Legislature(2015 - 2016)CAPITOL 106
01/22/2016 08:00 AM House EDUCATION
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| Audio | Topic |
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| Start | |
| Presentation: University of Alaska Consolidation Proposal | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
ALASKA STATE LEGISLATURE
JOINT MEETING
HOUSE EDUCATION STANDING COMMITTEE
HOUSE UNIVERSITY OF ALASKA FINANCE SUBCOMMITTEE
January 22, 2016
8:00 a.m.
MEMBERS PRESENT
HOUSE EDUCATION STANDING COMMITTEE
Representative Wes Keller, Chair
Representative Paul Seaton
Representative David Talerico
Representative Harriet Drummond
Representative Jonathan Kreiss-Tomkins
HOUSE UNIVERSITY OF ALASKA FINANCE SUBCOMMITTEE
Representative Tammy Wilson, Chair
Representative Paul Seaton
Representative Andy Josephson
Representative Adam Wool
MEMBERS ABSENT
HOUSE EDUCATION STANDING COMMITTEE
Representative Liz Vazquez, Vice Chair
Representative Jim Colver
HOUSE UNIVERSITY OF ALASKA FINANCE SUBCOMMITTEE
Representative Liz Vazquez, Vice Chair
Representative Jim Colver
OTHER MEMBERS PRESENT
Representative Lora Reinbold
COMMITTEE CALENDAR
PRESENTATION: UNIVERSITY OF ALASKA CONSOLIDATION PROPOSAL
PREVIOUS COMMITTEE ACTION
No previous action to record
WITNESS REGISTER
REPRESENTATIVE TAMMY WILSON
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Presented: "University of Alaska
Consolidation Proposal," and responded to questions, on behalf
of the House University of Alaska Finance Subcommittee, which
she chairs.
MATT GRUENING, Staff
Representative Tammy Wilson
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Assisted in delivering the presentation,
"University of Alaska Consolidation Proposal," and responded to
questions.
ACTION NARRATIVE
8:00:55 AM
CHAIR WES KELLER called the joint meeting of the House Education
Standing Committee and the House University of Alaska Finance
Subcommittee meeting to order at 7:55 a.m. Present at the call
to order from the House Education Standing Committee were
Representatives Seaton, Drummond, Kreiss-Tomkins, Talerico.
Present from the House University of Alaska Finance Subcommittee
were Representatives Wool, Josephson, and Wilson.
^PRESENTATION: UNIVERSITY OF ALASKA CONSOLIDATION PROPOSAL
8:00:58 AM
CHAIR KELLER announced that the only order of business would be
a presentation on the University of Alaska Consolidation
Proposal, presented by the House University of Alaska Finance
Subcommittee.
8:02:28 AM
REPRESENTATIVE TAMMY WILSON, Alaska State Legislature, directed
attention to the committee handout entitled, "University of
Alaska Consolidation Proposal, Three Universities Made into
One." She explained that the model being presented has been
adopted from a plan implemented by the State of Georgia, and
lends a comparable framework based on a similar population.
Although the University of Alaska System considers itself to be
one institution, it is comprised of three major campuses, with
services extended to 12 ancillary facilities. The thought is to
create a single campus infrastructure with a centralized
administration, as well as providing course offerings utilizing
one catalogue; thus ensuring economic efficiencies and
minimizing duplications of classes. A primary complaint,
reported by her constituency, continues to revolve around the
inability to transfer credits from one campus hub to another.
Laying the credit issue to rest would be among the benefits
garnered from a streamlined, consolidated effort, she predicted.
8:03:57 AM
REPRESENTATIVE WILSON paraphrased from a written statement,
which read as follows [original punctuation provided]:
The following presentation outlines our proposal for
streamlining and consolidating the University's
overall structure, including services, coursework,
positions, and many other aspects, while at the same
time providing a better educational experience for
Alaskans who are seeking to obtain certificates,
training, or degrees; lastly, but certainly not least,
we outline how this process would result in a large
amount of tangible/quantifiable, as well as potential
savings for the State of Alaska.
