ECONOMIC

IMPACTS
OF RED ROCKS
AMPHITHEATRE

COMMISSIONED BY DENVER ARTS & VENUES

JULY 2023
ECONOMIC IMPACTS OF
RED ROCKS AMPHITHEATRE

PREPARED FOR PREPARED BY

Denver Arts and Venues BBC Research & Consulting
1345 Champa Street 1999 Broadway, Suite 2200
Denver, Colorado 80204 Denver, Colorado 80202
303.321.2547 fax 303.399.0448
www.bbcresearch.com

Final Report
July 19, 2023
 ECONOMIC IMPACTS OF RED ROCKS AMPHITHEATRE

TABLE OF CONTENTS

EXECUTIVE SUMMARY

1. INTRODUCTION & SUMMARY

Importance of Red Rocks Beyond Economic Impacts .......................................................................... 4

2. RED ROCKS PARK & AMPHITHEATRE

Concerts & Live Performances ................................................................................................................ 8
Events & Facility Rentals........................................................................................................................... 9
Day Use & Recreation ............................................................................................................................. 10
Operations & Administration ................................................................................................................ 11
Impact of COVID-19 Pandemic .............................................................................................................. 11

3. ECONOMIC IMPACT MODEL

Market Area ............................................................................................................................................. 16
Out-of-State & Out-of-Region Visitors .................................................................................................. 17
Direct Impacts ......................................................................................................................................... 19

4. ECONOMIC IMPACT RESULTS

Economic Impacts by Region and State ............................................................................................... 27

5. FISCAL IMPACT ANALYSIS

City and County of Denver Fiscal Impacts of Out-of-State Visitors ................................................... 29
City and County of Denver Fiscal Impacts of Out-of-Region Visitors ................................................ 31
Regional and State Fiscal Impact .......................................................................................................... 32

TABLE OF CONTENTS i
 ECONOMIC IMPACTS OF RED ROCKS AMPHITHEATRE

EXECUTIVE SUMMARY

Red Rocks Amphitheatre, managed by Denver local suppliers that work with retailers, local
Arts & Venues (DAV), a city of Denver agency, is purveyors, and distributors to fulfill orders. In
an important source of economic activity that this manner, visitors’ direct spending at a
supports thousands of jobs, tens of millions of restaurant flows into nearly all industries
dollars of tax revenue, and hundreds of millions present in the Denver Metro Area economy.
of dollars of income and economic output in the
Cumulatively, the spending by visitors
Denver Metro Area and the State of Colorado.
attending events at Red Rocks Amphitheatre
The iconic venue, which can seat a crowd of supports a total of approximately 7,000 jobs
approximately 9,525 people at concerts nearly across the regional economy. These jobs
every night from April to November, and its generate an annual total of $216 million in
world-class events attract out-of-state and out- income and $717 million in economic output in
of-region visitors who spend their money at the Denver Metro Area. In addition, visitor
local businesses, creating jobs and generating spending is subject to sales tax and lodging tax,
income, economic output, and tax revenue for generating more than $20 million per year in
local governments. Of the more than 1,500 tax revenues for state and local governments.
people directly employed by the venue to The City and County of Denver alone generates
support each live event, approximately 40 more than $6 million in sales tax revenue from
percent are supported by the spending of out- Red Rocks visitor spending. Visitor spending
of- state and out-of-region visitors. Visitor also helps fund other investments in Denver
spending also directly creates jobs in the local arts and culture through the collection of the
transportation, accommodation, food and Facilities Development Admissions Tax.
beverages, retail, arts, entertainment, and
The size, magnitude, and reach of these
recreation sectors.
impacts underscore the importance of
In 2022, out-of-state and out-of-region visitors committed long-term financial support for Red
accounted for approximately 40 percent of the Rocks Amphitheatre to ensure it continues to
Amphitheatre’s total event attendance and attract artists that draw visitors from outside
spent approximately $305 million at businesses the region and outside the state. While Red
in the Denver Metro Area. The spending by Rocks stands out amongst its competitors due
visitors spreads throughout the economy of the to its iconic legacy and natural beauty, to stay
Denver Metro Area a result of the linkages that competitive and continue making important
tie economic sectors together. For instance, contributions to the local and statewide
visitors who stay in Denver to attend a show at economies, Red Rocks must continue to have
Red Rocks will purchase food and drinks at the resources needed to provide a welcoming,
restaurants. A portion of this money is then safe, and enjoyable atmosphere for artists and
used by the restaurants to purchase food from visitors.

EXECUTIVE SUMMARY 1
 ECONOMIC IMPACTS OF RED ROCKS AMPHITHEATRE

SECTION 1.
INTRODUCTION & SUMMARY

Every visitor to Red Rocks Amphitheatre (Red To highlight the economic and fiscal impacts of
Rocks) remembers the first time they entered Red Rocks, BBC Research & Consulting (BBC)
the venue and looked toward the scenic red developed a customized economic impact
rocks that inspired its name. What is less model for the DMA and the State of Colorado.
considered is the important role Red Rocks Using visitation and financial data from the
plays in the regional and statewide economies. 2022 Red Rocks event season, BBC conducted
From ushers and concession operators to a detailed study of the economic and fiscal
stagehands, security, janitorial, facilities, and impacts created by out-of-state and out-of-
parking personnel, the visitors to Red Rocks region visitation to Red Rocks in terms of
and the money they spend supports the employment, income, economic output, and
employment of thousands of people in tax revenue. By using the most recent data
Colorado and the Denver Metro Area (DMA). from 2022, the study reduced the influence of
Beyond the venue’s obvious cultural pandemic-related effects so that the study
significance, the spending of visitors is a reflects more typical operations at Red Rocks.
significant source of labor income, economic
output, and tax revenue.

SECTION 1. INTRODUCTION & SUMMARY 2

 ECONOMIC IMPACTS OF RED ROCKS AMPHITHEATRE

Red Rocks is a significant economic engine for the Denver

Metro Area and the State of Colorado economies.

The report’s key findings show that:

● Red Rocks Amphitheatre’s reputation as a world- class concert venue attracts
many acts in the music business. These acts, along with the venue’s stunning
natural setting, attract visitors from across the country and the world, bringing
new money into the Denver Metro Area (DMA) and Colorado economies.

● Spending by visitors supports about 7,000 full- and part-time jobs in the DMA,
generating $216 million of labor income and $717 million of economic output
across a range of economic sectors. In the state, visitor spending supports about
7,300 jobs and $222 million of labor income.

