Colorado State University – Pueblo contributes more than $112 million to local economy 
 
Pueblo- What would happen if Colorado State University – Pueblo didn’t exist, or was moved to another location? According to a study released today by two Colorado State University – Pueblo business professors, the local community would lose more than $112 million and a host of other non-tangible benefits.

Based on budget and survey data collected during the 2003-04 academic year, Dr. Jay Goodman and Dr. Kevin Duncan, professors in the Hasan School of Business, released an economic impact study that resulted in the following major conclusions:

• The total impact of CSU-Pueblo on Pueblo County’s economy is $112 million annually, including all direct and indirect impacts as a result of the presence of the University and its students. Total local employment attributed to the presence of the University is nearly 1,800 jobs.
• The 17 percent of CSU-Pueblo students surveyed who commute from outside Pueblo County reported spending an average of just over $1,000 annually in Pueblo, for a total of more than $700,000.
• Of the 83 percent of students who live locally, 80 percent of those said they would move out of the area to attend a university elsewhere if they could not attend CSU-Pueblo. These “movers” estimated that they spend an average of nearly $12,000 annually, a total of nearly $32 million.

“It’s particularly satisfying at this time of year to be able to validate the many “gifts” or benefits we provide to the region,” said CSU-Pueblo President Ron Applbaum.

“This report provides evidence of the critical link between higher education and economic development.”

In terms of the total economic impact of a single employer, CSU-Pueblo ranks among the largest in the region, based on comparisons to the results of other local economic impact studies (see chart below). The CSU-Pueblo impact on the Pueblo economy is estimated to be similar to the impact of Colorado College on the Colorado Springs economy.

Organization Year Impact
Pueblo Nonprofits+ 2001 $125 million
CSU – Pueblo+ 2004 $112 million
Colorado College** 2004 $110 million
Rocky Mountain Steel Mills* 2000 $100 million
Colorado State Fair+ 2004 $27 million
*Conducted by the Adams Group, Inc. **Completed by Taylor and McKenzie-Young
+Authored by Duncan/Goodman

Duncan and Goodman reported that the size of the impact results in part from the fact that much of the University’s funding comes from state and federal government. Another reason is that a majority of local students attending the University would leave to get an education elsewhere if CSU-Pueblo did not exist. As a result, the impact of student spending at over $55.8 million is nearly identical to that of University spending, at just under $56.9 million.

Goodman said the “movers” figure surprised the authors.

“This made the economic impact of student spending substantially larger, and is probably a reflection of the increasing value that students and employers in southeastern Colorado place on a four-year college degree,” he said.

Goodman added that the economic impact study was done AFTER substantial cuts in General Fund appropriations sustained by the University in recent years. In 2001-02, the General

Fund appropriation for CSU-Pueblo was $14,870,148. The most current report used the 2003-04 estimate of $11,605,980, which represents a reduction of $3,264,168 from two years earlier.
“The negative economic impact of this reduction in funding is approximately $5.5 million, once the multiplier impacts on the community are taken into account,” Goodman said.
Goodman said the $112 million figure also is conservative given the many graduates of the University who have chosen to remain in the local community and who benefit Pueblo economically through the increased income they earn as a result of their advanced education. It also omits the social and cultural enrichment activities sponsored and hosted by the University that might not otherwise exist. The faculty, staff, and students also contribute their time and energy to enriching the community in countless less tangible ways.

Five years ago, Duncan estimated the economic impact of then University of Southern Colorado to be about $64 million.

In 1998, only 54 percent of students indicated they would leave Pueblo if they could not attend the University. The number of self-described “movers” increased to 66 percent in 2004.


Colorado State University - Pueblo is a regional, comprehensive university emphasizing professional, career-oriented, and applied programs. Displaying excellence in teaching, celebrating diversity, and engaging in service and outreach, CSU-Pueblo is distinguished by access, opportunity, and the overall quality of services provided to its students.