Use Current Condition Hypothetical Clean Condition Hypothetical Clean Condition 528 UW-Stout students, UW-Stout staff, and Menomonie citizens were surveyed in order to better understand their lake use and economic involvement. UW-Stout students and staff received different surveys via email, citizens were surveyed at community events, and businesses were either visited in person or received a survey in the mail. Several Times a Week Several Times a Month Several Times a Year Survey Sample Non-Students Several Times a Week Several Times a Month Several Times a Year Never Never Several Times a Year Several Times a Month Several Times a Week Dining Out Dining out Business Environment Menomonie Citizens 203/1746 response rate = 12% 200 responses Canvassed at Freedom Fest, Ludington Guard Band, Farmer’s Market, Dunn County Fair UW-Stout Staff 165/500 response rate = 33% Summer Student Population Students were given a hypothetical situation in which Lakes Menomin and Tainter were cleaner and usable for most of the summer and they were asked how this would impact their decision to stay in Menomonie. Results were consistent with previous findings (Flyr 2014). 26% Already Stay 33% Much More Likely or Definitely Would Stay 41% Unlikely or Would Not Stay Going to Downtown Shopping Downtown Bars Shopping Getting Hair Getting Done/ Barber Hair Done/ Barber Shopping This growth would have an additional local multiplier in which the initial increase would cycle through the economy. The multiplier effect for local retail, restaurants/hotels, and services could be expected to double or triple this impact. BUSINESS CLIENTELE BY SECTOR Residents Coffee Grocery Shopping Grocery In addition, 46% job growth, or an additional 1,500 summer jobs, were projected. The businesses that were most impacted were retail, accommodation (hotels and restaurants) and services located downtown. For this reason, these 3 sectors became the primary focus in determining the impact a cleaner lake would have on revenue and employment. Students Coffee Based on survey responses predicting the impact of a hypothetically cleaner lake, Menomonie businesses forecasted an average of 25% growth, or approximately $36.6 million, in additional summer revenue. The survey was comprised of questions asking about their current business profile, clientele, and employment, as well as how those characteristics would change under a hypothetical scenario if 30% more students stayed during the summer. Business Type Going to Bars Predicted Growth A total of 77 of 500 surveys were collected, resulting in a response rate of 15.4%. 309 surveys were mailed, 165 emailed, and 26 businesses were visited in person. UW-Stout Students Students Never Tourists Summer Growth $36.6 million Businesses Retail 16% Retail 59% Manufacturing, Non-Profit, Real Estate and Other Businesses 13% Food and Accommodation 12% Service 38% 30% 3% 70% 80 13% 70 60 Food and Accommodation 26% 47% 11% 50 16% 40 18% 30 Service 27% 26% 15% 8% 20 13% 50% 25% 3% 10 0 Retail Food and Accommodation % Revenue Growth Other Services % Job Growth This work supported by National Science Foundation SMA grant #135738