Legislature(2017 - 2018)BUTROVICH 205

02/08/2017 08:00 AM EDUCATION

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08:00:24 AM Start
08:02:09 AM Overview: University of Alaska
09:29:55 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ University of Alaska Overview TELECONFERENCED
President Jim Johnsen
-- Testimony <Invitation Only> --
                    ALASKA STATE LEGISLATURE                                                                                  
              SENATE EDUCATION STANDING COMMITTEE                                                                             
                        February 8, 2017                                                                                        
                           8:00 a.m.                                                                                            
                                                                                                                                
                                                                                                                              
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Shelley Hughes, Chair                                                                                                   
Senator Gary Stevens                                                                                                            
Senator Cathy Giessel                                                                                                           
Senator John Coghill                                                                                                            
Senator Tom Begich                                                                                                              
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
OVERVIEW: UNIVERSITY OF ALASKA                                                                                                  
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
No previous action to record                                                                                                    
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
JIM JOHNSEN, Ph.D., President                                                                                                   
University of Alaska (UA)                                                                                                       
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Presented information about the University                                                                
of Alaska.                                                                                                                      
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
8:00:24 AM                                                                                                                    
CHAIR  SHELLEY  HUGHES  called   the  Senate  Education  Standing                                                             
Committee meeting  to order at 8:00  a.m. Present at the  call to                                                               
order were  Senators Begich, Giessel, Stevens,  and Chair Hughes.                                                               
Senator Coghill arrived shortly thereafter.                                                                                     
                                                                                                                                
^OVERVIEW: UNIVERSITY OF Alaska                                                                                                 
                 OVERVIEW: UNIVERSITY OF Alaska                                                                             
                                                                                                                                
CHAIR HUGHES announced  that the only order of  business would be                                                               
an overview  of the University  of Alaska system. She  said there                                                               
has  been a  lot of  work going  on led  by President  Johnsen to                                                               
improve education  and control costs.  Included in  these efforts                                                               
is the  Strategic Pathways Initiative,  where the  ultimate goals                                                               
are to improve  graduation rates and meet the  demands of workers                                                               
in industries that keep Alaska's economy growing.                                                                               
                                                                                                                                
8:02:09 AM                                                                                                                    
JIM  JOHNSEN,  Ph.D.,  President,   University  of  Alaska  (UA),                                                               
presented information  about the  University of Alaska.  He began                                                               
with the  mission statement: "The  University of  Alaska inspires                                                               
learning   and  advances   and  disseminates   knowledge  through                                                               
teaching,  research, and  public service,  emphasizing the  North                                                               
and  its diverse  peoples." He  commented that  it is  a standard                                                               
mission  statement   typical  of  land  grant   universities.  It                                                               
emphasizes teaching,  research, and service. Unique  to Alaska is                                                               
the emphasis on the North and the diverse peoples of Alaska.                                                                    
                                                                                                                                
8:03:33 AM                                                                                                                    
SENATOR HUGHES noted the arrival of Senator Coghill.                                                                            
                                                                                                                                
DR. JOHNSEN  continued with the  three areas of  the University's                                                               
mission.  The   education  component  takes  place   in  academic                                                               
classrooms, laboratories,  and shops  across the  state. Research                                                               
happens, not only in laboratories, but  also in the field, on the                                                               
waters, and in the mountains.  The service mission reaches out to                                                               
Alaskans to  share the  fruit of  what the  faculty and  staff do                                                               
every day to address community needs.                                                                                           
                                                                                                                                
8:04:21 AM                                                                                                                    
DR.  JOHNSEN shared  the University's  proud history.  He related                                                               
that in July  of 1915, Territorial Delegate  James Wickersham and                                                               
some people  from Fairbanks laid  the cornerstone for  the Alaska                                                               
Agricultural  College and  School  of Mines.  He  noted that  Mr.                                                               
Wickersham also  met with  the Tanana Chief  that day  where they                                                               
discussed the  importance of  education. He said  it was  a proud                                                               
day for Alaska that these two cultures came together.                                                                           
                                                                                                                                
DR. JOHNSEN said  in July 2015 the state  celebrated the 100-year                                                               
commemoration of the founding of  the university and this year is                                                               
the  100-year   anniversary  of  the   Territorial  Legislature's                                                               
adoption of the Alaska Agricultural  College and School of Mines.                                                               
He discussed  the construction and  opening of the  University in                                                               
1922 and the first graduate, John Shanley, in 1923.                                                                             
                                                                                                                                
8:06:52 AM                                                                                                                    
DR. JOHNSEN stated  that it takes a great university  to create a                                                               
great state, a simple universal  truth. He said the University of                                                               
Alaska  is committed  to make  it happen  in Alaska  and it  must                                                               
happen if  Alaska is to have  a bright and prosperous  future. He                                                               
advised to keep that idea "front and center."                                                                                   
                                                                                                                                
8:07:24 AM                                                                                                                    
He contrasted the University's growth  from one campus in 1922 to                                                               
15  statewide  campuses today;  one  graduate  in 1923  to  4,600                                                               
graduates in  2016. He said  the University  is very proud  to be                                                               
the number one higher education  institution in Alaska, and first                                                               
in the U.S. for affordability.                                                                                                  
                                                                                                                                
8:08:09 AM                                                                                                                    
CHAIR  HUGHES  asked whether  the  average  household income  for                                                               
Alaskans or the national average is used in the calculation.                                                                    
                                                                                                                                
DR. JOHNSEN said the comparison  is to Alaskans' income. He noted                                                               
that the University is the  number one research university on the                                                               
Artic  in  the  world.  That  fact  is  critically  important  to                                                               
Alaskans because they  are doing the important  research. It also                                                               
attracts graduate students  from all over the  world. It improves                                                               
the quality  of what happens  in the classrooms and  helps solves                                                               
state problems  and determines  how infrastructure,  climate, and                                                               
political  impacts  are  managed.   He  called  the  University's                                                               
research program "a real treasure."                                                                                             
                                                                                                                                