Simply making cuts will not eliminate our deficit,
which leaves us with two choices: wait and pray that
oil prices will soar to $113 per bbl. (the point at
which David Teal informed us that the state would
begin to start to balance the budget) or continue to
make cuts and budget responsibly in combination with
changing the current structure of the University; if
oil prices do return to levels above $113 per bbl.,
responsible budget cuts and consolidation in unison
will leave the state on a much better footing to
better educate Alaskans, as well as achieve a
sustainable, balanced budget now and in the future.
8:04:44 AM
REPRESENTATIVE WILSON described the University of Alaska System
as being comprised of four main units: the system office and
three separately accredited institutions. The three university
centers act as umbrellas for numerous outreach centers and
twelve community campuses across Alaska: UA Anchorage (UAA)
campuses serve Anchorage, Kenai Peninsula, Kodiak, Matanuska-
Susitna, and Prince William Sound; UA Southeast (UAS) campuses
include Juneau, Ketchikan, and Sitka; UA Fairbanks (UAF)
campuses include Fairbanks, Bristol Bay, Interior-Aleutians,
Kuskokwim, Northwest, and Community and Technical.
Additionally, UAF has extended sites overseen by the College of
Rural and Community Development. Elaborating on the
opportunities of consolidation she said that it creates unified
pathways to obtaining degrees and certificates, providing a
clear and concise direction. Standardized programs and courses
help students gain the flexibility to transfer to any campus
without loss of credits. The effort will serve to strengthen
and unify academic departments, providing program opportunities
across Alaska while increasing department efficiency and student
services. Finally, it will create a modern university that
balances access, research and public service, as it relates to
the mission statement.
8:06:47 AM
REPRESENTATIVE WILSON explained how consolidation might be
accomplished, using the framework of the Georgia model, with the
goal of increasing the system's overall effectiveness to create
more educated Alaskans. The process must be transparent and
directly involve all shareholders, involving each campus across
Alaska. She stressed that the more diverse and broad the
participation level the better the outcome might be.
8:07:30 AM
REPRESENTATIVE JOSEPHSON questioned the timeline and whether the
current budget could be impacted.
REPRESENTATIVE WILSON responded that the entire process may take
up to a year to process and put in place, but some efficiencies
might be identified and implemented sooner, resulting in the
realization of an immediate benefit. The House University
Finance Subcommittee is working to identify and eliminate
existing duplication, which will have a timely effect, she
conjectured.
CHAIR KELLER interjected that the nature of the current budget
situation is based on non-existent revenue streams. He praised
the subcommittee's initiative, and suggested that this type of
action may be inspiring to other committees.
8:09:26 AM
REPRESENTATIVE WILSON underscored the need for the process to
include a broad selection of college staff representatives,
community members, as well as past and current students.
Referring to the handout, she read the five guiding principles
of consolidation, which are to, 1) increase opportunities to
raise education-attainment levels; 2) avoid duplication of
academic programs while optimizing access to instruction; 3)
create potential for economies of scale and scope; 4) enhance
economic development across Alaska; and 5) streamline
administrative services while improving service levels and
quality. Opportunities to raise education-attainment levels are
increased by standardizing programs and courses, creating clear,
concise degree pathways, and enhancing E-learning programs, she
relayed. Additionally, it is important to build on existing
collaborations, which would strengthen and unify academic
departments to provide program opportunities while increasing
efficiency and student services. Representative Wilson added
that the main thrust, for the university system, should be to
train students to meet job demands within the state. Certain
Alaskan based industry, such as mining and oil, continue to
import workers due to the lack of trained Alaskans to fill
positions.
8:10:52 AM
REPRESENTATIVE SEATON asked for clarification regarding the
creation of clear, concise degree pathways and whether such
action would eliminate specific programs, or identify some for
expansion, to bring them all into alignment. He offered the
example of the teacher education at UAS, which differs
significantly from UAA and UAF counterparts.
REPRESENTATIVE WILSON responded that teacher training is a good
example of training that exists at the three major campuses.
She suggested that trying to maintain a high level of expertise
on each campus, for the same degree, waters down the
universities ability to provide the highest level of expertise.
However, the program could be strengthened by uniting forces and
bringing uniformity. She said that some programs may be
eliminated, depending on course profiles of success; as measured
via graduation rates, job placement, and other criteria. Having
a uniform catalogue is an important first step which would allow
a student to begin studies in one locale, but perhaps finish on
another campus depending on the degree they decide to pursue.
