Thread: Study: Indianapolis has 5th-fastest growing Hispanic populat

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Study: Indianapolis has 5th-fastest growing Hispanic population


INDIANAPOLIS A new study finds that an influx of immigrants from Mexico has given Indianapolis the nation's fifth-fastest-growing Hispanic population among U-S cities.

The report by the nonpartisan Sagamore Institute for Policy Research and the Mexican Consulate also found that between 2000 and 2004 Mexican immigrants accounted for nearly half of Indiana's population growth.

The study's authors say Mexican immigrants play a key role in the state's manufacturing economy, pay hundreds of (m) millions of dollars in taxes each year and spend (m) millions with Indiana banks as they send even more money to relatives in Mexico.

Of the more than 214-thousand Mexican immigrants in Indiana, the study estimated all but 42-thousand are legal residents.

http://www.indystar.com/apps/pbcs.dll/a ... 10428/1006

July 21, 2006


Study details Mexicans' growing impact
Fast-emerging Hispanic population in Indiana plays key role in industry, pays millions in taxes
By Tania E. Lopez
tania.e.lopez@indystar.com
July 21, 2006


Mexican immigrants accounted for nearly half the state's population growth from 2000 to 2004, a surge that gave Indianapolis the fifth-fastest-growing Hispanic population among U.S. cities.

Those were among the findings of a study released Thursday by the nonpartisan Sagamore Institute for Policy Research, a two-year-old Indianapolis think tank, and the Mexican Consulate. The report's authors said it was the first to look at the links between Mexico and Indiana.

Of the more than 214,000 Mexican immigrants in Indiana, the study estimated that all but 42,000 are legal residents. The immigrants play a key role in the state's manufacturing economy, pay $200 million in state and county taxes each year and spend millions with Indiana banks as they send even more money to relatives in Mexico.

"All these results are quite plausible," said Patrick Barkey, director of economic and policy studies at Ball State University, who was not part of the study. "The information about demographics is very much in line with my own observation."

The study underscored Mexican immigrants' expanding impact on the state.

"They are increasingly important to the overall economy in Indiana," said state budget office head Chuck Schalliol. And their role is "one that will grow."

Here is a look at some of the study's key findings.
Paying taxes

In 2000, Mexican immigrants paid about $200 million in taxes to counties and the state. That amounts to about 1 percent of the $12 billion Indiana collects each year in sales, income, corporate and inheritance taxes, Schalliol said. The immigrants make up about 3.5 percent of the state's population.

And the tax figure could be low, Schalliol said.

"I know that for many years, the influence and impact of Hispanics was understated," Schalliol said.

Groups such as the Indiana Federation for Immigration Reform and Endorsement, which advocate stricter immigration law enforcement, contend illegal immigrants are a burden on public resources and taxpayers. What tax revenue may come in, said Greg Serbon, director of the Indiana Federation, covers only the cost of social services used by immigrants.

"This is basically a biased report," he said after reading the study, because the Mexican consul was involved.
Demographics

From 2000 to 2004, the study found, the Mexican population increased by more than 60,000 people, a larger increase than all neighboring states except Illinois.

And many of those new arrivals have spent time elsewhere in the U.S., which means they come to Indiana with a better grasp of English and U.S. culture, said John Clark, a co-author of the study.
Banking fees

Mexican immigrants in Indiana send money to relatives outside the country at rates that are among the highest in the United States -- on average, $2,000 a year. In 2004, that amounted to almost $182 million, transfers that generated more than $21 million in fees for Indiana banks.

"There is an opportunity there, and we have launched a program that would allow international wire transfers," said Juan Gonzalez, director of Latino affairs in Central Indiana for Fifth Third Bank. "As they establish themselves, they're going to need college loans, mortgages and financial services."