8:09:28 AM                                                                                                                    
DR. JOHNSEN stated  that the University is here  to meet Alaska's                                                               
needs.  It  needs  to  broaden access  to  higher  education  for                                                               
Alaskans.  He said  Alaska has  relatively low  rates of  college                                                               
completion. As the economy changes,  the quality of the future is                                                               
a function  on the quality  of the  talent Alaska has.  He stated                                                               
that talent is  the competitive advantage and  Alaska must invest                                                               
in it.                                                                                                                          
                                                                                                                                
He  said the  University needs  to  focus research  on issues  of                                                               
importance  and potential  commercial application  in Alaska.  He                                                               
used the  Institute of Social  and Economic Research  (ISER), the                                                               
Alaska Center for Energy and  Power, the Center for Alaska Native                                                               
Health  Research and  the Institute  of  Northern Engineering  as                                                               
examples of research that is important and practical.                                                                           
                                                                                                                                
He said  the University must prepare  Alaskans for high-demanding                                                               
jobs. He maintained  that 70 percent of teachers  are imported to                                                               
Alaska every  year. He opined  that teachers are the  single most                                                               
important job in the state.                                                                                                     
                                                                                                                                
The  University  must  develop  the  capacity  to  meet  Alaska's                                                               
increasingly  diverse,  knowledge-based  economy. He  shared  the                                                               
University's great experience with  natural resource economy, but                                                               
said  there  must  be  more  work   done  in  the  areas  of  IT,                                                               
engineering, finance, and liberal arts.                                                                                         
                                                                                                                                
He added  that they must  also build a strong  education pipeline                                                               
from  K-12 to  the  workforce, diversify  revenues, and  moderate                                                               
reliance on state general funds.                                                                                                
                                                                                                                                
8:12:54 AM                                                                                                                    
DR. JOHNSEN showed a map of  Alaska and how the University serves                                                               
all Alaskans with many campuses  under one integrated system with                                                               
three  universities,  twelve  community   campuses,  as  well  as                                                               
outreach centers  and distance  delivery. The  map does  not show                                                               
the  research  or  service provided  to  Alaskans,  nor  distance                                                               
education students.                                                                                                             
                                                                                                                                
8:13:57 AM                                                                                                                    
DR. JOHNSEN reported on the  Alaska-sized benefits the University                                                               
provides. It  is a  major economic  engine in  Alaska, generating                                                               
direct  and  indirect benefits.  About  16,000  jobs result  from                                                               
University activities  and there  are more  than $1.1  billion in                                                               
annual  economic/employment impacts  statewide.  In rural  Alaska                                                               
there are $43.7 million in economic impacts.                                                                                    
                                                                                                                                
8:14:23 AM                                                                                                                    
SENATOR  BEGICH inquired  if the  University  has quantified  the                                                               
impacts research has had on jobs.                                                                                               
                                                                                                                                
DR. JOHNSEN  said he could get  back to him. He  asked if Senator                                                               
Begich is referring to the impact on the workforce, itself.                                                                     
                                                                                                                                
SENATOR BEGICH  clarified that he  wished to quantify  the impact                                                               
that research has on jobs.                                                                                                      
                                                                                                                                
DR.  JOHNSEN  offered  to  look  at  workforce  impacts  and  the                                                               
economic value of  spending, as well as the  numbers of start-ups                                                               
and jobs  that have been  created in the private  sector directly                                                               
from the  commercialization of intellectual property.  He said it                                                               
is a top priority for the University.                                                                                           
                                                                                                                                
8:16:07 AM                                                                                                                    
CHAIR HUGHES  asked for  an update  on the  number of  direct and                                                               
indirect jobs.                                                                                                                  
                                                                                                                                
DR. JOHNSEN  continued with an  organizational chart  that showed                                                               
the structure of  the University. He explained that  the Board of                                                               
Regents are  the 11 bosses of  the UA President. He  spoke of the                                                               
University's two  major responsibilities;  one is to  ensure that                                                               
the state's needs for higher education  are met in the most cost-                                                               
effective  way,  and  the second  is  to  provide  cost-effective                                                               
administrative services to the campuses.  He said they don't have                                                               
general  counsel  or  lands  offices  on  campus;  there  are  no                                                               
redundant bureaucrats on campus.                                                                                                
                                                                                                                                
He  pointed out  that over  the last  couple years,  the campuses                                                               
have taken 14 percent budget  cuts due to general fund reductions                                                               
and at the statewide office  the reductions have been 29 percent.                                                               
They   have    been   looking   hard   at    reducing   statewide                                                               
administration.                                                                                                                 
                                                                                                                                
CHAIR HUGHES asked if the 29 percent reduction is over 2 years.                                                                 
                                                                                                                                
8:18:53 AM                                                                                                                    
DR. JOHNSEN said yes.                                                                                                           
                                                                                                                                
He presented data  on the student profile. He  said that students                                                               
come first  at the University of  Alaska. He noted the  peak year                                                               
was 2011 with  about 35,000 students. Enrollment has  not kept up                                                               
with the  state population growth  and the  university population                                                               
percentage has declined from 6.3 percent to 4.3 percent.                                                                        
                                                                                                                                
     In fall  2015, 30,496  students enrolled for  credit at                                                                    
     the University of Alaska                                                                                                   
                                                                                                                                
     In fall  2015, 18,852 students attending  UA declared a                                                                    
     primary major leading to a  degree or credential, while                                                                    
     3,190 students enrolled as pre-majors                                                                                      
                                                                                                                                
     In   FY15,   UA    students   earned   4,678   degrees,                                                                    
     certificates, and endorsements                                                                                             
                                                                                                                                
