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Snowmobiling
is recognized by Economic Planners as a major job generator and an important
part of the "Economic Engine" in rural America. Over $27 Billion Dollars worth of
Economic Activity occurs because of snowmobiling, with the majority of the
money generated by tourism related activities.
Approximately $1.2 Billion dollars is the result of new snowmobile sales
alone. Slightly over $1 Billion dollars
worth of parts, garments and accessories were sold in the marketplace this
year, a 15% increase from the previous year.
Sales of snowmobile registrations, licenses and permits will reach a new
record high in 2006. It is estimated
that over 2,600,000 snowmobile registrations and/or permits will be sold in North America this winter season.
The sales of permits and registrations will generate well over $120
million dollars, most of which will go immediately back into the trail system
in the development, improvement and maintenance of the greatest recreational
trail system in the world. Over 200
thousand miles of groomed and marked trails traverse North America allowing
snowmobiling families to see
North America in a unique
way not available to any other form of recreation.
Recent
Economic Impact studies performed by Iowa State University, Plymouth State
University in New Hampshire, and the University of Minnesota all show dramatic
increases in snowmobile activity and the economic importance of snowmobile
tourism. It was estimated that well over
95,000 full-time jobs are generated by the snowmobile industry alone. In addition to that, approximately 3,000
licensed dealers, employing 60,000 full time employees serve as an important
tax base to many rural towns and villages.
Using Standard Economic Impact Analysis, it should come as no surprise
that a substantial segment of snowmobile spending ends up being collected by
every state and province in taxes.
Approximately 10% of all the dollars spent by snowmobilers ends up being
directly collected by "the tax man" in the state or province where
snowmobiling occurs. Simple math shows
snowmobilers pay approximately $2.7 Billion dollars in state and provincial tax
alone during the winter season. Federal and Local taxes would be added to that number and one
could easily say that snowmobilers collectively pay over $4 Billion
dollars in taxes each year, enjoying the family recreation activity
of snowmobiling.
While
I am writing this article in Mid-October, I am watching the snow fall in
Northern Minnesota, Montana, North Dakota,
Alberta, and beyond, and the
weather forecasts are promising.
Snowmobile shows are reporting high levels of enthusiasm and record
levels of attendance. The snowmobile
manufacturers have been busy inventing and building new technology snowmobiles
for all of us to enjoy. These vehicles
have proven to be more efficient than previous models using substantially less
fuel and overall are less expensive to operate and enjoy. New, clean, quiet, efficient, durable,
reliable snowmobiles are in the marketplace and the offerings from the
manufacturers point to a positive future.
The responsiveness by the
manufacturers to new government regulations coupled with the
marketplace demands are noticeable and paint a bright future for an
ever changing fun, winter activity.
Surveys performed at the beginning of this
snowmobile season, show snowmobilers plan to snowmobile more this
year than in previous years and our optimism is contagious.
Travel
and recreation trends support the optimism of the snowmobile community as more
families plan to recreate close to home and more families are interested in
winter recreational activities. The
optimism is prevalent on both sides of the border since Canadian and US
cross-border vehicle traffic for the first five months in 2005 totaled over 5.5
million automobiles. This is a slight
increase compared to the same timeframe in 2004 and underscores the increased
level of close to home recreation activities.
Snowmobiling
is now entering it's 51st year as the chosen recreational activity in North
America for millions of winter-loving families. High quality resorts are expanding to better
serve snowmobilers. Snowmobile trails are improving and public awareness of the
technology improvement is leading to a greater acceptance of
snowmobiling and the vehicles we enjoy.
Snowmobiling is a great family lifestyle
activity allowing parents and children and grandchildren to recreate
together and enjoy all the magic nature has to offer.
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