Strategic Directions Investing in Montanas Competitive Future www

Strategic Directions Investing in Montana’s Competitive Future www. mus. edu Fall 2007 Supplement to the 2006 -2010 Board of Regents Strategic Plan

BACKGROUND: Enrollment Distribution Student FTE Distribution by Institution Type Annual Average FTE 2006 -07 Includes community colleges 7, 543 FTE 2

BACKGROUND: Enrollment Growth Student FTE by Institution Type Cumulative Percent Change, 1997 - 2007 3

Board of Regents’ Strategic Goals Access & Affordability CAP (tuition policy) 2 -year Entry K-12 Collaboration Distance Education Economic Development Efficiency & Effectiveness Graduate Program Enhancement Transferability & Student Data Workforce & Research Initiatives Funding Allocation Methodology 4

Board of Regents’ Strategic Goals Access & Affordability GOAL I: Increase the overall educational attainment of Montanans through increased participation, retention and completion rates in the Montana University System CAP – College Affordability Plan (tuition policy) • Implement CAP for 2007 -08 & 2008 -09 • Continue promoting affordable education in Montana Data Points: tuition comparison (12), tuition history (13), funding history (14) 2 -year Entry – increase access and participation at 2 -year institutions • Dual enrollment • Differential Tuition • Non-traditional student enrollment • Community Perception • Transfer of credit • Need-based aid Data Points: CC participation (15), non-trad (16), CC tuition (17), tuition ratio (18), need-based (19), remediation (20), 2 -year degrees (21), degree distribution (22), top 10 degrees (23) 5

Board of Regents’ Strategic Goals Access & Affordability (cont. ) GOAL I: Increase the overall educational attainment of Montanans through increased participation, retention and completion rates in the Montana University System K-12 Collaboration – work to establish/implement Kindergarten to College priorities • Link data system with K-12 • Dual credit • Academic preparation Data Points: HS grads (24), college cont rate (25), rate increases (26), MT participation rate (27) Distance Education – enhance and coordinate distance education • System-wide portal for distance learning courses and degree programs - www. mus. edu/on-line • On-line student services and advising • Expand offerings in high demand fields Data Points: MUS on-line (28), DE enrollment (29) 6

Board of Regents’ Strategic Goals Economic Development GOAL II: Assist in the expansion and improvement of the state’s economy through the development of high value jobs and the diversification of the economic base. Graduate Program Enhancement – invest in graduate programs to increase research and spur economic development: • • Increase enrollment and completion Promote connection between research and economic development Data Points: % grad enrollment (30), R&D Peer Comparison (31) Workforce and Research Initiatives – expand efforts to connect education with workforce and economic development • • Increase workforce training in healthcare and construction, as well as other high demand fields Invest in equipment and technology Grow research endeavors to fuel the economy Develop better data connecting education to economic development Data Points: research expenditures (32), funding 1 (33), funding 2 (34), workforce (35), migration (36), data connection (37) 7

Board of Regents’ Strategic Goals Efficiency & Effectiveness GOAL III: Improve institutional and system efficiency and effectiveness. Transferability & Student Data – improve transferability and invest in the development of a system-wide student data system • Improve transferability of credits between MUS institutions • Increase access to transfer and student-related information • Enhance accountability and data system Data Points: transfers (38), total credits (39), 2 -year Transfers (40) Funding Methods – explore alternative methods of funding the university system and allocating dollars throughout the system • Study alternatives to MUS funding formula (PEPB) • Possible revisions to allocation methodology – strategic directions Data Points: funding per fte (41) 8

Emerging Issues & Trends Budget Slides 9

Emerging Issues & Trends Retention Rates are Below the Regional Average Freshmen Retention Rates at 4 -year Public Institutions 2005 -06 Students Entering Fall 2005, Returning Fall 2006 back source: NCES IPEDS 10

Emerging Issues & Trends Graduation Rates are Below the Regional Average Graduation Rates at 4 -year Public Institutions, 2005 -06 Percent of 1 st-time, Full-time, Students Earning Bachelor's Degrees within 6 Years back source: NCES IPEDS 11

