III. Academic Committee MeetingOctober 28, 2011

AGENDA ITEM NO. 8OFF-CAMPUS INSTRUCTION CENTER UNIVERSITY OF ARKANSAS COMMUNITY COLLEGE AT HOPE

Cynthia Moten

Associate Director, Academic Affairs

Texarkana Off-Campus Instruction Center University of Arkansas

Community College at Hope

• University of Arkansas Community College at Hope (UACCH) requests approval for Off-Campus Instruction Center at Texarkana

• General education coursework leading to associate degrees for transfer to bachelor’s degrees will be offered at Texarkana Center

• Technical certificates and degrees will be offered to prepare students for work and to meet Miller County workforce needs

Overview of ICAC Programs

ICAC Oversight

• Church-Related Training• Institutions on Military Installations• Non-public Postsecondary Institutions• Out-of State Postsecondary Institutions and

For-profit Institutions requiring program certification

Church-Related Training

• 33 Institutions • Institutions operated solely to provide programs of study in church-

related training may be eligible for exemption from certification• Programs specifically prepare students to assume leadership

positions in a church and/or religious organization• Church-related training must be clearly labeled so that both the

recipients of the training and persons evaluating the training are able to identify the nature and purpose of the program

• Institutions must apply for renewal of exemptions from certification every two years

• Letters of Exemption from Certification are listed in Letters of Notification

Letter of Exemption from Certification

Institutions on Military Installations

• 3 Institutions• The majority (51% of total annual enrollment) of students

enrolled at the institution located on the military installation must be active or retired military personnel and their dependents

• Institutions must apply for renewal every two years • Letters of Exemption from Certification are listed in Letters of

Notification

Letter of Exemption from Certification

Non-Public Arkansas Institutions

• Arkansas Baptist College• Central Baptist College• Crowley’s Ridge College• Harding University• Hendrix College• Shorter College

Established before 1975

• John Brown University• Lyon College• Ouachita Baptist University• Philander Smith University• University of the Ozarks• Williams Baptist College

Institutions of Higher Education incorporated in the state of Arkansas on or prior to April 7, 1975, and offering degrees customarily granted by colleges or universities with accreditation by an accrediting agency recognized by the U.S. Department of Education are exempt from certification unless the institution fails to maintain accreditation.

If an independent institution fails to maintain accreditation by an accrediting agency recognized by the U.S. Department of Education, or the Council on Higher Education Accreditation it must obtain AHECB certification.

Independent institutions must contact ADHE prior to any change in the institution’s charter or level of degree program.

Any non-public entity wanting to establish a new institution in Arkansas must submit a proposal and follow the ICAC Rules and Regulations for certification.

New Regulations/Legislation

Act 205

Section 1

False Academic Credential - Means a document that provides evidence or demonstrates completion of an academic or professional course of study at the post-secondary level that results in awarding of a certificate, degree, or rank by an individual or institution that is not:• Certified under Arkansas Code §6-61-31 • Exempt from certification under Arkansas Code §6-61-31

A person who violates this section may be convicted of a Class B misdemeanor and fined up to $1,000

Section 2

Establishment of an Accrediting Agency - An individual shall not establish or operate an accrediting agency in Arkansas without recognition by the United States Department of Education

Effective July 27, 2011

New Federal Legislation

Final Rules on Title IV Program Integrity• Three areas included:– State Authorization– Credit Hour– Gainful Employment

If an institution is offering postsecondary education through distance or correspondence education to students in a state in which it is not physically located or in which it is otherwise subject to State jurisdiction as determined by the State, the institution must meet any State requirements for it to be legally offering postsecondary distance or correspondence education in that state

34 CFR Part 600.9 (c)

13

New Federal LegislationFinal Rules on Title IV Program Integrity

CFR 600.9

• October 29, 2010 – U. S. Department of Education published the final regulations on program integrity– Institutions could lose Title IV funds without state authorization