     The majority of students  attended UA part-time in fall                                                                    
     2015, accounting  for 59 percent  of the  total student                                                                    
     population                                                                                                                 
                                                                                                                                
     Graduate  students  accounted  for  8  percent  of  all                                                                    
     students attending                                                                                                         
                                                                                                                                
     Students   reporting  a   minority  racial   background                                                                    
     accounted for  27 percent  of all  UA students  in fall                                                                    
     2015,  with  15  percent  of  UA's  student  population                                                                    
     identified as Alaska Native and American Indian                                                                            
                                                                                                                                
8:19:50 AM                                                                                                                    
SENATOR BEGICH asked how to account for the enrollment decline.                                                                 
                                                                                                                                
DR. JOHNSEN said rest of country  is pulling out of the recession                                                               
and  Alaska's economy  is declining.  He has  asked the  McDowell                                                               
Group to  research that information.  He noted another  factor is                                                               
the  rise  in  online,  high quality  programs  from  outside  of                                                               
Alaska.  Outside   advertising  and   marketing  has   been  very                                                               
aggressive.                                                                                                                     
                                                                                                                                
8:20:59 AM                                                                                                                    
DR.  JOHNSEN  shared graduation  rates.  He  said 60  percent  of                                                               
students  are  part-time,  only  about  8  percent  are  graduate                                                               
students,  and   27  percent  of  students   come  from  minority                                                               
populations,  with 15  percent Alaska  Native. The  University of                                                               
Alaska is the number one  destination for Alaska Native students.                                                               
There are 115,000 Alaskans with  some college in their degree who                                                               
did not attend UA.                                                                                                              
                                                                                                                                
8:22:43 AM                                                                                                                    
SENATOR BEGICH spoke of a  recent article regarding the increased                                                               
amount of remediation needed for  unprepared college students. He                                                               
asked if  the university is  struggling with that and  is working                                                               
toward a solution.                                                                                                              
                                                                                                                                
8:23:17 AM                                                                                                                    
DR. JOHNSEN  said they have  been struggling with that  for years                                                               
since they are an open  admission institution. He listed positive                                                               
innovations they are using to  improve that problem. He mentioned                                                               
work with dual enrollment -  collaboration between the university                                                               
and high schools,  the Mat-Su Middle College School,  and the UAA                                                               
Math Emporium. He said a recent  study looked at each high school                                                               
and GPA's. It examined how many  students with high GPA's are not                                                               
ready for college. He concluded  that he and Commissioner Johnson                                                               
choose to take that data as  a challenge and as an opportunity to                                                               
work to strengthen readiness and produce the best teachers.                                                                     
                                                                                                                                
8:25:23 AM                                                                                                                    
CHAIR HUGHES  also took it as  a challenge. She commented  on the                                                               
transcript study  that showed students  with high GPA's  who were                                                               
having difficulty in  college. She emphasized the  need to remedy                                                               
the  situation. She  asked  if  some of  the  students under  the                                                               
scholarship program need remediation.                                                                                           
                                                                                                                                
DR. JOHNSEN  thought that was probably  the case, but he  did not                                                               
have specific numbers.  He agreed it is part of  the problem when                                                               
a  student  who  has  been  recognized as  a  scholar  must  take                                                               
developmental courses.                                                                                                          
                                                                                                                                
SENATOR STEVENS  agreed it  was an enormous  problem and  said it                                                               
has been around  for years. He asked if they  have considered on-                                                               
line classes and summer workshops prior to attending college.                                                                   
                                                                                                                                
8:27:26 AM                                                                                                                    
DR. JOHNSEN said yes. He  mentioned the Alaska Native Science and                                                               
Engineering Program  (ANSEP) and Rural Alaskans  Honors Institute                                                               
(RAHI)  as  programs  that  work.  He  suggested  that  the  Math                                                               
Emporium  in Anchorage  needs to  be expanded.  He noted  that UA                                                               
faculty are  interested in  working on  this issue.  He concluded                                                               
that  remediation is  expensive for  the University  in financial                                                               
and non-financial ways to the students.                                                                                         
                                                                                                                                
8:28:58 AM                                                                                                                    
CHAIR HUGHES asked if there has  been any effort to have students                                                               
take 100-level courses  with extra support. She  pointed out that                                                               
students who must take remedial  coursed have poor rates of going                                                               
through to graduation.                                                                                                          
                                                                                                                                
8:29:51 AM                                                                                                                    
DR. JOHNSEN  agreed that  the ultimate success  rates are  in the                                                               
single digits.  He said the  University is  considering providing                                                               
extra   support   within   regular   classes.   This   issue   is                                                               
controversial  across  the  country,  but  it  is  the  direction                                                               
universities are heading.                                                                                                       
                                                                                                                                
8:30:26 AM                                                                                                                    
DR. JOHNSEN turned to the economic power of research:                                                                           
                                                                                                                                
     University  research  infuses  dollars into  the  state                                                                    
     economy and supports and expands  the economy by paying                                                                    
     the salaries  of Alaskan  workers and  supporting sales                                                                    
     to Alaska business and industry partners.                                                                                  
                                                                                                                                
     UA generated  81 percent of  its research  revenue from                                                                    
     non-general fund  sources. In  FY15, each  state dollar                                                                    
     appropriated  to UA  research generated  an average  of                                                                    
     $4.1 in revenue from other sources.                                                                                        
                                                                                                                                
     Increased   invention    disclosures   can    lead   to                                                                    
     commercialization of  technologies valuable  to Alaska;                                                                    
     working  to   move  "science  to   services";  building                                                                    
     partnerships with  business and private sector  on real                                                                    
     world applications.                                                                                                        
                                                                                                                                
He  stressed  that  the  University  must  do  a  better  job  of                                                               
encouraging and supporting businesses. It is a high priority.                                                                   
                                                                                                                                
