MCC's economic impact nearly $14 million

Mesalands Community College added almost $14 million to the region’s economy and supported nearly 250 jobs during the 2021-2022 fiscal year, a report stated.

The economic impact report by Lightcast, a global labor market analysis firm, was presented during the college’s board of trustees meeting on Jan. 16 by Joel Kiser, vice president of academic affairs.

Kiser said the New Mexico Independent Community Colleges organization wanted economic studies of all its members, and the state’s Higher Education Department said the data would be beneficial.

The report states that during FY2021-2022, the college’s operations spending led to an economic impact of $5.3 million. Student spending led to an effect of $3.5 million. Impact by Mesalands alumni led to another $5.1 million in economic effects.

The total was $13.9 million, with the college supporting 247 jobs during that fiscal year.

The report also stated that Mesalands and its students supported one of every 26 jobs in the service area, which includes Quay, Harding and Union counties.

In return for their investment, Mesalands students will receive a cumulative present value of $34.5 million in increased earnings over their working lives. That translates to a return of $6.80 in higher education earnings for every $1 that students spend on their education.

That annual rate of return is 23%. That compares to an average annual stock-market return of 9.6%.

For every $1 invested in Mesalands, New Mexico residents received $8.20 in return, the report stated.

Interim President Allen Moss said the economic effect of Mesalands was higher than at other community colleges in the state.

Board chairman Richard Primrose said the college ought to publicize the report.

Board member Tom Sidwell added: “Especially to the Legislature.”

“I’m glad this is made public,” Primrose said. “The impact is huge for rural New Mexico.”

Board member Phillip Box said the report was “very useful.”

Other data from the report:

— About 74% of Mesalands students came from outside the region.

— Taxpayers provided $5.4 million in funding to the college. In return, they benefited from added tax revenue, students’ larger lifetime earnings and more business output that totaled $7.7 million.

— Reduced demand for government-funded services added another $1.1 million in benefits to taxpayers.

In other business from the board meeting:

— During the president’s report, Moss said an exit meeting had been held for the college’s 2022 audit, but the report had not yet been released.

Moss said he anticipates the board will go over the audit during its February meeting, then the college would begin working on the 2023 audit.

He said the state auditor’s office has established an online portal to upload documents and data for a forthcoming special audit that “will take some time” to organize. The state auditor ordered the special audit after Mesalands fell into deep financial trouble about a year ago, resulting in a staff no-confidence vote and the departure of its previous president, Gregory Busch.

“The special audit is designed to see how we got into that mess,” Moss said.

On a related note, the board approved an audit committee of three Mesalands staffers appointed by Moss and the board chair and vice-chair. The committee had been requested by the state auditor. The panel would be given regular updates on audits and participate in the college’s responses.

— Discussing the December financial report, Moss said the college finished 2023 with a cash balance of more than $1 million, though he added “it was too early to say how we’ll end the fiscal year” in June.

— Moss said the Higher Learning Commission has recommended the college be placed on probation, but that won’t endanger its accreditation.

Moss said, however, that Mesalands might be able to contest its probation and instead be put on notice, the next level up.

— The board approved academic calendars for the 2024-2025 and 2025-2026 school years.

Kiser said having the calendars in place early “is very important for our future growth,” noting some area high schools already have contacted Mesalands about classes for the next school year.

— Kiser said the college received an $18,204.64 grant from the state’s Higher Education Department to continue adult education programs, which include general educational equivalent and English-as-a-second language classes. The grant also would be used for professional development for staff.

— Mark Martinez, director of operations and procurement, said contractors have begun repairs on the hail-damaged roof of the wind-energy center that would be finished this month. Adjusters soon would assess damage on other buildings and equipment from the May storm.

— Noting the state has proposed slightly more funding in the coming fiscal year, Martinez said that signals a proposed merger of Mesalands with a four-year university probably isn’t going to happen.

Board member Jimmy Sandoval voiced concerns about such a merger, but Moss said he doesn’t think it will happen if Mesalands “stays financially sound.”

When Sandoval asked about the college’s previously proposed meat-processing program, Moss said state officials have told the college not to add programs until its finances are more stable. Moss said the program likely would be revisited at a later date.

— Martinez said about 30 residents have purchased memberships in the college’s 24-hour fitness center. Though Mesalands raised its membership fees substantially, Martinez said no one has complained, and “many think it’s a bargain.”

— In a reorganization of the board, Richard Primrose was re-elected as chairman and Theresa Stephenson as vice chair, with Tom Sidwell chosen as secretary-clerk.

— During his chairman’s report, Primrose said the HLC during an on-site visit recommended more education for board members. He said members should consider a training session at a later date from the New Mexico Independent Community Colleges or the Association of Community College Trustees.

— Primrose said the Mesalands Community College Foundation would hold a shrimp boil fundraiser at 6 p.m. Feb. 10 at the Tucumcari Elks Club, with a live band and dance. Tickets are $30.

— In separate motions, the board approved revisions to the administrative handbook and personnel handbook.

— Moss introduced new employees Baylee Roberts, nursing instructor; Nina Hatfield-Montano, administrative assistant; Sia Parmer, part-time fitness center worker; and Nick Bradfield, director of facilities.