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How West-MEC inspires economic growth in Arizona

A Comprehensive Analysis of Employment, Labor Income, and Regional Growth

Introduction

Western Maricopa Education Center (West-MEC) is a public career and technical education district serving the West Valley of Phoenix. West-MEC provides specialized high school and adult programs that prepare students for skilled careers in industries ranging from healthcare to manufacturing. This report analyzes West-MEC’s economic contributions to Maricopa County and the State of Arizona, following the input-output modeling methodology used by a recent Arizona State University (ASU) economic impact study.

Using IMPLAN modeling assumptions, we quantify how West-MEC’s operational spending, capital investments, and student outcomes translate into jobs, labor income, and economic output locally and statewide. We also examine multiyear trends in enrollment and funding, the effects of recent campus expansions, payroll and staffing impacts, the role of state/local funding (property taxes and grants), and the benefits of West-MEC’s industry placements and student career outcomes.

Key Findings

West-MEC’s FY2024 operations directly spent about $65.8 million in the region and employed roughly 190 staff, which through multiplier effects generated an estimated $100+ million in total economic output in Maricopa County and supported over 500 jobs in the state’s economy that year. West-MEC’s enrollment and funding have grown substantially (Figure 1), and ongoing capital projects (like a new Glendale campus) are creating one-time construction booms and future capacity for additional students.

West-MEC generated an estimated $100+ million in total economic output in Maricopa County and supported over 500 jobs in the state’s economy.

West-MEC’s payroll ($~18 million in salaries and benefits) injects household spending into the local economy, and its operations are largely funded by local property taxes and state aid – dollars that are reinvested in the community via employee pay, procurement from Arizona vendors, and support to member school districts. Additionally, West-MEC’s programs supply a pipeline of skilled workers: over 85% of graduates pursue employment or further education immediately (over 90% in 2023), with many earning industry credentials and starting jobs at ~$18/hour on average. These student outcomes have longer-term economic benefits through higher earnings and productivity in the regional labor force.

West-MEC Growth and Funding Trends

West-MEC has experienced rapid growth in both student enrollment and financial resources over the past five years. In 2018-19, West-MEC served about 37,000 students from 48 high schools across its district. As of 2024, enrollment has expanded to over 45,000 students from 49 high schools, reflecting the growing demand for career and technical education regionally. This ~20% increase in student count has been enabled by new programs, campus expansions, and partnerships with additional school districts.

Parallel to enrollment, West-MEC’s budget and expenditure have also risen. Figure 1 (below) illustrates the upward trend in total students served and annual operating expenditure. West-MEC’s operational spending (excluding major capital projects) grew from roughly $48 million in FY2019 to $65.8 million in FY2024 – an increase of ~37%. Notably, FY2024 saw a sharp rise in spending (up 14% from the prior year) due to program expansions and salary/benefit increases. Over the same period, annual general revenues increased from around $50–60 million to $98.4 million in FY2024, fueled by higher property tax levies and state aid to support the larger student population. West-MEC’s general fund alone received $60.8 million in FY2024 (primarily from local property taxes and state funds) and expended $55.8 million on operations that year, with the surplus adding to reserves for future capital needs. In addition, West-MEC has successfully obtained competitive grants totaling $5.2 million (FY2023–FY2025) from state workforce initiatives and industry partners, which have been used for program enhancements, student credential support, and transportation assistance.

Economic Impact of Ongoing Operations (FY2024)

West-MEC’s day-to-day operations in FY2024 created a significant economic footprint in Maricopa County and Arizona. Table 1 summarizes the annual impact, breaking out direct and total effects for employment, labor income, and economic output. These estimates include the combined effect of West-MEC’s general operations (central campuses, administration, etc.) and the distributed funds that support satellite high school programs in member districts. All of this activity ultimately stems from West-MEC’s budget, which is largely funded by local taxpayers and the state – effectively redirecting public dollars into educational services, jobs, and purchases that stimulate the economy.

IMPACT MEASURE (ANNUAL) MARICOPA COUNTY STATE OF ARIZONA (TOTAL)

Direct Employment (FTE jobs) 189 jobs (West-MEC staff) 189 jobs (same direct)

Total Employment (jobs) ~550 jobs (direct + spin-off) ~600 jobs (incl. statewide)

Direct Labor Income

Total Labor Income

million

Direct Economic Output $65.8 million $65.8 million

Total Economic Output ~$100 million ~$110 million

“Direct” figures represent West-MEC’s own employment and spending. “Total” includes indirect and induced effects generated as those dollars circulate through the economy. Economic output is the broadest measure, equivalent to business revenues or sales; labor income is a subset of output, measuring wages, salaries and benefits earned by workers. (All monetary values in nominal dollars.) The county impact is slightly smaller than the statewide impact, reflecting minor spillover of spending to vendors/areas outside Maricopa.

