ALLENDALE, Mich. — Grand Valley State University leaders gathered in Grand Rapids Thursday to discuss a new study revealing the university's significant economic contribution to Michigan, generating more than $3 billion annually for the state.
LEARN MORE: Grand Valley State University generates $3 billion for Michigan economy
Along with the economic impact, the study, done by GVSU's Seidman College of Business, also shows shows that 86% of GVSU graduates remain in West Michigan after completing their education.
Randy Thelen, The president and CEO of a regional economic development organization in Grand Rapids called The Right Place, said students from Grand Valley play a vital role in shaping thriving communities across the state and West Michigan.
"The growth of Grand Valley State University and the growth of greater Grand Rapids are clearly highly correlated," said Randy Thelen, CEO of The Right Place.
In 2024, Michigan provided Grand Valley with $98 million as part of their annual state appropriation. However, the university generates $369 million in tax revenue each year, creating a significant return on investment for taxpayers.
"This exceptional [return on investment] is achieved even though GVSU annually receives approximately $2,000 less per pupil in taxpayer dollars than the state average for public universities," university president Philomena Mantella pointed out.
STUDY HIGHLIGHTS:
- GVSU generates more than $3 billion in annual economic impact
- For every $1 the state invests in GVSU, the university generates nearly $31 for Michigan’s economy
- One in every 20 college-educated jobs statewide is held by a GVSU student (116,000 jobs)
- 86% of the graduates of Grand Valley stay in West Michigan
- GVSU generates $369 million in tax revenue annually for the state compared to $98 million in GVSU's annual state appropriation (2024)
The study comes as the university welcomes it's second-largest incoming class in school history.
The university's economic impact extends beyond state-level contributions, particularly benefiting the local Allendale community where the main campus is located.
Matt Murphy, owner of Murphy's restaurant along M-45, experiences firsthand how the university affects local businesses.
"We still get steady without Grand Valley, but when they're here it's definitely a really nice increase in business overall," Murphy said.
Murphy noted that the relationship between his restaurant and the university goes beyond simple transactions.
"The servers and the students they get to know each other after awhile, and you start to know a lot about each other, where they come from, their story. And sometime you feel bad for the staff when you lose your group of guys that have been coming here for the last four years," Murphy said.
Whether its businesses in Allendale or somewhere else in the state, Mantella emphasized the university's continued commitment to benefit Michigan's economy.
"We're not done," Mantella continued. "GVSU is a proven high value investment delivering greater value for Michigan taxpayers and is truly Michigan's best investment."
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