Transferable credit hours are an important factor, she stressed.
REPRESENTATIVE SEATON recognized that each campus provides
different approaches for attaining a degree, such as teaching,
and expressed concern that students may lose options currently
offered by the primary campuses.
REPRESENTATIVE WILSON pointed out that depending on the funding
and success levels, competition for one campus to offer a better
program in the same course work, could be eliminated.
Additionally, course needs would still be met but the
duplication of administration could be eliminated.
8:15:52 AM
CHAIR KELLER established that the conference of university
officials, currently being held, are aware of the subcommittee's
actions, and have received a copy of the proposal under
discussion.
8:17:43 AM
REPRESENTATIVE JOSEPHSON applauded the idea of treating the
university system as one institution, in terms of credit
portability. He pointed out that a key issue could be the
public's perception for this approach.
REPRESENTATIVE WILSON answered that the public has not yet been
polled. The regent's may choose to form a committee to address
various aspects of the proposal: cost, viability, geography and
other considerations. The approach does mean that student's may
need to move away from home to attend a campus for a specific
degree, versus attending locally. The e-learning courses could
be accommodated in existing, local school buildings rather than
dedicated university facilities.
REPRESENTATIVE JOSEPHSON said it is fairly common for an 18 year
old to relocate for college, but for others it may prove more
difficult. He provided a scenario of mature, established,
working parents, who reside in an area such as Ketchikan, and
the father decides to pursue his passion for teaching. He asked
if such a scenario been considered, where a possibly great
teacher might be discouraged from entering the field, due to
lack of local opportunity.
REPRESENTATIVE WILSON pointed out how, in many locations,
throughout the state, para-professionals are assisting/teaching
in classrooms. The work experience, brought to the classroom,
is valuable. Professional experience is substituted for some
course work, with the possibility of gaining classroom
techniques via e-learning. Thus, non-traditional methods are
already in use and could be expanded upon, which may satisfy a
situation as described by Representative Josephson.
8:22:15 AM
MATT GRUENING, Staff, Representative Tammy Wilson, Alaska State
Legislature, directed attention to the committee packet, Figure
2, titled Proportion of Student Credit Hours by Method FY14-
FY15, to compare two years of data regarding traditional and on-
line studies. He paraphrased from a written statement, which
read as follows [original punctuation provided]:
The point of this chart is that there are campuses
that appear to be regressing in the utilization of e-
learning; although, some of the drops could be
explained as a result of the type of enrollment in a
particular year, the trend for e-learning should be
moving the other direction in an effort to save on
overall operational costs.
8:23:32 AM
CHAIR KELLER noted the increase in e-learning in the Mat-Su, and
the overwhelming trend for e-learning at the Chukchi facility,
and asked for further details.
MR. GRUENING pointed out that, due to the low number of students
enrolled at Chukchi the statistics may appear overtly dramatic
despite little change in status. He said the goal would be to
see an e-learning increase on all campuses.
REPRESENTATIVE WILSON added that, particularly with e-learning
options, facilities outside of the state are competing to enroll
Alaskan students.
8:25:10 AM
REPRESENTATIVE SEATON referred to Figure 2, and pointed out the
omission of UAS data. Mr. Gruening agreed to provide the
statistics.
8:25:33 AM
REPRESENTATIVE WOOL noted the Interior Alaska statistics, and
asked if that represents a campus. Mr. Gruening agreed to
provide further information. Further, Representative Wool
clarified that the graphic does not include participation
numbers, only the method used to course.
MR. GRUENING confirmed that Figure 2 is to provide trend
information for e-learning.
REPRESENTATIVE WOOL asked whether such information might help to
minimize redundancies on the ancillary campuses.
REPRESENTATIVE WILSON responded that, in an effort to create one
system, population participation will be a guide. In areas that
have a need for engineers, an engineering campus may still be
maintained. University focus groups have already eliminated some
programs. However, some small campuses may need to be closed if
the usage is primarily e-learning.
