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84 Lumber Classic’s economic impact detailed

By James Pletcher Jr. 4 min read

On the state level alone, an economic analysis shows the PGA Tour’s 84 Lumber Classic Golf Tournament last year generated more than $181 million in total business volume. The report, prepared by Tripp Umbach, a Pittsburgh-based research firm, reported Fayette County benefited by about $65.3 million; the Pittsburgh region by about $49.2 million; Preston County, W.Va., $5.6 million; and Garrett County, Md., $4.1 million. Monongalia County, W.Va., benefited by about $163,000, the report said.

And while Joe Hardy, 84 Lumber Co. founder and a Fayette County commissioner, “challenges’ the numbers in the report, he admits “if they are only 50 percent accurate, the effort was certainly worthwhile.’

That effort ends this year. In April, 84 Lumber Co. announced it would not serve as title sponsors of the tournament after this year. Hardy and his daughter, Maggie Hardy Magerko, president of 84 Lumber and Nemacolin Woodlands Resort and Spa, said it was a business decision related to a new business plan for the company.

“If you look at that report, they take the dollar and track where it moves,’ Jeff Nobers, 84 Lumber vice president of corporate communications, said.

The Tripp Umbach report broke the overall economic benefit into two groups: direct impact, which is “the sum of all 84 Lumber Classic organization and attendee spending,’ and indirect impact, which is “the respending of income received by companies and organizations within the area’ as a result of the direct impact dollars.

The report states that, “Compared with other sporting events, the direct impact of the 2005 84 Lumber Classic is among the most significant. The event pumps significantly more into the economy than other leading sporting events such as the 2003 NBA All-Star Game ($34 million), the 2000 Major League Baseball All-Stars Game ($49.6 million), and slightly more than the 2004 PGA Championship Whistling Straits ($79.6 million), making the 2005 84 Lumber Classic ($78.9 million) the strong generator of economic impact among PGA Tour events.’

Beyond the traditional economic benefits, the Tripp Umbach report said, the golf tournament “distributed a total of $1.5 million in charitable proceeds among numerous charities.’

“Clearly there is validity to it (the report). But you can never really pinpoint the exact number. That’s probably impossible. But there is no question there is a positive economic impact for the county, the region and the state,’ Nobers said.

Some of the benefit, he added, comes from what local businesses spend in marketing the event to gain income from it.

“But it really goes beyond money,’ Nobers said.

“If you think about it, this is the fourth year of the tournament, and when all is said and done we will have had from 650,000 to 700,000 people who have visited Fayette County who might never have come here. Once you get them here and they see the diversity of the things Fayette County has to offer, it piques their interest.

“I would concur with Mr. Hardy’s thoughts that while those numbers (in the Tripp Umbach report) may seem high, and they may not be the real numbers, there certainly is a number in there that has benefited Fayette County, the region and the state.’

“The tournament has been a wonderful project to unite the community,’ Mike Krajovic, Fay-Penn Economic Development Council president, said.

“It has been a pivotal rallying point for community involvement and showcasing our community. Nemacolin has made it a point to use local vendors and suppliers so that has helped the local economy.

“You can’t get a hotel room during the weekend of the tournament anywhere in Fayette County. It has been a very lucrative opportunity for these establishments and their owners. Then there are food sales at area restaurants and other goods and services.

“The marketing focal point has provided us with a wonderful opportunity to talk about our area. The people this event has brought in and the coverage it has received on ESPN, for example, these are things that have had such a positive impact on the community,’ Krajovic said.

“Whether the tournament continues or not, the Hardy family deserves a great deal of thanks for their sponsorship. They deserve a great deal of gratitude for what it has brought to Fayette County,’ he added.

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