Columbia College could represent $100 million in regional economic impact
Local educators and administrative staff hailed a Yosemite Community College District economic impact report released this week which suggested Columbia College contributed more than $100 million dollars in spending, investment and employment in the regions surrounding and including Tuolumne and Stanislaus counties.
The 99-page “Economic Value of Yosemite Community College District Main Report” and subsequent summaries on the district website identified economic impact in the 2019-20 fiscal year. It was presented to the district Board of Trustees on March 10 after being reportedly compiled in November 2020.
Chief to the report is the conclusion that the district’s annual economic impact is estimated to add $705.5 million to the regional economy and supports approximately 10,000 jobs.
Columbia College Interim President Dr. G.H. Javaheripour said Columbia College generated about 15% of the district’s overall productivity, supporting 2,300 students, an on-campus dorm hall capacity of 196 students (only currently occupied by about 50 students due to the ongoing pandemic), 56 faculty members and 100 classified and administrative employees.
“Generally, we could calculate 15% of the figure in the economic impact study and attribute that to Columbia College’s impact in the area,” he said.
That figure is about $105.8 million.
“The district and Columbia College financially are in a very strong standing,” Javaharipour
said. “The impact of this report should assure our citizens that their tax dollars are being used the most efficiently, and they have the most direct impact on our residents in the community. And that is indicated by a 22% return on every dollar that the impact study offers.”
The Yosemite Community College District includes Modesto Junior College, which has two campuses in Stanislaus County, and Columbia College in Tuolumne County. The district serves more than 32,000 students.
The analysis was conducted by Emsi, a labor market analytics firm based in Idaho.
The district’s service region in the report consists of Stanislaus County,tuolumne County and portions of Calaveras, Merced, San Joaquin and Santa Clara counties. Columbia College was founded in 1968.
The technical underpinning of the report by Emsi is referred to as a “specialized Multi-regional Social Accounting Matrix” to gauge income and spending related to district services.
Overall, the district estimates that one out of every 32 jobs in the district region, or approximately 9,280, is supported by the economic impact of the district, either through alumni, operational spending, student spending or construction.
“This is certainly really encouraging information,” said Amy Nilson, director of development for Columbia College and staff director for the Columbia College Foundation. “We believe education is the best investment for our students and our community. So, it’s really nice to have that analysis to back that up.”
Columbia College uses funding through its foundation to support scholarship programs such as the Finish Line Scholarship Program and Columbia College Promise. Indicative to the report is how that investment unfurls into student spending and economic impact within the region by students while they’re here or find occupations within the region.
“This really helps us build the case for why those investments matter,” Nilson said. “We will continue to keep on building the scholarships and promise program specifically.”
The majority of the district’s economic impact, $515.8 million, is credited to alumni, or former district students who are employed in the regional workforce.
“As a result of their YCCD educations, the students receive higher earnings and increase the productivity of the businesses that employ them,” the report says.
Operational spending accounted for $165 million, with $141.5 million on payroll for 1,336 full and part-time employees. That metric is theoretically distributed back into the economy, on “mortgages, rent, groceries, transportation, entertainment and other household expenses,” the summary said.
$67.3 million is spent on day-today expenses, including facilities, supplies and professional services.
Student spending accounted for $23.2 million and is attributed to the approximately 6% of students who come from outside of the region for school and are “retained” though ongoing coursework.
Construction accounts for $1.6 million, or from the renovation and modernization of district facilities.
One of the clearest indicators of Columbia College’s economic impact locally was through career and technical education programs, especially in the fields of forestry, natural resources and fire fighting, which placed students into jobs at a high rate within the local economy, Javaharipour said.
“Those recurring expectidues that we make immediately support the industry in our service area,” he said.
Javaharipour said the conservative budgeting of the district and Columbia College meant it would likely be able to weather any impacts identified in future economic reports. He said the colleges expected upticks in enrollment following the end of the pandemic.
“That aids in the economic development of the surrounding area,” he said.
Javaheripour was named interim president of Columbia College last week following an administrative shuffle initiated by the medical resignation of former Modesto Junior College President Jim Houpis and the filing of his position by former Columbia College President Dr. Santanu Bandyopadhyay.
Javaheripour was previously the district’s vice chancellor of educational support services and will fill the role at Columbia College until a candidate is selected through an interview process.
Kimberly Carter, executive secretary to District Chancellor Henry C.V. Yong, passed on a statement from Yong that noted the “economic impact study was done as a whole district so we do not have available any aggregated data per the colleges” to break down the categories.
“We always recognized the positive impact our programs and instructors have on students’ lives,” said a statement credited to Yong in the summary report. “This report underscores and quantifies the long-lasting value of that education for everyone who lives and works in our region.”
The report also noted students paid $28.6 million to cover the cost of tuition, books and supplies in the 2019-20 financial year.
In the report, the rate of return was identified as every $1 a student invests in a YCCD education, they will receive $5.50 back over their working lifetimes, or a 20.2% rate of return.
The report also said that for every $1 invested by tax dollars into the district, constituents will receive a $1.10 return via tax revenue and reduced demand for government services. That invested dollar was also said to reflect $7.50 in added state revenue and social savings.