● The spending by Red Rocks visitors also generates millions of dollars of sales tax
revenue, including $6.4 million for the City and County of Denver, $7.1 million
for the State of Colorado, and $7.5 million for other local governments in the
DMA.

Red Rocks Amphitheatre’s unique and This support is important because Red Rocks
desirable qualities draw artists and visitors operates in the competitive live events
from around the world who spend money in industry and competes for acts with hundreds
the local economy, and by doing so generate of other venues throughout the state, the
jobs, income, and tax revenues in the DMA and country, and the world. Although Red Rocks’
the State of Colorado. Furthermore, spending iconic legacy as a concert venue for major
by visitors helps fund other investments in artists and its dramatic setting in the foothills
Denver arts and culture. These impacts of the Front Range allows it to stand out
underscore the importance of committed long- amongst its competitors, to stay competitive
term financial support for Red Rocks to ensure and continue bolstering the local and
it continues to attract artists that draw visitors statewide economies, it must continue to have
from outside the region and outside the state. the resources needed to adapt to changing
demands.

SECTION 1. INTRODUCTION & SUMMARY 3

 ECONOMIC IMPACTS OF RED ROCKS AMPHITHEATRE

Importance of Red Rocks Colorado, but the venue is also important for
other reasons. Red Rocks supports other arts
Beyond Economic Impacts and culture venues and activities, provides
access to outdoor recreation, drives local and
This study focuses on quantifying the most
statewide tourism, and directs spending to a
tangible effects of Red Rocks Amphitheatre on
variety of economic sectors in the DMA.
the economies of the DMA and State of

Photo by Michael Verdone.

Red Rocks Amphitheatre’s investment in the stage roof is an example of the

importance of consistent and ongoing investment in the facility. As live
events evolved to include larger sound and light systems, the Amphitheatre
had to adapt by investing in stage infrastructure to support the increased
weight of equipment that acts demanded. The stage investment also
improved safety for stagehands and sped up the setup and breakdown
processes. This reduced the amount of time needed between acts, allowing
the venue to book more acts each season.

SECTION 1. INTRODUCTION & SUMMARY 4

 ECONOMIC IMPACTS OF RED ROCKS AMPHITHEATRE

Because the venue is owned by the City and survey conducted by VISIT DENVER, a private,
County of Denver (CCD), the revenue nonprofit trade association that is responsible
generated through the Facilities Development for marketing metro Denver as a convention
Admissions tax enables Denver Arts & Venues and leisure destination, found that Red Rocks
(DAV) to support its other venues and make is cited as the top-ranked reason for people to
culture and art more accessible and inclusive visit the area.
in the city and county.
The venue’s ability to draw visitors from
Red Rocks is also a mountain park operated by outside the region and state helps generate
Denver Parks & Recreation. Red Rocks’ hiking economic impacts across a variety of sectors.
trails are free for the public and make the site Figure 1 shows the economic sectors where
more accessible and inclusive than privately spending by visitors to Red Rocks creates the
owned venues, which are closed to the public most income and employment in the DMA. In
outside of ticketed events. The trails are widely 2022, Red Rocks’ visitor-supported spending
accessible because they do not require much sustained more than 3,100 jobs in the
physical or technical training or specialized transportation and warehousing sector,1
equipment. Trail users experience a variety of followed by 671 jobs in accommodations; 593
benefits, including stunning views, improved jobs in food services; 566 jobs in arts,
mental and physical wellbeing, and entertainment, and recreation; and 490 jobs in
educational opportunities provided by retail trade. Most importantly, spending from
interpretive signage. visitors to Red Rocks helped generate
economic impact in every major economic
Red Rocks is also an important source of sector studied.
tourism for Denver and Colorado. The latest

1
The U.S. Bureau of Labor Statistics defines the Transportation and Warehousing sector as industries that provide “transportation of
passengers and cargo, warehousing and storage for goods, scenic and sightseeing transportation, and support activities related to modes
of transportation. Establishments in these industries use transportation equipment or transportation related facilities as a productive
asset. The type of equipment depends on the mode of transportation.” Available at: https://www.bls.gov/iag/tgs/iag48-49.htm

SECTION 1. INTRODUCTION & SUMMARY 5

 ECONOMIC IMPACTS OF RED ROCKS AMPHITHEATRE

Figure 1.
Sector-Specific Impacts from Visitor Spending to Attend Events at Red Rocks Amphitheatre

SECTOR EMPLOYMENT EARNINGS OUTPUT

Transportation and warehousing 3,219 $44,822,914 $133,314,744

Accommodation 687 $28,014,845 $101,138,099

Food services and drinking places 607 $19,383,666 $60,703,650

Arts, entertainment, and recreation 579 $17,805,718 $51,886,997

Retail trade 502 $16,236,121 $49,142,283

Finance and insurance 256 $13,565,418 $48,097,403

Real estate and rental and leasing 222 $8,778,858 $56,322,469

Health care and social assistance 186 $11,003,698 $25,532,144

Professional, scientific, and technical services 176 $15,386,784 $32,705,085

Administrative/support and waste management
173 $7,780,724 $18,077,805
and remediation services
Other services 123 $5,541,463 $14,170,290

Wholesale trade 69 $6,719,578 $27,216,425

Management of companies and enterprises 64 $8,681,701 $20,984,981

Nondurable goods manufacturing 63 $5,404,763 $34,654,635

Construction 60 $4,121,969 $10,029,902

Educational services 57 $2,098,106 $4,708,106

Information 55 $4,364,612 $21,726,090

Durable goods manufacturing 18 $1,227,360 $5,607,097

Mining, quarrying, and oil and gas extraction 13 $1,989,719 $7,914,217

Utilities 9 $1,209,129 $8,031,073

Agriculture, forestry, fishing and hunting 2 $45,649 $197,967

Note: The data and methods used to derive the estimates in Figure 1 are discussed in detail in Section 3: Economic Impacts of Red
Rocks Amphitheatre.
Source: BBC Research & Consulting.

