Motorsports Is Economic Development: How States Are Investing in Tracks and Events

Over the past several weeks, we’ve received multiple calls from well-known racetracks across the country asking the same question:

“Can our State actually support our track or event?”

The answer is yes.  But states do not fund “racing.”

They support tourism.

They support jobs.

They support economic impact.

They support community investment.

When a facility or event is positioned correctly, the pathways open up.

Across the country, states are supporting motorsports through:

• Event reimbursement programs

• Tourism sponsorship and promotional support

• Legislative appropriations for infrastructure

• Tax rebate or incremental revenue capture programs

• Economic development incentive structures

Here are examples of work we’ve led along with activity already in action:

Missouri – Tourism Sponsorship Model

USMA led a comprehensive economic impact study demonstrating the measurable tourism value generated by Lucas Oil Speedway. That data became the foundation for engagement with the Missouri Division of Tourism and ultimately contributed to the Division serving as presenting sponsor of major events such as the Show-Me 100.

Pennsylvania – State Event & Grant Programs

USMA, in partnership with the Motorsports Council of Pennsylvania, conducted a statewide economic impact study that uncovered Pennsylvania’s $2.5 billion motorsports economy. That data directly supported legislative engagement and industry recognition at the state level.

Building on that foundation, we secured a $250,000 grant program to support racetracks statewide. Pennsylvania also operates the Marketing to Attract Major Events (MTAME) program to recruit national-scale events that drive nonresident visitation.

Iowa – Infrastructure & Policy Support

USMA conducted comprehensive economic impact studies for Knoxville Raceway and the IMCA Super Nationals, quantifying the statewide tourism impact of motorsports.

Industry data from this work helped inform conversations that contributed to the passage of Iowa’s “Right to Race” law (House File 645), protecting established venues from nuisance lawsuits.

Separately, the State of Iowa extended a sales tax rebate program allowing Knoxville Raceway to retain up to approximately $1.8 million in state sales tax revenue for capital improvements through 2030.

North Carolina – Legislative Appropriation (Rockingham Dragway)

North Carolina redirected $1.7 million in state funds to Rockingham Dragway for facility improvements through enacted legislation, a direct recognition of economic return tied to documented impact.

Texas – Event Reimbursement

Texas’s Major Events Reimbursement Program (MERP) reimburses eligible event expenses based on incremental state and local tax revenue generated. We have worked with facilities navigating performance-based reimbursement models tied directly to measurable economic impact.

Every state, city, county, and township looks different.The pathway is never identical.  But the opportunity is real.

We have spent the past decade building the data, relationships, and frameworks that allow tracks to move from being viewed as “racing facilities” to being recognized as economic development assets.

Motorsports is economic development.

If you would like to better understand what that could look like for your track or event, the USMA is always open to the conversation.

Contact: Shawn Stewart - shawn@unitedstatesmotorsports.com