Universities in the District are a major source of local jobs and income and the area’s education sector continues to be among the most robust, according to a recent study commissioned by the Consortium of Universities of the Washington Metropolitan Area.
The study, “Capital Assets: Economic Impact and Beyond,” was released June 2 at the D.C. Chamber of Commerce by consortium and university leaders, including GW President Steven Knapp, American University President Neil Kerwin, Consortium President and CEO John Childers and D.C. Chamber of Commerce President and CEO Barbara Lang.
“This comprehensive study demonstrates the beneficial impact of our universities on the economic, cultural and community health of the greater Washington region,” said Dr. Knapp. “It also shows that the region’s universities are major employers, directly and indirectly supporting almost 200,000 jobs. Together, we are the largest private employer in the District of Columbia.”
Authored by Stephen S. Fuller, director of the Center for Regional Analysis at George Mason University, the study is the largest ever commissioned by the consortium.
According to the study, the 14 member universities of the consortium—including GW, Georgetown and American—add $11.3 billion to the regional economy each year and have a local economic impact as critical as that of the hospitality industry. In the District, every $1 spent by a D.C. university resulted in an additional $1.40 in the city’s economy.
Universities are also a major regional employer. Consortium universities account for approximately 68,117 full- and part-time jobs with $3 billion in total payroll expenditures. They also indirectly support a total of 124,895 full-time jobs. Additional regional revenue from university-generated jobs totals $3.6 billion.
Students also provide economic value to the region. In 2010, non-local students’ spending totaled $749 million excluding housing. The study noted that while in school, local college students provide more than 600,000 hours of public service to the community annually, and many are very likely to stay after graduation, increasing both the intellectual and economic power of the region. Approximately 154,000 students are enrolled in consortium universities.
Member universities also bolster cultural, research and development opportunities, including approximately 10,000 seats in venues that host live theater performances and 11 art galleries.
At the press conference, Dr. Knapp, along with Dr. Kerwin, Trinity Washington University President Patricia A. McGuire and University of the District of Columbia President Allen Sessoms, spoke about the university sector’s economic contributions to the region, including spending, employment and service opportunities.
Dr. Knapp outlined higher education’s impact on regional employment and the spending power of GW students and alumni who study and remain in the region.
“I think that if we’re going to see the future of this city thrive in the way we know it can, it’s going to depend on what these institutions contribute,” said Dr. Knapp.
Dr. Fuller also briefly detailed the study’s findings and Kris Hart, who attended GW, described his experience operating three businesses in the District, including FoBoGro at 2140 F St., NW.