Taxpayers receive $2.40 return for every $1 of public money invested in college
Gateway Technical College and its students added a $886 million impact to the Gateway Technical College District economy, or about equal to 4.1 percent of the region’s gross regional product, a recent economic survey indicated.
In addition, for every $1 of public money invested in Gateway, taxpayers receive a cumulative return of $2.40 in the form of higher tax receipts and public sector savings, the report indicated.
This survey was part of a sweeping report of the college’s impact on the economy, taxpayers, its students and the state conducted by Emsi, a national labor market and economics analytics company.
“Gateway students and staff demonstrate their value in many ways,” said Gateway Technical College CEO and President Bryan Albrecht. “This report highlights the important financial impact Gateway has on sustaining our regional economy.
“Recognizing the investments made by our taxpayers and students is critical to our future, and returning a positive economic impact is one way we measure our college success.”
The report reveals that the college is part of the economic backbone of the region. It shows the college’s strong impact on the economy and tax base of Southeastern Wisconsin as well as the long-lasting impact a Gateway education has on its graduates and the economy.
While the report took a look at the lifelong impact of the college’s education on its students and the area economy, it also focused specifically on the 2016-17 year for other specific data.
Key findings include:
- Taxpayers see an annual return of 6.7 percent on their investment in Gateway.
- The accumulated contribution of former students now employed in the regional workforce amounted to $792 million in added income during the analysis year.
- Gateway’s 2016-17 students will receive an average annual rate of return of 26 percent on their investment in college, which will continue throughout their working lives.
- On average, Gateway’s 2016-17 students will receive a cumulative $7.30 in higher future income for every $1 they invested in their education.
- Overall, one out of every 16 jobs in the Gateway District is supported by the activities of Gateway and its students.
- By the end of the working careers of students enrolled in 2016-17, the state will have collected a present value of $165.9 million in added taxes.
- Associate degree completers on average will see an increase of $10,200 per year over their working lifetime compared to someone with a high school diploma, a total estimated increase of $387,600.
- For every dollar of public money invested in Gateway, taxpayers receive a cumulative value of $2.40 over the course of the students’ working lives.
The report also indicated societal impact of the college and concluded that for every dollar society invested in Gateway, “society as a whole in the state of Wisconsin will receive a cumulative value of $11.50 in benefits.”