SECTION 1. INTRODUCTION & SUMMARY 6

 ECONOMIC IMPACTS OF RED ROCKS AMPHITHEATRE

SECTION 2.
RED ROCKS PARK & AMPHITHEATRE

Red Rocks Amphitheatre is a world-class graduations. Investments in the stage, traffic

outdoor concert venue located in Morrison, controls, parking, signage, and other parts of
Colorado. Set amongst massive red sandstone the Amphitheatre have kept the venue
formations in the foothills above Denver, the competitive in the live events industry.
venue provides breathtaking views for
concertgoers and visitors. Red Red Rocks generates revenue from a
Rocks’ natural acoustics also variety of sources, including
lend themselves to musical facility rental fees, equipment
performances. Since its rentals, labor reimburse-
completion in 1941, ments, concessions and
the Amphitheatre has merchandise sales and
hosted some of the ticketing fees. In
most famous musical addition, visitors to
acts of the past 82 Red Rocks from
years, including the outside of the region
Beatles, Stevie Nicks, and the state spend
B.B. King, and U2. Its significant amounts of
history of hosting money on travel,
legendary performances lodging, entertainment,
has helped establish Red food and beverages, and
Rocks as one of the most retail purchases during
beloved concert venues in the their stays in the area. The
world by fans and musicians alike. exact amount of revenue
generated by Red Rocks and its visitors
Today, Red Rocks can seat a crowd of varies each year depending on several factors,
approximately 9,525 people at concerts nearly including the number of events, event
every night from early April through mid- attendance and prevailing economic
November. In addition to concerts, Red Rocks conditions.
also hosts a variety of other events and
activities, including Film on the Rocks, Yoga on
the Rocks, weddings, corporate retreats, and

SECTION 27
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Concerts & Live Performances

Many people think of Red Rocks as the country’s Between the 12- month period from November
premier outdoor concert venue. Since the 1st, 2021 and October 31st, 2022, Red Rocks
official dedication of the Amphitheatre on June hosted 189 concerts with an average
15, 1941, where singer Helen Jepson of the New attendance of 7,728 people, though many of
York Metropolitan Opera sang “Ava Maria,” the Red Rocks’ artists play to significantly larger
venue has hosted a wide variety of popular audiences. In 2022, acts including Stevie Nicks,
musical acts of the 20th and 21st centuries. Zach Bryan, the Avett Brothers, and Pitbull all
Currently, the demand to play at Red Rocks is played to sold-out crowds.
strong enough to fill the calendar on most days
between early April and the middle of Red Rocks’ concert operations are supported by
November. a team of Denver Arts & Venues (DAV) staff and
various contractors. DAV staff perform a variety
During the 2022 concert season, Red Rocks of administrative and operational roles,
hosted a concert on nine out of every ten days. including managing bookings, coordinating

8
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productions, maintaining the venue, ● Facility fee: A $6.75 facility fee is charged
accounting, safety, security, marketing, and for each ticket sale for an event at Red Rocks
overseeing contracted services. in 2023. The fee goes toward offsetting the
costs of facility operations and maintenance
For each concert and performance, contractors and allows for parking.
provide parking and usher services, security,
stage setup and takedown, janitorial services, ● FDA tax: The Facilities Development
medical services, and other professional Admissions (FDA) Tax is a 10 percent tax
services. Contractors are also employed to sell levied at all venues owned by the City of
merchandise and concessions throughout the Denver, on the face value of each ticket sold
venue. Concert promoters such as AEG for an event at Red Rocks. The revenues are
Presents and Live Nation promote each concert used for venue upkeep, improvements, and
and live event on behalf of their acts. debt repayment for large-scale projects.

Red Rocks generates revenue from concerts Revenue generated at Red Rocks pays for
and live events through multiple pathways: operations and maintenance of the venue and
subsidizes other venues in the DAV portfolio as
● Facility rent: Facility rent is based on a well as arts and cultural programs that benefit
percentage of gross ticket sales, less the the community.
amount charged through taxes and the
facility fee. The venue also receives revenue Events & Facility Rentals
for equipment rentals and labor
reimbursement. In addition to concerts, Red Rocks hosts several
non-concert events each year, and the venue is
● Sponsorship: Corporate sponsors, also rented out for events such as weddings,
including Molson Coors, Coca Cola, high school graduations, corporate retreats,
Southwest Airlines, and others provide and holiday parties. Approximately 225 of these
approximately $3 million in corporate types of events are held at Red Rocks each year,
sponsorship, annually. attracting about 75,000 in-state and out-of-
state visitors.
● Concessions and merchandise
revenue: A portion of revenues from Film on the Rocks is one of Red Rocks’ major
concessions and show merchandise are non-concert events held throughout the year.
shared with Denver Arts & Venues on a The beloved summer event started more than
contractual basis. DAV generates revenue 20 years ago and has grown to become a
from Red Rocks-branded merchandise, highlight of the venue’s annual event schedule.
including apparel, drinkware, toys, and Featuring both live performances and
souvenirs. showcases of classic films displayed on a large
screen in the Amphitheatre, Film on the Rocks
offers attendees an unparalleled viewing

9
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experience. Past events have featured films to provide a one-of-a-kind experience that
including Star Wars, Black Panther, and The cannot be replicated anywhere else. The one-
Princess Bride. The event is supported through a hour event has proved to be a huge success,
combination of ticket sales and corporate running a total of 10 sessions in 2022. The event
sponsorships from several area businesses and also offers vendors the chance to display their
cultural organizations.2 goods and services and interact with potential
customers.
Yoga on the Rocks, which started in 2013, is held
on Saturday mornings throughout the summer Day Use & Recreation
months. The event, which is open to the public
with the purchase of a ticket, invites attendees One of the unique features of Red Rocks, as
to roll out their yoga mats in the Amphitheatre compared to other live event venues, is that it
and follow a guided yoga practice with other also operates as a mountain park that is open to
participants. the public. The park, which is managed by
Denver Parks & Recreation, has multiple trails,
Yoga on the Rocks combines Colorado’s active offering recreationists many opportunities to
lifestyle with Red Rocks’ iconic setting and views enjoy the site’s splendor:

2
Corporate sponsorship for Film on the Rocks includes Denver Arts and Venues, Red Rocks Amphitheatre, ADR, XFINITY, Meow Wolf Denver,
Eldorado Natural Spring Water, 97.3 KBCO, SCFD, Visit Denver, Westword, Colorado State Patrol, Serendipity Catering, City Pop, Carrot,
Southwest Airlines, and Kaiser Permanente.

