2008-04-15_REVISION - M1980244 (307)

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are spent, they add to the economic benefits of the mining activities. Table 15 shows that if the royalty payments are treated like other increases in earnings, 27 additional jobs will be supported in the region and a total of 35 in Colorado in 2007, which will result in about $3.5 million in di- rect payments and induced earnings statewide. , Table 15 -Employment and Earnings Effects of the Royalty Payments by CC&V, 2007 Teller Region State Total 2007 Royalties $0 $2,455,515 $2,455,515 Estimated Employment Multiplier per $1 M in Final Demand, Households -SIC 91.000 9.376 11.031 14.101 Local Employment Effect 0 27 35 Estimated Induced Earnings Multiplier - 0.262 0.308 0.418 Local Earnings -Royalty Payments $0 $2,455,515 $2,455,515 Induced Earnings $0 $756,299 $1,026,405 Total Local Earnings $0 $3,211,814 $3,481,920 Source: David Bamberger & Associates Summary of Employment and Earnings Effects ~~ Table 16 summarizes the employment and earnings effects that have resulted from expenditures of CC&V. From Table 16, direct and induced employment in the County totals 737 for 2007. It is estimated by the State that about 12,503 Teller County residents were employed in December 2007. These residents held jobs not just in Teller County, but throughout the Region, the State, and possibly elsewhere. The total number of jobs supported either directly or indirectly in the County by CC&V's activities, divided by the 12,503 Teller County workers, means that about 5.9% of all workers living in the County are dependent upon CC&V, either directly or indirectly. The 2005 average annual employment, by place of work within the County, totaled 10,222 jobs. Assuming the same number of jobs for 2007, the current 737 total jobs generated by both the di- rect and induced effects of CC&V represent 7% of all the jobs located in the County. In other words, about 1 out of every 14 people holding a job that is located in Teller County is either di- rectly or indirectly supported by the mining activities of CC&V; and 1 out of every 17 Teller County residents that work anywhere, are supported directly or indirectly by the mining activi- ties. Diversification should be an important goal for all economies. Each industry has occasions when that particular industry suffers from a downturn. One objective of diversification is to be able to weather those downturns through the strength of the other industries. Just as gaming has been seen as a way to diversify the local economy beyond traditional tourism, mining adds fur- ther diversity. Because the mining and gaming industries are subject to different forces -such as inflation, weather, national economic expansion or recession, international pricing, and continu- ally changing competitive forces -there may be times when one of the two industries provides 24