• Institutions had until July 1, 2011 to contact states • “Dear Colleague Letter” allowed for an extension until

July 1, 2013• USDE will not initiate any action before July 1, 2014

– Institutions must make good faith efforts to comply

• Law is being challenged

14

Implications

• Affects all institutions including Arkansas public institutions

• Major increase in request for ICAC Rules and Regulations from out-of-state institutions– Over 400 requests to date

• Major increase in degree proposals being submitted for certification– 30 new institutions to date

• Acknowledgement of enrollment of Arkansas residents in uncertified programs– One to 300 enrollments

15

Certified Institutions

• 48 institutions with certified programs• 14 out-of-state, non-profit institutions• 6 Arkansas non-profit institutions• 6 Arkansas proprietary, for-profit institutions• 22 out-of-state proprietary, for-profit institutions

• 8 institutions have Arkansas campuses• 35 institutions deliver programs by distance technology • 3 institutions have both Arkansas campuses and

delivery by distance technology

October 2011

Enrollment/Graduates

• Total Enrollment – 14,801

Online enrollment 9,339Arkansas campus enrollment 5,462

• Total Graduates – 1,590

Online graduates 1,017Arkansas campus graduates 573

July 1, 2010 – June 30, 2011

Degrees Offered

July 1, 2010 – June 30, 2011

18

Degree Number of Programs AAS 72

AGS 1

AA 7

AS 9

BA 9

BS 185

Master’s 145

Doctorate 20

Graduates

July 1, 2010 – June 30, 2011

19

Degree Number of Programs AAS 244

AGS 5

AA 162

AS 14

BA 9

BS 524

Master’s 559

Doctorate 3

Tuition Per Credit Hour

ICAC Institutions

Arkansas Public Institutions

Arkansas Public Institutions

In State Out of State

Undergraduate Degrees

Lowest Tuition $115 $60 $87

Highest Tuition $597 $240 $725

Graduate Degrees

Lowest Tuition $295 $160 $318

Highest Tuition $740 $398 $735

AGENDA ITEM NO. 10NEW PROGRAMARKANSAS STATE UNIVERSITY-JONESBORO

Cynthia Moten

Associate Director, Academic Affairs

Associate of Science, Graduate Certificate, and Master of Science in Disaster

Preparedness & Emergency Management

• Program designed to prepare healthcare employees, firemen, police, and city and county officials to respond to earthquakes, tornadoes, floods, and other disasters

• The courses will be offered via distance technology

AGENDA ITEM NO. 11NEW PROGRAMHENDERSON STATE UNIVERSITY

Cynthia Moten

Associate Director, Academic Affairs

Bachelor of Science in Radiography

• Partnership with Baptist Health Schools Little Rock- School of Radiography and Henderson State University

• Students who successfully complete the combined curricula will be awarded the bachelor’s degree from HSU and will be eligible to sit for the certification in radiography

AGENDA ITEM NO. 12NEW PROGRAMUNIVERSITY OF ARKANSAS FOR MEDICAL SCIENCES

Cynthia Moten

Associate Director, Academic Affairs

Master of Physician Assistant Studies

• Program designed to prepare individuals to practice medicine under the direction and supervision of a doctor of medicine or osteopathy

• To practice in Arkansas, the certified physician assistant must complete the licensure process as specified by the Arkansas State Medical Board

AGENDA ITEM NO. 13NEW PROGRAMUNIVERSITY OF CENTRAL ARKANSAS

Cynthia Moten

Associate Director, Academic Affairs

Master of Fine Arts in Creative Writing

• Designed for individuals planning for careers in teaching, writing, publishing, marketing, media, public relations, and website design

• The degree builds on undergraduate degrees in writing and linguistics

AGENDA ITEM NO. 14ICAC REPORTS & RESOLUTIONS

Zanette Douglas

Coordinator, Institutional Certification

Institutional Certification Advisory Committee (ICAC)