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● The Trading Post Trail DAV is the CCD agency responsible for
operating some of the region’s most renowned
● The Red Rocks Trail
facilities. In addition to Red Rocks
● The Funicular Trail Amphitheatre, DAV also operates the Denver
● The Mt. Vernon Creek Trail Performing Arts Complex, Colorado Convention
Center, Denver Coliseum, McNichols Civic
● The Geologic Overlook Trail
Center Building and the soon to be added
Loretto Heights cultural hub.
A portion of the price of each ticket helps fund
Denver Parks & Recreation.
In addition to operating these venues, DAV
oversees the Denver Public Art program, Urban
The Trading Post and the Visitor Center, both of
Arts Fund, P.S. You Are Here, Scientific and
which are open to the public are also located
Cultural Facilities District Tier III granting
within the park:
process, Denver Music Advancement Fund, Arts
● Trading Post: Originally constructed in Education Fund, implementation of Denver’s
1931, the Trading Post sells Red Rocks Cultural Plan, and the Five Points Jazz Festival,
souvenirs, apparel, and memorabilia. along with many others.

● Visitor Center: First opened in 2003, the DAV’s operations are supported by revenues
Visitor Center, which is located at the top of generated from venues through facility and
the Amphitheatre, blends seamlessly into the equipment rentals, labor reimbursements,
natural surroundings and houses exhibits ticketing fees, concessions and merchandise
related Red Rocks. It also contains special sales, sponsorships, and the Facilities
event spaces including the Southwest Heart Development Admissions tax. In addition to
of the Rock Theatre; the Rock Room; the Ship these revenues, DAV receives support for
Rock Grille, restrooms; retail space for facility maintenance and improvement projects
merchandise and other food and beverage; from voter-approved bond measures.
and the Red Rocks Hall of Fame, which
Red Rocks generates substantial revenue that is
inducts new artists and luminaries on an
used to support DAV’s annual operations and
ongoing basis.
facility maintenance and improvement projects
across its venues, programs, and events.
Operations & Administration
Red Rocks is owned by the City and County of Impact of COVID-19 Pandemic
Denver (CCD) and operated and maintained by
In 2019, the year prior to the COVID-19
Denver Arts & Venue. [DAV’s mission is to enrich
pandemic, Red Rocks hosted a record number of
Denver’s quality of life and economic vitality
concertgoers and live event attendees. This
through the advancement of arts, culture, and
record visitation generated record revenues,
entertainment opportunities for all.]
but the stay-at-home orders that followed the

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start of the pandemic quickly reversed the numbers once pandemic restrictions were
venue’s financial fortunes. Red Rocks was only relaxed in 2021.
permitted to have events of 175 people or
fewer, which drastically reduced the revenue Billboard Magazine’s Boxscore named Red
generated at the venue. Despite the Rocks the top-grossing, most attended concert
circumstances, Red Rocks hosted small events as venue of any size, anywhere in the world for
well as events that were streamed online to a 2021. By 2022, Red Rocks was hosting record
larger audience. The online streams were so audiences and generating record revenues once
successful that Red Rocks has continued the again.
practice even as larger live audiences have
returned to the venue following the easing of
pandemic-era precautions. The outdoor setting
of the venue allowed visitors to return in higher

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SECTION 3.
ECONOMIC IMPACT MODEL

Red Rocks Amphitheatre benefits the economies These expenditures and revenues include
of the Denver Metro Area (DMA) and the State of salaries for staff and contractors, expenditures
Colorado. Economic impact estimates are on facility maintenance and improvements,
described in terms of jobs, income, and revenues from concessions and show
economic output. To quantify the economic merchandise sales, revenues from Red Rocks
impacts from Red Rocks, BBC Research & merchandise sales, promoter and artist
Consulting (BBC) developed an analytical revenues, and spending from event attendees
framework that tracked the portion of direct on items such as food and beverages,
expenditures and gross revenues paid for by transportation, retail, and lodging.
out-of-state and out-of-region visitors
attending events at Red Rocks. To determine Red Rocks’ total economic
impact, BBC calculated direct expenditures
The reason for including only the share of and gross revenues generated by visitors to
direct expenditures and gross revenues paid Red Rocks and applied them to input-output
for by out-of-state and out-of-region visitors is models of the DMA and State of Colorado. BBC
that resident spending does not count as new or used the RIMS II model from the U.S. Bureau of
additional income in an economy because Economic Analysis for this study.3 The RIMS II
residents would have spent their money at model is an input-output model that is used to
other businesses in the area if they had not analyze the economic impact of changes in one
spent it attending an event at Red Rocks. industry on every other industry in a regional
Therefore, all the expenditures and gross economy based on inter-industry linkages.
revenues associated with events at Red
Rocks were adjusted to reflect only the For example, visitors who stay in Denver to
portion of those expenditures and attend a show at Red Rocks will purchase food
revenues paid for or generated by out-of- and drinks at local restaurants. A portion of
state and out-of-region visitors. this money is used by the restaurants to
purchase food from local suppliers that work

3
The Regional Input-Output Modeling System (RIMS II) Model is owned and maintained by the Bureau of Economic Analysis (BEA), which
is a part of the U.S. Department of Commerce. The BEA develops and updates the RIMS II Model to provide regional economic data and
estimates for analyzing the economic impacts of various events, policies, and projects.

SECTION 3. ECONOMIC IMPACTS OF RED ROCKS 13

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with retailers, local purveyors, and distributors restaurant can flow into nearly all industries
to fulfill orders. At each step in the process, present in the Denver economy. The RIMS II
employees of all businesses involved in the model reflects these inter-industry linkages.
supply chain network earn wages and spend a Figure 2 illustrates the conceptual economic
portion of those wages in the local economy. In impact model used in the study.
this manner, the initial spending at a

Figure 2.
Economic Impact Conceptual Model

Source: BBC Research & Consulting.

SECTION 3. ECONOMIC IMPACTS OF RED ROCKS 14

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The model represents impacts from spending at two different levels:

1. Direct impacts: On-site and off-site 2. Secondary impacts: Every directly

spending by out-of-town and out-of-region affected sector must purchase goods and
visitors creates direct economic impacts within a services from other sectors to use as inputs for
select group of sectors where visitors spend their own production. These backward linkages
their money. These sectors primarily include from directly impacted sectors to indirectly
lodging, transportation, food and beverage, arts, impacted sectors are called indirect, or
entertainment and recreation, and retail. In secondary, impacts. Secondary impacts also
addition, on-site spending by visitors directly include induced impacts, which are created
supports expenditures made by the venue for when employees with jobs created either
operations and facility maintenance and directly or indirectly spend their incomes in the
improvement, income accruing to promoters local economy.
and artists, purchases of concessions and
merchandise, and contributions to the FDA tax. The RIMS II model calculates both levels of
impact using a broad set of indicators, including
income, employment, and economic output (i.e.
gross business receipts). To do this, the model
operates on a basic set of assumptions. For
example, the RIMS II model assumes that
purchasing patterns between industries are
fixed and that a doubling of output requires a
doubling of inputs.

