THE NEW ECONOMY
In FY23, the University of Arizona will continue to leverage FY22 investments in the New Economy Initiative to advance these important initiatives.
This New Economy Initiative provides state funding to Arizona’s public universities to develop a skilled and diverse workforce and to enhance economic opportunity. Our request leverages existing strengths in Health, Mining and Space & Defense to address critical workforce shortages and establish Arizona as a leader in solving national and global challenges.
SPACE AND DEFENSE
FY22 funding will enhance capacity to train and educate students for the high demand/high paying careers in national security, space technology, and planetary defense.
Expand undergraduate programs that directly support the aerospace and defense industry by 1,300 additional students.
UArizona is 1 of 4 higher education institutions in the nation positioned to fill the research and diverse workforce needs for the defense industry, specifically related to hypersonics.
Federal funding for hypersonics related research is expected to grow by over $200M in the next year.
DoD, Raytheon, and other defense companies have expressed the need for more students graduating with degrees related to STEM and hypersonics systems.
Upgrades that allow UArizona to maintain its competitive edge in hypersonics modeling and simulation needs for testing, research, and training.
DoD is planning to double its research in hypersonic capabilities from $6.2 billion to $11.2 billion by FY2024. Accessible hypersonics wind tunnels will help UArizona compete for this research.
Companies like Raytheon currently spend millions of dollars per year traveling to the handful of commercially available hypersonic testing facilities in the U.S.
Ensuring students are workforce ready requires hands on training and exposure to next-gen infrastructure.
What is Hypersonics Flight?
The basis of many leading-edge developments at the DoD, hypersonic vehicles that travel at many times the speed of sound is necessary for the U.S. to stay ahead of our peer and near-peer adversaries to create the next evolution of civilian aircraft and warfare.
Establish the Arizona Space Institute furthering UArizona’s competitiveness for DoD and NASA missions, industry partnerships and other large contracts.
UArizona is #1 in astronomy and astrophysics, #4 in NASA funding among public universities and growing rapidly in DoD funding.
NASA’s FY20 budget shows an increase from $927 million to $1.5 billion for “Space Technology”, DoD FY20 indicates $30M for “Space Technology Development.”
The cost to develop a competitive proposal for a large NASA or DoD contract has escalated dramatically over the last decade.
Proposal development for a major mission or contract can easily cost $1 million over two years, however the payoff is very large (major NASA mission - $500; major DoD contract - $50-$100M).
The University of Arizona Health Sciences is a leader in next-generation education, biomedical research and public outreach. FY22 funding will enhance our ability to serve targeted state health needs, especially in rural and underserved areas of Arizona.
Provide an expanded pipeline of providers focused on primary, preventive and prenatal health to fill workforce shortages in the state.
There is a primary care physician shortage across Arizona, and the launch of a Physician Assistant program will help address this need. UArizona Health Sciences is uniquely positioned to leverage partnerships across our five colleges to create new dual-degree offerings that would train providers to address multiple health care needs.
Certified Nurse Midwife
The shortage of OB-GYNs in Arizona is expected to increase over the coming years, along with growth in demand for midwives and corresponding positive salaries for these positions. A new midwifery degree program will help expand maternal and fetal health care access across the state.
There are currently no Doctor of Physical Therapy programs in Tucson. A new Doctor of Physical Therapy program will help serve state needs as well as provide additional educational opportunities to students interested in health science careers.
DISTINCTIVELY ARIZONA PROGRAMS
UArizona Health Sciences will invest in programs that serve targeted state health needs. This includes a specific focus on diseases that have significant economic impact on the state, are unique to Arizona or represent nationally recognized programs of distinction within Health Sciences.
This initiative will work to expand the capabilities of the newly established UArizona Health Sciences Comprehensive Pain and Addiction Center as the nucleus for treatment, research, trials, drug discovery, technology, education and legislation to predict, prevent and contain addiction crises.
Melanoma & Skin Cancer Database
Arizona demonstrates one of the highest incidence rates of melanoma and skin cancer in the world at significant economic impact to our health care systems. This initiative will build the only state registry and database of melanoma and non-melanoma skin cancer to better assess the full burden of melanoma.
Valley Fever Collaborative
This initiative will partially support a collaborative effort between Arizona’s three state universities that will focus on the development of precision medicine approaches, drug development and environmental risk abatement to reduce the financial cost and human burden of Valley fever.
ECONOMIC DEVELOPMENT INITIATIVES
The Aegis Consortium based at the University of Arizona Health Sciences will use the knowledge gained from COVID-19 to predict and prepare for future pandemics. The concept and reach of the Consortium will require university-wide collaborations, as well as partnerships with universities, foundations, nonprofits, governments and industries throughout the world.
