67,717 jobs created or sustained by economic activity
ST. PAUL, Minn., Nov. 13, 2018 – The 30 colleges and seven universities that comprise Minnesota State contributed over $8.0 billion to the state’s economy in FY2017, according to an economic contribution analysis released today by Minnesota State. The study further concludes that the economic activity of the system supported or sustained 67,717 jobs throughout the state.
“The colleges and universities of Minnesota State play an essential role in growing Minnesota’s economy — through talent development and opening the doors of educational opportunity to all Minnesotans,” said Devinder Malhotra, chancellor of Minnesota State. “But it’s also important to recognize that, simply through their operations and the business activity they generate, and through the increased productivity of their graduates, our state colleges and universities have a significant impact on both their local economies and the state as a whole.”
MSU Moorhead’s economic impact report states that the university has a combined economic contribution of $285.5 million, which includes a direct impact of $149.6 million and an indirect/induced impact of $135.9 million. Operational and capital spending the the State of Minnesota generates $144.3 million of the total impact and $141.2 million from student and visitor spending.
- MSUM directly employs 746 people.
- MSUM supports more than 2,242 jobs (1,342 direct and 900 indirect/induced).
The study was conducted by Parker Philips, a nationally recognized consulting firm specializing in economic impact analysis. Nichole Parker, a principal partner at Parker Philips, said, “Economic contribution analysis is an objective way to measure the significance of an organization in the state and regional economy. It is a tool that policy makers can use to inform their decisions. The colleges and universities of Minnesota State clearly make a major contribution to their local, state, and regional economies.”
Among the findings in the study:
- The $8.0 billion total economic contribution of Minnesota State in FY2017 included $4.1 billion direct and $3.9 billion indirect and induced spending, and was the result of operational spending, capital spending (10-year average), payroll and benefits paid to employees, student spending, and visitor spending.
- The operations of Minnesota State support or sustain a total of 67,717 jobs – one out of every 55 jobs in the state.
- Through its local spending and the jobs it supports or sustains, Minnesota State generates $458.5 million in state and local taxes.
- The employees of Minnesota State contribute an estimated $116.2 million annually in charitable giving and volunteerism.
- Minnesota State supports or sustains $1 out of every $42 in Minnesota’s economy.
- For every $1 in state appropriation, Minnesota State generates nearly $12 in economic activity.
In addition to the significant impact of campus operations, the report also found that the income being added into the economy as a result of graduates obtaining post-secondary education is significant. In FY2017, the colleges and universities of Minnesota State conferred nearly 40,000 degrees and certificates, and the total number of alumni living and working in the state is more than 450,000.
The full economic contribution analysis and individual reports by college/university are available at MinnState.edu/IMPACT.