How Much Money Does F1 Bring to Austin?

Where Does the $1bn Figure Come From?

The Circuit of the Americas at the 2025 United States Grand Prix. Credit: formula1.com

The $1bn figure comes from Visit Austin chief executive Tom Noonan, who told KXAN this week that the 2026 race would bring around $1bn of economic impact to the city. He said about half of it would come from direct spending by visitors and teams, although he didn’t cite a study to back it up.

Noonan said each team arrives seven to nine days early with 500-700 people, and he likened that to having a citywide convention in town before the race weekend begins. This year’s race runs October 23-25 at the Circuit of the Americas, and we’ve taken his comments from GPFans’ and Hoodline’s reports of the interview.

Noonan put F1’s impact at well over $400m in 2022, so his estimate has more than doubled in four years. He hasn’t said whether that comes from more spending or from a wider way of measuring it.

Sources

• F1 US Grand Prix billion dollar impact on Austin economy by GPFans.com: Noonan’s $1bn estimate, the split with direct spending and the team arrival figures
• Austin hotels brace for 95% occupancy as Formula One weekend floods the city by Hoodline.com: Noonan’s comments to KXAN and the 2026 race dates
• Formula One economic impact on Austin by KXAN.com: Noonan’s 2022 estimate of well over $400m

What the Economic Impact Studies Say

Oscar Piastri at the 2025 United States Grand Prix. Credit: formula1.com

Almost every large figure for the race comes from F1 itself or from consultants who work with COTA. The Texas Tribune reported in 2016 that COTA had brought in AngelouEconomics to support its case for state money.

Here’s every estimate of the race’s economic impact that we could find, with who produced it and what it covers:

Produced By	What It Covers	Total Impact	Direct Spending
Visit Austin (2026)	The 2026 race	Around $1bn	About half
F1 (2025)	The 2023 race	$1bn+	Not Published
AngelouEconomics	The 2023 race	Just over $1bn	$480m
COTA	The 2023 race	Around $900m	Not Published
AngelouEconomics for Texas	The 2021 race	Around $980m	$434m
Texas Governor’s Office	The 2021 race	Not Measured	$331m
Greyhill Advisors for COTA	Every COTA event in 2013-2014	$897m	Not Published
F1 (2025)	The race’s first 10 years	$7bn	Not Published

COTA was quoted giving about $900m for the 2023 race, while F1 and AngelouEconomics both put the same race above $1bn and F1 added that it raised $38m in state taxes. The only estimate from outside the race is the state’s, and it covers direct spending alone.

Crowd size is a big part of the pitch, and F1 says recent races have drawn more than 430,000 people over the weekend with a record 440,000 in 2022. Those totals count a fan once for every day they attend, and COTA hasn’t published official weekend figures for 2024 or 2025.

Sources

• Formula 1 organizers make desperate bid for state fund by TexasTribune.org: COTA hiring AngelouEconomics to support its application for state money
• F1 US Grand Prix billion dollar impact on Austin economy by GPFans.com: Visit Austin’s estimate for the 2026 race
• Formula 1 announces extension of the United States Grand Prix through 2034 by Formula1.com: the $7bn first-decade figure, more than $1bn for 2023, $38m in state taxes and crowds above 430,000
• Formula 1 Grand Prix, Texas-Georgia and College GameDay make for a wild weekend in Austin by SportsTravelMagazine.com: AngelouEconomics’ figures for the 2023 race
• Report on the 2021 Formula 1 United States Grand Prix by Gov.Texas.gov: the AngelouEconomics study submitted for the 2021 race and the state’s own $331m estimate
• Study shows Circuit of The Americas annual economic benefit to Austin area is close to $900 million by CircuitOfTheAmericas.com: the Greyhill Advisors study COTA commissioned in 2014
• Need for Speed: Formula 1 Is Driving Billions to American Cities by UrbanLand.ULI.org: COTA’s figure of about $900m for 2023
• Why COTA is going for better, not bigger by RACER.com: the record 440,000 crowd in 2022

Ticket Prices

Compare ticket prices for every race on the 2026 calendar

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How Much Has Texas Paid Toward the Race?

Texas has paid more than $150m toward the race since 2012 according to the Associated Press in 2019, and the Austin American-Statesman later put the total public money above $200m.