8:32:35 AM                                                                                                                    
DR. JOHNSEN  spoke of  UA's research  diversity and  service. The                                                               
University houses  more than 60  research centers  and institutes                                                               
across  the state,  plus faculty  and  undergraduate research  at                                                               
every campus. He provided a list of examples:                                                                                   
                                                                                                                                
          Geophysical Institute (GI)                                                                                            
                                                                                                                                
          Alaska Center for Energy and Power (ACEP)                                                                             
                                                                                                                                
         Alaska Volcano Observatory (AVO)                                                                                       
                                                                                                                                
          Geographic Information Network of Alaska (GINA)                                                                       
                                                                                                                                
          Ocean Acidification Research Center                                                                                   
                                                                                                                                
          Institute of Social and Economic Research (ISER                                                                       
                                                                                                                                
          Institute for Circumpolar Health Studies (ICHS)                                                                       
                                                                                                                                
          Center for Behavioral Health Research and Services                                                                    
          (CBHRS)                                                                                                               
         Alaska Coastal Rainforest Center                                                                                       
                                                                                                                                
He  added the  Institute  of Arctic  Biology,  the Institute  for                                                               
Marine  Science,  and  the Arctic  Domain  Awareness  Center.  He                                                               
stated that many are very important  to Alaska. He added that UAF                                                               
is the leading research university.                                                                                             
                                                                                                                                
8:33:48 AM                                                                                                                    
SENATOR STEVENS  added the  Fishery Industrial  Technology Center                                                               
(FITC) in Kodiak.  He thanked Dr. Johnsen for  the development of                                                               
that facility  and the impact it  has had on Kodiak.  He said the                                                               
production of surimi has changed the industry.                                                                                  
                                                                                                                                
8:34:30 AM                                                                                                                    
DR.  JOHNSEN said  the  University is  committed  to the  ongoing                                                               
success of  that facility. He  commended the community  of Kodiak                                                               
for working with  the University. There is a team  of UAF leaders                                                               
who  will  be  heading  to  Kodiak to  ensure  that  the  applied                                                               
research center continues to serve the industry.                                                                                
                                                                                                                                
8:35:14 AM                                                                                                                    
DR.  JOHNSEN  spoke of  looking  forward  regarding key  research                                                               
initiatives. He provided examples:                                                                                              
                                                                                                                                
     Build  upon  our  well-established  reputation  as  the                                                                    
     powerhouse in high latitude and Arctic research                                                                            
                                                                                                                                
     Serve  our  state  and nation  by  addressing  critical                                                                    
     issues related to our strategic global position                                                                            
                                                                                                                                
     Assist our military in  developing the domain awareness                                                                    
     to function capably and safely in the Arctic                                                                               
                                                                                                                                
     Expand economic development and  diversity in Alaska by                                                                    
     increasing    discoveries,    patents   and    business                                                                    
     partnerships                                                                                                               
                                                                                                                                
     Improve  the  lives  of Alaskans  through  research  in                                                                    
     health and social sciences                                                                                                 
                                                                                                                                
He provided  an example  of world  class research  on hibernation                                                               
with  bears  and  Arctic  ground  squirrels.  He  emphasized  the                                                               
important  of  that research  and  said  that that  the  National                                                               
Institutes of Health (NIH) and  Defense Department are interested                                                               
in the research.                                                                                                                
                                                                                                                                
8:37:11 AM                                                                                                                    
DR.  JOHNSEN  turned  to  the  University's  service  mission  of                                                               
sharing knowledge with Alaska. He  used the Cooperative Extension                                                               
agents work in communities as an example.                                                                                       
                                                                                                                                
8:38:02 AM                                                                                                                    
He spoke of challenges the University faces:                                                                                    
                                                                                                                                
     Geography - location, size, regionalism                                                                                    
                                                                                                                                
     Students  -  low  high   school  graduation  rate,  low                                                                    
     college going  rate, low college completion  rate, half                                                                    
     require developmental education                                                                                            
                                                                                                                                
     Economy  -  high in  natural  resources  - low  in  new                                                                    
     economy,  historically high  wage  to education  ratio,                                                                    
     industry workforce gaps                                                                                                    
                                                                                                                                
    Structure    -   4    administrative   structures,    3                                                                     
     institutional accreditations, geographic spread                                                                            
      Budget - heavy reliance on resource-dependent state                                                                       
     funding, 3rd year of budget reductions                                                                                     
                                                                                                                                
     Revenue - private giving, comparatively low tuitions,                                                                      
     land grant deficit                                                                                                         
                                                                                                                                
8:38:31 AM                                                                                                                    
CHAIR  HUGHES asked  if employers  look for  degrees when  hiring                                                               
today or  for a  motivated person with  other skills.  She voiced                                                               
concern about graduation rates versus job hire rates.                                                                           
                                                                                                                                
8:39:49 AM                                                                                                                    
DR. JOHNSEN  said it is  a complex  issue. Employers do  look for                                                               
skills,  and   degrees  and   certificates  do   represent  skill                                                               
attainment, but  not all the  time. However, employers  in Alaska                                                               
are  also  looking for  skills  such  as adaptability,  teamwork,                                                               
honesty,  ethics,  and the  ability  to  learn. Traditionally,  a                                                               
degree  has been  the  way  to attain  those  traits. The  degree                                                               
itself is becoming  less and less important and  a certificate or                                                               
some post-secondary education  of value is important.  He said if                                                               
a person wants to move from  one industry to another, it is often                                                               
an advantage to have a degree or the room for growth is capped.                                                                 
                                                                                                                                
8:42:28 AM                                                                                                                    
DR. JOHNSEN  asked if students  are tracked for  employment after                                                               
graduation.                                                                                                                     
                                                                                                                                
