The final impact of years of budget cuts to Georgia colleges will show up next year when federal stimulus funding is pulled, but a new report shows the state university system's economic footprint is larger than ever.
The economic impact in Northwest Georgia of Dalton State College has nearly tripled in the last eight years and should make lawmakers in Atlanta think twice when considering future state funding cuts, officials say.
"There is a popular myth that we waste money, but we don't really and this shows it. It is difficult to convince people of that," said Henry Codjoe, director of institutional research at Dalton State. "When you cut, you are undermining your economic base."
The ripple effect of jobs and spending tied to Dalton State has increased from $38 million in 2001 to $108 million in 2009, according to the annual study on the economic impact of University System of Georgia schools on their local economies.
Dalton State now supports 1,143 jobs in Northwest Georgia, 69 percent more than in 2001, the report says. Of that total, 388 positions are on-campus employees and 755 are off-campus jobs that exist because of institution-related spending, according to the study.
"Dalton State is a major economic driver for, not only Whitfield County, but for the region," said Elyse Cochran, director of economic development for the Dalton/Whitfield Development Authority. "It gives our community an advantage."
That's true throughout the University System of Georgia, the report says. This year, the 35-institution system generated a $12.7 billion economic impact in Georgia, up 65 percent in the last decade.
There are 1.6 jobs triggered off-campus by spending generated from every on-campus job created, said study author Jeffrey M. Humphreys, director of economic forecasting for the Selig Center for Economic Growth in the University of Georgia.
Supporting robust and growing college towns will play a critical role in Georgia's economic recovery, he said.
Enrollment numbers at Georgia colleges continue to climb and break records, stirring spending in communities hit hard by the recession. Dalton State enrollment spiked 34 percent in the last five years, records show.
But some lawmakers say pumping more money into expanding higher education's reach isn't an option with the budget the state is facing. In the last legislative session $1 billion was slashed from the total budget, and colleges should manage the tough times through improved efficiency, said state Rep. Tom Dickson, R-Cohutta.
"There are a lot of agencies that want to grow," Rep. Dickson said. "If we want to increase the number that goes to higher education, even if it would be beneficial, that means someone would lose something from their budget."
While some argue cuts can correct overspending, campus officials say further cuts to the school's state support could make it harder for campuses to open jobs and programs in the future.
"Dalton State has added more students. We have added more faculty. They have to get houses, buy groceries," Dr. Codjoe said. "As the college grows, the more impact it's going to have."