Meeting 1 August 19, 2011

Governance Commission

• . . . creates a commission to study governance, management, and supervision of postsecondary education. The resolution states that governance has been a perennial issue faced by the legislature since the adoption of the current constitution and there is general agreement in the legislature that there are problems with the current structure but no general agreement on a solution. Louisiana’s governance structure should provide strong policy leadership, drive institutional accountability and student achievement. The resolution further states that it is logical, reasonable, and imperative that postsecondary education institutions work within a cohesive and comprehensive governance framework that maximizes the application of scarce resources to the benefit of their students.

HCR 184

The resolution sets out specific tasks for the Commission resulting in two primary charges.

PART ONE: The StudyThe Commission shall conduct a study that includes the examination of how

an improved governance structure would result in:• More efficient use of resources by eliminating duplicative management

arrangements and personnel• The improvement of student success by better alignment of student

interests and abilities with appropriate institutions and credential options

• Better integration of education at all secondary and postsecondary levels through development of a complete articulation and transfer plan

• More fair and equitable service to all institutions through better representation in the management structure and fuller recognition and support for the special missions and needs of historically black colleges and universities

HCR 184

PART TWO: The Plan for ReorganizationThe commission shall prepare and submit to the legislature a plan for reorganization

of the governance, management, and supervision of postsecondary education, which shall include not only a proposal for a basic structural arrangement of entities, offices, and institutions but also:

• Evaluation and conclusion regarding creation of a single board to govern public postsecondary institutions

• A detailed articulation of the distribution of authority and responsibilities among entities, offices, and institutions

• Recommendations for the proper mechanism for setting tuition and suggestions regarding the proper balance of state general funds and tuition as means of funding postsecondary education

• Proposals regarding the distribution formula of state general funds and the relative importance of equity and performance in that formula

Timeline • The resolution states that the Commission is to submit a plan for reorganization

to the legislature not later than sixty (60) days prior to the 2012 Regular Session of the Legislature of Louisiana which begins on March 12, 2012.

HCR 184

• Representative Carmody• Representative Schroder

Authors

Louisiana Delta

Louisiana StateSouthern

University of LouisianaLouisiana TechGrambling State

Southern

Northwestern

LSU Health Sciences

LSU Health Sciences

Bossier Parish

Baton Rouge

River Parishes

SOWELA Technical

Nunez

Delgado

Southeastern Louisiana

Nicholls State

McNeese State

Louisiana Technical College(7 colleges statewide)

Fletcher Technical

New Orleans

LSU - Eunice

Community College

UniversityUniversity

MonroeUniversityUniversity

LSU-Shreveport

University- Shreveport

State University

Center - Shreveport

Center - New Orleans

Community College

Community College

Community College

Community College

Community College

Community College

University

University of New Orleans

University

University

University of LouisianaLafayette

South LouisianaCommunity College

Community College

LSU - Alexandria

Southern University

Louisiana’s Public Colleges and Universities

Annual Enrollment for Public Institutions

FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 100,000

125,000

150,000

175,000

200,000

225,000

250,000

177,230 195,380 198,016

207,760 220,583 225,198

7

62% are enrolled in universities11% are graduate students59 % are women30% are African-American10% are out-of state and international students

Fall 2000

Fall 2001

Fall 2002

Fall2003

Fall 2004

Fall 2006

Fall 2007

Fall 2008

Fall 2009

Fall 2010

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

79%

56%

21%

44%

Four-Year Two-Year/Technical

First-Time Freshman Enrollment Mix

Matriculation Rates

One –Year Retention Rates University: 72%Community college: 47%

Graduation rates:University (6-year rate): 42%Community college (3-year rate): 6%

Student Preparation for College

•Average ACT for Louisiana is 20.7 compared to 22 for the Nation as a whole •72% of entering freshmen at community colleges need remediation•21% of Entering freshmen at the universities need remediation •State minimum admission standards will redirect all students needing developmental education to the community colleges by 2014.

Certificates and Degrees Awarded

Diplomas

Certificates

Associate

Bachelor's

Master's

Doctoral

0% 10% 20% 30% 40% 50% 60%

8%

11%

13%

51%

13%

1%

Certificates and Degrees Awarded

FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 -

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

38,425

28% Increase

382% - Certificates55% - Diplomas51% Associate Degrees8% Baccalaureate Degrees-2% Master Degrees5% Doctoral Degrees

12

55.6% 58.4% 61.1% 61.7%46.4% 39.7%

38.6% 35.3% 31.4% 33.1%

39.6%41.4%

0.0% 0.0% 0.0% 0.0%

0.0%0.0%

5.8% 6.3% 7.5% 5.2%14.0% 18.8%

0%

25%

50%

75%

100%

FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011

Unrestricted Educational & General BudgetSources of Revenue

State Appropriation Tuition & Fees Local Appropriation Other

ARRA funds are included in “Other” for FY 2010 and FY 2011.

