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The Economic and Fiscal Impact of Proposed Arizona Christian University Campus on Surprise, Arizona
Client: The City of Surprise, Arizona
dashed line separator The City of Surprise engaged Gruen Gruen + Associates (GG+A) to estimate the economic and fiscal impacts of the proposed Arizona Christian University campus generate for the entire Surprise economy. The university is likely to play a vital role in the local economy serving as a large employer and attracting many out-of-city individuals who would otherwise be unlikely to spend their money in Surprise. The university is currently in the process of planning to build over a 10 year period a campus that upon completion will enroll approximately 6,300 students. Measurements of economic impact were taken with IMPLAN, an input-output (I-O) model taking into account inter-industry relationships within the city. The IMPLAN I-O model estimated the magnitude of the multiplier effect on income, employment and output demand through direct, indirect and induced effects. Annual economic impact estimates were made based on future expenditures of the university’s operations and payroll of employees of the university, and expenditures of students. Sources and assumptions about estimated spending of Arizona Christian University employees and students were reviewed. The direct construction costs estimated to be required for completing the building programs as well as estimates of expenditures on operations and payrolls were analyzed. Arizona Christian University is estimated at build-out to generate $44 million of output, 600 jobs and $18 million in personal income.

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