Chancellor Shaw speaks on SU economic impact

CNY Business Journal (1996+), Jun 11, 1999 by J, Casey

SYRACUSE-Syracuse University (SU) spent more than $469 million during the 1997-98 fiscal year. Chancellor Kenneth Shaw says SU is an important contributor to the local economy. "Just by our presence, we enhance the economy," said Shaw, speaking about the university's economic impact at a recent meeting of the Thursday Morning Roundtable.

Shaw says large universities in almost any community are an integral part of the local economy.

SU's largest expenditure during the previous fiscal year was the $237 million paid to its employees in salaries, wages, and benefits. The university is the county's third-largest employer, with 3,940 full- and part-time workers. Additionally, 5,140 student workers and graduate assistants are paid by the school. The university's payroll accounts for 51 percent of its annual expenditures.

Although the university does not pay property taxes on lands used for academic purposes. SU paid $56.7 million in fees and taxes during the 1997-98 fiscal year. University dollars flowed into city, state, and federal coffers.

The City of Syracuse was paid $308,000 for the services of the police officers who perform numerous traffic and security functions for events held at the Carrier Dome.

SU collected $1.8 million in New York State sales taxes through its nonexempt sales.

Syracuse University also pays a gross utilities tax to the city and state. Last year, those taxes amounted to $671,000.

The university paid $1.6 million in other fees and taxes to local governments over the previous fiscal year.

Shaw noted that SU purchases millions of dollars in supplies and services from local vendors. The 1998-99 Community Economic Impact Report, prepared by the university, states that Syracuse University paid $79 million for goods and services in Onondaga County last year.

More than 670,000 people attended Carrier Dome events during the previous fiscal year. The thousands of SU alumni, parents, and visitors who travel to the university each year infuse millions of dollars into the local economy, Shaw said.

The university estimates those visitors spent $40 million in the Syracuse area last year. The student population spends millions more during each academic year.

Shaw added that the university's benefit to the community isn't all dollars and cents. SU is a leader in helping local companies fill highly skilled jobs and use new technologies.

Through programs such as CNY WorkKeys, which helps employers fill needed positions, SU is involved in improving the quality of the local work force.

The CNY WorkKeys program is a partnership between Syracuse University and the Metropolitan Development Association of Syracuse and Central New York.

The program studies the skills job seekers need in order to fill a particular job and then determines the educational remedy required to bridge the skill gap in the labor force.

SU has launched several courses aimed at helping to improve skills of those who already have jobs.

The Central New York Advanced Course in Engineering trains engineers from local firms to become team leaders, and the Center for Business Information Technologies (CBIT) offers high-tech training. CBIT retrains laid-off workers for new careers as well.

To assist local business development, the university's Center for Advanced Technology in Computer Applications and Software Engineering (CASE), and the Northeast Parallel Architectures Center (NPAQ work with local companies to put SU's academic knowledge to practical use.

The CASE Center has spawned 44 new businesses and helped 75 others since its inception in 1984.

NPAC helps local companies tap the potential of SU's expertise in computing and Internet technologies.

Syracuse University has formed a partnership with Niagara Mohawk to expand the ExportNY program, which assists local companies in creating international marketing strategies.

Shaw said that SU also is an asset to community-service organizations.

"We have 700 students per year who take courses which involve being active in community service," he explains.

Students perform volunteer work at Dunbar Center, The Boys and Girls Club, The Salvation Army, Vera House, and several other community-service organizations.

Shaw believes SU is not separate from the community but is an integral part of it. "The university has a stake in the vitality of this region," he concluded.