Sources of Revenue

02 03 04 05 06 07 08 09 10 11$0

$100

$200

$300

$400

$500

$600

$700

$800

$900

$1,000

$1,100

110.5 120.6 129.9 144.4

125.2 27.4

74.5 81.7136.5

616.7

756.9

826.3

1020.1

TOPS, State Need-Based Aid, Institutional Scholarships, Student Loans (in $millions)

TOPS State Need-Based Aid Institutional Scholarships Student Loans

Student Aid

•Performance Funding Formula •Grad Act•Articulation transfer degree•Increase admission standards for universities•Academic Program review – termination of under-performing programs

Performance Initiatives

16

17

18

19

20

21

22

23

24

25

26

27

28

29

30

31

32

33

34

35

36

37

38

39

40

41

42

43

44

45

46

47

48

49

Slate.com

50

9.7%

22%

51

A Little History of the World E. H. Gombrich

• Anyone who owned a mechanical loom could, with the help of one or two assistants – perhaps his wife and children – do more work than a hundred trained weavers.

• So whatever became of all the weavers in a town into which a mechanical loom was introduced? . . . they woke up one day to discover that they weren’t needed any more. Everything it had taken them years to learn, first as apprentices and then as journeymen, was useless.

Compression of wagesRestructuring of the economyThose that adapt flourishThose that could not . . .

• In 1970, 74% of the middle class had a high school diploma or less education.

• In 2007, only 39% of middle class had a high school diploma or less education.

• Middle Class: – Family income range from

35,000 to 91,000

• Help Wanted – Projections of Jobs and Education Requirements through 2018. Carnevale, Smith and Strohl

• “postsecondary education has

become the gatekeeper to the middle class and the upper class”

What was said about Louisiana:• By 2018, more than 50% of jobs

will require a postsecondary credential. Louisiana currently has a workforce with less than half of what will be needed.

• Unless there are systemic changes, in 2018 Louisiana will:

Nationally, 60% of jobs will require a postsecondary credential by 2018.

• rank 6th in the nation in the percentage of jobs for high school dropouts;

• rank 5th in the nation in the percentage of jobs for high school graduates;

• rank 50th in the nation for jobs requiring an associate degree;

• rank 45th in the nation in the percentage of jobs for college graduates;

• rank 47th in the nation in the percentage of jobs for people with graduate degrees and . . .

• rank next to last in the percent of Jobs Requiring Postsecondary Education.

We are at a turning point. Louisiana has to decide whether to do a better job at educating its people or serve as a great conveniently located source for cheap labor.

What is our collective vision of what Louisiana will look like in the future?

57

Current percentage of young adults (25-34) with a college degree3

3 “College degree” means an associate degree, bachelor’s degree, or higher. National Center for Higher Education Management Systems (NCHEMS), 2008 (from U.S. Census Bureau, 2008 American Community Survey Public Use Microdata Sample File.) http://www.higheredinfo.org

Arka

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Utah

Was

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Colo

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Haw

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10%

15%

20%

25%

30%

35%

40%

45%

50%

55%

28%

53%

La. given ‘F’ in skilled workers Advocate business writer

• The number and quality of skilled workers in Louisiana is dismal, according to a recent report evaluating the state’s manufacturing abilities.

• The 2011 Manufacturing and Logistics National Report by the Center for Business and Economic Research at Ball State University in Indiana gave Louisiana a failing grade in the important area of “human capital.”

• All 50 states were included in the study.

Those individuals, families, cities, states and –increasingly—countries with the most education are prospering, while those with the least higher education are experiencing relative and often absolute economic decline.

--Postsecondary Education OPPORTUNITY, June 2005.

Time and Place

For people and communities to thrive in the new economy they will need to have access to a good college and good health care.