DR. JOHNSEN  said they partner  with the Department of  Labor and                                                               
Workforce  Development (DOLWD)  and Department  of Education  and                                                               
Early Development  (DEED) to track that  information. He stressed                                                               
the importance of the changing  economy. He suggested that in the                                                               
past Alaskans have been able to  get high paying jobs that do not                                                               
require  high   educational  attainment,  but  is   probably  not                                                               
sustainable for the  long term. The University  opines that there                                                               
must be  an increase in  educational attainment to  maintain high                                                               
income  trends. He  stated that  80  percent of  the variance  in                                                               
income  across   the  country  is   a  function   of  educational                                                               
attainment.  Alaska,   as  a   resource  development   state,  is                                                               
currently an outlier, but the economy is changing.                                                                              
                                                                                                                                
8:44:31 AM                                                                                                                    
CHAIR  HUGHES asked  for current  and historic  data on  students                                                               
leaving campus, graduating or not, and jobs.                                                                                    
                                                                                                                                
DR. JOHNSEN offered to provide that data.                                                                                       
                                                                                                                                
8:44:58 AM                                                                                                                    
He continued  to discuss the  challenges; structure,  budget, and                                                               
revenue, as related to the  land grant deficit. He explained that                                                               
the University did not get the  land they were promised, which is                                                               
part  of  the reason  they  rely  so  heavily  on the  state  for                                                               
funding.                                                                                                                        
                                                                                                                                
8:45:58 AM                                                                                                                    
SENATOR  GIESSEL   shared  her   personal  background   with  the                                                               
University of Alaska  and said it is a jewel.  She voiced concern                                                               
about the  land grant deficit and  asked what the barrier  was to                                                               
get the land grant back.                                                                                                        
                                                                                                                                
8:47:04 AM                                                                                                                    
DR. JOHNSEN explained that the  Alaska Constitution prohibits the                                                               
dedication of funds,  including land. The Supreme  Court ruled in                                                               
2009 that  that was the  case. In  2005 the legislature  gave the                                                               
University 250,000  acres to  remedy the  land grant  deficit and                                                               
land  started  being  transferred.  The  issue  was  re-litigated                                                               
asking  the  question  whether  land   is  subject  to  the  non-                                                               
dedication  clause, and  the answer  was yes,  so the  University                                                               
started to return  land back to the state. There  is an exception                                                               
to the provision  of the state constitution,  "except as required                                                               
for  participation   in  a   federal  program."   Currently,  the                                                               
University is working in Washington,  D.C. to create that federal                                                               
framework. After  that happens, the  University will come  to the                                                               
legislature  with  a  request for  state  participation  in  that                                                               
federal program. He concluded that  he is optimistic, but it will                                                               
take time.                                                                                                                      
                                                                                                                                
8:48:49 AM                                                                                                                    
CHAIR HUGHES  asked whether the  federal program will  remedy all                                                               
the acreage that was awarded.                                                                                                   
                                                                                                                                
DR.  JOHNSEN did  not know  what  the land  selection would  look                                                               
like. He  explained that it  is a partnership; the  University is                                                               
due about 360,000 acres and they received 110,000 acres.                                                                        
                                                                                                                                
8:50:03 AM                                                                                                                    
SENATOR  STEVENS asked  about  accreditation  expenses for  three                                                               
campuses. He asked if one university is the way to go.                                                                          
                                                                                                                                
8:50:36 AM                                                                                                                    
DR. JOHNSEN noted it is  an important question. He clarified that                                                               
there   are  two   types  of   accreditation;  programmatic   and                                                               
institutional. The regents  asked that question last  year, so he                                                               
requested  a  study  of  the   advantages  and  disadvantages  of                                                               
combining campuses  or remaining  the same. The  regents analyzed                                                               
the  report.  He  said  it  is  a  complex  issue  and  uncharted                                                               
territory to  "go to one campus"  and there is fear  of loss from                                                               
many. There is  concern that one set of  standards would diminish                                                               
excellence at each campus.                                                                                                      
                                                                                                                                
He said, at  this time, there is no plan  to combine campuses. He                                                               
said  he agrees  with that  decision and  wishes instead  to work                                                               
through the  Strategic Pathways to  gain efficiencies  within the                                                               
current structure.  On the  administrative side,  the accreditors                                                               
do not  care about  the administrative  structure. He  noted that                                                               
they are working  with colleagues in Maine, that  have been doing                                                               
administrative   consolidation   within  multiple   institutional                                                               
accreditations.                                                                                                                 
                                                                                                                                
8:53:46 AM                                                                                                                    
SENATOR STEVENS requested a copy of the study.                                                                                  
                                                                                                                                
8:54:00 AM                                                                                                                    
SENATOR BEGICH  wondered if he  could get the legal  citation for                                                               
the land grant suit. He asked who litigated it.                                                                                 
                                                                                                                                
DR. JOHNSEN  said Southeast  Alaska Conservation  Council (SEACC)                                                               
in 2009.  He offered to  provide the citation and  an information                                                               
packet.                                                                                                                         
                                                                                                                                
SENATOR BEGICH asked if SEACC did it for timber reasons.                                                                        
                                                                                                                                
DR. JOHNSEN did not know.                                                                                                       
                                                                                                                                
8:55:06 AM                                                                                                                    
DR.  JOHNSEN returned  to  the issue  of  revenue challenges.  He                                                               
spoke of  a higher education  income tax credit which  sunsets in                                                               
December  of 2018.  He  said it  has been  very  valuable to  the                                                               
University   and  has   strengthened  their   relationships  with                                                               
businesses  across the  state. He  emphasized that  renewing that                                                               
credit is a priority.                                                                                                           
                                                                                                                                
