Education and health care stand as two of the major economic drivers for the Mankato region’s economy, and nurturing those economic activities for growth will require public-private partnerships.
The growth seems clear. Today’s special Progress 2008 section shows that jobs in the health care field are growing rapidly in the Mankato region. Health care is adding about 350 jobs a year with Blue Earth County-located facilities alone. Many regional counties also have major health care employers. Health care and educational services together make up nearly one in four jobs in Nicollet County.
Educational services have added 350 jobs in the last six years or so in Blue Earth County. With the growth of Minnesota State University, South Central College, Rasmussen and Bethany Lutheran Collage and Gustavus Adolphus in St. Peter, education holds great promise for the local economy.
The growth of the industries is reason enough to feel fortunate they are so big in the Mankato region, but both health care and education can be leveraged with community partnerships to create more economic activity.
Already, the colleges and health care facilities work together on curriculum and continuing education programs as well as specialized programs that are attuned to changes in the market.
Anything civic leaders can do to enhance the public private partnership offers an opportunity to grow these businesses even more, but health care and education also face continual funding challenges.
Medicare reimbursement to hospitals and doctors remain below levels that these officials say is needed to cover their costs. And the federal government has made very little progress in evening out the reimbursement rates between southern and Midwest healthcare providers. Studies show Midwest providers are more efficient, but often are subject to some of the lowest reimbursement rates in the country.
There also is much as stake for the health care industry should a plan for national health insurance be implemented. We hope elected leaders representing Minnesota don’t allow a reimbursement system to be put in place that further discriminates against Midwest doctors and healthcare providers.
Higher educational institutions also have been on a diet from state funding. Whereas the state used to pay some nearly 66 percent of the cost of a college education, it now pays about 45 percent. The drawdown in state funding has meant tuition increases in double digit range. That comes at a time when demand for college graduates from employers is growing.
A shortage of educated workers may force good Minnesota employers to look elsewhere or even move or expand operations out of state.
The growth in health care and education has been substantial in the region, but there’s still more to do.