Top 25 Cities for College Graduates

1. Fayetteville, NC2. Omaha, Neb.3. Oklahoma City, OK4. Austin, TX5. Houston, TX6. Lexington, KY7. Durham, NC8. Dallas, TX9. Tulsa, OK10. Little Rock, AR11. Savannah, GA12. Washington D.C.13. Boston, MA14. Corpus Christi, TX15. Baton Rouge, LA16. New Orleans, LA17. Des Moines, Iowa18. Columbus, OH19. Stanford, Conn.20. Shreveport, LA21. Seattle, WA22. Albany, NY23. San Antonio, TX24. Kalamazoo, Michigan25. Honolulu, Hawaii

compiled by The Daily Beast published by Newsweek.

20.0% - 32.2%

12.0% - 19.9%

8.3%- 11.9%

Percent of Parish Population With Bachelors and Higher---25 and older

Source: Data Set: 2005-2009 American Community Survey 5-Year Estimates Survey

State Average 20.64%

Distribution of State's Population, 25+ with aBachelor's Degree or Higher

Louisiana

ST.MARTIN0.49%

MARTIN0.49%

ACADIA0.65%

ALLEN0.30%

ASCENSION1.29%

ASSUMPTION0.20%

AVOYELLES0.42%

BEAUREGARD0.56%

BIENVILLE0.22%

BOSSIER2.13%

CADDO6.29%

CALCASIEU3.72%

CALDWELL0.12%

CAMERON0.10%

CATAHOULA0.12%

CLAIBORNE0.27%

CONCORDIA0.24%

DE SOTO0.32%

EBR14.52%

E.CARROLL0.13%

E.FELICIANA

0.30%EVANGELINE0.39%

FRANKLIN0.25%

GRANT0.22%

IBERIA0.95%

JACKSON0.25%

JEFFERSON12.35%

JEFFERSONDAVIS0.37% LAFAYETTE

5.69%

LAFOURCHE1.33%

LA SALLE0.20%

LINCOLN1.35%

LIVINGSTON1.24%

MADISON0.16%

MOREHOUSE0.36%

NATCHITOCHES0.78%

ORLEANS14.89%

OUACHITA3.87%

PLAQUEMINES0.34%

POINTECOUPEE0.36%

RAPIDES2.54%

REDRIVER0.10%

RICHLAND0.32%

SABINE0.33%

BERNARD0.76%

CHARLES1.00%

ST.HELENA0.14%

JAMES0.25%

JOHN0.63%

ST.LANDRY1.11%

MARY0.60%

ST.TAMMANY6.70%

TANGIPAHOA1.88%

TENSAS0.12%

TERREBONNE1.49%

UNION0.34%

VERMILION0.69%

VERNON0.76%

WASHINGTON0.59%

WEBSTER0.67%

WBR11.12%

W.CARROLL0.15%

W.FELICIANA

0.22%

WINN0.20%

ST.

ST.

ST.

ST.ST.

ST.

LEGEND

< 0.40%

³ 0.40%

> 3.50%

Source: 2000 Census

75% of persons with bachelor’s live in 8 parishes

63

Local Imperative •81% of Louisianans were born in Louisiana •The local population will be your workforce•Student preparation for college/work is key•Local support for local students is needed•Getting adults with with some college to complete their degree can be a strong mechanism for building local communities•Stewards of the community

Employment Rate by Degree LevelEighteen Months after Graduation - For All Completers

Certificate Diploma Associate Bachelor's Master's Doctoral Professional0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

56.4%67.6%

72.5%

59.5% 60.5%

38.3%

50.4%

2006-07 2007-08 2008-09

Figure 5Employment Rate by Field of Study

Eighteen Months after Graduation - For 2008-09 Bachelor’s Degree Completers

Philosophy & Religious StudiesPhysical Sciences

Multi/Interdisciplinary StudiesBiological & Biomedical Sciences

Parks, Recreation, Leisure, FitnessForeign Languages, Literatures

Legal ProfessionsMathematics and Statistics

EngineeringEnglish Language & Literature

Visual & Performing ArtsHistory

Social SciencesPsychology

Computer & Information SciencesAgriculture, Agriculture Operations

Communication, JournalismArchitecture

Natural Resources & ConservationPersonal & Culinary Services

Security & Protective ServicesLiberal Arts & Sci; General Studies

Business, Management, MarketingTransportation & Materials Moving

Public Admin. & Social ServiceFamily & Consumer Sciences

Engineering TechnologiesEducation

Health Professions

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

29%34%

38%41%43%44%

47%47%

52%52%52%52%53%53%53%

56%57%57%

61%61%61%62%63%64%

67%67%68%69%70%

71%66%

62%59%57%56%

53%53%

48%48%48%48%47%47%47%

44%43%43%

39%39%39%38%37%36%

33%33%32%31%30%

% Found Employed in LA % Not Found Employed in LA

Employment Rate by Residency StatusEighteen Months after Graduation - For All Completers

