January 25, 2023
January 25, 2023 – Minnesota State, the system of 26 state colleges and seven state universities, released today the results of a study that estimates the impact of Northland Community & Technical College on the regional economy to be $127 million and 953 jobs.
“At Northland our top priority is the success of our students and providing students with marketable skills to contribute to our workforce, but it is important to note that Northland plays a vital role in both the state and the regional economies,” said Northland President Dr. Sandy Kiddoo. “Our operations and the economic activity generated by our faculty, staff and students touch virtually every corner of our regional economy including manufacturing, agriculture, healthcare and aerospace.”
The study was commissioned by Minnesota State and was conducted by Parker Philips, a nationally recognized consulting firm specializing in economic impact analysis.
“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 – Northland 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 Northland and the estimated increase in demand for goods and services in industry sectors that supply or support the college. 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 Northland supports and sustains 953 jobs, including direct employment by the college as well as indirect and induced jobs created by supply and equipment vendors, contractors, and laborers for the construction and renovation of facilities, and jobs created in the community at hotels, restaurants, and retail stores in support of the college’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 Northland generates about $ 10.4 million in tax revenues for state and local government.
“Our economic impact goes beyond this specific study when you think about how Northland supports our local and regional economy,” Kiddoo added. “Yes, we absolutely provide a skilled workforce to our local employers and offer opportunities for students to access higher education, but Northland’s campuses are also a bedrock of our communities. The longterm impact of our continued dedication to our local region is impossible to put into simple numbers. Hometown pride may not be a traditional economic indicator, but it certainly translates into positive economic outcomes.”
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 economic contribution report for Northland is available at www.northlandcollege.edu/impact.