8:31:05 AM
REPRESENTATIVE SEATON identified that the policy question is
based on the assumption to further the use of e-learning and
that the shift towards that method should be continued and
bolstered, as an effective learning forum for Alaska. He stated
reservations for the dynamics of e-learning, as a primary method
to earn a full, two or four year degree. A short term
certificate, he opined, could be effectively handled via e-
learning, particularly in situations requiring credits to renew
licensure, or for refresher courses. He requested that a
distinction be clearly drawn between the traditional and e-
learning applications and the appropriate use of each method, as
the consolidation consideration unfolds.
8:33:14 AM
CHAIR KELLER pointed out that the university is working on these
issues and that the committee may take a lead from the Board of
Regents. The university has led the way on many of the early e-
learning applications, pioneered in the 1980's.
MR. GRUENING offered that e-learning is a necessary component of
consolidation, in a cost effective move to minimize
administration and building costs.
CHAIR KELLER pointed out that the legislature allocates via a
block appropriation. Funding distribution by line item is
handled at the university level. He said it is important for
the committee to communicate concerns, issues, and
recommendations, for the regents to consider when establishing
each campus' budget and offerings.
8:35:48 AM
REPRESENTATIVE WILSON added that student preference is also
considered. Recent enhancements to e-learning have improved on-
line ability for interaction; effectively enhancing the
interface to reflect a classroom experience.
8:37:46 AM
REPRESENTATIVE WILSON stressed the importance to identify
duplication of academic programs while optimizing access to
instruction. In addition to the University of Alaska System
offerings, other facilities, such as the Alaska Native Science
and Engineering Program (ANSEP), and other private institutions,
also exist. She drew attention to the next eleven pages of the
handout, pages 9-20, with a partial listing of course offerings,
by campus, to illustrate some of the possible duplication under
scrutiny.
8:39:04 AM
REPRESENTATIVE JOSEPHSON asked whether a state institution might
be closed because a private facility was in proximity, despite
the possibility of a higher tuition in the private school.
REPRESENTATIVE WILSON underscored the need for review and
analysis of course offerings and locations. The question of
whether private industry offerings might supplant what the state
is currently listing, in the course catalogue, needs to be
asked, she opined. In situations where the state appears to be
competing with private sector entities, it may be prudent to not
spread the state resources thin to cover the same field of study
offered by a private facility. She expounded on the need to
identify what are necessary offerings in order to fulfill state
hiring needs.
REPRESENTATIVE JOSEPHSON pointed out the complication behind
some fields of study, such as nursing, where a variety of
advanced certificate levels may be attained. He questioned how
these areas of study, with complicated splinter degrees, might
be handled.
REPRESENTATIVE WILSON opined that a fluid, informed, campus
should be prepared to fill the ever changing placement demands
and make course offering adjustments as necessary.
REPRESENTATIVE JOSEPHSON returned to the nursing class example
and said the degree requirements are specific and complicated.
He asked if the degree/course offerings would be minimized.
REPRESENTATIVE WILSON responded that health professionals will
provide information on the expected hiring needs, and courses
may be trimmed where the demand is low.
8:45:02 AM
REPRESENTATIVE WOOL noted that many of the programs listed
appear not to be redundant but rather vary by length. He
suggested that it allows for degree attachments, similar to
additional toppings on a pizza, versus a separate field of
study; however, as listed, there is an appearance of redundancy.
REPRESENTATIVE WILSON explained the scope of the proposal, and
that what is listed is a small sample of the university
catalogue.
8:46:48 AM
REPRESENTATIVE DRUMMOND praised the Alaska Vocational Technical
Center (AVTEC) program, and said the facility has is able to
place 100 percent of its graduates. She noted that the field of
nursing has greatly expanded, and is an active hiring sector in
the state; with an unfilled need. Further, 80 percent of
Alaska's teachers are still brought in from out of state and
retention continues to be a challenge. She that the model being
implemented, was adopted from the State of Georgia.
REPRESENTATIVE WILSON reiterated the need to identify deficits
in the work force and for the university to be able to respond
with appropriate training opportunities. The finance
subcommittee, which she chairs, is working towards gaining an
understanding of where overlaps in programs are occurring within
the University of Alaska System, as well as with other
facilities, such as AVTEC. Concentration of effort is expected
to provide better services for students, as well as economic
efficiencies. Any policy change would be initiated by the
standing committee, and the subcommittee will determine the
financial ramifications, she said, and then invited all members
to attend the round table discussions being scheduled.
