Third-Party Economic Impact Study Shows Kaskaskia College Provides Major Boost to District 501

The Economic Value of Kaskaskia College - 2024
KC Economic Impact Report Fact Sheet

Kaskaskia College recently received the results of an Economic Impact Study from Lightcast, a global leader in labor market analytics, which shows KC has a total economic impact of $132.7 million annually in District 501. Representatives from Lightcast said one of the most impressive numbers in the study is for every dollar Kaskaskia College receives, the school returns $1.10 to the community through added tax revenue and public sector savings, which is significantly higher than many other institutions of higher education.

"We've observed an increasingly common trend that, in recent years, many institutions nationwide are receiving a larger amount of local and state taxpayer funding," Lightcast Research Analyst Rhea Toves said. "This increase in funding does not necessarily coincide with an increase in student enrollment, however, and thereby raises the state and local taxpayers' cost per student enrolled at the institution. Kaskaskia College's benefit-cost ratio of 1.1 means that for every $1.0 million invested in the college by state and local taxpayers, Illinois taxpayers will receive $1.1 million in benefits over KC students' working lifetimes. This means that the college is not only recovering taxpayer costs but growing the tax base in Illinois."

Lightcast's study illustrates Kaskaskia College is responsible for 1 out of every 29 jobs in District 501, and KC supports a total of 2,062 jobs annually. Kaskaskia College President George Evans said the college provides a positive economic impact to the district because it can continue operating, largely based on the students it can attract, while also remaining fiscally responsible.

"People may not always recognize that the funding formula for community colleges is completely different from the Illinois K-12 model, and roughly 42% of our funding comes directly from student tuition," Evans said. "We rely on some state and local funds, however, students coming to campus are the major contributor to our fiscal operations. That said we strive to ensure the student experience and affordability of services is a priority. We impact the communitys economy in various ways, with one example being dual credit. We've waived $11.5 million of dual credit tuition over the last five years alone. That's fully transcripted college credit, thus saving students and families in our community substantial money on their education."

Kaskaskia College's impact can be measured through many different avenues, with alumni, operations spending, student spending and construction spending all making a significant impact on the region. Alumni impact represents one of the biggest boosts, with $105.4 million and 1,640 jobs supported through alumni and the businesses they work for in the district.

"This study found that KC's alumni's annual impact boosts the local economy, similar to hosting the World Series 16 times," Evans said. "We're immensely proud of the difference we make in our community and thankful for such a supportive community. We hope to continue building a great relationship with our district and the people in our region for many years to come."