ANDERSON — Ivy Tech Community College’s annual economic effect on Madison County totals about $39.7 million, according to a comprehensive report looking at the school’s effect statewide for fiscal year 2018-19.
The school’s report includes an economic analysis that looks at the effect of the college’s operations spending, student spending and alumni effect and an investment analysis, which calculates the return on investment for students, taxpayers and society.
The school’s statewide effect is far beyond the education that students receive, Ivy Tech President Sue Ellspermann said in a prepared statement.
“When the college’s students enter the workforce, they bring with them valuable skills acquired through their education, resulting in increased productivity for their employers. That has a lasting impact on our state and the dozens of communities where our students live and work.”
In addition to statewide figures, the report includes analyses of the school’s effect on all the communities where Ivy Tech can be found, from Lawrenceburg to South Bend.
The economic effect of Ivy Tech can be seen through its direct expenditures and those of students and staff as they distribute their dollars through the community as they eat at restaurants, fill up their gas tanks and spend money on personal needs and discretionary items at stores like Walmart and Meijer, the report noted
According to the report, one out of every 91 jobs in Madison County is supported by the activities of Ivy Tech and its students. That starts with the 167 full-time and part-time staff whose payroll totals about $6.3 million.
The college also spends about $4.2 million on facilities, supplies and professional services.
Student spending in the community amounts to about $564,000 annually, according to the report. And alumni who are encouraged to remain in the area add back about $25 million in income, or the equivalent of 405 jobs, most of which have higher earnings and increased workplace productivity.
“We know that with each level of academic attainment, the economic stability for our community increases, helping to alleviate the effects of generational poverty. When our students succeed, our community succeeds,” said Ivy Tech-Anderson Chancellor Mia Johnson.
Clayton Whitson, president and CEO of the Madison County Chamber of Commerce, said he has not seen the report but isn’t surprised by the results.
“They’re in kind of a unique situation because they are providing a large amount of quality jobs.”
But it’s not only the spending that benefits the county, Whitson said. Businesses also benefit by having available places where the potential and existing workforce can get quality training and professional development. That also includes Anderson University and Purdue Polytechnic Institute-Anderson, he added.
However, having access to these figures will be useful in a variety of ways, he said.
“It gives us a competitive advantage when we talk about recruiting the next business here in Madison County.”