Cumberland Times-News

Local News

February 7, 2013

FSU has $121M impact on county economy

FROSTBURG — A study conducted by Frostburg State University has determined that in fiscal 2012, the university had an economic impact estimated to be at least $173 million across Maryland, with $121 million of that amount in Allegany County.

The comprehensive study looked at the economic impact of FSU’s operations, employees and students, according to a news release from the university. It was conducted by Sudhir Singh, associate dean of the College of Business, and Rob Smith, assistant vice president of planning, assessment and institutional research.

The study examined both the direct and indirect impacts of money spent by students and employees, as well as purchases made by the institution. A follow-up study is planned to estimate the impact of capital costs, such as from construction projects, and of visitors who come to Western Maryland because of FSU activities.

“For every dollar received from the state’s general fund, FSU puts more than $4 into the regional economy of Western Maryland, providing a much-needed boost to these communities,” said FSU President Jonathan Gibralter. “This economic impact study is an incredibly important source of data that will assist us in strengthening our relationships with our community partners. We are proud to work with them in helping our area succeed, and we value the collective efforts we are building together.”

Based on the state appropriation to FSU of $31.6 million in fiscal 2012, FSU generates an annual “return” on the state’s investment of nearly 450 percent.

Launched in April with the aim of taking an economic “snapshot” based on a model standardized by the American Council on Education, the study surveyed students, faculty and staff on their spending locally and outside the region, not counting what students paid to the university for tuition, room and board, and related expenses.

The study examined purchases FSU made as part of its operations. Members of the Allegany County Chamber of Commerce were surveyed on their employment of alumni and students and access to faculty expertise.

Total annual expenditures reported by FSU students are estimated to be $55.7 million, of which 80 percent, or $44.7 million, is estimated to occur within Allegany County. Faculty and staff reported spending $32.1 million, with 75 percent spent within the county. Employees spend an average of $2,845 per month, with housing, food, beverage and automobile expenses topping the list of monthly expenses. Average monthly spending for students was $1,289, with housing topping the list, followed by food and transportation.

The university itself spent $100.9 million, 60 percent of which covered employee salaries and benefits. Of the $25 million spent on goods and services from Maryland vendors in fiscal 2012, 42 percent was in Allegany County.

FSU is the second largest employer in the county, with 939 full- and part-time employees (369 faculty and 570 staff). This represents 2.7 percent of the total civilian labor force in the county.

Estimated expenditures made by students, faculty and staff, and the university support approximately 1,685 jobs in the state, 1,150 of which are within Allegany County.

Salaries and benefits paid to FSU employees amount to $53,472,827, translating to a gross average annual income of $56,947 per employee that far exceeds the county’s median annual household income of $39,408. In addition, 80 percent of the full-time faculty members hold doctorates or other terminal degrees in their fields, representing the most educationally advanced segment of the region’s population.

With 79 percent of FSU employees living in Allegany County, an additional 12 percent reside in Garrett County or adjacent West Virginia or Pennsylvania counties.

Forty percent of the businesses surveyed report employing between one and four university alumni, with another 10 percent hiring between five and nine alumni. Service, health care, retail and education sectors offer the most abundant employment opportunities for FSU graduates.

To read the study or a summary, go to EconImpact or FSU EconImpactSum.

Text Only
Local News
  • Easter experience Easter experience

    April 18, 2014 1 Photo

  • Game on: City interested in baseball study

    After it looked like the objection of a couple of constituents to a study on the feasibility of bringing a minor league baseball team to the area may have torpedoed the thought, county commissioners and some city officials sounded ready to sing a chorus of “Take Me Out to the Ballgame” on Thursday.

    April 18, 2014

  • DEREK SHEELY Charges against helmet maker stand in case of Frostburg player’s death

    A Montgomery County judge this week declined to dismiss charges against a helmet manufacturer in a case brought by the parents of a Frostburg State University football player who died of head injuries in August 2011 following four straight days of heavy contact drills in practice.

    April 18, 2014 1 Photo

  • GAYLE MANCHIN W.Va. BOE president speaks on issues at WVSDB

    West Virginia Board of Education President Gayle Manchin responded to issues at the West Virginia Schools for the Deaf and the Blind during an interview with the Times-News Wednesday morning.

    April 18, 2014 1 Photo

  • REGINALD REDMAN Moorefield man jailed on felony drug count

    A Moorefield man was arrested on various charges Thursday, including a felony drug offense for possession of amphetamines, according to the Keyser Police Department.

    April 18, 2014 1 Photo

  • Blossoming optimism Blossoming optimism

    April 18, 2014 1 Photo

  • Cemetery group’s efforts revive Oak Hill grounds Cemetery group’s efforts revive Oak Hill grounds

    After you drive Alexander and Furnace streets then navigate a couple of switchbacks on Cemetery Road, you’d figure there would be no more uphill.

    April 17, 2014 2 Photos

  • Proposed county budget holds most agencies flat

    After taking into account an income tax shortfall, Allegany County Finance Director Jason Bennett said he’ll propose a budget that holds most outside agencies to flat funding and funds the Board of Education at what county officials say are maintenence of effort levels for 2015.

    April 17, 2014

  • RYAN WOLF Wolf named 2014-15 Garrett Teacher of the Year

    Southern Garrett High School teacher Ryan Wolf has been named the 2014-15 Garrett County Teacher of the Year.

    April 17, 2014 1 Photo

  • Rep. Delaney discusses congressional gridlock Rep. Delaney discusses congressional gridlock

    While giving a civics lesson at Frostburg State University on Thursday, U.S. Rep. John Delaney, congressman from Maryland’s sixth district, told students that the polarization in Congress is due primarily to redistricting and a poorly designed Congressional schedule.

    April 17, 2014 1 Photo

Must Read
News related video
Ceremony Marks 19th Anniversary of OKC Bombing Raw: Fire Destroys 3 N.J. Beachfront Homes Raw: Space X Launches to Space Station Man Charged in Kansas City Highway Shootings Obama Awards Navy Football Trophy Ceremony at MIT Remembers One of Boston's Finest Raw: Students Hurt in Colo. School Bus Crash Raw: Church Tries for Record With Chalk Jesus Police Arrest Suspect in Highway Shootings Drought Concerns May Hurt Lake Tourism Vermont Goat Meat Gives Refugees Taste of Home Calif. Investigators Re-construct Fatal Bus Cras Appellate Court Hears Okla. Gay Marriage Case Horseless Carriage Introduced at NY Auto Show Chelsea Clinton Is Pregnant Beau Biden Plans 2016 Run for Del. Governor Flamingo Frenzy Ahead of Zoo Construction Obama: 8 Million Healthcare Signups Obama Hopeful on Ukraine, Will Watch Russians U.S. Sending Nonlethal Aid to Ukraine Military