Emerging Issues & Trends Tuition in Montana is Higher than the Regional Average Tuition & Fees for Resident, Full-time Undergraduates Public, 4 -year Institutions, Academic Years 1991 - 2006 back source: IPEDS 12

Emerging Issues & Trends Tuition in Montana has Grown Faster than the Regional Avg Tuition and Fee Increases for Full-time Resident Undergraduates Cumulative Percent Change, 1991 to 2006 (academic year) MUS 2 -year 237% MUS 4 -year 227% Regional 4 -year, 175% Regional 2 -year, 142% back 1991 source: IPEDS 1999 2006 13

Emerging Issues & Trends Trend of Declining State Support Shifted in 2008 MUS Funding History by Revenue Sources MUS Education Units, Fiscal Years 1992, 1997, 2002 - 2009 back source: OCHE Fiscal Affairs 14

Emerging Issues & Trends Low Percentage of Students Enrolled in Two-year Colleges Includes Tribal Colleges back source: IPEDS, IPEDS Fall 2006 estimates, includes Tribal Colleges 15

Emerging Issues & Trends Low Percentage of Adults Enrolled in Higher Education Part-time Undergraduate Enrollment as a Percent of Pop. Ages 25 to 44 2004 -05 source: NCES, IPEDS Fall Enrollment Survey; U. S. Census Bureau back 16

Emerging Issues & Trends Tuition at 2 -year Institutions is Higher than Regional Avg. back source: NCES, IPEDS Peer Analysis System 17

Emerging Issues & Trends 2 -year Tuition is High Relative to 4 -year Tuition in MT 2 -year Tuition & Fees as a Percent of 4 -year Tuition & Fees Average Annual Resident Undergraduate Tuition & Fees, 2005 -06 back source: NCES, IPEDS Peer Analysis System 18

Emerging Issues & Trends Financial Aid for Low Income Students is Limited Even with recent increases to financial aid programs, Montana still lags behind the regional average. Source: NASSGAP Survey, IPEDS back 19

Emerging Issues & Trends Over 1/3 of Recent MT Graduates Require Remediation Rate (def. ): percent of recent Montana high school graduates enrolling in remedial math or English in the fall semester immediately following graduation. back 2002 -03 Grads Enrolling Fall 03 2003 -04 Grads Enrolling Fall 04 source: MUS Data Warehouse (does not include comm. colleges) 2004 -05 Grads Enrolling Fall 05 2005 -06 Grads Enrolling Fall 06 20

Emerging Issues & Trends More than 1, 400 2 -year Degrees are Awarded Annually Associate Degrees Conferred Associate of Arts, Associate of Science, & Associate of Applied Science, 1999 -00 to 2005 -06 back source: NCES, IPEDS Peer Analysis System 21

Emerging Issues & Trends Over 2/3 of 2 -year Degrees Awarded are Occupational/Tech MUS 2 -year Degrees & Certificates Awarded, 2005 -06 does not include community colleges back source: MUS Data Warehouse (does not include comm. colleges) 22

Emerging Issues & Trends Nursing Degrees & Certificates are at the Top of the List Top Ten MUS 2 -year Degrees & Certificates Awarded, 2005 -06 back source: MUS Data Warehouse (does not include comm. colleges) 23

Emerging Issues & Trends Declining Number of High School Graduates Projections of Public High School Graduates 2003 – 2016 In the past 10 years, K-12 enrollment has declined by 12% in MT 2, 000 fewer students are projected to graduate in MT by 2016 +65% +10% -20% back 2003 source: NCES 2010 2016 24

Emerging Issues & Trends College Continuation Rates are Above Regional Average back On average, 35% of recent high school graduates enter the MUS, 5% enroll in tribal or private colleges in Montana, while 15% choose to enroll out-of-state. source: NCES, IPEDS Fall Enrollment Survey 25

Emerging Issues & Trends College Continuation Rates Must Improve College Continuation Rates Percent of high school graduates enrolled as 1 st-time, degree-seeking college students in the fall semester immediately following graduation back source: NCES, IPEDS Fall Enrollment Survey; high school enrollment - WICHE, Knocking at the College Door - 2003 26

Emerging Issues & Trends Overall, College Participation Rates in Montana are Low back source: NCES IPEDS, US Census Bureau 27

