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1 Oklahoma State Regents for Higher Educations 2013 Legislative Forum November 20, 2013 Slide 2 2 2014 State Regents Legislative Agenda and Budget Request Complete College America Prohibit Weapons on Campus Oklahomas Promise Slide 3 The State Regents, all 25 institutions, and all governing boards believe that there is no scenario where allowing guns on our campuses will do anything other than create a more dangerous environment for our students, our faculty, our staff and our visitors. 3 Campus Security In past six legislative sessions, legislation has been introduced or discussed that would allow students to carry weapons onto college campus. We have successfully stopped the legislation to date. It will continue to be a top priority of our higher education system to ensure that this legislation does not become law. Slide 4 1,000 3,000 5,000 7,000 9,000 11,000 13,000 15,000 2007-082000-01 2001-02 2002-03 2003-04 2004-052005-06 2006-07 1,717 2,004 2,982 5,889 9,155 12,101 2008-09 2009-10 17,000 19,000 14,669 16,929 18,298 19,426 2010-11 20,029 2011-12 20,081 19,650 2012-13 19,300 2013-14 Number of Oklahomas Promise Scholarship Recipients Assumes 1% annual increases in OK Promise high school enrollment and 65% completion rate of high school requirements for scholarship eligibility. Slide 5 5 Slide 6 In The Global Economy of the 21 st Century, 90 Percent of the Fastest-Growing Jobs Will Require a Higher Education. In The Global Economy of the 21 st Century, 90 Percent of the Fastest-Growing Jobs Will Require a Higher Education. 2 6 Source: United States Bureau of Labor Statistics Slide 7 7 Source: Bureau of the Census 2012 compared to Oklahoma at 23.8 percent. Nationally, more than one-quarter (29.1 percent) of adults 25 and older have a bachelors degree or more. Slide 8 State Per Capita Personal Income v. Share of Adult Population with Bachelor's Degree or Higher The Overwhelming Majority of States That Have a High Percentage of Their Citizens with a College Degree Have a Higher Per Capita Income. CaliforniaColorado ConnecticutDelaware IllinoisMaryland MassachusettsMinnesota New HampshireNew Jersey New YorkRhode Island VermontVirginia WashingtonWyoming No state with a low percentage of its citizens with a college degree has a high per capita income. AlabamaArizonaArkansas FloridaGeorgiaIdaho IndianaIowaKansas KentuckyLouisianaMaine MichiganMississippiMissouri Montana NebraskaNevada New MexicoNorth CarolinaOhio OklahomaOregonSouth Carolina South DakotaTennesseeTexas UtahVermontVirginia West VirginiaWisconsin 8 Source: United States Bureau of Economic Analysis Slide 9 Learn More, Earn More 2012 Median U.S. Earnings by Educational Attainment (for workers age 25 and older) Source: Bureau of Labor Statistics, Current Population Survey 2012Bureau of Labor Statistics, Current Population Survey 2012 9 Slide 10 $1,455,253 High School Graduate $1,725,822 Some College $1,801,373 Associates Degree $2,567,174 Bachelors Degree $2,963,076 Masters Degree $3,982,577 Doctorate $5,254,193 Professional Lifetime Earnings! Source: U.S. Department of Commerce Economics and Statistics Administration U.S. Census Bureau $1.1 M more in a Lifetime than HS Grad 10 Slide 11 No High School Diploma 12.4% High School Diploma 8.3% Some College 7.7% Associates Degree 6.2% Bachelors Degree 4.5% Masters Degree 3.5% Professional Degree 2.1% Doctoral Degree 2.5% Source: Bureau of Labor Statistics, Current Population Survey 2012Bureau of Labor Statistics, Current Population Survey 2012 11 Slide 12 Percent of Oklahoma Residents Who Graduate with a Bachelors Degree Remain In the State and are Employed In the State One Year After Graduation Students Who Learn Here, Earn Here Source: 2012 Employment Outcomes Report 87% Remain in the State 12 Slide 13 Link Academic Programs to the needs of Business Healthcare, Allied Health and Nursing Engineering Business Aviation and Aerospace Wind Turbine Technology Health Information Management Management Information Systems 13 Slide 14 A total cumulative cost savings of $451.7 million from 2011-15. $451.7 m $411 m $74 m Changes in Salaries and Benefits Changes and Elimination of Positions Energy Conservation and Conversion Reduction in Supplies IT Savings Source: FY15 Institutional Budget Needs Survey $0 m $50 m $100 m $150 m $200 m $250 m $300 m $350 m $400 m $450 m 2011 2012 2013 20142015 $500 m $112 m $347 m Higher Education Cost Savings 14 FY14 Cost Savings $43.6 Slide 15 15 Higher Education Cost Savings $1 m $15 m $30 m $45 m $60 m $75 m Transfers and Other Supplies Utilities $2.1 m $73.5 m $49.3m $70.9 m $16.3 m Travel, Periodicals and Other Source: Oklahoma State Regents for Higher Education Personnel and Benefits 15 Slide 16 Information Technology Cost Savings 2011 - 2015 $239.7 Million FY14 $48.2 Million 16 Slide 17 Oklahomas 25 College and Universities have an active and productive grantsmanship program which contributes to the institutions funding outside the appropriations process. Source: Oklahoma State Regents for Higher Education In FY14, our institutions reported $620.3 million in competitive grants for program development and research. 