Reid State Technical College Pumps $13.4 Million Into Local Economy
A recent analysis shows the economic impact the Alabama Community College System (ACCS) has on the state and each of its 24 community colleges have on their region.
Lightcast, a global leader in labor market analytics for colleges and universities, analyzed data using FY2020-21 academic and financial reports from Alabama’s community and technical colleges, as well as industry and employment data from the Bureau of Labor Statistics and Census Bureau.
Students and alumni of colleges within ACCS add $6.6 billion to Alabama’s economy, supporting one out of every 27 jobs in the state, according to an economic impact report released Monday.
The independent, 102-page report by Lightcast estimates the Alabama Community College System directly impacts 98,923 jobs in the state, representing about 2.7% of Alabama’s gross state product. Additionally, taxpayers see a net benefit of $1.1 billion in added tax revenue from students’ higher lifetime earnings and increased output to businesses.
Within the individual contributions report from each college, Reid State Technical College made a total annual impact of 13.4 million to the local economy, providing an economic boost to the region that is comparable to hosting the World Series.
Small but mighty, Reid State’s nearly 700 credit and non-credit students can expect to gain $6.90 in higher future earnings for every $1 they invest in their education. Translated, this averages to an impressive 23.5% annual rate of return on the investment they make in their education.
Stemming from students’ business output and higher lifetime earnings, taxpayers benefit from added tax revenue and public sector savings amounting to 3.8 million dollars.
From a societal perspective, Alabama invested $9.2 million to support Reid State. In return, the Alabama economy will grow by $37.9 million over the course of students’ working lives and society will benefit from one million dollars of public and private sector savings.
“The College has long provided the communities it serves with outstanding service and training opportunities,” Dr. Coretta Boykin, President of Reid State Technical College stated. “It's great to see our work translated to actual dollars and to know that taxpayers are receiving the best education, service, and training.”
“Our legacy centers on helping people develop the skills they need to help build the framework of our state’s economy, and the data this report provides proves we are on a forward path of excellence in that pursuit,” said Jimmy H. Baker, Chancellor of the Alabama Community College System.
“Residents are receiving a strong return on investment when they invest in training at one of our colleges – whether through an adult education program, rapid skills training program, rigorous certification or academic transfer program that allows them to move toward completing a bachelor’s degree. And, they’re using that training to make a difference right here in Alabama.”
A total of 95 percent of Alabama community college students remain in the state to live and work.
The view the full ACCS report, visit www.accs.edu/impact.