Center for Advanced Molecular Immunotherapies (CAMI)
The Center for Advanced Molecular Immunotherapies will form alliances and enhance relationships with other academic, professional and industry organizations to accelerate progress in the late-stage development and commercialization of personalized cell and gene-based therapies in cancer, autoimmune disease, infectious disease and immune monitoring.
Center for Regenerative and Restorative Medicine (CRRM)
The mission of the Center for Regenerative and Restorative Medicine is to catalyze research into a community that is focused on development of cell-based technologies that diagnose disease or heal injured tissue. The objectives rely on research to build living, cell-based therapies or products that enable function through biochemical and physical means that improve human health.
INNOVATIVE HEALTH CARE TECHNOLOGY
Several initiatives aim to advance the capabilities of UArizona Health Sciences’ health care technology resources. The investments will support key infrastructure and resources that push forward the targeted growth areas of remote health monitoring, advanced sensor technology and supporting state health needs via telehealth in rural and underserved areas.
The University of Arizona is a world leader in mineral resources and mining engineering. FY22 funding will establish Arizona’s only School of Mining. This school will foster innovative research and create interdisciplinary degree programs across engineering, science, law, and business.
The demand for copper is expected to rise 275 – 350% by 2050 due to the electrification of energy.
Modernization of the mining workforce is more important than ever as the industry renews its commitment to sustainability and safety. Innovation is key as mining engineers face mineral deposits that are increasingly difficult to extract.
ARIZONA’S RETURN ON INVESTMENT
Rounds Consulting Group, Inc. conducted an independent economic and fiscal impact analysis of the UArizona’s FY22 NEI request. The analysis demonstrated that Arizona would experience a significant return on investment.
“Over the 20-year analysis period, an estimated $3.9B in state and local tax revenues will be generated from the $640.0M investment ($32.0M a year).”
UArizona’s investment proposal will support 23,487 jobs by year 10 and 57,334 jobs by year 20.
Over 20 years, approximately $32.6B in labor income (i.e., the wages and benefits) will be created for the jobs that are supported by UArizona’s proposal.
A total of $94.6B in economic output (i.e., the value of goods or services produced in an area) will be generated by UArizona’s proposal over the 20-year period.
UArizona’s $32.0M investment proposal will generate a total of $3.9B in tax revenues (i.e., $2.0B in state tax revenues and $1.9B in local tax revenues) over the 20-year investment timeframe.
The breakeven point for the state’s investment in UArizona is achieved by year 9. In year 10, a positive ROI occurs and increases each year thereafter. The breakeven point occurs in less than half of the amount of time than would be considered acceptable for this type of investment (20-years).
Source: Rounds Consulting Group, Inc.
New Economy Initiative Stories from UArizona
New Economy Initiative in the news
Valley fever is a major public health problem. Arizona universities know this
January 22, 2022
Jennifer Barton: Engineering Research Outcomes Through Collaboration
October 1, 2021 (see Full Bioscience issue)
Phoenix Business Journal
As copper demand grows, UArizona takes high-tech approach to educating mining workforce
September 20, 2021 (see PDF version)
UArizona School of Mining and Mineral Resources gets $4 million from state legislature
September 17, 2021 (see Full Bioscience issue)
State legislature approves $4 million for UArizona School of Mining and Mineral Resources
September 16, 2021
Arizona Daily Star
University of Arizona puts hypersonics research program in hyperdrive
August 28, 2021
Phoenix Business Journal
Arizona universities spin out more startups, issue more patents, despite pandemic
April 26, 2021 (see PDF version)
AZ Big Media
NAU’s first Latino president looks to build economic 'powerhouse'
April 15, 2021
Chamber Business News
NAU’s first Latino president sets sights on new economy, raising per capita income
April 12, 2021
Greater Phoenix Chamber
Arizona's university leaders discuss innovation, the new economy
February 18, 2021
AZ Big Media
What's next for education in Arizona?
February 9, 2021
Arizona PBS Horizon
Impeachment, voter bills, ABOR plan to lead Arizona's post-pandemic economic recovery
February 8, 2021
Arizona Governor's Office
RIMER: Preparing Arizona's Future Workforce
February 6, 2021
AZ Big Media
'New Economy Initiative' aims to elevate Arizona’s per capita income
January 26, 2021
Arizona's three universities hope to increase Arizona Teachers Academy enrollment
March 12, 2020
Ducey’s budget earmarks $35 million for new economy occupations
January 17, 2020
Board seeks $165 million from state in 2021 for Arizona's three universities
September 6, 2019
Phoenix Business Journal
Our View: After the pandemic, it's time to make the business case
for Arizona university investment
April 23, 2021 (see PDF version)
Arizona Daily Sun
Guest Column: Arizona university step up big in trying times
April 6, 2021
Guest column: Time to think big to build our opportunities in Yuma
March 28, 2021 (see PDF version)
The Arizona Way: New Economy Initiative
February 6, 2021