College gives a big economic boost to county

StudentsA recent study conducted by the Kansas Independent College Association found that Tabor College generated $7.5 million in income to the Marion County economy during the 2012-13 fiscal year.

The revenue equaled about 2.8 percent of the county?s gross regional product.

According to the study, during the analysis year, Tabor?s economic impact on Marion County included:

? College operations?Tabor employed 206 fulltime and part-time employees. Payroll amounted to $7 million, a portion of which was spent in the county to purchase groceries, clothing and other household goods/services.

The college spent another $9.9 million to support its day-to-day operations. The net impact of college payroll and expenses in Marion County during the analysis year was approximately $5.8 million in added county income.

? Student spending?Tabor students who relocated to Marion County from outside the county spent money at local businesses. The off-campus expenditures of Tabor?s out-of-county students added approximately $122,900 in income to the economy.

? Visitor spending?visitors who came to Marion County contributed to the economy through their off-campus expenditures at local businesses?adding $77,200 to the county?s income.

? Student productivity?

Over the years, students have studied at Tabor and entered or re-entered the workforce with newly acquired skills. The accumulated contribution of former Tabor students employed in the county workforce amounted to $1.5 million.

? Students benefits?Tabor?s students paid a total of $5.3 million to cover the cost of tuition, fees, books and supplies. They also forwent $10.3 million in money that they would have earned had they been working instead of learning.

In return for the monies invested in the college, students will receive a present value of $60.5 million in increased earnings over their working lives. Dividing benefits to students by the costs of education yields a return of $3.90 in higher future income for every $1 students invest in their education. The average annual return for students is 15.2 percent.

? Societal benefits?society, as a whole in Kansas, will receive a present value of $105.2 million in added state income over the course of the students? working lives.

Society will also benefit from $19.5 million in present value social savings related to reduced crime, lower unemployment and increased health and well-being across the state.

? Taxpayers benefits?the net present value of the added tax revenue, stemming from the students? higher lifetime incomes and the increased output of businesses, amounts to $9.6 million in added tax revenue across the state.

Savings to the public sector added another $3.4 million in reduced government expenditures due to a reduced demand for publicly-funded services in Kansas.

Significant impact

?The economic impact of Tabor College is significant,? said Jules Glanzer, president of Tabor College. ?We do not always think about this as we go about our daily lives, but when you put numbers to what the economic impact of the college is on the city and county, it is very significant.

?What struck me was the impact of the number of students that we bring into the state and also the number of jobs that we create for the county.?

Tabor College generates a positive economic impact on Marion County and creates lifelong benefits for its students. The entire state of Kansas benefits from the education provided by Tabor through the added income and social savings generated by students who remain in the state.

Teresa Huffman, director of the Marion County Economic Development Department, said she realizes how much everyone who?s a part of Tabor brings to the area.

?The students and staff of Tabor College provide a tremendous economic impact,? Huffman said, ?not only to Hillsboro, but also to Marion County?from the groceries, food at restaurants, gas for their vehicles and participation in community events.?

Hillsboro Mayor Delores Dalke said she also was pleased to have the college here.

?The students, faculty and staff contribute in so many ways to our economic stability, as well as to our cultural and social benefits.

?The jobs that are provided and the $7.5 million in economic benefits make our city one of the places where families want to make their homes, so that they can enjoy being a part of this vibrant community.?

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