SECTION 3. ECONOMIC IMPACTS OF RED ROCKS 15

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Market Area
The economic model used to analyze impacts in out-of-region visitors impact industries across
the DMA is based on a 10-county economy, as several counties in the DMA. Defining the
shown in Figure 3. While Red Rocks is located in market area as the 10-county DMA economy
Jefferson County and owned and operated by allows for the most reasonable portrayal of Red
the City and County of Denver (CCD), its Rocks’ economic impacts.
operations and the spending of out-of-state and

Figure 3.
Counties Included in the 10-County Denver Metro Area Economic Impact Model of RRA

Source: Esri, U.S. Census Tigerline files and Google maps data.

SECTION 3. ECONOMIC IMPACTS OF RED ROCKS 16

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Out-of-State & Out-of-Region

Visitors
TOP 2022 DENVER VISITOR
Ticket sales data for 2022 contained ATTRACTIONS
information on the ZIP codes associated with
the purchaser of each ticket. This information ● Red Rocks Park &
was used to identify the number of in-state, out- of- Amphitheatre
state, and out-of-region visitors who attended ● Denver Art Museum
an event at Red Rocks in 2022. Out-of- state
● Denver Zoo
visitors were defined as visitors from outside of
Colorado attending events at Red Rocks and ● Colorado Rockies
spending at least one night in the DMA. Out-of-
● Water World
region visitors were defined as visitors from
within Colorado, but outside of the 10-county DMA ● Denver Botanic Gardens
who attended an event at Red Rocks. ● Elitch Gardens Theme & Water
Park
In 2022, Red Rocks hosted 531,906 out-of-
state visitors and 106,454 out-of-region ● Downtown Aquarium
visitors out of a total of approximately 1.6 ● Colorado State Capitol
million event attendees. In total, these two
● Denver Broncos
groups of visitors accounted for about 39
percent of Red Rocks’ annual event attendance.
Out-of-state visitors alone accounted for IN 2022, THERE WERE:
approximately 33 percent of the total. These
36.3 million person-trips to Denver
percentages were used to account for the share of
direct expenditures and gross revenues that ● 16.4 million day trips
create economic impact in the 10-county DMA
and the State of Colorado. ● 19.9 million overnight trips
Overnight visitors spent a total of
$8.0 billion
Day trip visitors spent a total of
$1.4 billion

Source: Longwoods International survey of overnight

and day trip visitors to Denver in 2022.

SECTION 3. ECONOMIC IMPACTS OF RED ROCKS 17

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Figure 4 shows the home states of out-of-state visitors attending events at Red Rocks.

Figure 4.
State of Origin for Out-of-State Visitors to Red Rocks Events (2022)

Source: BBC Research & Consulting, Denver Arts and Venues.

As Figure 4 shows, Red Rocks’ status as one of next largest share of out-of-state visitors. Red
the world’s premier outdoor concert venues Rocks’ ability to draw visitors and their dollars
attracts visitors from across the country. from outside the state is what allows the venue
California, Texas, Illinois, Florida, and New York to generate such substantial economic impacts
accounted for the largest shares of out-of-state on the local and state economies.
visitors in 2022. A combination of states in the
Pacific Northwest, Southwest, Midwest,
Southeast, and East Coast accounted for the

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Direct Impacts
The RIMS II model is operationalized by aligning The data in Table 1 are based on 2022 spending
each source of direct economic impact with the totals. As the table shows, spending and
specific industries affected by that spending. expenditures associated with Red Rocks in 2022
Direct economic impacts are the immediate were more than $387.5 million. This includes
effects that an economic event or activity has $25.5 million spent on operations, $8.5 million
on a particular industry. For example, spending on facility maintenance and improvement,
on janitorial services has a direct economic $36.6 million in concessions and merchandise
impact on the firms supplying those services sales, $3.3 million for the local share of
because spending by Red Rocks equates to promoter and artist revenues, $8.1 million in
revenue for a janitorial firm. Other examples of Facilities Development Admissions (FDA) Tax
direct economic impacts include changes in collections and expenditures, and $305.5
output that result from visitors spending million in off-site spending by out-of-state and
money for accommodations, transportation, out-of-region visitors.
and food services. This spending directly
creates employment, income, and output for
the firms supplying these goods and services.

Table 1 shows the direct on-site and off-site

visitor spending impacts included in the
economic impact analysis as well as the
associated industries.

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Table 1.
Direct Economic Impacts of Red Rocks Used in the Economic Impact Analysis

Portion Portion
Supported by Out- Supported by
of-State and Out- Out-of-State
Direct Impact Category Total Spending of-Region Visitors Visitors Directly Affected Sector
Impacts supported by On-site Visitor Spending
Operations $25,538,940 $9,960,187 $8,427,850
Staff Salary $911,338 $355,422 $300,741 Administration and Support Services
Contractor Expenses
Performing Arts, Spectator Sports,
Parking & Ushers $3,485,700 $1,359,423 $1,150,281
Museums, and Related Activities
Performing Arts, Spectator Sports,
Security $2,666,573 $1,039,963 $879,969
Museums, and Related Activities
Performing Arts, Spectator Sports,
Stagehands $3,410,643 $1,330,151 $1,125,512
Museums, and Related Activities
Professional Services $2,268,779 $884,824 $748,697 Professional and Technical Services
Utilities $415,720 $162,131 $137,188 Utilities
Performing Arts, Spectator Sports,
Janitorial Services and Supplies $6,398,456 $2,495,398 $2,111,490
Museums, and Related Activities
Credit Intermediation and Other
Credit Card Fees $4,182,411 $1,631,140 $1,380,196
Services
Other $1,799,321 $701,735 $593,776 Other Services
1
Facility Maintenance and Improvements $8,559,939 $3,338,376 $2,824,780 Construction
2 Performing Arts, Spectator Sports,
Local Share of Promoter/Artist Revenue $3,261,165 $3,261,165 $3,261,165
Museums, and Related Activities
Food Services and Drinking Place;
Concessions & Merchandise Total3 $36,556,342 $14,256,973 $12,063,593
General Merchandise Stores
Performing Arts, Spectator Sports,
Facilities Development Admissions Tax $8,101,130 $3,159,441 $2,673,373
Museums, and Related Activities
Impacts Supported by Off-site Visitor Spending
Out of State Visitors (OSV) $301,445,626 $301,445,626 $301,445,626
Transportation $117,019,320 $117,019,320 $117,019,320 Transit and Ground Transportation
Lodging $97,870,704 $97,870,704 $97,870,704 Accomodation
Adjusted Food and beverage $44,253,117 $44,253,117 $44,253,117 Food Services and Drinking Places
Retail3 $10,388,124 $10,388,124 $10,388,124 General Merchandise Stores
Recreation, sightseeing, entertainment $31,914,360 $31,914,360 $31,914,360 Amusement, Gambling, and Recreation
Out of Region Visitors (ORV) $4,066,250 $4,066,250 -
Transportation $1,490,356 $1,490,356 - Transit and Ground Transportation
3
Adjusted Food, Beverage and retail $979,084 $979,084 - Food Services and Drinking Places
Recreation, sightseeing, entertainment $1,596,810 $1,596,810 - Amusement, Gambling, and Recreation
Total Direct Economic Impact $387,529,392 $339,488,018 $330,696,386