8:56:00 AM                                                                                                                    
DR.  JOHNSEN  discussed  Alaska's  brain drain  due  to  students                                                               
leaving to attend  college in the Lower 48. He  stressed the need                                                               
for  a  strong  relationship  between  the  University  and  high                                                               
schools,  strengthening college  readiness, working  closely with                                                               
employers, and understanding workforce needs.                                                                                   
                                                                                                                                
He showed a  national graph of high school  graduation decline of                                                               
7 percent  between 2010  and 2015.  He explained  a graph  on the                                                               
percent of  residents aged  25-64 with  an Associate's  Degree or                                                               
higher,  born in  Alaska, in  2010. It  was at  16.5 percent.  He                                                               
showed a  graph of  the same population  with college  degrees in                                                               
2013. It was at 37.4 percent.  He concluded that going forward to                                                               
2025,  the economy  will require  a  rate of  65 percent  college                                                               
graduates.                                                                                                                      
                                                                                                                                
8:58:09 AM                                                                                                                    
DR. JOHNSEN  showed the relationship between  wage and education.                                                               
He said the concern is whether Alaska will move up.                                                                             
                                                                                                                                
8:58:57 AM                                                                                                                    
DR. JOHNSEN  highlighted graphs of  how education  attainment and                                                               
income are  related. He  asked the  question whether  Alaska will                                                               
move  up  through  increased educational  attainment  to  protect                                                               
income or not.                                                                                                                  
                                                                                                                                
He addressed  state budget reductions.  He showed a graph  of the                                                               
University's general  funds from FY15  - FY18. The high  was $375                                                               
million  in FY15  and  the  Governor's FY18  request  is at  $325                                                               
million.  The   Regents  have  requested  $341   million  on  the                                                               
operating side and  $50 million on the capital  side for deferred                                                               
maintenance.  He  did  not  think   there  was  anything  in  the                                                               
Governor's budget for deferred maintenance.                                                                                     
                                                                                                                                
8:59:58 AM                                                                                                                    
DR. JOHNSEN addressed the impacts of budget reduction:                                                                          
                                                                                                                                
     Jobs impacted                                                                                                              
         Cumulative FY15-FY17 headcount reduction: more                                                                         
          than 900                                                                                                              
         More than 250 reduced assignments or increased                                                                         
          workload                                                                                                              
                                                                                                                                
     Academic program reductions                                                                                                
       Since   January   2016,   50   academic   programs                                                                       
          eliminated or  suspended                                                                                              
          Fewer sections and larger class sizes                                                                                 
          Increases in faculty instructional workloads                                                                          
                                                                                                                                
       Administrative function consolidation and service                                                                        
     reductions                                                                                                                 
                                                                                                                                
     Closed Galena, McGrath, & Shishmaref Learning Centers                                                                      
                                                                                                                                
    Reduction   of   faculty    travel   and   professional                                                                     
     development funding                                                                                                        
                                                                                                                                
     Reduced research faculty start-up/seed availability                                                                        
                                                                                                                                
     Telecommunications contract cost reduction                                                                                 
                                                                                                                                
      Reduced owned & leased space; defeased & refinanced                                                                       
     debt                                                                                                                       
                                                                                                                                
9:02:04 AM                                                                                                                    
He discussed how  the University is looking forward.  By 2025, 65                                                               
percent   of   Alaska  jobs   are   expected   to  require   some                                                               
postsecondary education;  current attainment is 37  percent. UA's                                                               
long-term goal  is to support  Alaska's evolving  workforce needs                                                               
by providing more graduates and  developing a stronger culture of                                                               
education.                                                                                                                      
                                                                                                                                
9:03:29 AM                                                                                                                    
CHAIR  HUGHES asked  about  specific action  steps  to meet  that                                                               
goal.                                                                                                                           
                                                                                                                                
9:03:41 AM                                                                                                                    
DR. JOHNSEN replied that one step  is to attract more Alaskans to                                                               
the  University,  especially  the  population  of  Alaskans  with                                                               
partial degrees.  They have  a privately-funded  public awareness                                                               
campaign  to "lift  up" higher  education and  the University  of                                                               
Alaska, in particular,  in the eyes of Alaskans.  Another step is                                                               
more aggressive  recruiting.  They  plan to  increase convenient,                                                               
online courses for the partial-degree market.                                                                                   
                                                                                                                                
CHAIR  HUGHES said  she saw  one  of the  commercials during  the                                                               
Super Bowl.                                                                                                                     
                                                                                                                                
SENATOR STEVENS noted, as a  former University faculty member, he                                                               
has concerns about  the recent vote of no confidence.  He said he                                                               
understands  the challenges  the university  faces due  to budget                                                               
cuts. He  believed the  Regents are  supportive of  the Strategic                                                               
Pathways,  and  applauded  moving  the  School  of  Education  to                                                               
Juneau. He asked how Dr. Johnsen  plans to bring the faculty into                                                               
the Strategic Pathways process.                                                                                                 
                                                                                                                                
9:06:08 AM                                                                                                                    
DR. JOHNSEN thanked Senator Stevens  for the question. He said he                                                               
respects the faculty senates and  the diversity of viewpoints. He                                                               
pointed  out  that the  Strategic  Pathways  process already  has                                                               
included 250  faculty, staff, students, and  community leaders, -                                                               
89 faculty  - served on  the teams. There have  been constructive                                                               
suggestions made by  faculty in terms of  improving the Strategic                                                               
Pathways  process  and  a  number  have  been  incorporated.  For                                                               
example, in Phase I of  Strategic Pathways, in addition to having                                                               
faculty on the teams, he opted  to have public forums. On several                                                               
campuses,  roughly 400  showed up.  However,  instead of  talking                                                               
about educational  topics, they talked  about sports at  both UAA                                                               
and UAF.                                                                                                                        
                                                                                                                                