17 Slide 18 FY12FY10 History of State Appropriations FY11 18 FY09 $1,050.9 billion FY13 FY14 $988.5 million System Overview FY08 $1,001 billion $1,039 billion $943.7 million $955 million $945 million Slide 19 19 FY80 FY90 FY00 FY10 FY13 5% 15% 10% 20% 15.6% 15.3% Higher Educations Percent of Oklahoma Total State Appropriations 18.6% FY14 15.8% 14.8% 14.6% Slide 20 1988 2007 20122013 20% 40% 100% 80% 60% 0% State Appropriations as a percent of Total Higher Education Budget 50.8% 39.9% 39.5% 20 2014 38.7% 74.2% Slide 21 21 Record Enrollment 177,385 186,067 Academic Year 2008 Academic Year 2013 Slide 22 Tuition and Mandatory Fees 5% 5.8% 2010 2011 Tuition and Mandatory Fee Increases in 2009 2013 0% 2009 5.2% 2012 22 4.7% 2013 Slide 23 California 72% 5 year Change in Public Four Year College Tuition and Fees Washington 64% Arizona 78% Source: College Board: Average Published Tuition and Fees by State 2004-05 through 2012-13 Florida 67% Georgia 63% 23 Slide 24 24 Nationally, Oklahoma is Ranked: 8 th in Higher Education Efficiency 7 th in College Affordability 19 th in STEM Job Growth Source: Enterprising States A Project of the US Chamber of Commerce and the National Chamber Foundation ENTERPRISING STATES Slide 25 According to the report, Oklahoma places 8 th in Nation on the list of States with the lowest student debt. The Project on Student Success Institute for College Access and Success Student Debt Report Oklahoma is 21% below the national average in student debt. 25 Slide 26 26 Over the Last Two Decades, the United States has declined in Degree Completion From 1 st in the World to 16 th in the World Organization for Economic Cooperation and Development Korea Canada Japan Russia Ireland Norway New Zealand United Kingdom Australia Denmark Luxembourg FranceIsrael Belgium Sweden USA Slide 27 Transform Remediation Strengthen Pathways to College Degrees and Certificates Reward Performance Increase Adult Degree Completion Focus On College Readiness 27 Slide 28 28 30,500 Goal 1,700 50,900 2011 2012 2023 2,945 Slide 29 FY14 Appropriation$988,549,007 FY15 Appropriation Request 1.Performance and Degree Completion Goals a.Performance and Degree Completion Funding Formula$55,100,000 i. Fixed Cost Increases - $30,100,000 ii. College Completion Plans - $25,000,000 b.Online Education and Degree Completion Technology$2,500,000 c.Campus Deferred Maintenance$3,700,000 2.Intervention to Enhance Degree Completion and Student Success d.Student Services Competitive Grants for Academic Advisement, Career Counseling, Financial Education and Veterans Services$10,000,000 e.Concurrent Enrollment$3,000,000 f.OTAG/OTEG$1,500,000 g.Adult Degree Completion Community Scholarship Match$250,000 h.STEM Summer Academies$250,000 Total Additional Funds$76,300,000 Total FY15 State Appropriation$1,064,849,007 $ Difference from State FY14 Appropriation$76,300,000 % Difference from State FY14 Appropriation7.7% COMPLETE COLLEGE AMERICA THE OKLAHOMA PLAN College Readiness Pathways to Degrees Reward Performance Transform Remediation Increase Adult Degrees 2015 Budget Request 29 Slide 30 Slide 31 Oklahoma Public Higher Education: Economic and Social Impacts H I G H E R E D U C A T I O N R E P O R T RESEARCH FOUNDATION 31 Slide 32 Battelle Findings on the Economic Impact of Oklahoma Higher Education H I G H E R E D U C A T I O N R E P O R T Public higher education has an impact of $9.22 billion on the states economy annually and supports more than 85,000 Oklahoma jobs; The estimated return on investment for public higher education is $4.72 for every $1.00 of state funding; Public universities have a strong and flourishing presence in advanced research, conducting $360 million in annual research and growing their research volume at a pace that exceeds the national growth rate. For every $1 in state funding, public universities attract an additional $2.24 in federal funding. 32 Slide 33 FallinForBusiness.com Perceptions of Oklahomas Business Climate The Quality of our two/four year college and university system #1 Business Climate Strength in the State 33 Slide 34 34 FallinForBusiness.com Highest Ranked Business Climate Factors Quality of 2/4 year College/University system Access to supplies required to conduct business Career-Tech System Preparation for the workplace Affordable housing options for employees Recreational opportunities Perceptions of Oklahomas Business Climate Slide 35 35 Oklahoma State Regents for Higher Educations 2013 Legislative Forum November 20, 2013