REPRESENTATIVE DRUMMOND asked whether quantitative evidence is
available to support how consolidation reforms affect student
retention and completion of programs.
REPRESENTATIVE WILSON reported that the Georgia retention
numbers exceed Alaska's and said the graduation rates are
contained in the committees handout, and will be highlighted
further into the presentation.
8:51:39 AM
REPRESENTATIVE SEATON interjected that program reform is a
continuous process. The educational task force, which he sat on
six years ago, addressed similar issues. He said it will be
interesting to have a report from the university on what degree
offerings have changed, since that time. The discussion may
seem adversarial, but the questions must be asked and program
reform is an ongoing process.
CHAIR KELLER agreed, and said that an evaluation of program
needs is important. An increase in the university budget was
approved by the Board of Regents, which, given the state budget
situation, poses a red flag or disconnect.
8:53:48 AM
REPRESENTATIVE JOSEPHSON echoed the comments of Representative
Seaton, regarding the importance to raise questions. Further,
he offered that available talent exists in the professorial
ranks. The best colleges may receive as many as 400 applicants
for every opening and the applicants are often highly achieved,
PhD holding, professors who are competing for a single position.
He predicted that Alaska will be able to easily attract
excellent professors, as needed.
8:55:29 AM
REPRESENTATIVE WILSON maintained that every idea would be
brought to the table for discussion, and that the thrust is not
to chop programs, but to bolster services. She said the
interest is to bring greater access to workforce-oriented
degrees. The UAF regional campuses, such as Bristol Bay,
partners with the UAA School of Nursing to provide residents the
opportunity to attain a degree and become a candidate for local
employment. A coordinated approach is also important, she
stressed. For example, the university is developing and
improving programs in partnership with the Alaskan Fishing,
Seafood and Maritime Initiative (FSMI), to build a skilled and
qualified maritime workforce.
8:57:26 AM
REPRESENTATIVE WILSON said other guiding principles of
consolidation include: increasing economic development across
Alaska through enhanced degree programs, community partnerships,
and improved student completion; building on existing
collaboration between university centers; and streamlining the
administrative offices while improving levels and quality of
services.
8:57:39 AM
REPRESENTATIVE WILSON reviewed the administrative services,
provided at each major campus, and said streamlining these
services could provide savings without effecting programs. The
consolidated institutions will merge functions and leadership
positions to eliminate inefficient and complex reporting
relationships. Streamlining provides the potential for
improving administrative efficiencies and yielding a net
savings, she said. The University of Alaska System has four
major campus units, each headed by a chancellor who reports to
the president. Each campus possesses multiple levels of
administrative services, which include: Vice Presidents, Vice
Chancellors, Associate Vice Chancellors, Deans, Associate Deans,
Special Assistants, Provosts, Directors, and an Athletics Coach
III. Currently, all regional university centers support
extended community campus sites across the state. Focusing on
the compensation for executive positions, she reported that the
average pay for an executive position, in 2014, was $257,778,
while 58 employees make more than $208,000, equaling $14.1
million. To put the numbers in perspective, she offered that
the Governor of Alaska receives $145,000. She directed
attention to the handout, pages 26-27, listing administrative
job class titles and associated cost.
8:59:34 AM
REPRESENTATIVE JOSEPHSON questioned the accuracy of the figure
indicating that professors are each paid $225,258.
REPRESENTATIVE WILSON clarified that the total shown refers to
the 12 professor positions included in the top 58 employees
compensation report and includes benefit costs.
9:00:26 AM
REPRESENTATIVE SEATON asked about the current status of the
optional retirement plan, which the education task force had
identified as a huge expense and recommended for reform.
9:02:12 AM
REPRESENTATIVE WOOL asked for information relating to the growth
of administrative costs in comparison to student body increases
and whether the ratio been proportional.
9:03:15 AM
REPRESENTATIVE WILSON directed attention to page 28, of the
handout, showing a potential savings of $3.4 million, if the 58
executive positions were consolidated to 13. She indicated that
the merging of the positions would be a cooperative process, and
the end result may not be exactly what is listed in the packet.
