The vast expanse of public lands and waters managed by the U.S. Department of the Interior (DOI) plays a pivotal role in the nation’s economic engine. A recent report highlighted the significant financial contributions stemming from these resources, showcasing an impressive impact measured in both millions compared to billions of dollars and supporting nearly millions of jobs across the country. Fiscal Year 2019 witnessed the Department’s management of federal lands and investments in natural and cultural heritage translate into substantial private sector activities, generating a staggering $336 billion in economic output and sustaining 1.9 million jobs nationwide.
This economic powerhouse represents a significant leap from Fiscal Year 2016, demonstrating the growing influence of public lands on the American economy. Compared to FY 2016, the economic output surged by $82 billion, accompanied by the creation of 200,000 additional jobs. This growth underscores the increasing importance of these lands and waters as economic drivers for communities throughout the United States.
Secretary Bernhardt emphasized the vital role of public lands, stating, “The Trump Administration agenda for public lands management has been a major boon for communities throughout the country. Especially this year, public lands have been a critical place of refuge for the American people and will continue to support the economic vitality of our country.”
Energy Production: A Billion-Dollar Sector Fueling the Economy
A significant portion of this economic contribution stems from energy production on Interior-managed lands. In FY 2019, these lands yielded 1.06 billion barrels of crude oil, 4.8 trillion cubic feet of natural gas, and 317 million tons of coal. Notably, FY 2019 marked a historic milestone as oil production from these leases surpassed 1 billion barrels for the first time, solidifying the United States’ position as a global leader in crude oil and natural gas production. This energy sector alone generated an estimated $156 billion in economic output and supported approximately 665,000 jobs.
These figures highlight the immense scale of the energy sector’s contribution, measured in billions of dollars of economic output and supporting hundreds of thousands of jobs. In fact, one-fifth of the nation’s entire energy supply originates from Interior-managed lands and waters, underscoring their critical role in powering the country.
Furthermore, energy production on these lands generated approximately $12 billion in revenues in FY 2019, nearly double the revenues collected in FY 2016. These revenues are not simply absorbed into federal coffers; they are strategically disbursed to states and Tribes, directly benefiting the communities where the energy is produced. This financial injection provides crucial funding for essential public services like schools, infrastructure projects, conservation initiatives, and coastal restoration, all of which further contribute to job creation and economic stability at the local level.
Recreation and Water Resources: Millions of Visitors, Billions in Economic Impact
Beyond energy, recreation on public lands and the management of water resources also contribute significantly to the national economy. National parks, refuges, campgrounds, and other public lands sites under Interior management attracted an estimated 501 million recreational visits in FY 2019, a substantial increase from 473 million visits in FY 2016. These millions of visits translated into an estimated $60.6 billion in economic output and supported approximately 469,000 jobs across the nation. This demonstrates the powerful economic engine fueled by recreation and tourism on public lands, generating billions in revenue and supporting nearly half a million jobs.
Similarly, the DOI’s management of water resources for irrigation, municipal, and industrial uses generated an estimated $61.6 billion in economic output and supported 455,000 jobs. Access to reliable water resources is fundamental to numerous sectors, and the DOI’s role in this area underpins billions of dollars in economic activity and sustains hundreds of thousands of jobs.
State-Level Economic Contributions: Billions and Millions at the Local Level
The economic benefits of Interior-managed lands are distributed across the United States, with several states experiencing particularly significant contributions. States with the largest impact on Gross Domestic Product (GDP), economic output, and employment include:
- New Mexico: Contributed $18.4 billion to GDP and $24 billion in economic output, supporting 97,654 jobs.
- Wyoming: Contributed $14 billion to GDP and $20.1 billion in economic output, supporting 86,225 jobs.
- California: Contributed $8.7 billion to GDP and $14.2 billion in economic output, supporting 84,849 jobs.
- Colorado: Contributed $7.4 billion to GDP and $11.4 billion in economic output, supporting 62,425 jobs.
- North Dakota: Contributed $6.5 billion to GDP and $8.3 billion in economic output, supporting 26,664 jobs.
These state-level figures further illustrate the widespread economic benefits generated by public lands, with contributions reaching into the billions of dollars in GDP and economic output and supporting tens of thousands, and in some cases nearly a hundred thousand, jobs within individual states.
Conclusion: Public Lands as a Cornerstone of Economic Prosperity
The Department of the Interior’s Economic Report for Fiscal Year 2019 clearly demonstrates the profound economic significance of public lands and waters in the United States. From energy production measured in billions of barrels and cubic feet, to recreational visits totaling millions, and economic output reaching hundreds of billions of dollars while supporting nearly two million jobs, the impact is undeniable. The report underscores the vital role these lands play in fueling the national economy, supporting communities, and providing essential resources and recreational opportunities for millions of Americans. The Trump Administration’s focus on public lands management has demonstrably contributed to this economic growth, highlighting the importance of these natural assets for the continued prosperity of the nation.