Senate Higher Education Budget Division James H. McCormick ... · Senate Higher Education Budget...

Minnesota STATE COLLEGES & UNIVERSITIES

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presented to the

Senate Higher Education Budget Division

James H. McCormick, Chancellor Minnesota State Colleges and Universities

January 25, 2005

The Minnesota State Colleges and Universities system is an Equal Opportunity employer and educator.


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ho we are

370,000 students each year

80 percent of graduates stay in Minnesota

Meeting the needs of the state

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k ta wor Ill

inn

51 o/o of new teaching graduates

78% of new nursing graduates

92°/o of law enforcement officers

49% of new business graduates

91 % of new construction trades graduates

9,000 "first responders" each year

f suc.CESS: MAKING MINNNEs ~t,t.S 0 Oi4 ~

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Minnesota STATE COLLEGES

& UNIVERSITIES

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7 state universities - baccalaureate and advanced degrees

8 technical colleges - programs leading to employment

5 community colleges - transfer, occupational programs

11 combined community and technical colleges - community and technical college programs

1 tribal and community college of SUCCESS: MAKING MINNNEsor,

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& UNIVERSITIES

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I

\ \'<· 11

'\ \ Northland tl.ll1ief River Falls

""· Mesabi Range',, 1 Virginia. " 61

MiLesota State . Comm.&Tech,

Hibbin·g· . , /~·.·. M····.e sabi Range/\ .. · Hibbing/• \I Eveleth •.

ltascal!r ·· 1:s·3)

Grand Rapid~ ) . , ·: , . .l' 2 '

'~.69) '.<..._ ....... Lake~uperior · Fond du Lac 1 Youluth ·•oetroit Lakes

Minnesota State // \Y 0 ·, Minnesota State j Comm.&T~h··(· \

1<.comrl). &Tec.h. . ,210 .. :·

~I Minnesota State~.iyad:a .. ·. .. .1_./ .1

:..9.:1,\Comm.& Tech. \ Centra( Lake~/ Ce!1tral ~~kes Fergus Falls \ Staples \ \ Brainerd ····.,

Alexandri~ (~o)~ (~~~ Alexandria /

Goquet

'\\_

See Metro Area map to right

Y\~. \ ',61 \., r \ .. > /~.~ed Wing \s~ Minnesota State College -

\ SoutheastTe~hnical •South Central ) 'Minnesota State College -

Faribault ~ochester \ SoutheastTechnical r·.,Rochester Ylinon~ l,~~) •~ Vi/!nOnZfState,

/ · ·,Minnesota West I , ' Jackso ~)-:---..,___..,

Anoka• Anoka Technical •Anoka-Ramsey

Coon Rapids ,....., ·3SW1 '../

Minneapolis

~I '..] ......

1~9~)

Normandale 11; Bloom Ing ton

•

Metro Area

~ •Century

- White Bear Lake \69_9

0!

St. Paul

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II I II

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240,000 students in credi based courses

An additional 130,000 students in

non-credit courses

32,000 graduates last year

of SUCCESS: MAKING MINNN£sor. G\l.t.t.S 411to

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& UNIVERSITIES

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FYE

enrollment

has

increased

every year

since

1998-1999.

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Ii 11111

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Actual dollars:

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67% 67%

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Average age is about 26Y2

45% male, 55% female

1 /3 are from families where neither parent

attended college

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Ill

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thority to accredit online programs

25,000 students taking online courses

Programs are dynamic

- 527 new programs

- 1,400 redesigned programs

- 603 programs closed or suspended over past

two years

Commitment to access

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15 members, appointed by the governor

represent Congressional districts (6-year terms)

at large (6-year terms)

3 students with full voting rights (2 year terms)

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II

I

ire the chancellor and institution presidents

Broad policy responsibility - system planning

- fiscal management

- personnel

- admission requirements

- tuition and fees

- policies .: SUCCESS: MAKING MINNNEs

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ic ol

Increase access a ponunity

Expand high-quality learning programs and services

trengthen community development and economic vitality

Fully integrate the system

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egan in December 2003

Biennial Budget Stakeholder Group - provided input and feedback to the Chancellor

- met monthly

- members included

• student associations

• bargaining units

• college and university administration

• senior staff

Recommendations to Chancellor f SUCCESS: MAKING MINNNEs

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iscussed at Leadership Council

Chancellor recommended to the Board in eptember

ublic hearings in September and October

oard approved the biennial budget request in October

.: SUCCESS: MAKING MINNNEs t.t.S O• Or4 ~

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Ill

ppropr1 II

10 tate

ition increase

allocate existing resources

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In Millions

$650

$600

$550

$500

$450

$400

$350

$300 1""~-a FY1999

I

$602

FY2000 FY2001 FY2002

Source: Minnesota State Colleges and Universities Finance Division

11111 Ill • I I I

FY2003 FY2004 FY2005

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Minnesota STA TE COLLEGES & UNIVERSITIES

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II

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II

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ition and State appropriation per FYE

$8,500

$8,000

$7,385 $7,500 • • • $7,000

$6,500

•

Actual

$7,792 Dollars

•

Inflation adjusted

$6,781

$6,000 I I I -, I I I I

FY99 FYOO FY01 FY02 FY03 FY04 est. FY05

Base year 1999; CPl-U f SUCCESS: MAKING MINNNEs t.t.S O Or4 1-V:

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11111 11111

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tat

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nual Change in State Appropriation and Tuition Revenue per FYE Enrollment (inflation adjusted)

$600

$400

$172 $226

$200

$10 $42

FYOO FY01 FY02 FY03


$247

FY04

$364

FY05

Tuition Revenue

State Appropriation

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67%

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II

M.S. 135A.031, Subd. :

"a) Each public post-secondary system's

instructional services base shall be adjusted

for estimated changes in enrollments ...

c) ... lf the actual enrollment differs from the

estimated enrollment, an adjustment shall be

made in the next biennium."