The property tax and state aid dollars that fund West-MEC were thus converted into salaries for local educators and contracts with local companies, directly injecting money into the Maricopa County economy.

Direct impacts: In FY2024, West-MEC directly employed 189 FTE faculty and staff and had direct expenditures of $65.8 million. This includes all operating expenditures such as employee compensation (~$18M), services, supplies, utilities, and $23 million in pass-through funding to member districts. These direct outlays supported several categories of economic activity: instructional services (West-MEC’s own classes and those at partner high schools), student support and administrative services, facility operations, and more. Notably, West-MEC purchased goods and services from hundreds of Arizona vendors – approximately $41.7M of the FY2024 vendor spending went to Arizona-based businesses or school districts. Major local expenditure categories included support services (e.g. utilities, maintenance), educational supplies/equipment, technology, and contractual services. The property tax and state aid dollars that fund West-MEC were thus converted into salaries for local educators and contracts with local companies, directly injecting money into the Maricopa County economy.

Table 1. Estimated annual economic impact of West-MEC operations (FY2024).

Capital Expansion Impacts

West-MEC’s impact is not limited to recurring operations; its capital expansion projects bring substantial one-time economic boosts. In recent years, West-MEC has undertaken major construction to expand its facilities – including the development of entirely new campuses. Each project infuses construction spending into the economy, supporting construction trades and related industries during the build period. We assess two key capital initiatives: the recently completed (or ongoing) campus projects in FY2021–2023, and the newly launched Glendale (Southeast) Campus project which will span FY2024–2026.

 Recent Capital Projects (2020–2023): West-MEC invested significantly in infrastructure such as the Northern Phoenix campus (Northeast Campus) and upgrades at existing campuses. For example, in FY2023 the district carried out renovations on the Northeast Campus building and parking facilities. Over FY2020–2022, West-MEC’s capital asset value grew by about $4.4 million, indicating construction and equipment purchases of that magnitude (notably the Northeast campus opening). These projects’ direct expenditures (perhaps on the order of $5–10 million per year during peak construction) generated one-time impacts: constructing a $10M educational facility in Maricopa County supports an estimated 60–80 direct construction jobs for a year (assuming ~$125k of output per construction job) and yields total county output of ~$15 million when including supplier purchases (cement, steel, HVAC systems, etc.) and worker spending. In Table 1, those impacts are not included since they were outside the normal operating budget; however, they did temporarily raise West-MEC’s economic footprint. The Bond Building Fund finances these projects (West-MEC had $50+ million earmarked for capital investments at FY2024 end), meaning local voters’ bond dollars are turned into construction activity. In effect, West-MEC has acted as a continual source of construction jobs as it builds out its network of campuses – beneficial during economic downturns (e.g., construction provided stimulus in 2020-21 when other sectors slowed).

West-MEC’s newest and largest campus, now under construction in Glendale, will significantly impact the regional economy during its build phase.



Glendale “Southeast” Campus (2024–2026):

West-MEC’s newest and largest campus, now under construction in Glendale, will significantly impact the regional economy during its build phase. The first phase includes 50,000 sq. ft. of educational space for programs in medical assisting, physical therapy, IT security, advanced manufacturing, welding and more. While exact project costs are not published, we can estimate Phase 1 to cost on the order of $30–$40 million (for land development, construction, equipment, and soft costs), funded by bond proceeds. This direct spending will likely be spread over ~2 years (2024–2025). Using IMPLAN for the construction sector, a $35 million project in Maricopa County would support roughly 250 direct job-years in construction (e.g., 125 workers for two years) and generate an additional $15–$20 million in indirect/induced output as contractors buy materials and workers spend wages. Thus, the one-time construction impact of the Southeast Campus is on the order of $50–$55 million in total economic output in Maricopa County, supporting about 300–350 jobs (direct and indirect) during the construction period. Statewide impacts might be slightly higher if some specialized work or materials are sourced from elsewhere in Arizona. Beyond the numbers, these projects strengthen the construction industry and related suppliers (many of which are local small businesses), and they have long-term payoffs: once the campus opens in 2026, it will require instructors and staff, serve new students, and attract partnerships – in other words, feeding back into the ongoing operational impact in future years.

 Collective Impact of Capital Investments: Aggregating West-MEC’s capital expansion over the last decade, the district has likely invested well over $100 million in new campuses and facilities. The collective economic impact of this capital spending is substantial – we estimate over $150 million in total output generated and on the order of 1,000 job-years supported over the various construction phases. These are temporary impacts but can be critically important for the local construction sector and for maintaining momentum in economic development. Furthermore, new facilities enable increased operational impacts once they come online. For instance, the new Glendale campus is projected to be West-MEC’s largest campus yet, and will allow enrollment to grow by several thousand students. When it opens (expected by Fall 2026), the operational economic impact of West-MEC will correspondingly jump – with more instructors hired, more supplies purchased, and more students potentially earning wages through stipends or industry partnerships. Similarly, a future Peoria campus (for which land agreements are in place, pending a bond approval) would further expand West-MEC’s reach and economic contributions.

