Economic impact report sees SOU as key resource
(Ashland, Ore.) — A new economic impact study that measures the financial reach of Oregon’s three regional public universities shows that Southern Oregon University has a prominent and growing influence on the prosperity of Jackson County and the Rogue Valley.
SOU’s total annual economic impact is $730 million statewide, $532.5 million in southern Oregon and $440.1 million in Jackson County alone, according to the study. The most recent previous economic study of SOU, in 2019, found a total impact of $282.5 million in Jackson County but did not measure regional or statewide impact.
The new study shows that the state of Oregon receives a 24X return on its investment in SOU – the university’s economic impact of $730 million is more than 24 times the $30.4 million that is appropriated to SOU for operational expenses by the Oregon Legislature.
“It’s no surprise to us that SOU is a critically important economic prosperity engine for southern Oregon,” SOU President Rick Bailey said. “This study backs up what we already knew and provides a lot of important detail about the scope of that influence and why it is essential that we protect the university’s ability to stimulate economic growth on the local, regional and statewide levels.”
The study, “The Economic Impact of the Regional Public Universities of Oregon,” was conducted this spring by Econsult Solutions, Inc. – a Philadelphia consultancy that specializes in economic, planning and public policy research. It measures and quantifies the economic impacts of SOU, Eastern Oregon University and Western Oregon University – which jointly commissioned the study and together have a total statewide impact of $1.9 billion.
The regional universities support about 10,900 jobs in Oregon, have a combined 78,038 alumni living and working in the state and produce much of the workforce for the largely rural areas they serve – from teachers and healthcare professionals to business leaders, law enforcement officers, counselors, tourism employees and creative industries workers.
“Oregon’s regional public universities drive the economies of our communities, and much more,” SOU’s President Bailey said. “We are sources of knowledge, launching points for innovation, and centers for cultural exploration and expression. We provide leadership and creativity, enabling our regions to be productive and competitive in a quickly evolving and highly dynamic environment.”
SOU by itself supports a total of 4,060 direct, indirect and induced jobs statewide, for a total of $202.4 million in annual earnings. Direct jobs are those of the university’s employees and vendors, while indirect jobs are those related to subsequent business-to-business transactions. Induced jobs are those supported by the ripple effect of spending by direct and indirect employees.
The economic impact study found that SOU:
- Serves a total of 7,212 students annually, including full-time, part-time, dual-credit and lifelong learners;
- Has a total of more than 675 employees, including student workers;
- Has 26,165 alumni living in Oregon, including 18,473 in the workforce who earn an aggregate annual wage premium of $362.6 million – the amount in additional wages they earn due to their university degrees;
- Has an average of 24,042 campus visitors each year, with student and visitor spending accounting for $108.5 million in annual spending in Jackson County and $157.9 million in southern Oregon;
- Produces capital construction projects that account for about $17.1 million per year in total economic impact and support about 80 full-time jobs;
- Supports local, regional and statewide employers with bachelor’s degree earners, about 68% of whom remain to work in Oregon for at least a year after graduation.
Overall, the study found that 74% of freshman students at the three regional public universities come from within Oregon and that 65% of graduates are still working in Oregon a decade after graduation.
-SOU-
