Economic Impact of the University of Rochester Medical Center's Strategic Plan

Publication Date: January 2008

Publisher: Center for Governmental Research Inc.

Author(s): Rochelle Ruffer; Kent Gardner

Research Area: Health; Labor

Keywords: Economic Analysis

Type: Report

Coverage: New York

Abstract:

CGR estimates the economic and fiscal impact of the new 5-year strategic plan of the University of Rochester Medical Center (URMC) on the economy of the Rochester NY region. We estimate URMC’s $300 million in planned construction projects will generate almost $270 million in construction-related wages involving 7,000 local jobs (direct and spillover). The full report provides a breakdown by impacts likely to be provided even if the strategic plan does not come to fruition (the local sector) and the impacts that would not occur without the strategic plan (the traded sector).

The following highlights combine the local and traded sectors. By 2015, the strategic plan will result in 1,800 more jobs in the region (direct and spillover), including 771 new faculty and support staff to be recruited by URMC. CGR also estimates, by 2015, the strategic plan will be responsible for adding $90 million in labor income (direct and spillover wages) to the regional economy, which will result from additional local purchases of $38 million by URMC and additional local spending by new employees hired by the medical center.