14 Colleges and Universities

– 5 New Institutions – 23 New Degree Certifications, Distance Technology• American Sentinel University, Aurora, Colorado – 6 Initial Degrees• Belhaven University, Jackson, Mississippi – 5 Initial Degrees• Columbia University, Columbia, Missouri – 4 Initial Degrees • Norwich University, Northfield, Vermont – 5 Initial Degrees• Victory University, Memphis Tennessee – 3 Initial Degrees

– 9 Previously Certified Institutions

22 New Degree Certifications• American InterContinental University, Hoffman Estates, Illinois – Distance

Technology, 4 Initial Degrees• Everest University, Orlando, Florida – Distance Technology, 4 Degrees• Grand Canyon University, Phoenix, Arizona, Distance Technology, 4

Degrees• ITT – Technical Institute, Carmel, Indiana – Little Rock Campus, 5 Degrees• Liberty University, Lynchburg, Virginia – Distance Technology, 5 Degrees• Rasmussen College, Ocala, Florida – Distance Technology 4 Degrees

30 Degree Recertifications• DeVry University, Naperville, Illinois – Distance Technology, 9 Degrees• Kaplan University, Davenport, Iowa – Distance Technology, 18 Degrees• Strayer University, District of Columbia – Distance Technology and Little

Rock Campus, 3 Degrees

AGENDA ITEMS 15 & 16 LETTERS OF NOTIFICATION & INTENT

Cynthia Moten

Associate Director, Academic Affairs

Letters of NotificationLetters of Intent

Letters of Notification

• Programs approved by the ADHE Director

• Programs must be included on the AHECB agenda prior to initiation

• Programs are reasonable and moderate extensions of existing certificates and degrees

Letters on Intent

• Notification of institutional plans to offer new programs or organizational units that require Coordinating Board approval

• Chief academic officers and chief executive officers can comment on the proposals before consideration by AHECB

IV. Finance Committee MeetingOctober 28, 2011

AGENDA ITEM NO. 17ATHLETIC REPORT

Jackie Holloway

Senior Associate Director, Institutional Finance

Athletic Report

• A.C.A. §6-62-106 directs AHECB to develop and establish uniform accounting standards and procedures for reporting revenues and expenditures

Athletic Report

• The 2010-11 Athletic actual expenditures for state-supported universities was $123.8 million and $430,848 for two-year colleges.

• This represents an increase of 6 percent over 2009-10

– Most of the increase was in the UAF program

– UAF athletic program finished with a profit, without charging student fees

– UAF and UAFS did not transfer funds from E&G

• Budgeted Revenues & Expenditures were $111.4 million

• Actual Expenditures exceeded Budgeted Expenditures by 11.6 percent

Revenues by Source

Revenues All Institutions Percent of Total Revenues

Athletic Generated Income $74,606,706 60.0%

Other Athletic Income $11,648,209 9.4%

Student Athletic Fees $21,420,273 17.2%

Other Auxiliary Income $7,794,024 6.3%

Transfers from Unrestricted E & G $8,580,753 6.9%

Prior Year Fund Balance $199,259 .2%

Total Revenues $124,249,224 100.0%

Athletic Revenues by Source 2010-11

Institution ASUJ UALR UCA UAPB ATU HSU SAUM UAFS UAM

Athletic Generated Income $3,773,687 $872,011 $1,079,399 $1,751,014 $330,279 $208,823 $90,903 $174,406 $164,634

Student Athletic Fees $2,899,905 $4,055,144 $5,053,343 $1,199,943 $2,650,302 $1,209,524 $1,076,296 $2,545,185 $730,631

Other Income $1,323,227 $506,985 $80,098 $464,579 $39,342 $0 $28,120 $16,546 $17,027

CWSP Federally Funded Portion $0 $0 $113,568 $0 $16,653 $0 $0 $0 $37,842

Other Auxiliary Profits $2,296,922 $0 $1,375,481 $1,438,350 $0 $936,615 $538,319 $0 $1,208,337