He  announced that  going forward  there  will be  two rounds  of                                                               
consultation  with every  affected organizational  unit in  Phase                                                               
II. He  plans to meet  with every faculty/staff/student  in those                                                               
specific  areas  before meeting  with  the  Board of  Regents  in                                                               
March,  and again  after the  March meeting.  In addition,  he is                                                               
scheduling  time  with  the faculty  senate.  He  concluded  that                                                               
change  is difficult  and there  is a  sense of  urgency. Budgets                                                               
have changed,  and decisions  need to  be made  expeditiously. He                                                               
noted  there is  a  lot  of support  by  the  faculty across  the                                                               
university system who are seeing  progress and positive movement.                                                               
He said at  the March meeting there will be  a focused session on                                                               
shared governance.                                                                                                              
                                                                                                                                
9:09:18 AM                                                                                                                    
SENATOR STEVENS  shared a joke.  He voiced appreciation  for what                                                               
the faculty  senate has done  and what  Dr. Johnsen is  doing. He                                                               
opined that "we can get beyond this."                                                                                           
                                                                                                                                
9:09:37 AM                                                                                                                    
CHAIR HUGHES  added that at  a recent town hall  meeting students                                                               
and  staff  all  spoke  in  support  of  the  Strategic  Pathways                                                               
process.                                                                                                                        
                                                                                                                                
DR. JOHNSEN  said he  respects the  faculty, however,  "it hurts,                                                               
and we  will absolutely do  better." He  emphasized that it  is a                                                               
learning process. He said he aims  to ensure that the faculty are                                                               
engaged and contributing.                                                                                                       
                                                                                                                                
9:10:27 AM                                                                                                                    
DR. JOHNSEN shared his work  with the Department of Education and                                                               
Early Development  (DEED) and  Commissioner Johnson.  He stressed                                                               
the importance of working together  and aligning K-12 with higher                                                               
education  and  the  workforce. Research  says  the  single  most                                                               
important  factor in  a  K-12's student  success  outside of  the                                                               
school is  whether there  is a job  in the home.  The goal  is to                                                               
create jobs in homes, students who  are ready to learn, and great                                                               
teachers in classrooms. He summarized  that the University is all                                                               
about building a culture of education in Alaska.                                                                                
                                                                                                                                
9:11:34 AM                                                                                                                    
He  shared  examples  of  ways the  University  is  aligning  for                                                               
Alaska's future. He  highlighted the goal to  increase the number                                                               
of  Alaska  educated  teachers  to  90 percent  by  2015.  It  is                                                               
currently at 30 percent.                                                                                                        
                                                                                                                                
9:12:19 AM                                                                                                                    
CHAIR  HUGHES spoke  of  conversations  around virtual  education                                                               
opportunities, particularly  for rural students. She  asked about                                                               
teacher training and the virtual model.                                                                                         
                                                                                                                                
DR. JOHNSEN  shared that  they are  doing a lot  of work  in that                                                               
area. They do  faculty development on the use of  IT. One teacher                                                               
training  program,  the  Masters   of  Arts  in  Teaching  (MAT),                                                               
requires  an  undergraduate  degree   and  students  take  online                                                               
courses  while working  in supervised  classrooms.  He said  they                                                               
need to produce more programs of that nature.                                                                                   
                                                                                                                                
9:13:50 AM                                                                                                                    
SENATOR  GIESSEL brought  up the  [Recruitment  and Retention  of                                                               
Alaska Natives  into Nursing]  RRANN program  and asked  if there                                                               
are similar programs in education.                                                                                              
                                                                                                                                
9:14:28 AM                                                                                                                    
DR. JOHNSEN responded that there  is a Future Educators of Alaska                                                               
(FEA)  program that  reaches out  to  7th graders  and they  have                                                               
talked about  an Alaska Native  Teacher Education  program, based                                                               
in  part on  the Alaska  Native Science  and Engineering  Program                                                               
(ANSEP). He  stressed the  importance of  reaching out  to future                                                               
teachers. He  noted that he  has announced a  teacher scholarship                                                               
program, to help raise the prestige of the profession.                                                                          
                                                                                                                                
9:15:59 AM                                                                                                                    
SENATOR  BEGICH drew  attention to  the work  Former-Commissioner                                                               
Covey  and  Dr.  Armstrong  have  done  in  the  EQQ  study  that                                                               
addressed findings related to growing Alaska teachers.                                                                          
                                                                                                                                
9:16:34 AM                                                                                                                    
DR. JOHNSEN  noted that Mr. Covey  was a member of  the Strategic                                                               
Pathways   team  on   teacher  education   and  continues   as  a                                                               
consultant.                                                                                                                     
                                                                                                                                
DR. JOHNSEN talked about Alaska  scholarships; UA Scholars, which                                                               
are  paid   by  the  land   grant  and  the   Alaska  Performance                                                               
Scholarships,  which  the legislature  funds.  Both  have made  a                                                               
difference at the University.                                                                                                   
                                                                                                                                
9:17:35 AM                                                                                                                    
DR.  JOHNSEN discussed  strategic  investments  suggested by  the                                                               
Board  of   Regents:  student  success,   workforce  development,                                                               
facilities  maintenance,   research,  economic   development  and                                                               
diversification, and K-12 partnerships.                                                                                         
                                                                                                                                
9:19:27 AM                                                                                                                    
DR.  JOHNSEN  shared the  10-year  glide  path framework  showing                                                               
moderate  state general  fund support.  The University's  10-year                                                               
framework   uses  benchmarked   goals  to   incorporate  gradual,                                                               
sustainable  reductions  in  state  general  fund  appropriations                                                               
while  increasing  University  revenues  through  enrollment  and                                                               
diversified  revenue. He  suggested  that  gradual reductions  in                                                               
funding  is the  responsible thing  to do  for Alaska.  He listed                                                               
ways  the University  will increase  revenues: increase  tuition,                                                               
which  is currently  19 percent  of the  Western States  average;                                                               
step  up private  giving; increase  research. He  emphasized that                                                               
the bottom  line is  increased enrollment, which  is tied  to the                                                               
"65 by 2025 model."                                                                                                             
                                                                                                                                
