ANNAPOLIS, MD (November 5, 2008) - - - Anne Arundel County ranks number one in Maryland for defense procurement contracts totaling $2 billion for fiscal year 2007.  The numbers represent a 19.12% increase over fiscal year 2006.  The recently released Consolidated Federal Funds Report (www.census.gov/govs/www/cffr.html) gives total contract spending for the Department of Defense, Army, Navy, Airforce, and Army Corps of Engineers but does not include the National Security Agency.

 

"Defense contracts in Anne Arundel County have nearly tripled between 2000 and 2007 with a 260% increase," said Anne Arundel County Executive John R. Leopold.  "With the National Security Agency as well as the nation's top defense contractors located here, it is easy to understand this significant and steady growth." 

 

National defense spending continues to grow, increasing 18.1% in the third quarter of 2008, according to the U.S. Department of Commerce Bureau of Economic Analysis.
In Anne Arundel County, federal government spending is centered on Fort George G. Meade where the base economic impact is estimated at $4 billion annually.  Defense contractors continue to locate and expand in the county to be near NSA, Northrop Grumman, Computer Sciences Corporation, Booz Allen Hamilton and a host of other top agencies and corporations.  Added to this continued growth is the relocation and consolidation of several Department of Defense (DOD) organizations to Fort Meade as a result of the Base Realignment and Closure process, which will bring an additional 5,600 jobs by 2011.  Once complete, the BRAC process will increase the economic impact of Fort Meade to an estimated $5 billion annually.

 

"The defense industry is a key driver for the Anne Arundel County business economy," said County Executive Leopold.  "Though we are currently facing nation-wide economic challenges, the continued expansion within our defense sector should offset these challenges for Anne Arundel County and keep our economy strong during economic fluctuations."

 

For over a decade, the burgeoning defense industry in Anne Arundel County has been a core priority at Anne Arundel Economic Development Corporation (AAEDC).  Charged with serving business needs and increasing Anne Arundel County's economic base through job growth and investment, AAEDC (www.aaedc.org) is working pro-actively to ensure that defense related businesses have what they need to be successful.  Outreach to new and existing companies is supported by AAEDC through its delivery of real estate, workforce, and financial services. 

 

"Anne Arundel County works to achieve a balanced business economy with the defense industry as a cornerstone," said Robert L. Hannon, AAEDC President and CEO. "Successful economic development for the county requires working with Anne Arundel County's strengths while diversifying across several industry sectors."