President’s Council

April 20, 2011

CPCC’s Value and Challenges

• Community colleges are integral to workforce preparation and economic recovery

• What is the “middle-skills” gap?

• What challenges do community colleges face in accomplishing their mission?

Community CollegesMany Missions

• Second chance high schools• Remediation on-ramp to postsecondary

education• Transfer degrees• Career and technical education degrees• Incumbent worker training• Adult basic education• Dislocated worker training

Myths about the Labor Market

Myth 1: Most jobs in the future will require a four-year degree

• Of the 166M jobs available in 2018, only 22% will require a four-year degree or higher

• Among all education and training categories, the fastest growth will occur in occupations requiring an associate degree

Source: Department of Labor, Bureau of Labor Statistics, 2010.

Myths about the Labor MarketMyth 2: Income increases with degrees

• In fact, earnings are not just a function of postsecondary attainment

• 25% of workers with a B.A. earn less than workers with an AA degree

• 23% of workers with a B.A. earn less than workers with a license or certificate

Source: Help Wanted: Projections of Jobs and Education Requirements through 2018, June 2010, Georgetown’s Center on Education and the Workforce

Myths about the Labor Market

Myth 3: Most new jobs will be in technical areas that require a four-year degree

• Openings for nurses and health technologists with an associate degree is expected to grow by more than 1,000,000 by 2018

• Demand for middle-skilled professionals is exploding

Source: Help Wanted: Projections of Jobs and Education Requirements through 2018, June 2010, Georgetown’s Center on Education and the Workforce

Middle-Skills Gap

• By 2014, 2,700,000 job openings in middle-skills fields require a post-secondary credential

• Fields include construction, manufacturing, healthcare, EMT, law enforcement, etc.

• Community colleges are the providers of middle-skills training

• Community colleges currently credential nearly 80% of first responders and 60% of health-care professionals

Source: Help Wanted: Projections of Jobs and Education Requirements through 2018, June 2010, Georgetown’s Center on Education and the Workforce

Pathways to Prosperity

• Community colleges are the largest providers of postsecondary education in the nation, serving 12,400,000 students a year

• Community colleges serve many struggling young adults and the greatest proportion of underrepresented students

Source: Pathways to Prosperity, Harvard Graduate School of Education, February 2011

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Pathways to Prosperity

• Community colleges received just 27% of total federal, state, and local revenues for public degree–granting institutions in 2007–2008 while serving 43% of undergraduate students

• Two-year colleges are grossly under-resourced compared to four-year colleges

Source: Doing More With Less: The Inequitable Funding of Community Colleges

Education Sector ComparisonPublic Schools Community

CollegesUNC System

FY 2010-11 General Fund Appropriation $7.1 billion $1.0 billion $2.7 billion

2009-10 Enrollment 1,402,269 ADM 250,095 FTE 195,524 FTE

Average Annual Budget Growth (2000-2011) 2.0% 5.1% 4.0%

Average Annual Enrollment Growth (1999-2010) 1.4% 5.1% 3.3%

FY 2009-10 Expenditures per Student

$5,924(State, federal,

county)

$4,978(State, federal,

county)

$11,671*(State)

*certain programs excluded

Source: Fiscal Research Division; Dec. 15, 2010, FY 2011-12 General Fund Revenue and Budget Outlook; Dec. 9, 2010 Exhibit 5 “Per Student Expenditures”

FY06 FY07 FY08 FY09 FY10 FY11 FY12 $800

$1,000

$1,200

$1,400

$1,600

$1,800

$1,514

$1,668 $1,718 $1,686

$1,442

$1,291 $1,394

13,468

14,073

14,652

15,997

16,980

18,538

19,094

11

FTE

Budget Funding $24,492,884 $23,900,000 $26,611,768

CPCC County Funding Per FTE

CPCC Operating Budgets - Funding Sources

Operating Budget $64.4m $84.6m $159.2m*

*Based on Governor’s proposed budget cut to Community Colleges and a 10% increase in tuition for FY2012.

Major CPCC Initiatives

• Student success

• Dislocated workers’ training

• New fundraising campaign

Suggestions?

Questions?