Gov. Bev Perdue and the North Carolina Military Business Center (NCMBC) today announced that Department of Defense spending for prime contacts in North Carolina exceeded $4.06 billion in federal fiscal year 2011 – an increase of 13 percent and $471 million over procurement in the state in 2010.
“North Carolina is securing a bigger and bigger share of the global military and defense market,” Gov. Perdue said. “Our investments and efforts have built a growing cluster of defense industries that is capturing federal revenues and growing jobs right here in North Carolina – the most military friendly state in America.”
Gov. Perdue helped establish the NCMBC within the North Carolina Community College System and launched the Military Foundation, a business development organization focused exclusively on building the state’s defense and homeland security economy.
“Defense spending in North Carolina is critical to expanding our economy and growing jobs in North Carolina,” said Scott Dorney, executive director of the NCMBC. “The defense and federal market is still booming. Although it is not easy, businesses across the state are competing and winning in the federal market. Since not all subcontracting is reflected in these figures, the value of total defense-related business activity in the state far exceeds even $4.0 billion annually.”
Businesses in 87 of North Carolina’s 100 counties performed defense-related prime contracts in 2011. Twenty-two of those counties received over $20 million in defense-related work, twelve of these received over $50 million in defense-related work. Of all counties performing defense-related work, Onslow County received the highest dollar amount with $1.2 billion, surpassing Cumberland County by $51 million.
According to a 2008 Department of Commerce study, the military has a $23.4 billion total annual impact on the state economy. Defense procurement in North Carolina, based on place of performance, increased from $3.595 billion in federal fiscal year 2010 to $4.067 billion in 2011. During the same time frame, spending by all federal agencies in North Carolina increased approximately $507 million, from $5.381 billion to $5.889 billion.
For more information on Department of Defense spending and the North Carolina Military Business Center, please visit www.ncmbc.us or call the NCMBC Headquarters at Fayetteville Technical Community College at 910-678-0190.