The payments come from the state’s Major Events Reimbursement Program, which refunds the extra tax a race is expected to raise and adds $6.25 for every $1 of local money. The money goes toward the fee COTA pays F1, and here’s what Texas paid for each race from 2012 to 2021:

Race	Paid by Texas	Note
2012	$25.3m	State share reported by the Texas Tribune
2013	$25m	Out of a $29m fund
2014	Not Published	No state figure found
2015	$19.6m	After the state changed its formula
2016	$22.4m	From the state’s post-event report
2017	$23.4m	From the state’s post-event report
2018	Nothing	Safety plan filed late
2019	$23.1m	Out of a $26.8m fund
2020	No Race	Canceled because of Covid
2021	$30.6m	Out of a $35.5m fund

The 2015 dip came after the governor’s office changed the way it worked out the payment. That led COTA chairman Bobby Epstein to tell the Texas Tribune, “To use a technical term, I think we’re screwed.”

In 2018 the state held back at least $20m because COTA filed a required human-trafficking prevention plan late, and we couldn’t find any report that the money was paid later.

Texas hasn’t published post-event reports for the 2022-2025 races, so the recent payments aren’t public. Travis County endorsed the October 2025 extension to 2034, and that lets the organizers keep applying for state money.

The circuit itself was built with about $400m of private money, and our guide to what the US races pay to host F1 compares Austin’s fee with every other race.

Sources

• F1 remains confident in US Grand Prix future in Texas by CBSAustin.com: Associated Press report of more than $150m in public money from 2012 to 2019
• F1 and COTA agree new contract for U.S. Grand Prix through 2026 by Statesman.com: total public money of more than $200m
• Event Trust Funds Program by Gov.Texas.gov: how the Major Events Reimbursement Program works
• Watson Criticizes Combs’ Tax Subsidy Programs by TexasTribune.org: the state’s $25.3m share for the 2012 race
• 2013 Formula One Grand Prix Post Event Report by Gov.Texas.gov: the $25m state share of a $29m fund
• 2015 Formula 1 United States Grand Prix Post Event Report by Gov.Texas.gov: the $19.6m paid under the new formula
• 2016 Formula 1 United States Grand Prix Post Event Report by Gov.Texas.gov: the $22.4m state payment
• 2017 Formula 1 United States Grand Prix Post Event Report by Gov.Texas.gov: the $23.4m state payment
• Report on the 2019 Formula 1 United States Grand Prix by Gov.Texas.gov: the $23.1m state share of a $26.8m fund
• Report on the 2021 Formula 1 United States Grand Prix by Gov.Texas.gov: the $30.6m state share of a $35.5m fund
• Formula 1 organizers make desperate bid for state fund by TexasTribune.org: Bobby Epstein’s reaction to the 2015 formula change
• Paperwork Could Cost Circuit Of The Americas $20 Million For Last Year’s F1 Race by KUT.org: the 2018 payment held back over the late plan
• New deal secures long-term future of Formula 1 event in Austin by CommunityImpact.com: Travis County’s endorsement of the extension to 2034
• Circuit of the Americas by F1Salaries.com: our track guide, with the private build cost of about $400m

What Race Week Does for Hotels and the Airport

Max Verstappen after winning the Sprint in Austin in 2025. Credit: formula1.com

The clearest evidence of race-week spending comes from hotel and travel data, because those numbers are counted directly and don’t depend on an economic model.

• Hotels: High-end Austin hotels averaged $676 a night at the 2022 race, which was up 33% and an all-time high, with 91% occupancy and about $29m in room revenue according to CoStar. Top downtown hotels did worse in 2023 as occupancy fell to 88%.
• This Year: Visit Austin expects hotel occupancy of 92%-95%, and one hotel manager told KXAN that the four race days make up about 7% of her hotel’s yearly revenue.
• Short-Term Rentals: Airbnb says Austin hosts earned more than $26m across the ACL music festival and F1 combined in 2024. AirDNA data also showed 2026 race-weekend rental revenue running 20.1% ahead of 2025.
• The Airport: Austin-Bergstrom screened 45,048 departing passengers on the Monday after the 2025 race, which was a single-day record. October 2025 was also the busiest month in its history at 2.09m passengers.

