The recent completion of a UW System Economic Impact study shows that Wisconsin’s public campuses contribute $9.5 billion to the state’s economy each year and gives it more than 150,000 jobs.
The study demonstrates how the System positively impacts the economy, mainly on the state budget, UW System President Katharine C. Lyall stated in a press release.
“These figures confirm that the UW System is one of Wisconsin’s main economic engines,” she said.
The study found that the Chippewa Valley employs 6,000 university-related positions. Students spend $78 million a year in the area, employees $33 million and visitors add $28 million per year. The university spends more than $31 million in the area.
Besides improving the economy, the university provides programs involving cultural arts, youth outreach, environmental awareness and elderly care. The study indicates that students generate more than 75,000 community-service hours each year in the Chippewa Valley.
The goal of a university is to keeps its graduates close. According to the study, Wisconsin compares poorly in the number of those System graduates who work within the state. Higher numbers mean a larger draw for top companies, which ultimately will raise the economy. Cutting the budget works against this system.
Despite these statistics, the System is enduring state budget cuts. UW-Eau Claire Chancellor Donald Mash said it took a “disproportionate hit” in the Budget Repair Bill. The entire System makes up 9 percent of the state’s budget, yet took a hit of 23 percent, which means $1.5 million in cuts at Eau Claire.
Mash said the cuts are “counterproductive” for the state.
“You have to invest in the UW system, not cut it,” he said.
For students, the cuts mean larger class sizes due to reduced staff and course offerings. Next year’s projected freshman class will be smaller to help lower class sizes, Mash said.
He is concerned with what could happen if budget cuts increase, he said.
“We can’t continue to take reductions and provide the same services to the region and the state,” Mash said. “Damage control is necessary as we look ahead to the next couple of years.”