The University of Oregon contributed an estimated $3.7 billion to the state’s economy during fiscal year 2024, according to a newly released report. The analysis highlights the institution’s role in supporting over 21,500 jobs statewide, surpassing Oregon State University by roughly $200 million in total economic output. OSU’s comparable figure stood at $3.5 billion, while Portland State University reported contributions exceeding $1.8 billion. n nFunding used to maintain daily operations—such as construction initiatives, employee salaries, and benefits—accounted for much of UO’s economic footprint. Additionally, the university’s athletic programs played a major role, generating more than $649 million in financial activity last year. In contrast, OSU’s sports programs contributed over $325 million. n nResearch efforts also bolstered economic gains, with UO responsible for over $424 million in output. One notable outcome is Penderia Technologies, a medical sensor startup that emerged from the Phil and Penny Knight Campus for Accelerating Scientific Impact. The venture, rooted in university-led innovation, is now creating employment opportunities and holds potential for advancing healthcare on a broader scale. n nDespite these achievements, Oregon State remains the largest research contributor in the state, recording nearly $798 million in economic impact over the same period. The UO report also found that its activities generated more than $238 million in state and local tax revenue—funds that can support public services like transportation and health infrastructure. n nAndrew Dyke, a senior economist at ECONorthwest, cautioned against interpreting the findings too literally, noting the study offers an approximation rather than a full counterfactual analysis of what Oregon’s economy might look like without the university. Still, he acknowledged that institutions like UO bring in external funding and talent, fostering innovation both locally and internationally. n nThe release of the report coincides with financial challenges facing the university, including a $29 million budget shortfall attributed to declining out-of-state enrollment, rising personnel expenses, and pressures on federal and state funding. University leaders plan to present the findings to state legislators in the coming week as they navigate these fiscal constraints. n— news from Oregon Public Broadcasting – OPB
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University of Oregon’s statewide economic contribution edges out peer institutions
The University of Oregon may not be the public university with the most students in the state, but it is the institution contributing the most to Oregon’s economy. That’s according to estimates in a new economic contribution report released by the university Thursday. n nIn fiscal year 2024, UO generated $3.7 billion in total economic contributions for the state and supported more than 21,500 jobs. The report examined the flow of money coming from the university to the state economy. UO’s last comprehensive economic study was completed in 2011. n n“Our teaching, research and public engagement fuel Oregon’s economy, strengthen its workforce and build resilience for generations to come,” said UO President Karl Scholz in a statement. n nUO slightly leads Oregon State University by about $200 million in its total statewide economic contribution. OSU released the results of a similar study in June, highlighting $3.5 billion in state economic output. Portland State University’s 2023 report noted the school contributed over $1.8 billion to Oregon’s economy. n nThese reports come as universities and colleges face multiple financial headwinds: including paused or canceled federal research and student aid grants, increased pressure from the Trump administration to prove their value and a looming demographic cliff that many higher education experts believe will result in fewer tuition-paying students. n nRelated: Oregon’s college leaders navigate uncertain financial waters n nThe bulk of UO’s output comes from spending to sustain the university’s day-to-day operations, including expenses ranging from building projects to wages and benefits for faculty and staff. n nDuck athletics represents a significant portion of the university’s economic contribution. UO’s NCAA Division I sports programs created more than $649 million in financial activity in 2024. OSU’s athletics reported over $325 million in economic contributions. n nUO’s work to build out its research operations is also paying off, generating over $424 million in economic output last year. A highlight from this effort is the medical sensor startup, Penderia Technologies, which originated from the Phil and Penny Knight Campus for Accelerating Scientific Impact. n n“It’s an innovation that’s born out of UO Labs and now it’s creating jobs,” said UO Assistant Vice President for Economic Development Tina Guldberg. “Eventually it will advance global health care.” n nOregon State remains the state’s largest research engine, reporting nearly $798 million in statewide economic contributions over the same time period. n nUO also produced over $238 million in state and local tax revenue, according to the report. n n“That’s direct revenue for the state that can be used for health care, transportation and other important infrastructure in Oregon,” Guldberg said. n nAlthough the report boasts impressive numbers for UO, it’s important to remember that its methodology resulted in an approximate measure of UO’s economic contributions to the state, said ECONorthwest senior economist Andrew Dyke. n n“With respect to this type of analysis, the most important point is not to take the findings too far,” Dyke said. n nRelated: University of Oregon celebrates new Portland campus amid $30 million budget shortfall n nThe report itself is not a true economic impact study, which would also predict the state of the economy if the university did not exist at all. But that doesn’t mean universities don’t bring significant value to economies. n n“Universities educate students and play a role in the workforce. They bring in dollars and human capital from outside the state,” Dyke said. “That helps innovation within Oregon and more globally.” n nThis economic contribution study arrives at a pivotal time for UO as it faces a $29 million budget deficit this school year. University officials blame the shortfall on decreasing out-of-state student enrollment, increasing personnel costs and federal and state funding pressures. n nUO administrators plan to present the report to state lawmakers next week.