Note: 1. Facility maintenance and improvement is reported as an annual average since it varies year to year; 2. Local promoter and
artist revenue was based on the assumption that 5 percent of total promoter and artist revenue stays within the 10- county
DMA while the remainder is exported outside of the regional economy, where it has no economic impact on the study area; 3.
Retail sales and merchandise sales are adjusted for gross margins to align with RIMS II multipliers. Gross margins on apparel
are 51.84 percent and gross margins on retail are 23.25 percent.
Source: Denver Arts and Venues, BBC Research & Consulting.

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As discussed above, operations spending, ● Food and beverage;

concession and merchandise revenue, facility
● Parking;
maintenance and improvement spending, and
FDA tax collection and expenditures were ● Security and ushers;
adjusted to only account for the proportion of ● Stagehands;
expenditures and gross revenues derived from
● Janitorial and facility services;
out-of-state and out-of-region visitors.
Together, these two groups accounted for 39 ● Public safety, including fire, police, medics;
percent of annual visitation, and therefore an and
assumed 39 percent of total expenditures and
● Ticketing.
revenues. Out-of-state visitors accounted for
33 percent of the visitation on their own. When In addition, Red Rocks utilizes services from
these adjustments are made, the amount of local water and sanitation providers, utilities,
direct economic activity occurring within the and credit card processors.
10- county DMA is approximately $339.5
million per year and the direct statewide In total, most of the operational support at Red
impact is $330.7 million per year, as shown in Rocks is from contracted labor, which
Table 1. accounted for approximately 71 percent of the
$25.5 million spent on operations in 2022. Of
After making these adjustments, the statewide this total, janitorial services accounted for the
direct impact is lower than 10-county DMA largest share of contracted expenditures. In
direct impact because the spending of out-of- contrast, direct staff expenses only accounted
region visitors is excluded. The reason is that for 3.5 percent of the venue’s operating
out-of-region visitors would still have spent expenditure. Approximately 39 percent of total
their money in the state had they not attended operating expenditures were supported by
an event at Red Rocks. Therefore, their out- of-state and out-or-region visitor spending
spending is not included in the statewide (10.0 million), while 33 percent of this total was
calculations. associated with out-of-state visitors spending
($8.4 million).
Background information and discussion on
each of the on-site and off-site direct economic Facility maintenance &
impacts are included in Table 1 and the improvement. DAV and CCD make
economic impact analysis is provided below. regular and ongoing capital investments in Red
Rocks’ facility maintenance and improvements.
Operations. Operations at Red Rocks are These regular investments are crucial for Red
supported by 15 full-time staff employed by
Rocks to remain competitive in the live events
Denver Arts & Venues (DAV) and with support
industry and provide the best possible experience
from CCD and various contractors providing a
for artists, performers, production staff, and
number of services, including:
eventgoers.

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For example, the venue recently upgraded the DAV and CCD spend approximately $8.5
stage roof to accommodate state-of-the-art million per year on average on facility
sound and visual equipment that enhances the maintenance and improvement projects at Red
quality of the concert experience. The venue Rocks. Of this total, approximately 39 percent is
has also made recent investments in pathway attributed to the spending of out-of-state and
lighting, the Ship Rock Grille, parking and road out-of-region visitors ($3.3 million), while 33
improvements, and rehabilitation of the South percent is attributed just to out-of-state visitors
Ramp, all of which help create a more ($2.8 million).
welcoming, safe, and enjoyable atmosphere for
event attendees. Red Rocks’ facility maintenance and
improvement projects are generally contracted
Figure 5 shows the average number of facility out to engineering firms with offices, staff, and
maintenance and improvement projects equipment in the DMA, which helps generate
undertaken at Red Rocks for a range of economic benefits in the local economy. For
construction costs. As the figure shows, the example, the construction of the Depot was
expense of most projects at the venue are completed by Jacobs, an engineering firm with a
between $500,000 and $1 million. large presence in the Denver Metro Area.

Recent projects in this category include Local share of promoter & artist
improvements to pathway lighting, traffic revenue. Promoters receive a percentage
controls and parking, upgrades to the Trading of each ticket sold in addition to receiving a
Post, and HVAC and restroom upgrades. Larger- remittance of additional event revenue. From
cost maintenance and improvement projects this total, promoters pay the facility and
include the new stage roof ($6.2 million); the equipment rental, labor reimbursements, and
Depot ($5.3 million), which houses the venue’s the fees charged by artists and performers.
waste management facilities; and the The revenues shared between promoters and
stormwater drainage improvements ($3.3 artists and performers vary, but promoters
million). typically keep 10 percent of their net revenues
while the artists and performers receive the
remaining 90 percent.

Figure 5.
Average Cost of Facility
Maintenance and Improvement
Projects at Red Rocks

Source:
Denver Arts and Venues.