Our United States Grand Prix ticket prices page covers what fans pay for the race itself on top of their hotel and travel.

Sources

• Formula One weekend sets new records for Austin’s high-end hotels by CoStar.com: the $676 average rate, 91% occupancy and $29m room revenue in 2022
• Austin’s Formula 1 Grand Prix hotels underperform amid high fashion and celebrity attendance by CoStar.com: the weaker 2023 results and 88% occupancy
• Austin hotels brace for 95% occupancy as Formula One weekend floods the city by Hoodline.com: the 92%-95% occupancy forecast and the hotel manager’s 7% estimate
• Austin short-term rentals ahead of the US Grand Prix by TravelAndTourWorld.com: the Airbnb and AirDNA figures
• October 2025 passenger and cargo traffic at Austin-Bergstrom International Airport by FlyAustin.com: the 45,048 passenger record and 2.09m passengers in October 2025

More Articles

Read more on the money behind Formula 1

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Is the $1bn Figure Reliable?

The strongest doubts come from Texas itself, because after the 2015, 2016, 2017, 2019 and 2021 races the governor’s office concluded that the race’s impact couldn’t be measured with any reasonable accuracy. The 2019 report went further and said it couldn’t tell whether the impact was positive or negative.

Economists who study big sporting events tend to raise three problems with figures like the ones quoted for Austin:

• Displacement: Visitors who come for F1 can push out tourists, conventions and locals who would have spent money anyway. Holy Cross economist Victor Matheson has said impact studies “are terrible about addressing the things that don’t happen because of an event.”
• Gross Spending: Studies tend to add up all spending during an event instead of the extra spending it causes. Kennesaw State economist J.C. Bradbury has found the real impact of mega-events to be small and sometimes negative.
• Leakage: Much of the money goes to F1, the teams and hotel owners based outside Austin, so less of it stays in the local economy.

Even the state’s own estimate falls well short of the headline, because it put direct spending at the 2021 race at $331m. That’s about a third of the $1bn being quoted now, and the calculation relied on attendance and visitor numbers from the organizers that the state says it didn’t verify.

Sources

• Report on the 2019 Formula 1 United States Grand Prix by Gov.Texas.gov: the state’s finding that the race’s impact can’t be measured accurately
• Report on the 2021 Formula 1 United States Grand Prix by Gov.Texas.gov: the $331m direct spending estimate and the unverified attendance figures
• 2015 Formula 1 United States Grand Prix Post Event Report by Gov.Texas.gov: the same conclusion on measuring the impact
• Economists question Las Vegas Grand Prix impact studies by LVSportsBiz.com: Victor Matheson and J.C. Bradbury on event impact studies

Frequently Asked Questions

How much money does F1 bring to Austin?

Visit Austin says the 2026 United States Grand Prix will bring around $1bn to Austin, with about half from direct spending, and F1 put the 2023 race above $1bn too. Both figures come from the race’s backers, while Texas’s own reports say the true impact can’t be measured with any accuracy.

How much does Texas pay for the F1 race in Austin?

Texas has paid more than $150m toward the United States Grand Prix since 2012 through its Major Events Reimbursement Program, and the Austin American-Statesman later put total public money above $200m. The state paid $30.6m toward the 2021 race, which is the latest year with a published report.

How many people go to the F1 race in Austin?

F1 says recent United States Grands Prix at the Circuit of the Americas have drawn more than 430,000 people across the weekend, and the 2022 race set a record of 440,000. Those totals count each fan once for every day they attend, and COTA hasn’t published official weekend figures for 2024 or 2025.

How much did COTA cost to build?

The Circuit of the Americas cost about $400m to build according to the FIA, and the money came privately from a company controlled by Bobby Epstein and Red McCombs. It opened in 2012 as the first US circuit built for F1, after an early estimate in 2010 had put the cost at $250m.

Why does Texas pay for the F1 race?

Texas pays toward the United States Grand Prix because its Major Events Reimbursement Program refunds the extra state tax a big event is expected to raise. The program is meant to help Texas win events that would otherwise go elsewhere, and it adds $6.25 for every $1 of local money toward COTA’s fee.

Sources

• Circuit of the Americas by F1Salaries.com: our track guide, with the build cost, the 2010 estimate and the state funding