Transfers from Unrestricted E&G $1,142,715 $949,859 $1,142,715 $1,078,234 $1,124,400 $1,142,715 $1,142,715 $0 $857,400

Prior Year Fund Balance $0 $0 $0 $0 $0 $0 $0 $199,259 $0

Totals 11,436,456 6,383,999 8,844,605 5,932,120 4,160,976 3,497,677 2,876,353 2,935,395 3,015,871

Athletic Revenues by Source 2009-10

Institution ASUJ UALR UCA UAPB ATU HSU SAUM UAFS UAM

Athletic Generated Income 33.00% 13.66% 12.20% 29.52% 7.94% 5.97% 3.16% 5.94% 5.46%

Student Athletic Fees 25.36% 63.52% 57.13% 20.23% 63.69% 34.58% 37.42% 86.71% 24.23%

Other Income 11.57% 7.94% 0.91% 7.83% 0.95% 0.00% 0.98% 0.56% 0.56%CWSP Federally Funded Portion 0.00% 0.00% 1.28% 0.00% 0.40% 0.00% 0.00% 0.00% 1.25%

Other Auxiliary Profits 20.08% 0.00% 15.55% 24.25% 0.00% 26.78% 18.72% 0.00% 40.07%

Transfers from Unrestricted E&G 9.99% 14.88% 12.92% 18.18% 27.02% 32.67% 39.73% 0.00% 28.43%

Prior Year Fund Balance 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 6.79% 0.00%

Totals 100% 100% 100% 100% 100% 100% 100% 100% 100%

Athletic Revenues By Source 2010-11

AGENDA ITEM NO. 18ECONOMIC FEASIBILITY OF A LOAN FOR UACC-HOPE

Jackie Holloway

Senior Associate Director, Institutional Finance

Relevant Information

• $1.1 million for 10 years @ a rate not to exceed .20%

• Education and General purposes

• Revenue Funding Sources: Tuition and Fees, Local Tax

• Proceeds will be used to construct an Instruction Services Center at Texarkana

• Based on 10,000 gross square feet, $25,000 will be transferred annually for maintenance

(10,000 x $2.50 = 25,000)

AGENDA ITEM NO. 19ECONOMIC FEASIBILITY OF A LOAN FOR UA FORT SMITH

Jackie Holloway

Senior Associate Director, Institutional Finance

Relevant Information

• $2.2 million for 10 years @ a rate not to exceed 0.0%

• Education & General purposes

• Revenue Funding Source: Tuition and Fees

• Sustainable Building Design Revolving Loan Fund (Act 1372)

• Proceeds will be used to fund infrastructure upgrades, including creation of a central energy plant and a campus lighting retrofit

AGENDA ITEM NO. 20ECONOMIC FEASIBILITY OF A BOND ISSUEFOR UCA

Jackie Holloway

Senior Associate Director, Institutional Finance

Relevant Information

• $15.5 million for 30 years @ a rate not to exceed 5.5%

• Auxiliary purposes

• Revenue Funding Source: Student fees

• Proceeds will be used in the expansion of the Health, Physical Education and Recreation Center (HPER)

• Based on 68,000 square feet $85,000 will be transferred to plant funds annually. (68,000 x $1.25)

AGENDA ITEM NO. 21DISTRIBUTION OF MINERAL LEASE FUNDS

Jackie Holloway

Senior Associate Director, Institutional Finance

Distribution of Mineral Lease Funds

• It is recommended that $1.0 million be allocated (from the H.E. Research Development Fund) to the University of Arkansas at Fayetteville for expenses associated with the connection and expansion of ARE-ON to all public universities in the state.

