October 8, 2004: Volume 62, Number 5

College's local economic impact tops $185 million

The annual economic impact of Union College on Schenectady County is more than $185 million, according to a report recently prepared for the College by the Capital District Regional Planning Commission (CDPRC).

The study also determined that Union's economic impact in New York State tops $211 million annually.

"These reports verify the enormous value of having a college of Union's caliber operating and thriving in Schenectady," said President Roger H. Hull. "This asset can be measured in many ways – from the jobs we provide to local residents to the money our students and their families spend in the area to the less quantifiable but valuable benefits such as cultural and sporting events."

Union employs about 800 people on an annual payroll of $36 million. In addition, Union College's capital projects have employed hundreds of construction-related workers. Current and recently completed projects total more than $28 million, including the former Ramada Inn at 450 Nott Street, which was completely renovated and opened this fall as a student residence hall at a cost of about $15 million.

Union's direct and indirect impacts on annual employment in Schenectady County account for approximately 1,705 jobs, the CDPRC reported. Construction, retail, and business services are cited as the most impacted with regard to employment.

To calculate these estimates, the CDPRC used the Schenectady County and New York State RIMS (Regional Input-Output Modeling System) II models developed by the U.S. Department of Commerce, Bureau of Economic Analysis for comparing the economic impacts of projects. The RIMS II model is the most widely used economic impact modeling system in the U.S.

Charles P. Steiner, president of The Chamber of Schenectady County, said: "Union College has been an integral part of our economy in Schenectady County and a constant factor in the economic redevelopment equation. From the employment of local residents and amount of student spending to the Ramada Inn project, which cleaned up a site formerly not able to be developed, Union's continued investment is extremely valuable to this community. We look forward to continuing this exceptional partnership for years to come."

Hull concluded: "The revitalization of this region and the growth of Tech Valley are directly tied to institutions such as Union College. We will continue to play a vital role in educating young people and working collaboratively with businesses, government, and other institutions of higher education as New York State again emerges as an economic leader in the nation."

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