Minnesota State, the system of 26 state colleges and seven state universities, released the results of a study on Jan. 24 that estimates the impact of St. Cloud State University (SCSU) on the regional economy to be $598.8 million and 4,326 jobs.
The study was commissioned by Minnesota State and was conducted by Parker Philips, a nationally recognized consulting firm specializing in economic impact analysis.
“St. Cloud State University is a proud and vital contributor to our state and the regional economies,” said SCSU President Robbyn Wacker. “The economic impact report demonstrates just one of the ways that we are a part of and give back to our community and the region. These results fuel our optimism for the future of the University as we continue to align offerings with workforce needs and provide learning experiences that prepare students for in-demand careers.”
President Wacker anticipates strong and continued economic contributions to the region and state as SCSU is becoming a university of the future. Through its strategic vision, It’s Time, SCSU is focusing on its strengths and drawing more attention to its nationally recognized academic programs, a deep commitment to the individualized success of students, and expanding marketing efforts to attract a broad range of students.
“An economic contribution analysis is an objective way to measure the significance of an organization in the regional economy; it is a useful tool that policymakers can use to inform their decisions,” said Nichole Parker, President of Parker Philips. “The numbers speak for themselves — St. Cloud State clearly is an important contributor to the regional economy.”
In the analysis, the study considered the direct spending on operations, pay, benefits, and capital projects by St. Cloud State and the estimated increase in demand for goods and services in industry sectors that supply or support the University. The study also measured the effect of student spending and the induced effect of increased household income.
According to the study, a key result of this activity is that St. Cloud State supports and sustains 4,326 jobs including direct employment by the University as well as indirect and induced jobs. In addition to campus employees, this includes jobs created through contracts for the construction and renovation of facilities, or in hospitality and retail in support of the University’s faculty, staff, students, and visitors.
The study also calculated tax revenues generated by this level of economic activity, including sales, property, personal income, and corporate income taxes. The study concluded that St. Cloud State generates about $42.8 million in tax revenues for state and local government.
The study further estimated the value of the increase in productivity that the degrees awarded by St. Cloud State yield throughout the careers of the graduates. Assuming a 40-year work life, the education received by these graduates will yield additional state income of $84.2 billion (future value, discounted and adjusted to account for such factors as foregone income while attending school and outmigration).
“St. Cloud State University invests in the region and state as we graduate marketable and productive candidates who enter the workforce each year. Graduates of SCSU earn a degree of high value, as the credential plays a significant role in launching and advancing successful careers,” said Dr. Jason Woods, Vice President for Strategic Enrollment Management.
Statewide, all Minnesota State operations, including all seven state universities and 26 community and technical colleges, plus the spending of its faculty, staff, and students, had a total statewide economic contribution of $8.4 billion. This activity generated an estimated 62,125 jobs in the state.
The full economic contribution analysis is available at MinnState.edu/impact.
About St. Cloud State University
Founded in 1869, St. Cloud State University prepares students for life, work and citizenship in the 21st century on the banks of the Mississippi River in St. Cloud, Minnesota. Additional campus locations include Plymouth, Minnesota, and Alnwick Castle in England. The institution’s more than 200 undergraduate academic programs, and 60+ masters and doctoral degree programs serve more than 10,000 students. SCSU is the home of competitive NCAA Division I and II men’s and women’s teams. Through market-relevant and nationally ranked academic programs, students work directly with faculty to apply their knowledge in labs and discovery spaces, through projects and fieldwork, and internships. SCSU is preparing for a bright future with bold changes to the way the institution serves students and delivers an affordable and high-quality education with a focus on their success. Within one year of graduation, more than 95% of SCSU graduates report that they are working in fields related to their major or program of study. Learn more about St. Cloud State University at stcloudstate.edu.
About Minnesota State
Minnesota State includes 26 community and technical colleges and seven state universities serving approximately 300,000 students. It is the fourth-largest system of two-year colleges and four-year universities in the United States.