• $7,103,726 has been distributed as of April 2011

• Current balance of the Research Development Fund is $2.8 million

AGENDA ITEM NO. 22OPERATING RECOMMENDATIONS FOR FISCAL 2013

Jackie Holloway

Senior Associate Director, Institutional Finance

ADHE Recommendation

• ADHE recommends no increase for FY 2013

• This recommendation is consistent with the Governor’s balance budget recommendation on Nov. 10, 2010

• ADHE recognizes that need increased $284 million over the previous year and the recommendation does not address equity and thus increases disparity

• If any new money becomes available, ADHE requests that AHECB authorize modification of its recommendation

Institutional Need

• SSCH increased 2.8% for Colleges and 4.5% for Universities over the previous year.

• Faculty Salaries in the Need models were increased to 2010 SREB Average and Adjusted for 2011-2013 by 2% to reflect the HEPI Increase

• Tuition deduction amounts approved by AHECB in April 2010

• FY 2013 Need for Higher Education is approximately $1.1 Billion; an increase of $284 million over FY 2012

Institutional Need Vs. State Support

Description Time Period Colleges Universities

InstitutionalNeed

From FY 2011 to FY 2013 33.6% 30.86%

State Support From FY 2011 to FY 2013 1% (15%)

Average Need Met by State Support

FY 2013 71% 71%

AGENDA ITEM NO. 23REPORT ON POLICY FOR MAINTENANCE OF NEW FACILITIES

Jackie Holloway

Senior Associate Director, Institutional Finance

AHECB MeetingOctober 28, 2011

AGENCY OVERVIEW

Shane Broadway

Interim Director

ADHE Employee Changes

• New to ADHE– Rod Sweetman

• New Financial Aid Program Coordinator

• Resignations– Charlette Moore

• Institutional Finance Program Coordinator– Ashley Pettingill

• Institutional Finance Program Coordinator– Rebecca Burks

• Agency Finance Accounting CoordinatorPettingill

Burks

Sweetman

Moore

Institutional Leadership

• University of Central Arkansas– Tom Courtway

• Interim President

• Rich Mountain Community College– Phillip Wilson

• New President

• College of the Ouachitas– Dr. Barry Ballard

• Retiring Dec. 31

Courtway

Ballard

Wilson

11th Day Enrollment

• Total fall enrollment in higher education is 176,114 in public and private schools – up 2.1% from 2010

• In 2006-07, Arkansas conferred 8,496 bachelor’s degrees as compared to 9,392 in 2008-09, an increase of more than 10 percent, according to the most recent Southern Regional Education Board data

– Over the past two years Arkansas was ranked first in increased bachelor’s degree production among public schools in SREB states

Academic Challenge Scholarships

Fiscal Year 2011 2012

Academic Challenge Traditional 11,317 11,960

Academic Challenge Traditional Continuing Eligibility -- 6,728

Academic Challenge Traditional Original 4,963 3,125

Academic Challenge Current Achiever 6,162 4,771

Academic Challenge Nontraditional 8,689 4,525

Total 31,131 31,109

Complete College America Grant

• Arkansas has received $1 million grant financed by the Bill & Melinda Gates Foundation as part of Complete College America’s Completion Innovation Challenge – 18 months to implement innovative, high-impact, college-completion

initiatives to enhance student success and close attainment gaps for traditionally underrepresented populations

• ADHE will lead the state’s involvement in the Completion Innovation Challenge, working to transform remediation and accelerate some certificate-and-degree programs – ASU-Beebe, Arkansas Northeastern College, North Arkansas College,

Southern Arkansas University-Tech, ASUJ, Arkansas Tech, UALR, UAPB, UCA

PACE Initiative Grant• $14.7 million U.S. Dept. of Labor grant to restructure

target training to – meet specific industry needs– strengthen technology-enabled learning– allow students more flexibility in scheduling classes

• The Path to Accelerated Completion and Employment (PACE) Initiative will be a collaborative effort between all two-year colleges to reduce remediation and increase degree production

• The program is coordinated through AATYC in partnership with ADHE; support for development of the initiative was provided by Complete College America and the Winthrop Rockefeller Foundation

STEM Works

• STEM Works is a program to transform education by recognizing that future demands will be driven by the 21st Century economy.

