Skip to Content

Normandale Economic Contribution Estimated at $457.9 million

Normandale Economic Contribution Report 

Minnesota State Economic Impact Report

Minnesota State the system of 26 state colleges and seven state universities, released today the results of a study that estimates the impact of Normandale Community College on the regional economy to be $457.9 million and 3,516 jobs.

“Our top priority at Normandale is student success, and this study demonstrates the enormous impact their accomplishments have on the state and regional economies,” said Normandale Community College President Joyce Ester. “Our operations and the economic activity generated by faculty, staff, and students are centered around being a strong community partner, and providing opportunities to individuals in a variety of fields that impact many different parts of the regional economy. We take great pride in all of the amazing ways our college community makes a difference in the surrounding communities and across the state.”

The study was commissioned by Minnesota State and was conducted by Parker Phillips, a nationally recognized consulting firm specializing in economic impact analysis.

“An economic contribution analysis is an objective way to measure the significance of an organization in the regional economy; it is a useful tool that policymakers can use to inform their decisions,” said Nichole Parker, President of Parker Philips. “The numbers speak for themselves — Normandale clearly is an important contributor to the regional economy.”

In the analysis, the study considered the direct spending on operations, pay, benefits, and capital projects by Normandale and the estimated increase in demand for goods and services in industry sectors that supply or support the college. The study also measured the effect of student spending and the induced effect of increased household income.

According to the study, a key result of this activity is that Normandale supports and sustains 3,516 jobs including direct employment by the college as well as indirect and induced jobs created by supply and equipment vendors, contractors, and laborers for the construction and renovation of facilities, and jobs created in the community at hotels, restaurants, and retail stores in support of the college faculty, staff, students, and visitors.

The study also calculated tax revenues generated by this level of economic activity, including sales, property, personal income, and corporate income taxes. The study concluded that Normandale generates about $38.5 million in tax revenues for state and local government.

The study further estimated the value of the increase in productivity that the degrees awarded by Normandale yield throughout the careers of the graduates. Assuming a 40-year work life, the education received by these graduates will yield additional state income of $5.8 billion (future value, discounted and adjusted to account for such factors as foregone income while attending school and outmigration).

Statewide, all Minnesota State operations, including all seven state universities and 26 community and technical colleges, plus the spending of its faculty, staff, and students, had a total statewide economic contribution of $8.4 billion. This activity generated an estimated 62,125 jobs in the state.



upper arrowtop