Two of the largest local higher education institutions added $1.2 billion in income to southeastern North Carolina’s economy in one year, according to study results the schools released Thursday.
 
Economic Modeling Specialists International, an Idaho-based firm, analyzed payroll, operations and construction spending, along with the spending of students, visitors, alumni and startup companies, for the fiscal year 2012-13 to assess the regional economic impact of the University of North Carolina Wilmington and Cape Fear Community College, school news releases said.
 
The study’s definition of “regional” includes Bladen, Brunswick, Columbus, Duplin, New Hanover, Onslow, Pender and Sampson counties.
 
The $1.2 billion total breaks down into $584.3 million for CFCC and $619.7 million for UNCW.
 
“Strong economies start with strong institutions, and UNCW is proud to partner with CFCC to announce the results of this study that captures higher education’s 'real-world' impact on our region,” said UNCW interim chancellor William Sederburg in the release.
 
UNCW and CFCC employ more than 3,800 people, but the study also took alumni spending into account, which created the biggest impact for both institutions within the report, the release said.
 
The analysis concluded that higher wages earned by graduates and increased output of businesses employing alumni added more than $800 million to the total for both schools.
 
“This study helps to affirm the role that our higher educational institutions play in create a better quality of life for our region in terms of higher-paying jobs for local residents and a stronger economic climate for business and industry,” said CFCC interim president Amanda Lee in the release.
 
Some additional highlights of the report, which also incorporated multiplier effects, include:
 
IMPACT ON THE REGIONAL BUSINESS COMMUNITY: During the 2012-13 fiscal year, UNCW spent $156.8 million on payroll and benefits for 2,746 full- and part-time employees and $122.5 million on goods and services to carry out day-to-day operations and research, the analysis found. In the same period, CFCC spent $45.1 million on its payroll for 1,116 full- and part-time faculty and staff and $32.6 million to cover its expenses for facilities, professional services and supplies.
 
STUDENT SPENDING: $57.5 million in expenditures by students who relocated to the region to go to UNCW; $27.9 million by CFCC students new to the area.
 
CONSTRUCTION SPENDING: The study points out that CFCC and UNCW built or renovated a number of its facilities during the analysis year, resulting in CFCC’s case in an impact equal to $7.6 million in added regional income and the creation of 215 new jobs; and from UNCW, $6.8 million and 206 new jobs.

EMSI’s overall analysis of the UNC and state community and independent college systems, announced Wednesday, showed a combined impact of $63.5 billion, the release said. The study was conducted as part of a statewide effort and funded by the N.C. Business Higher Ed Foundation, the N.C. Community Colleges Foundation, the UNC system from non-state funds and the 36 campuses of North Carolina Independent Colleges and Universities.