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While large promoters maintain corporate In 2022, the direct impact of concessions and
offices outside of Colorado, they also employ merchandise sales attributable to out-of-state
local staff to assist with in-state activities. In and out-of-region visitor spending was
addition, promoters and artists and approximately $14.3 million. Out-of-state
performers generally have local help setting up visitors were accountable for about $12.1
and taking down shows. As a result, the million of impact on their own.
analysis assumes five percent of promoter and
artists and performer revenue remains in the Off-site visitor spending.
BBC
study area. In 2022, the direct impact of estimated non-event spending associated with
promoter and artist revenues supported by out-of-state and out-of-region visitors
visitors spending were estimated to be $3.3 attending events at Red Rocks. Spending by
million. local attendees was not included in the
economic impact estimate because the money
Concessions & merchandise. Red spent by local attendees would have been
Rocks also generates revenue from spent in other parts of the local economy if
concessions, show merchandise, and venue they had not attended events at Red Rocks.
merchandise sales. Show merchandise sales
are managed by vendors through agreements Spending profiles were developed for out-of-
with Red Rocks, and the venue receives a state and out-of-region visitors using survey
percentage of the net revenues. Visitors can results from Longwoods International.
also purchase Red Rocks-branded Longwoods, in partnership with VISIT DENVER,
merchandise. The impact of concessions and a private, nonprofit organization that markets
merchandise sales are calculated based on metro Denver as a leisure destination,
gross revenue receipts, which reflect the surveyed visitors to the Denver Metro Area to
money received by concessionaires and learn about their spending habits during their
merchandise vendors before material and stay. The survey included 1,511 out-of-state
operating expenses are deducted.4 visitors and 442 out-of-region visitors. The
spending profiles developed for each group
are shown in Figure 6 below.

4
RIMS II models retail purchases based on the retailer’s gross margin. As a result, gross sales from merchandise were adjusted to reflect the
gross margin on apparel and general merchandise.

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Figure 6. Visitor Type

Out-of-State and Out-of-Region Spending Category Out-of-State Out-of-Region

Visitor Spending Profiles Used in the Accomodation $106.00 $0.00

Economic Impact Analysis (2023 $) Retail $48.00 $21.00
Food and Beverage $68.00 $30.00
Local Transportation $127.00 $16.00
Source:
Recreation and entertainment $35.00 $17.00
Visit Denver .
Daily Total $384.00 $84.00

Average Trip Length 2 0

Total Spending per Trip $768.00 $84.00

As Figure 6 shows, Longwoods estimated that The same Longwoods survey showed that out-
out-of-state visitors to Denver spent an average of-region visitors spent an average of $84 per
of $383 per day during their trip. The survey day on their trips in 2023 dollars. Of this total,
results indicated the average trip to Denver approximately $30 was spent on food and
lasted approximately 3.1 nights, meaning that beverages, $21 was spent on retail, $16 was
total spending per person, per trip was $1,187. spent on transportation, and $17 was spent on
The daily total was primarily spent on recreation and entertainment. Transportation
transportation ($127 per day) and lodging ($106 spending was much lower compared to out-of-
per day). Expenditures on food and beverage state visitors because out-of-region visitors
($68 per day), retail ($48 per day), and primarily rely on their own vehicles for
recreation and entertainment ($35) accounted transportation to and from the DMA. Out-of-
for the remaining total. region visitors are also assumed to travel to and
from events at Red Rocks in a single day,
While Red Rocks was cited by those surveyed therefore not requiring overnight
as the number one reason they travelled to accommodation.
Denver, visitors are likely to visit other sites
during their stay as well, meaning that trips may
have multiple purposes.

To account for this, BBC assumed that only two

nights of a three- night stay are related to
expenditures associated with Red Rocks. As a
result of this adjustment, the average out-of-
state visitor is assumed to spend approximately
$768 in the DMA as part of the attendance at an
event at Red Rocks.

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BBC applied the spending Figure 7.

profiles of out-of-state and out- Spending by Out-of-State and Out-of-Region Visitors,
of- region visitors to the 2022 2022
attendance data for each group
to estimate total visitor
spending. As Figure 7 shows,
out-of-state and out-of-region
visitors to Red Rocks spent an
estimated total of $305.5 million
in 2022, including $301.4 million
spent by out- of-state visitors
and $4.1 million spend by out-of-
region visitors.

Facilities Development
Tax Spending. As discussed
above, the FDA tax is a 10 percent
tax levied by the CCD on the face
value of each ticket sold for an
event at Red Rocks and other city-
owned entertainment facilities.
The revenues are used to
support other venues operated
by DAV.

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As Figure 8 shows, Red Rocks has generated In 2022, Red Rocks generated a total of $8.1
between $6 million and $10 million of FDA tax million from the FDA tax, of which
revenue each year since 2018, except for approximately 39 percent was attributable to
2020.5 In percentage terms, Red Rocks out-of-state and out-of-region visitors ($3.2
generates between 30 and 60 percent of the million) and 33 percent was attributable
total FDA tax each year. The revenues from the tax entirely to out-of-state visitors ($2.7 million).
create economic impact when they are re-
spent to support other arts and venues in the
CCD.

Figure 8.
Facilities Development Admissions (FDA) Tax Revenue Generated by Red Rocks, 2018 - 2022

Source: Denver Arts and Venues.

5
Red Rocks was only able to host live events with 175 people or less during 2020 due to the stay-at-home orders in effect during the
beginning of the COVID-19 pandemic.

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SECTION 4.
ECONOMIC IMPACT RESULTS

Economic Impacts by
Region and State
The $339.5 million of annual direct
spending associated with Red Rocks
Amphitheatre and supported by
spending of out-of-state and out-of-
region visitors in 2022, created a
total economic output of $717.2
million in the 10-county Denver
Metro Area (DMA), supporting 6,974
full- and part-time jobs and creating
$216.8 million in labor earnings.

At the state level, visitor spending

supported 7,273 full- and part-time
positions, $703.9 million of economic
output, and $222.6 million in labor
income. The economic output is lower
at the state level because the portion
of spending and expenses generated
by out-of-region visitors is not
included in the analysis because those
visitors would have spent their money
elsewhere in the state had they not
attended an event at Red Rocks.

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Off-site visitor spending. Off-site improvements supported by out-of-state

spending by out-of-state visitors is the visitors supported approximately 37 jobs, $2.3
primary driver of Red Rocks’ economic million in labor income, and $6.3 million in
impact. Spending by out-of-state visitors economic output in the state.
accounted for 6,271 of the 6,974 jobs created by
Red Rocks in the 10-county DMA. Most of these Operations. Operations supported by
jobs are in the transportation and visitor spending created 207 full- and part-time
accommodation sectors, followed by food jobs in the 10-county DMA in sectors including
services, amusement and recreation, and security, parking services, janitorial services,
general retail. These jobs supported $189.5 and professional services. In total, these jobs
million in labor income and $627.2 million in created $8.0 million in labor income and $22.6
gross business revenues. Out-of-region visitors million in economic output. At the state level,
supported a further 87 full and part-time jobs, operations supported by visitor spending
$2.6 million in labor income, and $8.5 million in generated 174 jobs, $6.8 million in labor
economic output. income, and $19.1 million in economic output.

