New River Community College has an impact of more than $100 million on the regional economy, a new study has determined.
According to the study, the college generated $121.7 million in economic activity in the New River Valley in FY 2021-22.
The economic impact study, conducted by the data analytics firm Lightcast, concluded that NRCC alumni and the businesses they work for saw $97.2 million in added income, while the college’s payroll and operating expenses totaled $22.9 million. In addition, student spending reached $1.6 million.
“While we were aware of the influence that NRCC has both educationally and economically in the New River Valley, we were pleased to see the college makes an even more significant economic impact than might be apparent at first glance,” said Dr. Pat Huber, NRCC president.
The study estimates that for every dollar invested in NRCC, students gain $4.50 in higher future earnings, and taxpayers see a net benefit of $2.20 in added tax revenue stemming from students’ higher lifetime earnings and increased output by businesses and public sector savings.
When compared to a person with a high school diploma or equivalent, the average NRCC graduate with an associate degree will see an increase in earnings of $8,100 annually, according to the report.
Over the long term, for every dollar invested in NRCC, the citizens of Virginia will receive a cumulative value of $6.80 in benefits the study estimated. Altogether, the social benefits of NRCC are estimated to have a present value of $322.1 million. These benefits include $218.4 million in added student income over a 40-year working career, $73.5 million in added business income, and $21.5 million in added income from college activities, as well as $8.8 million in social savings related to reduced government spending for health, the justice system, and income assistance in Virginia.
The full report of the Lightcast study can be found at www.nr.edu/visitors/economicimpactstudy.pdf.
