So I got 15 minutes to pep you up.

And what's again, I want to thank, I want to thank you for the opportunity and privilege of being here.

This is such an important institution that this region is headed.

I want to thank Mario for his leadership.

He also serves on our advisory board at the Indiana Business Research Center.

We're working closely to help position this great airport to drive us forward in the region.

So what I'm gonna do for the next 15 minutes is I'm gonna wear different hats.

The first hat is to give you reflection on the economic impact data that you at the high level, and then and then I'm gonna I'm gonna switch take my economist hat on, and I'm gonna put my business professor hat on, as if I what we would be if if we had a if I had a group of airport board members in a in a in a in a classroom, how would we approach strategically thinking about this type of decision making that you're you're doing?

So first and foremost, again, I'm gonna keep this high level, gonna keep it energetic, right?

Because uh I know I know you have a lot to talk about later, but but my but I want to give you just sort of maybe a strategic and very long-term perspective on how to look at your numbers and how to reflect on this very the very important uh decisions that you have to make as you as you face this budget.

You know, basically, if you look at your numbers, I'm just gonna do round numbers, right?

So we can remember, you know, basically we've got a we've got an 800 million dollar institution if you look at spent at the high level.

And when you I'm sorry, 400 million, based on what the numbers I saw.

So the 400 million dollars, if you look at your economic impact study, generates 800 million in impact.

That's basically for every dollar today that you approve to spend, it's gonna generate $2 for this regional economy.

It's almost a billion dollars, y'all.

Now, from my perspective, what economists look at is multiplier, right?

We look at the effective of a of any institution, any associated public institution like this in terms of that multiplier.

A multiplier of two is at the top of the bell curve.

And so that's one kudos to what we have.

Again, we have a special airport, and those economic impact numbers reflect it.

There are very few public institutions that can brag of a multiplier of two.

Most places would be about 1.5.

And we explain why the Indianapolis Airport is able to achieve this very high level of of economic impact through what we call income multiplication in the closed doors of the economists.

A number that's even more impressive that you should look at is if you take that 800 million dollars of impact and you divide it by basically the 7,000 jobs that your decisions create and support an annual basis, 8 million, 800 million divided by 7,000 jobs, that's uh a number of every job, every every position, every person that's working related to the decisions you're making, are generating per person 114,000.

That's their impact from their job.

Compare that to the average what the average salary would be, maybe somewhere between 50 and 70,000 dollars.

So that there you're looking at at least every every the work that people are doing relative to what they're paid, they're getting that that work that they're doing is paying their paycheck and making sure the families need and their kids go to school because of making up security, that's also 50 to 80 percent of value that they're giving back to the region here.

So extraordinary productivity, extraordinary economic impact, dollar spent.

You might say, Well, Phil, why is that?

There's three reasons based upon what my observation is.

First of all, the load your local sourcing strategy is driving that higher multiplier.

Okay, when you contract with local providers, that money stays in Indianapolis and it recycles more instead of instead of leaking out, right?

Secondly, you have a very well diversified sourcing strategy.

Uh we run a small business accelerator at the Kelly School of Business under the research center, work really closely with with the airport team here, and we know how committed and how successful the airport has been in providing the diverse opportunity all over the region.

What that does is it not only generates income multiplication, but that contribution to economic equity strengthens the region.

Because when economic equality, when economic opportunity is more accessible, when there's more you know opportunity for everyone, especially in those communities that especially historically have not had access to it, it calms communities down, it lowers crime rates, and it actually speeds up development.

So your impact's not just in terms of the aggregate numbers, but in the way that that those opportunities are spread across geographically, across different communities.

So I just applaud the airport for its its approach there.

You guys do a great job giving small businesses and new entrepreneurs opportunity to earn a great income, make a profit, serve a great customer, but also to to enliven and enrich our regional economy.

Lastly, the other thing is the high labor productivity that you've got, why is it 114,000 for every job that you're funding?

What does this reflect?

This reflects first of all, a high social rate of return, all right.

As a public enterprise, I'll get back to the objective here, but when we talk about social rate of return, it's not just the rate of return of the airport, it's not just the rate of return to the PL of the airport, but it's it's those, it's that it's those economic impact dollars, right?

Social rate of return.

You've got a high social rate of return, that reflects really good management.

You've got a well managed, well-oiled machine here.

Guess what?

That's the cheapest and most powerful way to increase productivity in any organization.

For those of you know, in a well-led organization where morale is high, people know what they need to do, there's good communication, there's good transparency, there's a sense of esprit de corps, like we have at the airport, that's gonna naturally increase productivity.

We feel it here, also the high labor productivity allows the airport to be a social mission in its mission to maximize social rate return.

That's what allows it to sort of spread the opportunity and be and and be a good client, and to make sure that the contracts that come in competitive, but also fair and generous, and those contracts also allow your vendors to pay their workers really well.

When an organization when the client's productive, a productive client allows the vendor to be productive, the workers to be productive, everybody's generating more value in a day.

Everybody, then you can you can pay folks more, make more money, and actually decreases your unit costs.

So what you've seen at the Indianapolis Airport is sort of the new mantra that we're preaching at the Kelly School, and that is in this day and age of AI, it's about productivity.

It's about the bottom line, but if you've got a culture and an organization and processes that set you up to continuously increase productivity, not only to achieve a high level of productivity but to grow it, those are the organizations that are going to excel in the 21st century, and so what the airport becomes is actually this living breathing example of what it means to do and manage an enterprise really well.

Textbook example, the data shows it.

This gets down to the end of to this gets down to the airport's objective, right?

So if you're in a business school classroom, at the end of the day, it's about strategy and objective, right?

The airport now, a lot of people look at the airport and go, well, it's a public asset.