News from the International Town & Gown Association

BUDGETS & ECONOMY

Economic Impact Study Shows LSU Adds $1.2 Billion to Area Economy
BATON ROUGE, LA - An LSU News press release reports that LSU contributes more than $1.2 billion annually to the Baton Rouge metropolitan area economy as found by a recent study by a professor of economics at the LSU E. J. Ourso College of Business.
"This study shows that the state's proposed budget cuts aimed at LSU are not just detrimental to the quality of education we provide, but are basically an anti-stimulus package for the Baton Rouge Area and beyond," said LSU Chancellor Michael V. Martin. Some of the study's most pertinent findings include:
LSU's presence produced $1.2 billion in direct and indirect sales and more than $680 million in salaries and wages.LSU generated an estimated 21,118 jobs. Approximately 8,455 full-time equivalent jobs were located on campus; 12,663 were in other parts of the MSA. Students from outside the MSA brought $393 million into the local economy ($278 million after tuition and fees) during the 2008 fiscal year. Including students from inside the MSA, student spending increases to $579 million ($410 million after tuition and fees).

Richard Florida Talks Town & Gown and Unemployment
The Atlantic reports on a Richard Florida blog talking on town & gown unemployment. "It's clear that the economic crisis is having uneven impacts on different types of workers and different kinds of communities. Highly educated people and highly educated places are holding up much better than others. But among the most stable places in the current downturn are college towns."
Using data from the Bureau of Labor Statistics for March 2009, Martin Prosperity Institute researcher Patrick Adler put together a graph which plots the unemployment rate for various states, major commercial cities, and college towns.

Forbes - Top 20 College Towns For Jobs
Forbes Magazine provides much of the same report that college towns are faring better than most during this economic crisis. While jobs in the U.S. as a whole shrunk by 3.5% from March 2008 to March 2009, there were 62 college towns that experienced job growth. The Forbes writers provide their data for the top twenty college towns that actually experienced job growth. Leading the list are Provo, Utah; College Station, Texas; Baton Rouge, La; and Durham, NC.

Mayor Introduces Two Bills To Tax
Colleges, Nonprofits and College Students
PROVIDENCE, RI - The Providence Journal provides the latest news on Mayor David N. Cicilline's efforts to raise revenue for the City of Providence. The city is facing a $50 million deficit for the upcoming fiscal year and the Mayor is turning to college and non-profit resources to help balance the budget. Mayor Cicilline has introduced two bills for the Rhode Island state legislature to consider. The first is the "student-impact fee" that assesses private colleges a flat fee of $150 per semester for each full-time student who is from out of state. His second bill allows towns and cities to collect a fee from colleges and nonprofits that own property valued at greater than $20 million. The fee would be up to 25 percent of what the taxes would be if their property was not tax-exempt. Both bills target the colleges and hospitals of Providence. Estimates are that the student-impact fee and the property fee would create nearly $16 million in additional revenue for Providence.