Economic Impact of Business Sonstegard Foods Multiple Counties, South Dakota ‘The estimated impact of Sonstegard Foods can be identified by the type of economic activity incurred in the region: ‘© Direct effects include the value of production, employment and payroll from the operations of Sonstegard Foods, ¢ Indirect effects include the value of production, employment and payroll at all local business in the region that supply goods and services purchased by Sonstegard Foods to support its operations. ‘¢ Induced effects include the value of production, employment and payroll resulting from local employee spending of earnings paid by Sonstegard Foods and all local businesses that support the company’s operations. All effects are expressed in 2015 dollars on an annual average basis. Employment includes both full-time and part-time jobs. ‘The study area of this impact analysis includes Bon Homme, Clay, Hanson, Hutchinson, Lincoln, McCook, Minnehaha, Turner, Union and Yankton counties. Therefore, this summary represents the impact of projected employment only in those counties. ‘Summary of Economic Impact ‘This analysis was based on the industrial classification of Sonstegard Foods, which is Chicken ag Production (NAICS Code 112310). Using information provided by Sonstegard Foods, this, analysis shows the results for year 2018 in the table below. Total impact Direct Effect _| indirect Effect | Induced Effect | Total Efect Output $36000001 | si3.c0ses6| — s4ato.or6| $54,255,802 Employment 75 33 35 168 Wigs, salaries anabenefts | $3000000| $3206 | Saaseaa7 | $8,001,358 Tat ps mapa Te avg ana eon 20 yd The Governors Ofer of am Dewepmert (COD profded the NAS coe rebenesin sara. The estimated indirect impact of the 75 projected jobs in this industry is 53 workers; the. induced impact is 35 workers. The estimated indirect impact of the $3 million in wages and benefits is $3.6 million; the induced impact is $1.5 million. The total impact is an estimated 163 workers and $8.1 million in compensation.Employment limpact Type_| Direct Effect | Indirect Effect Induced Effect_| Total Effect [2035 30] 3 a] 35 [2016 45 27| 19] 31 2017 60] 40) 27) 127] 2018 75 53 35 163 [2019 90] 67] a3 200 [2020 705| 20) 1 236| 2021 107] 93] 58 269] 2022 129 107] 66 301] 2023 141 20] 73] 334] [2024 153] 133] 30] 367] impact Type _| Direct Effect Induced Effect_| Total Effect 2015 $1,200,000 $909,227] $462,015] $2,571,242 j2016_ $1,800,000} $1,818,453} $792,826] $4,411,279] 2017 $2,400,000 $2,727,680 $1,123,636] $6,251,317 2018 $3,000,000] $3,636,906} $1,454,447| $8,091,353] 2019 $3,600,000 $4,546,133 $1,785,258] $9,931,391 12020. $4,200,000} $5,455,360} $2,116,068] $11,771,428) ja021 $4,680,000 $6,364,587 $2,420,638] $13,465,295 [2022 $5,160,000] $7,273,813} $2,725,208] _ $15,159,021] [2023 $5,640,000] $8,183,040 $3,029,777] $16,852,817 [2024 $6,120,000} $9,092,266} $3,334,347| $18,546,614] Output limpact Type | Direct Effect | Indirect Effect Induced Effect_| Total Effect [201s $9,000,000 $3,476,464 $1,381,784) _ $13,858,248] }2016 $18,000,000] $6,952,928} $2,371,171] $27,324,099] 2017, $27,000,001} $10,429,393] $3,360,558] _$40,789,952| 2018 $36,000,001] $13,905,856] $4,349,946] $54,255,802! 2019 $45,000,001) $17,382,320] $5,339,333] $67,721,655] 2020, $54,000,001) $20,858, 786| 36,328,721] $81,187,507] 2021, $63,000,001] $24,335,251] $7,239,628] $94,574,880] 12022, $72,000,001] $27,811,711] $8,150,537] $107,962,249} [2023 $81,000,002] $31,288,176 $9,061,444] 5121,349,622] 2024 $90,000,002] $34,764,641] $9,972,353] $134,736,995} Note: Impacts may not sum to total due to rounding; analysis is based on 2012 industry data, Prepared by the Labor Market Information Center, South Dakota Department of Labor and Regulation, January 2015.Estimated Impacts of Construction Costs Construction Costs 2015 Impact Type | Direct Effect | Indirect Effect ae Total Effect Employment zal 0] a 30 Labor Income $9,492,511) $3,149,545| $2,764,939] $15,406,995] Output 525,000,000 _$8,877.786| _ $8,269,324] _ $42,147,110 Construction Costs per Year 2016 - 2024 impact Type | Direct Effect | indirect Effect — Total Effect Employment 5 73 20 30] Labor Income $2,847,754] $944,863] $829,482] $4,622,099] JOutput $7,500,000] $2,663,336] $2,480,797] __ $12,644,133] Estimated Impacts of Equipment Costs Equipment Costs per Year 2015 - 2024 Impact type | Directertect | indirect ertect | '"S¥e°4 | otal tect Employment 2| 1 1 3| Labor Income $130,287] $36,494} $36,618} $203,399] Output $248,000 $95,763] _$109,515[ $553,278] Note; Impacts may not sum to total due to rounding; analysis is based on 2012 industry data. Prepared by the Labor Market Information Center, South Dakota Department of Labor ‘and Regulation, January 2015.