Recent Study Sheds Light on NOVA’s Super-Sized Economic Impact
Recent Study Sheds Light on NOVA’s Super-Sized Economic Impact
Today’s topic is economic impact.
Last week, the Virginia Community College System released the results of an economic impact study conducted by Lightcast, a respected global data analytics firm. Without question, the value of a college education goes far beyond its financial return, but we also know that a significant reason that states fund public higher education and families pay college tuition is the longstanding connection between degree attainment and economic advancement. Indeed, the findings from the VCCS study demonstrate that this connection is strong in Virginia, benefiting both students and the Commonwealth.
Together, Virginia’s community colleges have an economic impact of $11.6 billion annually (yes, that’s billion with a “b”!). This equates to almost 2% of Virginia’s gross state product. For every dollar of tuition paid to VCCS, students will see $5.70 in lifetime earnings attributable to their community college educations; on average, they will earn $12,200 more per year than a high school graduate. For every dollar invested in funding VCCS, taxpayers in the Commonwealth will see $2.70 in future taxes and savings. In part, this solid return is because more than 90% of VCCS students come from Virginia and more than 80% remain here after graduating. In other words, the Commonwealth’s investment powers the workforce and Virginia’s economy.
Looking at NOVA on its own, the results are even more compelling. Our overall economic impact is $4.4 billion. This means that about 40% of the VCCS impact is attributable to NOVA. As we look to this weekend’s big game, here’s an interesting way to think about NOVA’s economic impact: it is equivalent to hosting the Super Bowl 12 times (with or without the Commanders).
Like the economic contributions of the region we serve, our return for students and taxpayers is similarly super-sized. For every dollar spent on NOVA tuition, a Nighthawk sees $8.70 in lifetime earnings: a $27,600 increase in annual earnings as compared to a high school graduate. For every dollar invested in NOVA, a Virginia taxpayer gains $4.40 in tax revenue and public-sector savings.
As we push for more parity in funding for Virginia’s community colleges — which receive just 57 cents on the dollar the Commonwealth invests in public universities — the message from this study is clear: Virginia’s community colleges are building individual and accelerating regional prosperity. The economic impact analysis demonstrates that every step forward toward funding parity would yield enormous returns for our students and communities — and exponentially grow the Virginia economy.
My thanks to all of you for your commitment to providing such an exceptional higher education experience for our students — one that yields enormous and life-changing returns on every level.
Anne