Emerging Issues & Trends Enhancing & Coordinating Distance Learning www. mus. edu/on-line back 28

Emerging Issues & Trends Enrollment in Distance Education is Increasing MUS Distance Education Enrollment Unduplicated Headcount, Fall 2001 – Fall 2006 4, 602 back source: MUS Data Warehouse (does not include comm. colleges) 29

Emerging Issues & Trends Enrollment in Graduate Programs Lags Behind Peers Percent of Higher Education Enrollment in Graduate Programs Unduplicated Headcount at Public & Private Institutions, Fall 2006 back source: NCES, IPEDS Fall Enrollment Survey 30

Emerging Issues & Trends R&D Expenditures are Below the Regional Average Research & Development Expenditures FY 2005 Regional Comparisons ($ in millions) back Source: National Science Foundation 31

Emerging Issues & Trends Research & Development is Growing MUS Research & Development Expenditures FY 1998 - FY 2005 Actual, FY 2010 Projected ($ in millions) back Source: National Science Foundation 32

Emerging Issues & Trends Equipment and Technology in High Demand Fields $4 million appropriated to the MUS by the 2007 Legislature, over $5 million matched with non-state sources Distribution of Funds by Industry/Field of Study back 33

Emerging Issues & Trends Workforce Training in High Demand Fields $1. 5 million appropriated to the MUS by the 2007 Legislature, $1. 4 million matched with non-state sources Distribution of Funds by Industry/Field of Study back 34

Emerging Issues & Trends Most Existing Jobs Don’t Require a Higher Education back Source: Research & Analysis Bureau, MT Department of Labor & Industry 35

Emerging Issues & Trends Need for Better Data Connecting Graduates to Workforce back source: US Census Bureau 2000, American Community Survey 2005 36

Emerging Issues & Trends Data Connection -- MUS & MT Dept. of Labor MUS Healthcare Graduate Employment by County 2003 & 2004 MUS Healthcare Graduates Employed in 2005 back 37

Emerging Issues & Trends Students Often Move Between Institutions in the MUS New Transfer Student Enrollment source: MUS Data Warehouse (does not include comm. colleges) back Fall 2001 thru Fall 2006 Between 7% to 8% of the students enrolled in the MUS each fall semester are recent transfer students. 38

Emerging Issues & Trends Continuing to Improve Transferability is a Priority Total Credits Earned by Transfer vs. Non-Transfer Students Bachelor's Degree Recipients, 2002 -03 thru 2005 -06 source: MUS Data Warehouse (does not include comm. colleges) back Transfer students must earn between 8 to 10 credits more in order to complete a bachelor’s degree in the MUS. 39

Emerging Issues & Trends A 2 -year Education Can Lead to a 4 -year Degree 2 -year Transition and Graduation MUS bachelor's degree recipients that had once enrolled at a MUS "stand alone" 2 -year Institution source: MUS Data Warehouse; includes community colleges back In 2005 -06, less than 5% of MUS baccalaureate degree recipients had once enrolled at 2 -year “stand alone” institution. 40

Emerging Issues & Trends Funding Levels Vary by Type of Institution Total Revenue per FTE by Institution Type FY 05, Public Institutions Updated data coming soon back Note: total Revenue = tuition & fees, state appropriations, and local appropriations; 2 -year includes MT community colleges source: NCES IPEDS 41

2011 Budget Planning v Base Funding • Present Law (85%/15%) • Pay Plan (85%/15%) v Affordability • State Share • Tuition Management • Need-based Aid back 42

2011 Budget Planning (cont. ) v MUS Initiatives • Campus Focused – Funding Target = approximately $15 million total (primarily campus-based) including the community colleges – Quality over Quantity • Tentative Timeline – December 3, 2007 – first draft submissions to OCHE – January 2008 – initial discussion and presentation to Board of Regents March 2008 – Board review and revisions May 2008 – Approval of Initiatives – – back • Criteria – – – Reinforce Strategic Directions Support Collaboration Leverage Non-state Funds 43

Strategic Directions Investing in Montana’s Competitive Future www. mus. edu Office of the Commissioner of Higher Education