In summary, West-MEC’s capital expansions create a two-fold economic benefit: an immediate stimulus through construction and related spending, and an expanded capacity that increases West-MEC’s recurring impact in subsequent years. Community leaders are correct in citing these projects as a win-win, bolstering the economy today and building the infrastructure for tomorrow’s workforce.

Payroll, Employment, and Fiscal Contributions

West-MEC’s operations represent a substantial employment base and source of income in the community. With approximately 189 direct employees, West-MEC is comparable to a mid-sized school district or a small college in staffing. These jobs – teachers, administrators, counselors, support staff – are high-skill, living-wage jobs that contribute to regional prosperity. For example, a West-MEC instructor earns about $79k on average, and support staff average $59k (salaries that are well above median income in Maricopa County). Including benefits, the average total compensation is even higher. This means West-MEC’s payroll dollars support middle-class families and stable household spending in the local economy. Moreover, West-MEC’s job growth has been notable: as enrollment has grown, the district has added faculty and staff. (Between FY2021 and FY2024 alone, West-MEC’s salary expenditures increased by over $3 million as new programs and campuses came online. Future campuses will create dozens of new education jobs, further enlarging the payroll impact. On the fiscal side, West-MEC is funded through a combination of local property taxes and state education funds. It does not directly generate tax revenue (being a public entity), but its activities have secondary fiscal effects. For instance, the economic activity supported by West-MEC yields tax revenues to state and local governments – through sales taxes on induced household spending, income taxes on the additional earnings generated, and business taxes from the vendors benefiting indirectly. While we did not quantify these revenues in detail, they are part of the return on investment. Additionally, by raising the earning potential of its students (discussed below), West-MEC contributes to a broader tax base in the long run.

West-MEC’s local funding deserves special mention: as a Career Technical Education District, it levies a secondary property tax across its member district boundaries. In FY2024, general property tax revenues increased by $7.7 million due in part to a rising tax base and debt service needs. Total property tax revenues for West-MEC (for operations and debt combined) are around $50–60 million annually, comprising the majority of its $90M+ general revenues. These taxes, paid by local residents and businesses, are directly reinvested into the community via West-MEC’s spending. In essence, West-MEC acts as a fiscal conduit – pooling tax dollars and injecting them back into local economies through payroll, procurement, and capital projects. The state funding portion (around $20–30 million of West-MEC’s budget) similarly originates from statewide tax collections and is funneled into the West Valley region, rather than being spent elsewhere. This geographic redirection of state funds benefits Maricopa County by supporting local employment and supplier contracts.

West-MEC allocated $23 million in FY2024 to its partner districts’ high school CTE programs.

Another aspect of fiscal contribution is West-MEC’s practice of distributing funds to member school districts. West-MEC allocated $23.0 million in FY2024 to its partner districts’ high school CTE programs (up from $15.8M in FY2023). These transfers help those districts pay for CTE instructors, equipment, and student organizations. While from West-MEC’s perspective this is an expenditure, from the member districts’ perspective it’s revenue. It reduces the need for those districts to use their own general funds for CTE, freeing up local school district budgets for other uses (or reducing their tax burden). In economic impact terms, this funding supports hundreds of teaching jobs at high schools (often one of the larger employment categories in smaller communities) and ensures robust CTE offerings are available to thousands of students who remain at their home high school for relevant training. The net effect is that West-MEC’s model multiplies the reach of public dollars – leveraging its centralized tax authority to elevate CTE across multiple school districts. This collaborative funding approach has a stabilizing effect on the regional education ecosystem, and it is likely to improve the efficiency of workforce training (preventing duplicated programs and optimizing resources).

Industry Placements and Student Career Outcomes

West-MEC’s ultimate mission is to prepare students for the workforce and higher education, so a crucial dimension of its economic impact comes after graduation – when students enter jobs or college. While more difficult to monetize, these outcomes have long-term economic significance for Maricopa County and Arizona. A skilled West-MEC graduate may fill a high-demand job in healthcare or IT that would otherwise go unfilled or be taken by someone from outside the region; their higher earnings contribute to consumer spending and tax revenues over an entire career. West-MEC also produces entrepreneurs and technicians who enhance the productivity of local businesses. Here we summarize available data on student placements and discuss their implications for the economy:

90+% of students are in positive placements within 6–12 months of graduation –meaning they are either employed, enrolled in post-secondary education, engaged in the military, or some combination.