• STEM Works focuses on the following: (1) preparation of STEM teachers, who are skilled in problem-based learning;

(2) the creation of secondary schools designed around

hands-on learning, student teams, and projects that integrate elements of the Common Core curriculum from multiple subjects; and

(3) fostering 21st-century student-skills development that matches the needs of regional industry clusters.

STEM Works

• STEM Works has two major components: – Secondary Education Component

The New Technology High School model integrates STEM education , project-based learning throughout the entire curriculum;

(2) The EAST Initiative’s Relevant Education for Active Learning (REAL) Schools will extend EAST-based principles into classrooms schoolwide;– Post-Secondary Component

The UTeach STEM teacher-preparation model recruits college students majoring in STEM disciplines to consider becoming teachers

Career Pathways Initiative

• U.S. Department of Health and Human Services Secretary Kathleen Sebelius spoke with CPI staff about job creation, work force development, and the American Jobs Act at Pulaski Tech.

Sebelius heard firsthand from school administrators, educators, small business owners and recent graduates about how investing in training and education will create jobs and prepare Americans for the jobs of the future.Sebelius, Dr. Karon Rosa, Tom Baker - BRTC

Public Relations Award

• ADHE and its advertising agency Stone Ward were honored for their work on Say Go College Week 2011with a Public Relations Society of America Arkansas Chapter Prism Award in the Community Relations Nonprofit Category

• Say Go College Week 2012 will be held Feb. 13–17, followed by College Goal Sunday Feb. 19

Stone Ward staff and Brandi Hinkle

Digital Education Achievement Award

• YOUniversal Financial Aid System mobile “app” won a Digital Education Achievement Award from the Center for Digital Education

Stone Ward staff and Brandi Hinkle

• Students may apply online for more than 20 scholarship programs, check status from mobile devices

• Has been accessed more than 60,000 times to date

AGENDA ITEM NO. 5REPORT ON PROGRAM DELETIONS

Rick Jenkins

Associate Director, Planning and Accountability

The increase to 251 programs deleted in AY2010 was due to the implementation of new program viability standards that were approved in 2008.

Academic Program Deletions

Deletions by Institution Type

Certificate of Proficiency

Technical Certificate

Associate Degree

Baccalaureate Degree

Master`s Degree

Specialist Degree

Doctoral Degrees

0 5 10 15 20

7

13

16

12

3

1

0

Academic Program Deletions by Degree Level, AY2010

Number of Academic Program Deletions

Deg

ree

Lev

el

For AY2011, 92.3 percent of program deletions occurred at the undergraduate level whereas 7.7 percent occurred at the graduate level.

Deletions by Degree Level

AGENDA ITEM NO. 6OUT-OF-STATE VETERINARY MEDICINE LOAN REPAYMENT PROGRAM

Phil Axelroth

Interim Director, Financial Aid

Rules and Regulations

Act 881 of 2011 created the Out-of-State Veterinary Medical Education Loan Repayment Program which repays federal student loans for individuals who• Graduate from a Mississippi State University veterinary

medicine program after 2012• Practice food supply veterinary medicine in Arkansas

ADHE provides a loan repayment up to the SREB program fee for each year the applicant practices food supply veterinary medicine in Arkansas for up to five (5) consecutive years.

AGENDA ITEM NO. 7ACADEMIC CHALLENGE SCHOLARSHIP

Phil Axelroth

Interim Director, Financial Aid

Revised Rules and Regulations

Act 825 of 2011 amended current language and requires that, when awarding academic challenge scholarships and there is insufficient funding to award all eligible applicants, first priority will be given to eligible applicants whose parent, by birth or legal adoption, was• A member of the United States Armed Forces, • An Arkansas resident or was an Arkansas resident upon

entering the service, and• Killed while performing military duty