Note: DOF is recognizing in the Governor's budget

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II Ill

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nrollment has increased without state support every year for the past 5 years. Tuition skyrocketed in order to slow the disinvestment.

State resources per FYE have declined 22°/o from 1999 to 2005.

Investments in and around the classroom have shrunk - Technology

- Building repair

- Instructional equipment

- New program development

- Student support f SUCCESS: MAKING MINNNEs

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$ in millions

Adjusted base*

Request

1111

I

Total state appropriation

Tuition assumption (4o/o)

FY2006/FY2007

Biennium

$1,236.8

$66.5

$1,303.3

$62.9

*Adjusted base includes $130.8 million enrollment adjustment for past enrollment growth, comprised of $36 million in base money and $58.8 million in one-time funds.

f SUCCESS: MAKING MINNNEs t.t.S O Or4 ~

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orioriti I """"

Minnesota STATE COLLEGES $ in millions & UNIVERSITIES

FY2006 FY2007 Biennium

Request

1 . Critical state needs $7.8 $8.2 $16.0

2. Minnesota Online $3.5 $4.6 $ 8.1

3. Outreach to underserved $6.0 $6.0 $12.0

4. Innovations Fund $2.5 $3.0 $ 5.5

5. Repair and replacement $5.0 $6.0 $11.0

6. Competitive salaries $4.6 $9.3 $13.9

Total request $29.4 $37.1 $66.5

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& UNIVERSITIES

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itical

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Proposal addresses the severe shortage of nurses in Minnesota by: - Expand capacity to educate RNs

- Increase access to bachelor's degree

- Expand practical nursing

- Recruit 40 nursing faculty

- $10 million

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Partner with P-12

Meet needs in critical areas

Design alternative/ accelerated pathways

Provide Web-based clearinghouse

$3 million

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& UNIVERSITIES

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itical

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erve diverse populations

Student suppo

Tuition relief

apacity building

Increase collaboration

$3 milli

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II

I Ii

pand tutoring and trainina services

xpand the call center

nhance technical support

Create online programs

evelop increased services to corporate clients

Promote collaboratio

$8.1 million

:f succi:ss: MAKING MINNN£s ot,t.S O Or4 ~

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& UNIVERSITIES

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Improve e ional diversity

Close achievement gap

Model after successful TRlu program

Collaborate with K-12

- Educational partners

- enrichment, tutoring, mentoring

.......... summer bridge programs

$1 milli

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Address rapidly-c Iii

g1ng n s

Development and design of emerging programs and curriculum

ocus on the state's critical needs

$5.5 million

f SIJ(CESS: MAKING MINNNEso G\l.t-.'t-.'> o /4 Wo/i'

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I • I

Need to repair and replace infrastructure

Backlog is increasing

HEAPR represents "catch-up"

Request represents "keep-up"

More cost-effective means of facilities

maintenance

$11 million

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Competitive salaries

ncourage excellence from faculty and staff

High demand academic disciplines

Reward actions and outcomes

Subject to the collective bargaining process

$13.9 million

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More nurses

etter prepared teachers

Rural development

Increased access to courses and programs for. underserved populations

Increased access through online

Further innovation in rapidly changing world

afer, more efficient facilities

nhanced competitiveness f succESS: MAKING MINNNEs

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Slide 36

cct.SS: MAKING MtN c. su Ncs

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presented to the

House Higher Education Finance Division

James H. McCormick, Chancellor Minnesota State Colleges and Universities

January 19, 2005


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II • J

port prowi II ' ' .. e Ill

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In Millions $

FY2006 FY2007 Biennium

Support enrollment growth

and provide access $36.0 $36.0 $72.0 Minnesota Online $13.9 $13.9 Leveraged equipment $14.1 $14.1

Technology $20.0 $20.0 Repair and replacement $10.8 $10.8 Total $941118 $36.0 $130.8 ·

*The $36 million for the "support enrollment growth" is base and will continue into FY2008.

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Slide 38

xtend eligibility for grant their fifth year of college

s to students in

Allow students to receive state grant funds for .

summer session

Calculate state grants for part-time students in the same manner as the Pell Grant Program

Modify the grant eligibility calculation for independent studen

- No longer count student income twice

,, SUCCESS: MAKING MINNNEs t:.'t.S O• 0/4 ~

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& UNIVERSITIES

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State appropriation 41°/o·

Other 3°/o

Restricted student payments

FY2004, All funds Total: $1.4 billion

4%

Source: MnSCU audited financial statements

Fed & state grants 16°/o

Tuition 36o/o

f SUCCESS: MAKING MINNNfs t.~S o or4 ~ 9~G~ O~k


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Compensation 67o/o

FY2004, All funds Total: $1.4 billion

5%

Source: Minnesota State Colleges and Universities audited financial statements

Purchased services 11%

Repairs, maint, deprec

7°/o

Supplies 5%

Financial aid 5%

f SUCCESS: MAKING MINNNEsor, c:,\\t.t.S O 4 Wo~k'

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Senate Higher Education Budget Division James H. McCormick ... · Senate Higher Education Budget...

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