GRINNELL, Iowa — Local businesses in Grinnell are seeing a boost in their economy after college students began using dining dollars at their shops.

The college’s dining dollars program started with a student. Senior sociology major Caroline Cassidy came up with the idea as a sophomore. She entered a school pitch contest, where she won funding that allowed her to start the program. Her idea was inspired by her work at the Grinnell Chamber of Commerce.

A pilot program took place during the last school year when four local businesses, Dari Barn, Jay’s Deli, McNally’s Foods, and Saints Rest Coffee Shop, started accepting dining dollars during the fall semester. Assistant Vice President of Auxiliary Services at Grinnell College, Rachel Bly, said businesses taking part in the program are required to pay a small service fee for every transaction from a student card, but the program has proven to be successful for local businesses.

McNally’s Foods, a local grocery store in the city’s downtown, has seen increased business within the last year because of students using dining dollars, according to the store owner Julie Smith.

“We’ve seen a lot of kids come in and use it to get fruit, get something together as a group. So, it’s really just a nice program for them to get some extra things that they can’t find on campus,” said Smith.

And students have a positive reaction to the program. Freshman Rosie Penar and Aquila Hudson say they frequently go to Saints Rest Coffee Shop because of the accessibility provided by dining dollars.

“It’s a lot more freeing to be able to go out into the community and eat food at different establishments, especially since there’s only one dining hall on campus. It allows us to diversify our options and also to get to know the community,” said Penar.

Due to the program’s success, the school was able to expand it to other businesses. Pagliai’s and El Cascabel are now accepting dining dollars in their businesses. Cassidy said the program is bigger than what she first imagined it could be.

“There’s just been a large amount of money injected into the downtown economy, and it’s great for these local businesses. One of these local businesses it just got expanded to, El Cascabel, is one of the newer businesses in town. And it just goes to show that if you invest in your town, your town will support you right back and you’ll have all these great options to support,” she said.