Reports show military installations give Florida huge economic boost

Two new reports on the economic impact of Florida’s military installations show they provide hundreds of billions of dollars in value.

FloridaCommerce unveiled the Florida Defense Industry Economic Impact Analysis and the Florida Military and Defense Economic Impact Summary, showing the economic benefit is far-reaching in the Sunshine State.

Military bases and support installations dot nearly every region of Florida. The Florida Defense Support Task Force has been monitoring their economic impact for more than a decade and helped prepare the briefings.

The 241-page Florida Defense Industry Economic Impact Analysis concluded that there are stunning economic contributions from the more than 20 military installations in the state.

“The economic impacts (are) traceable to the more than $65 billion of defense expenditures that were injected into the state in 2022. In total, $102.6 billion … and 865,937 jobs were attributable to this spending,” said the executive summary that was completed in November.

That report found an increase of nearly 6,000 jobs and 6.2% in economic activity from the previous study, the analysis concluded.

The 48-page Military & Defense Economic Impact Summary was equally gaudy, detailing the amount the U.S. military is spending in Florida.

“From 2020 to 2022, the state experienced a 21% nominal increase in total direct defense spending, growing from $53.9 billion to $65.3 billion. This total growth comprised a 21% increase in personnel compensation (despite a slightly reduced number of personnel), a 16% increase in defense procurement, and a 26% increase in retiree pensions and veterans transfer payments (despite a decrease in total veterans),” the report’s overview said.

On top of all that, the state is now home to more than 1.6 million military veterans and retirees.

Bolstered by the results of the findings from the two reports, FloridaCommerce Secretary J. Alex Kelly said it’s clear Florida is one of America’s top military-friendly states.

“Under Gov. Ron DeSantis’ leadership, Florida has become the most veteran and military friendly state in the nation,” Kelly said in a news release. “Military and defense is the second-largest industry sector in Florida; protecting Florida’s 20 plus military installations and supporting Florida’s military communities is imperative for our continued economic prosperity and national security.”

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