SACRAMENTO — Sacramento State University generates substantial economic benefits for the region while serving as a critical workforce development engine, according to a comprehensive California State University system economic impact report released November 18.
Massive Job Creation and Industry Activity
The university’s operations and related activities support 15,400 jobs throughout the Sacramento region while generating $1.9 billion in total industry activity, according to the CSU Economic Impact Report. These figures underscore Sacramento State’s vital role in regional economic vitality beyond its educational mission.
Campus operations contributed $737 million in wages earned across the region and generated $153.2 million in state and local tax revenue. The economic ripple effects extend through multiple sectors as employees, students, and visitors spend money at local businesses.
Exceptional Return on Investment
The California State University system supported more than 210,000 jobs across California during the 2023-2024 academic year, with Sacramento State accounting for over 16,000 of those positions. The system demonstrates remarkable efficiency in converting public investment into economic output.
For every dollar California invested in the CSU during that period, industries across the state generated $7.69 in economic activity—a substantial return on investment that significantly contributes to California’s overall economic health.
“Financial support of the California State University is not an expenditure, but a wise investment in our students and the communities and state we serve,” said CSU Chancellor Mildred Garcia.
Workforce Development Powerhouse
The CSU awards nearly half of all bachelor’s degrees in California, directly responding to the state’s most urgent workforce needs in critical fields including healthcare and technology. Sacramento State plays a central role in this mission, producing graduates who fill essential positions throughout the region.
University President Luke Wood emphasized the campus’s contribution to California’s economic mobility framework. “The CSU has long been one of the state’s most powerful engines of economic mobility, opportunity, and innovation, and its influence extends across industries, communities, and generations,” Wood said. “At Sacramento State, we are proud to be part of that tradition of collective impact.”
Graduate Outcomes Exceed National Averages
CSU and Sacramento State graduates demonstrate measurably better economic and social outcomes than individuals with only high school education. Report data shows these graduates earn higher incomes, maintain better access to healthcare, and experience lower unemployment rates.
Research indicates college graduates volunteer more frequently, participate in voting at higher rates, contribute more in tax revenue, and require fewer public services. These broader societal benefits multiply the university’s value beyond direct economic impacts.
Alumni Success Stories Validate Impact
Rabbil Green, president of Sacramento State’s Alumni Association and manager for Career Development and Learning at SMUD, traces his connection to the university back to middle school programs like Academic Talent Search and Boys State.
“It prepared me for the workforce long before I had a title and continued to develop me as I taught at Sac State CCE, built my career, and eventually served on the Alumni Association board,” Green said. “Every step reinforced the same truth: Sac State creates leaders for the region.”
Scott Syphax, CEO at Syphax Strategic Inc., described the university as “Sacramento’s talent engine,” noting that graduates populate hospitals, classrooms, boardrooms, and public agencies throughout the region.
“When Sacramento prospers, it is often because a Sac State alum is somewhere in the room helping to design, build, or lead what comes next,” Syphax explained.
Skilled Workforce Foundation
Garry Maisel, who graduated in 1980 with a Finance degree and now serves as CEO of Western Health Advantage, emphasized the university’s critical role in regional economic success.
“A skilled workforce is the backbone of economic growth, and Sac State is key to educating and training that workforce,” Maisel said, highlighting how the university directly addresses employer needs for qualified professionals.
Local Talent Retention
Most Sacramento State graduates remain in the region after completing their education, contributing to sustained local growth and vitality. Holly Tiche, principal at Tiche Consulting LLC, emphasized the importance of this retention pattern.
“The ability to give local students access to higher education and keep that talent local after graduation is invaluable, and Sac State has been doing that for decades,” Tiche said. “Sac State graduates impact our community, businesses, nonprofits and government every day in ways that continue to raise the profile of the University and the value of the degree we received.”
Beyond Economic Metrics
Alice Perez, who recently retired from AT&T as director of Legislative and Government Affairs after earning her Business degree from Sacramento State, noted the university’s contributions extend beyond economic measurements.
“It also enriches the community by hosting cultural and educational events that enhance quality of life and attract tourism,” Perez said. “With its diverse student body and faculty, the University promotes inclusivity and strengthens the region’s social cohesion and competitiveness.”
System-Wide Excellence
The economic impact report documents how the CSU system and its 22 campuses collectively drive California’s economy while building a diverse and educated workforce. The system functions as the nation’s largest and most diverse four-year public university, serving hundreds of thousands of students annually.
The comprehensive analysis reveals lasting returns on investment that Californians receive through industry activities, tax revenue generation, and employment creation. These measurable benefits validate continued public investment in higher education infrastructure.
Sacramento State’s $1.9 billion regional economic impact demonstrates how public universities serve as economic anchors while fulfilling their core educational missions, creating value that extends far beyond campus boundaries into communities throughout California.
