More new students at Mount Allison University means good news for the town of Sackville.

"With enrolment up, that means there's more students spending in the community," said Coun. Merrill Fullerton during council's monthly meeting Oct. 13.

Fullerton, who is liaison councillor for the community economic development department, presented a report to council emphasizing the impact that Mount A has on the local economy.

The information in the report was gathered by Tony Frost, the university's director of marketing and communications.

This year, Mount Allison has just under 2,400 students enrolled, up approximately 200 from last year. And this surge in student numbers means an increase in student spending in Sackville and the surrounding area, said Fullerton.

From rent to transport, from groceries to entertainment, students play a critical role in the economic health of the Sackville economy.

"Increased student numbers may mean short-term inconveniences, but it pays off to the economy," said Fullerton. "And the students certainly contribute to the vibrancy and the way of life we have come to enjoy in Sackville."

And to ensure those students get a quality education, Mount A employs approximately 400 full-time and 100 part-time staff, with an annual salary and benefits budget of nearly $32 million. Much of this money is spent in the local economy on products, services, and taxes.

Mount Allison also invested an additional $1.2 million this past summer in renovations and retrofits to ensure that the facilities were ready for the extra influx of students. Several local businesses benefited from the spin-offs of these projects, including Can-Tech Construction, Payzant's Home Hardware and other suppliers in the area.

This was on top of a 2008/09 expenditure of approximately $13 million with suppliers in the Sackville and Greater Moncton area, according to Frost's report, with more than $5 million of that spent locally.

This money was not just spent on large-scale initiatives but also on gasoline, carpentry supplies, accommodations for visitors, rental car/van services, taxi services, architectural services, graphic/multi-media design work, excavation and heavy equipment, snow removal and landscaping.

"So clearly we've been seeing a significant economic hit in the past few months," said Fullerton.