9:04:32 AM
REPRESENTATIVE WILSON turned to a color coded map of the United
States, titled, "Higher Education Attainment Levels", to
illustrate student retention rates. Alaska is among the lowest
ranked states, with 63.3 percent of the first year students
leaving to attend other universities after completion of their
freshman year. Alaska's retention statistic needs to be
improved upon, she opined. She followed this with a chart to
indicate eight years of statistics tracking first-time, full-
time freshman graduation rates for associate degrees and
certificates or occupational endorsements, for each campus, as
well as the extended university system.
9:05:45 AM
REPRESENTATIVE JOSEPHSON questioned the statistics being
presented. He pointed out that certification renewal should not
count as a degree, and asked whether that statistic is included
in the chart. Additionally, he asked about the accountability
status for students who complete their freshman year in Alaska,
but finish their degree elsewhere, such as Harvard.
REPRESENTATIVE WILSON directed attention to the footnote, citing
the source of the information, and said the chart relates to
returning freshman; excluding students who seek endorsements or
certificate renewals. She opined that the reported 86 percent
of students lost are probably not attending other universities,
but fail to re-enroll at an Alaskan campus.
9:07:04 AM
REPRESENTATIVE SEATON clarified that Alaska's university system
encompasses both two and four year programs, which is unique
among the majority of states. Most commonly, two separate
systems exist, with one providing two year degree programs, and
a separate four year university. When comparing Alaska's
statistics to those of other states, he cautioned, it is
necessary to consider this difference.
9:09:22 AM
REPRESENTATIVE WILSON provided information covering the four
year graduation rate. She suggested the need for a conversation
regarding college preparedness. Remediation levels are
reportedly high, and the consolidation effort should include
discussions focused on ensuring that high school graduates are
well prepared for a postsecondary education. Appropriate
preparedness would eliminate the need for remediation courses,
and possibly increase the retention rate. The biggest reason
students drop out, at the first level, is because they don't do
very well, she opined. Of primary interest are the students
that don't make transfer requests. Why have these student's
chosen not to transfer, or return, and what might bring them
back to campus.
REPRESENTATIVE JOSEPHSON noted that the chart, handout page 31,
indicates that the trend for the UAF campus is going very
nicely.
9:11:29 AM
MR. GRUENING pointed out how the two charts, being discussed,
were purposely compiled to indicate the two year versus four
year programs, thus providing a point for comparison with
national averages, for two year, community colleges and four
year universities.
9:13:21 AM
REPRESENTATIVE WILSON turned to a projection chart to indicate
what a retention increase of 10 percent versus 20 percent would
have made on the University of Alaska System budget, for the
FY13 and FY14 associate and bachelor programs. She paraphrased
from a written statement, which read [original punctuation
provided]:
We believe that the University Consolidation will
result in increased student retention due to many
aspects associated with the consolidation itself, not
least of which are the clear and consistent course
requirements and degree pathways, as well as the
ability of a student to transfer between the different
campuses without losing valuable credits; remember
that losing credits represent a loss of time and money
that can frustrate someone who is making a decision
regarding whether to continue their higher education
in Alaska or seek a degree elsewhere.
9:14:07 AM
REPRESENTATIVE SEATON clarified the application of the
percentages provided, and pointed out that the university does
not make money on students. Thus, the 10 and 20 percent totals
indicated are not inclusive of related expenses that would be
incurred along with the enrollment increase.
9:18:25 AM
REPRESENTATIVE WILSON said challenges for consolidation exist,
based on the historic competition between the campus hubs that
have led to distinct university cultures and pride, as well as
to a disunion within the University of Alaska System. The
regional university centers currently have different branding
and marketing strategies. Achieving efficiencies from three
university centers and twelve community campuses will present
operational challenges, she said.
9:19:40 AM
REPRESENTATIVE WILSON, turned to the handout, page 34, titled,
"2006-2016 Management Plan versus FY17 Governor's Budget," and
reviewed budget categories to point out significant increases.
In response to a committee member's question, she said the
figures were not adjusted to reflect the ten year inflation
rate.
REPRESENTATIVE WOOL suggested that adjusting for inflation may
see a decrease in certain totals, such as travel.
REPRESENTATIVE WILSON concurred.
9:21:46 AM
REPRESENTATIVE JOSEPHSON recalled that, in recent years, the
state contribution has been reduced significantly, due to the
university expanding revenue through a variety of means, such as
expansion of grants and additional federal options.