Within Colorado, out-of-state visitor spending Promoter and artist revenues &
created 6,727 jobs, which is an addition of 456 merchandise and concessions
jobs to the jobs created in the 10-county DMA. sales. The local share of promoter and artist
These jobs created a total labor income of revenues and merchandise and concessions
$203.1 million in the state and supported sales supported by visitor spending created
$646.1 million in economic output. approximately 298 jobs and $11.8 million in
labor income in the 10-county DMA, creating a
Facility maintenance & total economic output of $36.8 million.
improvements. Facility maintenance and Approximately 80 percent of these impacts are
improvements supported by spending from related to the purchase of food, beverages, and
out-of-state and out-of-region visitors merchandise at live events, while the income
sustained about 39 full- and part-time jobs in received by promoters and artists accounted
the 10-county DMA, generating $2.4 million of for the remaining 20 percent of impacts.
labor income, or about $61,500 per job. This
employment generated a total of $6.9 million in Facilities Development
annual economic output. Admissions Tax. DAV’s collection and
spending of the FDA tax paid by out-of-state
The economic impact was slightly smaller in the and out-of-region visitors supported 71 full-
state because the spending of out-of-region and part-time jobs and generated $2.6 million
visitors was not included in the calculation as in labor income and $6.7 million in economic
their income would have been spent elsewhere output in the 10-county DMA.
in the state had they not attended an event at
Red Rocks. The facility maintenance and

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SECTION 5.
FISCAL IMPACT ANALYSIS

City and County of Denver Fiscal Impacts of Out-of-State Visitors

Figure 9 shows the fiscal impact model approximately $6.4 million in tax revenues,
developed by BBC to estimate the annual sales annually to the City and County of Denver.
tax revenue contribution of out-of-state visitors
who attend events at Red Rocks. As the results of The taxes on accommodations represent the
the model show, visitors to the state who attend largest share of taxes generated by out-of-state
events at Red Rocks are estimated to contribute visitors (74%).

SECTION 5. FISCAL IMPACT ANALYSIS 29

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Figure 9.
Annual Fiscal Impact of Spending by Out-of-State Visitors Attending Events at Red Rocks
($, thousands)

Label Out-of-State Visitor Fiscal Impact Model Value Source

Accommodations

A Direct spending on accomodations (in thousands) $97,871 Economic impact model

U.S. Census County Business Patterns and State
B City and County of Denver capture rate 42% of Colorado Tourism Economic Impact Analysis
(Dean Runyan 2021)
C Base lodging tax rate 10.75% City and County of Denver
BBC Research & Consulting from Longwoods data
D Proportion of spending at hotels with 50+ rooms 58%
and City and County of Denver sales tax receipts
E Additional tax rate for hotels with 50+ rooms 1.0% City and County of Denver

Accommodation taxes

Annual sales tax revenues $4,617 A*B*C+A*B*D*E

Food and beverage spending

F Direct spending on food and beverage $62,765 Economic impact model

G Concessions spending at RRA $18,512 Red Rocks Amphitheatre data

H Amount spent in Metro area $44,253 F-G

BBC Research & Consulting from Longwoods data
I Denver capture ratio 50%
and City and County of Denver sales tax receipts
J Sales tax rate 4.0% City and County of Denver

Food and beverage taxes

Annual sales tax revenues $882 H*I*J
Retail spending

K Direct spending on retail purchases $44,680 Economic impact model

State of Colorado Tourism Economic Impact
L Denver capture ratio 48%
Analysis (Dean Runyan 2021)
M Sales tax rate 4.31% City and County of Denver

Retail taxes

Annual sales tax revenues $927 K*L*M

Total taxes
Total sales tax revenue for
$6,426
out-of-state visitors

SECTION 5. FISCAL IMPACT ANALYSIS 30

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City and County of Denver Fiscal Impacts of Out-of-Region

Visitors
Figure 10 shows the fiscal impact model The taxes on retail sales represent 40 percent of
developed by BBC to estimate the annual sales the total value while taxes on food and
tax revenue contribution of Colorado residents beverage purchases represent 60 percent of
who attend events at Red Rocks, but live outside of the value.
the Metro area. As the results of the model
show, visitors to the region who attend events at
Red Rocks are estimated to contribute
approximately $20,000 in tax revenues,
annually to the City and County of Denver.

Figure 10.
Annual Fiscal Impact of Spending by Out-of-Region Visitors Attending Events at Red Rocks

Label Out-of-Region Visitor Fiscal Impact Model Value Source

A Direct spending on retail, food, and beverages $4,684,000 Economic impact model

B Spending at RRA by out of region visitors $3,705,000 Red Rocks Amphitheatre data

C Amount spent in Metro area $979,000 A-B

D Retail proportion 41% BBC Research & Consulting from Longwoods data
BBC Research & Consulting from State of Colorado
E Denver retail capture ratio 48% Tourism Economic Impact Analysis (Dean Runyan
2021)
F Retail sales tax rate 4.31% City and County of Denver

G Retail sales tax $8,000 C*D*E*F

H Food and beverage proportion 59% BBC Research & Consulting from Longwoods data
BBC Research & Consulting from State of Colorado
I Denver food and beverage capture rate 50% Tourism Economic Impact Analysis (Dean Runyan
2021)
J Food and beverage sales tax rate 4% City and County of Denver

K Food and beverage sales tax $12,000 C*H*I*J

Total taxes
Total annual sales tax revenue for
$20,000 G+K
out-of-region visitors

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Regional and State Fiscal Impacts

BBC also estimated regional and state fiscal Using data from the Colorado Tourism
impacts. The State of Colorado levies a 2.9 percent Economic Impact Analysis, the United States
tax on all accommodation, food, beverage, and Census Bureau’s County Business Patterns, and
retail sales. For a large part of the Metro area, sales tax rates from the state and local
visitor spending is subject to a 1.0 percent sales governments, BBC estimated that Red Rocks
tax for the Regional Transportation District and visitors generated approximately $6.1 million
a 0.1 percent sales tax for the Scientific Cultural in sales tax for the State of Colorado and
and Facilities District. The 10-counties in the Metro $7.5 million for local and regional
area also levy sales taxes on this type of visitor governments and districts.
spending. Many of these visitor expenditures
occur within the 60+ municipalities in the
region.

SECTION 5. FISCAL IMPACT ANALYSIS 32