The data is in: Arizona Western College provides a big economic boost to the communities it serves in Yuma and La Paz counties.
Lightcast, a labor market data organization, recently conducted a study on the economic value of Arizona's community colleges.
By analyzing operations, construction student spending and alumni productivity for fiscal year 2023-2024, they found that community colleges generated $15.2 billion in added income for the Arizona economy. That's about 3.1% of Arizona's total gross state product.
The organization also created reports for individual community college districts in the state, including AWC.
"We are proud to share the results of the Lightcast study, which highlight the tremendous impact Arizona Western College has on our regional economy,” said AWC President Dr. Daniel Corr. “These findings represent AWC’s dedication to transforming lives through education and truly demonstrate that we are a college of the community.”
According to Lightcast's report, AWC added $319.2 million of income to Yuma and La Paz counties — or 3.2% of their total gross regional products.
The greatest impact is seen through alumni.
"Over the years, students gained new skills, making them more productive workers, by studying at AWC. Today, thousands of these former students are employed in Yuma and La Paz Counties," the report reads. "The accumulated impact of former students currently employed in the Yuma and La Paz Counties workforce amounted to $256.8 million in added income for the economy of Yuma and La Paz Counties, which is equivalent to supporting 3,158 jobs."
In a press release, AWC noted that roughly one out of every 23 jobs in Yuma and La Paz counties is supported by the activities of the college and its students.
For context, the two counties saw a total income of $10.1 billion in 2024 and supported 109,028 jobs.
The college contributes to some of these jobs directly, but the bigger impact can be seen in the boost to earnings alumni receive.
Per Lightcast's data, students have the potential to earn more as they achieve higher levels of education compared to solely possessing a high school diploma. Students who earn an associate's degree from AWC can expect approximate wages of $38,400 per year within Yuma and La Paz counties. That's about $7,300 more than a high school graduate.
Lightcast noted that students paid a present value of $17.9 million to cover the cost of tuition, fees, supplies and interest on student loans. They also forwent a value of $30.3 million in time and money had they been working instead of attending college.
The return on investment is high. Lightcast found students will receive a cumulative present value of $232.6 million in increased earnings over their working lives.
That translates to a return of $4.80 in higher future earnings for every dollar students invest in their education. Students’ average annual rate of return is 16.2%.
Students aren't the only ones who benefit, however.
"Taxpayers provided AWC with $62.9 million of funding in FY 2023-24. In return, they will benefit from added tax revenue, stemming from students’ higher lifetime earnings and increased business output, amounting to $59.4 million," the Lightcast report stated. "A reduced demand for government-funded services in Arizona will add another $11.0 million in benefits to taxpayers."
In total, taxpayer benefits amount to $70.4 million in the study. For every dollar of public money invested in the college, taxpayers can currently expect to receive $1.10 in return over the course of students' working lives.
More broadly, the state of Arizona invested $133.7 million to support AWC in fiscal year 2024. In turn, Lightcast expects the state's economy will grow by $876.3 million over the course of students' working lives. Society will also benefit from $26.7 million of public and private savings.
The study concluded that for every dollar invested in AWC in fiscal year 2024, Arizonans will receive $6.80 in return for as long as students from that year remain active in the state's workforce.
College leadership are proud of the study's findings.
“Our students are the mission,” said Reetika Dhawan, CEO of AWC's Entrepreneurial College and vice president of workforce and healthcare programs. “The recent economic impact study proved that our efforts to provide quality education and industry-specific training are leading to the success of not only our students but our community at large.”
Lori Stofft, vice president for advancement and executive director of the AWC Foundation, expressed that the study is more than an opportunity to celebrate; it's an accountability check.
"This economic impact study is a public accountability tool for college districts,” she said. “It's a way to demonstrate to our neighbors that your publicly funded college is delivering a benefit to the region. And AWC is delivering in a big way, in terms of increased earnings, business productivity, and tax revenue.”
To check out the entire study, click here. The study and other relevant sources are also available in a dedicated page on the college's site here.
This reporting is supported by a grant from the Arizona Local News Foundation.