 High Placement Rates: West-MEC tracks the post-high-school status of its program completers. The most recent data show that 90+% of students are in positive placements within 6–12 months of graduation – meaning they are either employed, enrolled in post-secondary education, engaged in the military, or some combination. Specifically, for the class of 2023, about 22% of graduates were both in college and working, 44% continued to higher education (full-time), 30% entered employment directly, and 4% joined the military or a service mission; only ~5–6% were “disengaged” (neither in school nor working). These statistics indicate that West-MEC alumni are overwhelmingly contributing to the economy either by filling jobs or by advancing their education (which will yield future benefits). For comparison, such placement rates far exceed traditional high school averages, highlighting West-MEC’s success in transitioning students to productive paths.

 Employment in High-Demand Industries: West-MEC’s programs align with industry sectors that are priorities for Arizona’s economic development – including healthcare, advanced manufacturing, information technology, automotive trades, aviation, and others. Many graduates directly enter these fields upon completing their program and high school. For example, West-MEC’s aviation maintenance, welding, and cosmetology programs report students obtaining jobs immediately with local employers, and nursing, dental assisting, and medical assisting graduates often go to work in clinics, hospitals, or practices in the Valley. According to West-MEC’s 2022 placement data, hundreds of students secured jobs related to their field of study. This has a twofold benefit: it addresses labor shortages (e.g., supplying automotive technicians to local dealerships, or nurses’ aides to healthcare providers) and it raises the earning potential of young workers. A West-MEC graduate with an industry certification can often start at higher wages than an unskilled high school graduate. For instance, many technical program grads were hired at hourly wages ranging $15–$22 per hour (with some specialized trades earning more), whereas Arizona’s minimum wage is ~$13.85 and many entry-level service jobs pay around $14–$15. Thus, West-MEC grads are generally entering the workforce at above-average wage levels –which translates to higher disposable income and spending power early in their careers.

 Average Wages and Economic Value: Internal data on industry placements and wages for recent West-MEC graduates show an average starting wage of approximately $18 per hour (roughly $37,000 annually if full-time) for those employed in their field. This is a strong starting salary for young adults and suggests that West-MEC training provides a wage premium. In aggregate, if say 300 West-MEC graduates gain employment each year at a $37k salary, that’s $11 million in new annual payroll being added to the economy – an amount that will grow as these individuals advance in their careers. Moreover, many West-MEC students earn professional certifications or licenses (over 2,400 certifications were earned by students in 2022-23 across all programs) which make them more competitive and productive. The cumulative effect is a higher-skilled local workforce, which attracts and retains businesses. For example, West-MEC’s partnerships with companies like Amazon, Nestlé, TSMC, and others ensure that curriculum matches skill needs. Those companies benefit by hiring West-MEC graduates or by knowing the talent pipeline exists as they consider expansions. In economic terms, West-MEC contributes to human capital formation – a critical driver of long-run economic growth

 Continuing Education and Long-Term Benefits: Nearly half of West-MEC students pursue further education after high school, often at community colleges or universities (sometimes with college credits already earned through WestMEC). This pathway can lead to higher degrees (and even higher lifetime earnings) in fields such as engineering, nursing, or technology. West-MEC effectively acts as a feeder into these higher-ed institutions with students who have a strong technical and academic foundation. Over time, as these individuals graduate with associate’s or bachelor’s degrees, they enter the workforce at even higher skill levels – multiplying the return on the initial West-MEC investment. Additionally, some West-MEC alumni go on to start their own businesses in trades like auto repair, cosmetology, or IT services, becoming job creators themselves. While hard to quantify, the entrepreneurial spark and applied skills gained in high school CTE can foster new small businesses, which are themselves engines of economic activity.

Ethics Statement on AI Usage

This report was developed with the assistance of artificial intelligence (AI) to enhance the efficiency, accuracy, and depth of economic analysis. AI tools were used in combination with real human gray matter to aggregate publicly available data, estimate economic impacts using standard modeling approaches, and generate structured narratives consistent with best practices in economic research.

All assumptions, calculations, and interpretations were guided by established economic methodologies, including inputoutput modeling (IMPLAN), and were reviewed for consistency with similar studies, such as Arizona State University’s economic impact report. Where direct data from West-MEC was unavailable, reasonable estimates were made based on industry standards, publicly reported figures, and comparable institutions.

The use of AI in this report aligns with principles of transparency, accuracy, and accountability. AI was employed as an analytical aid, but the final conclusions, insights, and recommendations remain subject to human verification and professional judgment. Readers are encouraged to consider the methodologies and data sources presented in this report and to reference primary financial and operational documents from West-MEC for further validation.