Jobs and revenue for San Marcos and the surrounding area could be a result of the construction of two proposed buildings, according to a report commissioned by the university.
The administration recently asked The Perryman Group to conduct an economic-impact study for the new Science and Engineering and Health Professions buildings. The university is looking to use the information to receive funding for the buildings from the legislature. The report estimates more than $106 million will enter the local economy. Additionally, it estimates 1,230 permanent jobs will be created in the local and regional communities as a result of the graduating classes to be housed in the new buildings.
Bill Nance, vice president for Finance and Support Services, said in fall 2012 the university contacted The Perryman Group. Nance said administrators asked The Perryman Group to assess the economic impact of the building construction and its academic programs. It would additionally look at the facility’s potential research.
The report estimates the construction of the Science and Engineering Building will create a statewide gross product of $88 million. The construction of the Health Professions Building is anticipated to generate $47 million.
“There are significant economic impacts and benefits to the San Marcos-Round Rock region and the entire state of Texas many times over the initial investment that the legislature might make in these two buildings,” Nance said.
Kristy Stark is the assistant director of development services for the City of San Marcos. Stark said the construction of new buildings on campus “brings up the standard for everyone” in the community.
Nance said administrators can estimate the wages of employees who will construct the buildings. He said economists can then determine how employees’ paychecks will “ripple through the economy” when they buy groceries and gas.
Nance said the same thing will happen when faculty who work in the new buildings are paid. He said these are called economic impact multipliers.
“The immediate impact is a very dramatic selling point that we have been able to make in the legislature about these two buildings,” Nance said.
Ruth Welborn, dean of the College of Health Professions, said the study not only gives legislators valuable information but aids the community in knowing how the new buildings will affect it.
Stephen Seidman, dean of the College of Science and Engineering, said the study makes a clear case the buildings will “really help the economy of San Marcos.” Seidman said he hopes the report will help Texas State get funding for the buildings.
Nance said university officials have been stating their case before the House Appropriations Committee and the Senate Finance Committee. He said officials have not heard any news on the progress of funding for the projects.