(Collective 2006-07, 2007-08, and 2008-09)

Max Degree Level

LA Residents Non-Residents

Number of Completers

Percent Found Employed

Number of Completers

Percent Found Employed

Certificate3,900 60.9% 74 27.0%

Diploma6,917 68.8% 81 28.4%

Associate11,126 73.9% 261 26.8%

Bachelor’s46,477 63.8% 6,071 22.3%

Master’s9,882 69.2% 3,228 22.7%

Doctoral590 55.4% 794 15.4%

Professional2,180 53.0% 286 20.3%

Figure 7Employment Rate by Residency Status

Eighteen Months after Graduation - For All Completers (Collective 2006-07, 2007-08, and 2008-09)

Certificate Diploma Associate Bachelor's Master's Doctoral Professional0%

10%

20%

30%

40%

50%

60%

70%

80%

60.9%

68.8%73.9%

63.8%69.2%

55.4%53.0%

27.0% 28.4% 26.8%22.3% 22.7%

15.4%20.3%

Louisiana Residents Non-Residents

Table 5Average Calculated Salary by Degree Level

For All Employed Completers

Max Degree LevelEighteen Months after Graduation

2006-07 2007-08 2008-09Certificate

$23,000 $24,778 $23,622Diploma

$30,607 $30,062 $28,530Associate

$37,799 $37,425 $35,544Bachelor

$35,099 $34,115 $32,742Master

$48,737 $49,644 $48,016Doctoral

$59,863 $60,655 $61,023Professional

$65,368 $67,315 $66,786

As a result of the recession, compression of wages for new hires has occurred.

The trend in other states show that at five years in the workforce, bachelor’s degree recipients will earn more, on average, than associates.

Average Calculated Salary by Field of StudyEighteen Months after Graduation - For 2008-09 Bachelor’s Degree

Completers

Legal ProfessionsPsychology

Visual & Performing ArtsBiological & Biomedical Sciences

Communication, JournalismEnglish Language & Literature

Social SciencesPersonal & Culinary ServicesFamily & Consumer Sciences

Parks, Recreation, Leisure, FitnessForeign Languages, Literatures

HistoryMulti/Interdisciplinary StudiesSecurity & Protective ServicesPublic Admin. & Social Service

Philosophy & Religious StudiesMathematics and Statistics

Physical SciencesTransportation & Materials MovingAgriculture, Agriculture Operations

Liberal Arts & Sci; General StudiesArchitecture

Business, Management, MarketingComputer & Information SciencesNatural Resources & Conservation

EducationEngineering Technologies

Health ProfessionsEngineering

$10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000

$21,420$21,580

$22,418$23,314$23,572$23,785$23,866$24,170$24,323$24,839$25,144$25,510$25,740$26,092$26,237$26,506

$27,229$27,309$27,461

$28,640$29,055

$30,949$32,326

$34,238$34,605

$38,415$43,787

$46,537$56,853

Average Calculated Salary by Field of Study For 2008-09 Associate Degree Completers

Field Of Study Number of Completers

Wages Eighteen Months after Graduation

Agriculture, Agriculture Operations 2 --Biological & Biomedical Sciences 2 --Business, Management, Marketing 429 $25,347Communication, Journalism 12 $20,305Communications Technologies 26 $17,928Computer & Information Sciences 88 $28,531Education 53 $25,993Engineering Technologies 396 $49,112Family & Consumer Sciences 52 $18,149Foreign Languages, Literatures 6 --Health Professions 957 $46,784Legal Professions 19 $28,572Liberal Arts & Sci; General Studies 555 $23,584Mechanic & Repair Technologies 20 $36,430Multi/Interdisciplinary Studies 22 $19,352Natural Resources & Conservation 4 --Personal & Culinary Services 32 $27,178Physical Sciences 3 --Security & Protective Services 161 $30,031Visual & Performing Arts 39 $19,001

At the end of WWII, the U.S made a bold decision to invest in the future of its economy by providing $1.9 billion annually to the education of returning veterans of the war. This commitment to human capital helped enable the WWII generation to become the “greatest generation.”

Possibly, this state’s greatest generation is at the schoolhouse door waiting for the opportunity to propel your state into the global economy.