Savannah State powers $164M boost to Georgia’s economy, new report finds

Savannah State University (SSU) has proven once again to be a cornerstone in the economic landscape of Georgia, as highlighted in a recent report by the Selig Center for Economic Growth at the University of Georgia. The findings indicate that SSU contributed a substantial $164.4 million to the state’s economy during the fiscal year 2024, showcasing a 9.3% increase compared to the previous year. This significant boost emphasizes the role of SSU not just as an educational institution, but as an economic engine fueling growth and development in the region.

Economic Impact Breakdown

The report delineates SSU’s economic impact through three main channels: institutional spending, student spending, and capital investment. Each dollar within these categories directly flows into the local economy, yielding salaries, operational expenses, and local purchases that benefit various sectors.

1. Institutional Spending:

   • The university’s spending on personnel services amounted to approximately $60.8 million. This sum directly supports jobs on and off campus, creating a ripple effect in local employment.

2. Student Spending:

   • Students contributed a staggering $65.6 million through their expenditures. This money fuels local businesses such as restaurants, shops, and housing facilities, showcasing the essential role that student life plays in the economic ecosystem.
3. Operating Expenses:
   • Savannah State incurred $37.8 million in operational expenses, which, in turn, circulates through the community, further enhancing economic activity.

The Multiplier Effect

An intriguing aspect of the report is the economic multiplier effect, which amplifies the economic contributions of institutions like SSU. For every dollar spent by the University System of Georgia (USG), an additional 52 cents is generated in the local economy. This multiplier effect signifies that money spent at SSU isn’t solely confined to its campus; it fosters economic activity throughout the surrounding areas, benefiting a myriad of local services and industries.

Employment Opportunities

While the report did not provide specific employment numbers for SSU, it noted a broader trend: every million dollars spent by the USG supports approximately 11 jobs in both local and university-related employment. This statistic paints a vivid picture of how academic institutions contribute to job creation, enhancing employment prospects in the community.

Community Engagement

SSU’s influence extends beyond mere economic numbers. The university also plays a vital role in fostering cultural programs, conducting research, and offering public services that enhance community engagement and innovation. Such initiatives not only elevate the university’s profile but also strengthen its ties with the local community.

A Long-Term Vision

Dr. Jermaine Whirl, president of SSU, emphasized that the institution serves as both an educational haven for future leaders and a robust economic engine. This dual function reinforces the university’s long-term vision to contribute significantly to regional development. As reflected in the report, SSU is dedicated to upholding educational standards while simultaneously supporting local economies through its rich academic offerings and innovative partnerships.

Strategic Importance for Southeast Georgia

The $164.4 million economic impact is particularly significant for Southeast Georgia, which includes counties like Chatham, Effingham, Bryan, Liberty, and Bulloch. The strong economic foothold that SSU provides helps elevate the standard of living for residents and reinforces the importance of continued investment in higher education.

Conclusion

In summary, Savannah State University’s economic contributions are vital not only for its students and staff but also for the broader community in Southeast Georgia. This $164.4 million impact, along with an emphasis on community engagement, job creation, and the multiplier effect, underlines the essential role universities play in regional economies. As SSU continues to support local businesses and foster innovation, it reaffirms its commitment to both educational excellence and community development.

As the findings of the Selig Center for Economic Growth illustrate, investing in institutions like Savannah State is not merely investing in education; it is also an investment in the economic health and vibrancy of the entire region.

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