The Griffin: volume 52, issue 14 - Mar. 5, 1982

              The study was done by Dr. George Palumbo, professor of economics and finance here, in order to "create a good atmosphere for Canisius to get money," according to Mr. George Martin, executive vice president for Administrative Affairs who commissioned the study. $16.1 million is generated from the 59.2 million in wages and salaries of the 401 full-time and 179 part-time Canisius employees. S4.37 million is generated from the 85% of goods and services Canisius purchases locally. $5.6 million was generated from total student purchases of $3.9 million in supplies, meals, transportation,- and recreation. Each student spends about $2,565 per academic year on these purchases, according to the study. Martin said the study "is done every four to six years (and) it helps us (Canisius) when we call on industry and individuals (for endowments)." Canisius then has an answer to "What did you do for me?", according to Martin. Palumbo's study states that during the 1981-82 school year, Canisius will generate approximately $29 million in income for the Buffalo Metropolitan area. Palumbo said Canisius also has a "considerable impact" on retail sales in Buffalo. $25.96 million in total retail sales is generated by Canisius' $5.6 million in direct student purchases and $20.36 million Photaby BILL Ml'RPHY Dr. George Palumbo Professor of Economics and Finance in indirect sales. This is determined by using a "multiplier model" in which Buffalo retail sales are multiplied by the percentage of Canisius' income. Palumbo conducted the study by taking a budget survey using information from Mr. Anthony Bellia, director of financial aid. The purchasing information was provided by Mr. Anthony Battaglia, purchasing director here. A survey of the Class of 1984 was given by Palumbo in order to "identify the portion of the student body that wouldn't be here (in the Buffalo area)" if they did not attend Canisius. The results of the survey show that this number is 50-70% of the students, here. Palumbo said that the "principle criterion" for these students' decisions was "Canisius' academic reputation." This economic study can not completely identify Canisius' total impact on the community because such factors as the benefits from Canisius graduates who remain in Buffalo, added prestige the college In addition to the survey results, Palumbo added that the impact of Reagan's proposed cuts "is going to be determined by wh§t the state (New York) does." According to Palumbo, if the states make loan money available it will "lessen the impact" of the proposal although he believes that right now there is "too much talk about it (the cut) happening." He continued that the worst circumstances could cause "Canisius to shut and people to go out of town." Palumbo said that if that happened up to 50-70% of the students now attending Canisius could go out of town and therefore take the same percentage of the $29 million generated with them. As a result of this, he said, the study "undercounts" Canisius' impact on Buffalo because these uncounted factors make it significantly larger than $29 million. gives to the area, and the impact of the MBA (Master of Business Administration) program here, can not be measured, according to Palumbo. Canisius students and administrators lobby in Washington against federal aid cuts. Photo by PAUL DENNEE. by Paul Dennee .Five local congressmen expressed opposition to President Reagan's proposed .cuts in the federal education budget during meetings with Canisius College representatives who were visiting Washington, D.C., to lobby for congressional support of educational funding. The college representatives, including 40 students, Fr. Edmund G. Ryan, S.J., vicepresident for academic affairs, and Mr. Anthony Bellia, director of student financial aid here, went to Capitol Hill on March 1 and 2 to explain how the budget cuts would curtail their educational opportunities and the preservation of the college. Representative Jack Kemp called the Reagan budget the "most fiscally irresponsible action ever taken." Kemp, who characterized himself as "fiscally conservative," said he "told David Stockman that a 1% increase in the growth of the economy would finance the budget deficit." This, he explained, would "blance the budget better than the budget cuts would." Education plays a major role in that growth, he said. Senator Daniel Moynihan agreed that education is imperative in the response to technological advancement. He said there is a shortage of Rep. Henry Nowak said "there is a real need for much broader educational opportunity" at the present time because new advances in technology will require a skilled labor force. "We don't have enough chemists and engineers," he said, "and we can't forward that technology if we don't have enough (educated) people." Kemp said the cut would cause a migration of students from private to public students schools, thereby increasing student subsidy from local taxpayers. "I think the (cut) is going to be selfdefeating," he said. The Canisius College administration predicts a loss of 1/3 of college enrollment to state subsidized schools if the cut passes. The state subsidy is about 9 timesgreater for a student attending the University of Buffalo as (continued on Page 4) "I don't think (the proponents of education cuts) will be able to bring about a consensus to block (the education budget) when they vote next year," he said. It was necessary to vote for cuts in education to vote for other cuts, he complained. Nowak said last year's education cuts were enacted partly because that area of the budget was hidden within a confusing package deal. He said that because so many budget items were lumped into one bill, it was difficult to understand all the legislation that the bill represented. words of students who were demonstrating on the stairs of the Capitol Building during "Higher Education Day" on March 1. "Books not bombs" was chanted continuously throughout the demonstration period. Rep. John LaFalce said "availability of arms" is not as important as the "education (necessary) to use them." Kemp, however, doesn't believe it will be possible to "get major cuts out of the defense budget for education" due to the sway of Congress. Rep. Stanley Lundine said he is "opposed to the cuts that are recommended in President Reagan's budget." He believes "education should reflect a high priority" in federal funding because it is of the "highest priority for society's future." He did not believe, however, qualified personnel in the fields of physics and engineering, adding that "there's going to be work in (the technological) things we're training for." "We can't have private institutions without the help of this kind of aid," he said. "It's (that) important to this country." Congressman Frank Horton is attempting to divert as much as $12 billion of Reagan's proposed defense budget into funding of social programs, according to Gordon Wheeler, Horton's legislative aid. The "transfer of funding" idea was evident in the Moynihan also sympathized personally with students because he "landed up with 4 degrees, and the public paid (some of) the tuition." ■ Rick Nasti and John Zagame, legislative aids to Senator Alphonse D'Amato, emphasized the complexity of the Fiscal 1982 budget, indicating that education is but one budget issue. They said funding of public transportation is crucial in New York City, exemplifying the necessary for the prioritization of budget issues. D'Amato's press aide, Kathy O'Brien, added that the senator is personally aware of the need of students for federal funding since the senator "isn't a wealthy man, and he has 2 children (to put through) college." Moynihan said that his other constituents will be lobbying for increased federal funding in other areas besides education. Hence, he concluded that the fight for student aid increases "is going to be very nasty." Moynihan added metaphorically the importance of education to the future of the United States — "if you don't send in the Fall, then there's nothing to plant in the Spring." that "you can exempt education from the budget cuts," although he said he would like the amount of educational aid "restored to last year's level." Canisius Generates $29 Million For Buffalo Area Local Politicians Oppose Reagan Education Cuts by Suzanne Cupolo $2.87 million generated from grants of approximately $1,920 per student would be lost to the area if Canisius College were not in Buffalo, according to a study done on the economic impact of the college on the Buffalo area. The $29 million represents the total income generated by wages and salaries, non-salary expenditures, grant money, and student purchases. Although "a lot (of the income) is externally generated, (it all) helps the community grow," said Palumbo.