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Columbia University
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Anne Canty, Director of Communications
FOR IMMEDIATE USE: June 12, 1996

Columbia University Releases Economic Impact Report

Columbia University contributes nearly $2 billion to New York City's economy through direct and indirect spending, according to Columbia University's Contribution to the New York City Economy, an economic impact analysis released today (June 12), in conjunction with the University's Minority and Women Vendors Exchange. The analysis was prepared for Columbia by Appleseed, a local economic development consulting firm.

In New York City, Columbia is a leader in private sector employment - ranked third according to Crain's New York Business - and in construction spending. In 1994-95, Columbia employed an average of 18,400 full-time, part-time and temporary employees (including faculty), spent close to $100 million on construction, and purchased $580 million worth of goods and services. Overall, 68% of University spending occurred within New York City.

"I am delighted to see that this analysis bears out the implied meaning of Columbia's full name - Columbia University in the City of New York," said University President George Rupp. "Our relationship with New York City is characterized by close cooperation and mutual benefit. This report points to additional opportunities for using the services of local businesses and we intend to work toward that goal."

Among the most significant findings of the report are:

Emily Lloyd, Columbia's Vice President for Administration, commissioned the economic impact statement. "Going into this analysis we knew that our contribution to the local economy was substantial but we wanted to better understand the exact nature of that contribution," Lloyd said. "In addition to the impact of University spending, Columbia makes an important contribution to the City's economy through education and research. One in 20 New Yorkers who holds a professional degree received it here. We are also the City's largest and most important academic research center, attracting $240 million in externally sponsored research this year alone," she said.

The Vendors Exchange is modeled on a successful vendors fair held at Columbia in 1991 and an aviation industry vendors program operated by the Air Services Development Office, a non-profit organization created by the Port Authority for local Queens businesses. As a result of the 1991 fair, Columbia increased its use of minority vendors from a base of $720,000 to $6.3 million over a five-year period. Through measures such as the June 12 exchange, the University hopes to expand further its list of potential vendors and increase its business transactions with minority, women and community businesses.

Along with the Vendors Exchange, the University is implementing several other initiatives to provide more business and employment opportunities. They include:

Columbia's Health Sciences Division has already established a precedent of using minority and women contractors on the two Audubon buildings. The Audubon Business and Technology Center, recently named the Lasker Building, exceeded required limits for buildings constructed with government funds and achieved a 35% minority participation rate for contractors and subcontractors. The project achieved a similar minority participation percentage in its labor force. The second Audubon building, the Center for Disease Prevention, is currently under construction and has a minority work force participation rate of more than 54%.

These nascent initiatives complement economic development support that Columbia already provides to Upper Manhattan in the form of the Empowerment Zone Monitoring and Assistance Project and the Business School's Community Collaboration Program, which provides training and technical assistance to local entrepreneurs.

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