9:23:17 AM
REPRESENTATIVE WILSON maintained that, despite state reductions,
it is still important to scrutinize the universities
administrative and program expenditures. The regents are
provided a lump sum state allocation, and it's important to
track how it's used, she stressed.
9:24:54 AM
REPRESENTATIVE DRUMMOND noted that the chart combines the grant
and benefits figures, and asked for clarity.
REPRESENTATIVE WILSON deferred.
9:27:23 AM
REPRESENTATIVE WILSON acknowledged that consolidation is a
difficult task, and stressed the need to consider every option
for savings while realizing that university and college campuses
provide a variety of services within a community. It's not just
about education, she said, and reiterated the major points made
in the presentation to finish.
9:27:59 AM
REPRESENTATIVE SEATON reported that he serves on the university
budget committee and offered that the layers of administration
have been under scrutiny for the past year. He stated support
for the considerations presented and said another area not yet
mentioned is athletics. The university pays the travel for
sports teams to come to Alaska for competitions, which may be an
expense to consider and policy to review. He relayed that
reports indicate how, of all the football teams across the
nation, perhaps five universities make money on their programs.
The majority of schools draw approximately $1,000 per enrolled
student, per year, from tuition and fees to support football
teams; despite low attendance at competitions. He recalled
attending the University of California at Santa Barbara at a
time when a new football stadium has been constructed only to
have the student body cast votes to eliminate the program
altogether; which, to little dismay, has never been revived.
9:31:59 AM
REPRESENTATIVE TALERICO expressed interest in scrutinizing the
area of sports and seeing the numbers for income versus
expenditures.
9:32:37 AM
REPRESENTATIVE WILSON introduced the final 14 pages of the
handout, dedicated to the University of Alaska System Budget
Review, and suggested members review it individually. Finally,
she invited members to attend the University Finance
Subcommittee, which she chairs, to gain a further understanding
of the budget review. Drawing attention to pages 43-50, she
pointed out the listed degrees a certificates issued by each
campus, with the associated costs. The Chukchi Campus only had
one degree issued and the cost indicated is inflated due to the
minimum number being included in the statistical analysis.
9:37:39 AM
CHAIR KELLER suggested that it would be helpful to hold a
presentation to compare degree costs with that of other state
programs, and a university official be invited to address the
findings.
REPRESENTATIVE WILSON agreed.
9:38:40 AM
REPRESENTATIVE WOOL directed attention to pages 47 and 48, to
note the number of degrees and certificates awarded by the
Anchorage versus Fairbanks facilities, with the associated
costs, and questioned the significant variance.
MR. GRUENING offered to provide a breakdown of the totals.
REPRESENTATIVE WILSON interjected that the numbers presented are
not discriminatory between degrees and certificates earned.
9:40:26 AM
REPRESENTATIVE JOSEPHSON returned to page 31 and indicated that
there is an influx of tuition and fees from students not
completing programs, which effects the total degree cost figure
shown on page 47. He pointed out that anyone not finishing a
baccalaureate degree, infuses money into the system, thus
offsetting some of the cost for administering the degree; a cost
of $56,251.
REPRESENTATIVE WILSON agreed that students who do not complete a
degree provide a subsidy to those who go onto finish.
REPRESENTATIVE JOSEPHSON shared that, beginning in 1982, he
pursued a bachelor's degree, at the private Whitman College,
Walla Walla, Washington. The cost was $8,900, per [two
semester] year, but today, the same degree carries a cost of
approximately $58,000. Our students cannot afford this type of
tuition, he opined, and subsidization is necessary to have the
university.
REPRESENTATIVE WILSON expressed hope that consolidation will be
advantageous and improve student benefits using a smarter
approach to the budget.
9:44:44 AM
CHAIR KELLER thanked the presenters, and stressed that the
committee holds the reins for university appropriation, but
lacks line item control. He underscored the need to consider
all opportunities to ensure fiscal efficiency.
9:46:40 AM
ADJOURNMENT
There being no further business before the committee, the House
Education Standing Committee meeting was adjourned at 9:46 a.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| Revised UOA Campus Consolidations and Budget Final 1.pptx |
HEDC 1/22/2016 8:00:00 AM |