9:21:54 AM                                                                                                                    
CHAIR  HUGHES requested  more information  about  the 30  percent                                                               
higher national average.                                                                                                        
                                                                                                                                
9:22:19 AM                                                                                                                    
DR. JOHNSEN shared enrollment strategies  and planning. He listed                                                               
the  processes started  in  the  fall of  2016  and the  upcoming                                                               
spring of 2017:                                                                                                                 
                                                                                                                                
          Process started Fall 2016                                                                                             
                                                                                                                                
               Enrollment Summits at each university                                                                            
              McDowell Phase 1 enrollment analysis                                                                              
              Fiscal framework shared with BOR and University                                                                   
              leadership                                                                                                        
              SDM (Structured Decision Making) process started                                                                  
               Enrollment Planning document                                                                                     
               Initial strategic enrollment investments funded                                                                  
                                                                                                                                
         Upcoming Spring 2017                                                                                                   
                                                                                                                                
              McDowell Phase II                                                                                                 
              High school survey                                                                                                
               Employer analysis                                                                                                
                                                                                                                                
9:23:32 AM                                                                                                                    
DR. JOHNSON addressed what is needed to transform enrollment:                                                                   
                                                                                                                                
    Emphasize retention and graduation                                                                                          
          Investment    in   predictive    analytics   to    help                                                               
          universities   target  and   provide  information   and                                                               
          resources to students when they need it                                                                               
         A cadre of advisors trained in the use of cutting edge                                                                 
         technology will be required                                                                                            
                                                                                                                                
    Focus on Alaskan adults with some college, but no degree                                                                    
         Invest in a fast, friendly and efficient "intake"                                                                      
         process through a sophisticated web site or portal                                                                     
         application                                                                                                            
          Have technology  and staff  dedicated to  helping adult                                                               
          students with  transfer of credit and  credit for prior                                                               
          learning and experience                                                                                               
          A major investment in on-line learning                                                                                
                                                                                                                                
DR.  JOHNSEN  showed  data  on the  adult  education  profile  in                                                               
Alaska. He shared strategies to  target Alaska's adult market. He                                                               
discussed  the  needs  for  students with  some  college,  or  no                                                               
degree.                                                                                                                         
                                                                                                                                
9:24:41 AM                                                                                                                    
DR. JOHNSEN  concluded that Strategic  Pathways is  the framework                                                               
the University is  using to improve its service to  the state. He                                                               
noted it  is not  a plan, per  se, nor  is it a  vision; it  is a                                                               
discovery  process. The  framework was  adopted by  the Board  of                                                               
Regents last January. He showed  a table that summarizes the plan                                                               
and identifies  areas of  distinctiveness and  focus for  each of                                                               
the three universities.  The upside of the process is  that it is                                                               
open, inclusive, transparent,  and a lot of  people are involved;                                                               
the downside is the same. It is complex.                                                                                        
                                                                                                                                
9:25:30 AM                                                                                                                    
DR. JOHNSEN related the initial pathways outcomes:                                                                              
                                                                                                                                
          Consolidation  of  3  research  administration  offices                                                               
          into 1;                                                                                                               
                                                                                                                                
         Consolidation of 3 procurement offices into 1;                                                                         
                                                                                                                                
          Consolidation of information  technology (IT) functions                                                               
          at  each  of  the   universities,  with  governance  at                                                               
          Statewide;                                                                                                            
                                                                                                                                
          Collaboration and efficiencies between the two schools                                                                
          of engineering;                                                                                                       
                                                                                                                                
         Collaboration between the UAA and UAF management and                                                                   
         business programs;                                                                                                     
                                                                                                                                
         Consolidation of the UAS management programs into the                                                                  
         School of Arts and Sciences;                                                                                           
                                                                                                                                
         Consolidation of three schools of education into one                                                                   
         at UAS, serving all of UA                                                                                              
                                                                                                                                
He  noted one  of  the big  values of  this  process is  bringing                                                               
people together to talk.                                                                                                        
                                                                                                                                
9:27:01 AM                                                                                                                    
The  creation of  one  College  of Education  at  UAS  will be  a                                                               
couple-year process.  He emphasized that there  will be education                                                               
faculty at UAF and UAA;  the administration will be consolidated.                                                               
Superintendents did their own poll  and over 90 percent concurred                                                               
with  one   school  of   education.  The   goal  is   to  balance                                                               
accountability, cost effectiveness and access.                                                                                  
                                                                                                                                
9:27:57 AM                                                                                                                    
DR.  JOHNSEN  thanked  the  committee.   He  concluded  that  the                                                               
University  of Alaska  is "leaning  forward" and  leading, making                                                               
difficult decisions  and listening. The  bottom line is  to serve                                                               
Alaska and its students.                                                                                                        
                                                                                                                                
9:28:40 AM                                                                                                                    
CHAIR HUGHES  asked members  to submit  questions to  her office.                                                               
She thanked Dr.  Johnsen for his leadership. She  stated that Dr.                                                               
Johnsen  is  turning  challenges  into  opportunities  that  will                                                               
improve  the  quality  of,  and attract  more  students  to,  the                                                               
university. She  asked the faculty  to get involved in  a greater                                                               
degree.                                                                                                                         
                                                                                                                                
9:29:55 AM                                                                                                                    
There being  no further  business to  come before  the committee,                                                               
Chair Hughes  adjourned the  Senate Education  Standing Committee                                                               
at                                                           9:29                                                               
a.m.                                                                                                                            

Document Name Date/Time Subjects
FY18 Senate Education Overview- Final.pptx SEDC 2/8/2017 8:00:00 AM