Rogue Community College (RCC) has emerged as a vital economic engine, contributing a substantial $306.5 million annually to the southern Oregon economy, according to a comprehensive economic impact study released on Tuesday.
The study, conducted by independent labor market analytics firm Lightcast, delved into RCC’s contributions during the fiscal year 2021-22. The analysis encompassed Jackson and Josephine counties, focusing on the college’s role in bolstering the region’s economic landscape and its returns for students and taxpayers alike.
Lightcast’s study revealed that RCC’s annual income injection of $306.5 million constitutes approximately 2% of the region’s total gross regional product (GRP). This contribution is derived from various avenues, including operational spending, construction activities, student expenditures, and the heightened earnings of alumni who entered the local workforce equipped with fresh skills honed at RCC.
In the year 2021-22, RCC boasted a team of 715 full-time and part-time faculty and staff. The college’s payroll amounted to a noteworthy $33.9 million, a significant portion of which was reinvested within the region through various channels like grocery shopping, rent, mortgage payments, dining out, and other household essentials.
A key focus of the study centered on RCC’s students and the investment they make in their education. In the aforementioned year, RCC extended its services to 5,863 credit students and 1,840 non-credit students. The total investment made by these students was estimated at $14.3 million, comprising $13.4 million in out-of-pocket expenses (tuition, fees, books, supplies, and future loan principal and interest) along with $953,000 in foregone wages that students would have earned had they not pursued higher education.
In exchange for this investment, the study projected that RCC students would benefit from elevated future earnings that would continue to rise over the course of their professional lives. The data indicated that for every $1 invested in their RCC education, students could expect to accrue a remarkable $6 in higher future earnings.
Notably, RCC’s influence on students’ career trajectories was vividly illustrated. Students who completed an associate degree at RCC earned an average of 25% more than their high school diploma-holding counterparts, translating to an annual increase of approximately $7,200. Similarly, those who completed certificate programs enjoyed nearly 10% higher earnings compared to high school diploma holders, amounting to around $2,900 annually. The average annual rate of return for RCC students stood at an impressive 23.9%.
RCC President Randy Weber expressed his satisfaction with these findings, stating, “This is impressive when we consider and compare our ROI to the 9.6% 30-year average return on the U.S. stock market. We’re excited to be a tremendous value as an institution. We’re thankful for the investment our students and community make toward developing the workforce in the Rogue Valley.”
Source: RCC
