College Boosts Regional Economy by Millions

PLATTSBURGH, NY (09/24/2009)(readMedia)-- SUNY Plattsburgh contributed more than $202 million – directly and indirectly – to the region's economy, according to a new study compiled by the college's Technical Assistance Center.

In addition, the study found that SUNY Plattsburgh's presence in the North Country is responsible for creating and/or sustaining nearly 3,000 jobs beyond those held by current campus employees.

The regional impact study, which covers the 2007-2008 fiscal year, reflects expenditures, in-kind services and overall benefits of having a four-year college in the region. Capital and operational expenditures; employee and student expenditures and contributions; and those made by out-of-town visitors are also captured in the study.

Direct spending by the college in areas such as construction, goods and services and utilities was more than $20 million. Direct spending by SUNY Plattsburgh's 6,200 students on off-campus housing, food, transportation and other personal expenses accounted for more than $44 million.

During the 2007-2008 fiscal year, SUNY Plattsburgh employed nearly 1,100 workers, who received $74.3 million in salaries and fringe benefits.

The study looks at direct effects of the college's economic impact on the region – the tangible expenses such as purchases at restaurants and stores – the indirect effects and induced (or tertiary impacts) as well as labor income impacts – how those purchases trickle into a wider impact pool. A purchase made at the mall not only pays for the item itself, but it covers a portion of the operating costs, for instance, it pays the wholesaler, the utility bill, payroll and more. These are the indirect effects, the study says.

Induced effect expenditures are those used by the wholesaler, for instance, when he uses a portion of his profit to pay the shipping company, or the utility company uses some of its income to pay for a new power line.

There are also labor income impacts derived from the sum of additional employee compensation and owner-income impacts. All of these effects collectively are called a ripple effect.

So, although the college, its employees and students directly spent an estimated $141.2 million, when you combine indirect, induced and labor income effects, the total impact to the region is $202 million. Add to that the impact of visitors who come to the region solely because of the college, whether they're visiting during Family Weekend, attending athletic events or Homecoming, and the total economic impact is more than $202 million.

Noting that the college has graduated tens of thousands of well-educated people who contribute to countless meaningful occupations, the study highlights the network of more than 50,000 alumni around the world and the more than 7,000 who remain in the Clinton, Essex and Franklin County region. These alumni contribute to the local, national and international labor force.

"SUNY Plattsburgh continues to remain an economic force in the North Country, but our relationship with the region extends well beyond the economy," said SUNY Plattsburgh President John Ettling. "Our students and faculty provide thousands of hours in volunteer service to local non-profits. Departments like those of theater, music, art and athletics offer a wealth of cultural and recreational activities. In addition, our graduates permeate the community. They are our teachers, nurses, business executives, counselors and so much more."

Area leaders, Garry Douglas, the president of the Plattsburgh-North Country Chamber of Commerce, and Plattsburgh Mayor Donald Kasprzak agree that the college has a tremendous impact on the region.

"The direct economic impact of SUNY Plattsburgh on the North Country is certainly huge and irreplaceable," said Douglas.

"But the college's impact on the area economy becomes even greater when you consider the important relationships between North Country employers and the school, the various forms of support for small business and economic development, and the exposure of thousands of students and their family members each year to all that we have, leading many to come back here," added Douglas.

"SUNY Plattsburgh and the City of Plattsburgh have an outstanding relationship as partners in our community," said Donald Kasprzak. "The college's economic impact, job creation, cultural contributions and sharing of services benefit the entire North Country."

The study also delves into the intangible, or qualitative, impacts of having a four-year college in the region. The Plattsburgh State Art Museum includes the Rockwell Kent Gallery, a repository of work by the American painter and illustrator, a large open-air sculpture park and a number of works by well-known artists such as Pablo Picasso and Auguste Rodin and, more recently, Andy Warhol. With nearly 6,000 works in the collection representing a variety of Western and non-Western cultures, the study indicates that museum contributes to the region by being a conduit to culture for the roughly 17,000 who visit annually. Musical and theater performances also enhance the region's cultural profile.

The study also touches on the contributions made by academic departments on campus to the region. The TAC serves as the economic development outreach arm of the college, providing economic and community development research services to the region and beyond. The North Country Small Business Development Center provides free and confidential counseling, market and industry research and training assistance to local entrepreneurs.

SUNY Plattsburgh's students go out into the region in force as volunteers in schools, agencies and hospitals. And the college's centers, including the Adirondack Regional Technology Center, Alzheimer's Disease Assistance Center, Eastern Adirondack Health Care Network, Third Age Adult Day Center, the Speech and Hearing Center and the Traumatic Brain Injury Center – all serve a community population while giving students clinical and hands-on experience.

"It's onward and upward for the North Country, thanks in no small way to SUNY Plattsburgh," said Douglas.

Copies of the regional impact study are available online at www.plattsburgh.edu/offices/centers/tac/.