agenda: nov 17, 2016 cpe meetingcpe.ky.gov/aboutus/records/cpe_meetings/agenda-2016-11...2016/11/17...

The Council on Postsecondary Education is Kentucky’s statewide postsecondary and adult education coordinating agency charged with leading the reform efforts envisioned by state policy leaders in the Kentucky Postsecondary Education Improvement Act of 1997. The Council does not discriminate on the basis of race, color, national origin, sex, religion, age, or disability in employment or the provision of services, and provides, upon request, reasonable accommodation, including auxiliary aids and services necessary to afford individuals with disabilities an equal opportunity to participate in all programs and activities.

Kentucky Council on Postsecondary Education, 1024 Capital Center Drive, Suite 320, Frankfort KY 40601, Ph: (502) 573-1555, Fax: (502) 573-1535,

http://cpe.ky.gov

Twitter: https://twitter.com/cpenews Facebook: https://www.facebook.com/KYCPE

Printed with state funds

MEETING AGENDA

Thursday, November 17, 2016 Owensboro Community & Technical College

Members, Council on Postsecondary Education

Ronald C. Beal, Bowling Green

Ben Brandstetter, Hebron Glenn D. Denton, Paducah (chair)

Maryanne Honeycutt Elliott, Louisville Joe E. Ellis, Benton

Dan E. Flanagan, Campbellsville Lucas V. Mentzer, Lexington

Pam Miller, Lexington Donna Moore, Lexington (vice chair)

Joseph Papalia, Louisville Vidya Ravichandran, Louisville Robert H. Staat, UofL (faculty member) Carol Wright, Tyner Sherrill B. Zimmerman, Prospect Sebastian Torres, EKU (student member) Stephen Pruitt, Commissioner of Education (ex officio, nonvoting)

Robert L. King, CPE President

http://cpe.ky.gov/

https://twitter.com/cpenews

https://www.facebook.com/KYCPE

AGENDA Council on Postsecondary Education

Thursday, November 17, 2016 2:00 PM

Owensboro Community & Technical College

1. CPE Work Session (2:00 p.m.) Location: Advanced Technology Center, Chandler Conference Room (Room 107)

a. Update on Performance Funding 3

b. Performance Metrics & Accountability System 17

c. 2017-18 Tuition Setting Process & Affordability Issues 38

2. Owensboro Community & Technical College Briefing and Campus Tour (4:30 p.m.) Location: Advanced Technology Center, Chandler Conference Room (Room 107)

3. Reception & Dinner (6:00 p.m.) Location: OCTC Barn

All meetings are in Central Standard Time (CST)

Presentation

from the

Performance

Funding Work

Group Meeting

11/2/16

3

2

Four-Year Universities

4

Proposed Approach

3

• Outcomes based model that distributes 100% of allocable resources based on rational criteria:

70% distributed based on performance (student success and course completion outcomes)

30% allocated in support of vital campus operations (M&O of facilities, institutional support, and academic support)

• Includes all public four-year universities in performance pool, but includes safeguards to ensure that neither sector is advantaged or disadvantaged at implementation

• Contains small school adjustment to minimize impact on smaller campuses

• Makes use of hold harmless and stop loss provisions in early years of implementation

5

(Dollars in Millions)

(A - B - C)

A B C D

2017-18 Net Mandated Small School Allocable

Campus General Fund Programs Adjustment Resources

UK $267.0 $80.3 $18.7 $168.0

UofL 132.8 0.0 13.3 119.5

EKU 65.0 0.2 4.8 60.0

KSU 26.7 6.7 4.8 15.2

MoSU 42.0 2.9 4.8 34.3

MuSU 45.9 2.6 4.8 38.5

NKU 51.4 1.5 4.8 45.2

WKU 74.5 5.6 4.8 64.2

Sector $705.3 $99.9 $60.5 $544.9

4

Allocable Resources

• Allocable resources are defined as General Fund appropriations net of mandated programs and a small school adjustment

6

5

• Student Success (35% of allocable resources)

– Distributed based on each institution’s share of sector total student success outcomes produced

o Bachelor’s Degrees

o Degrees per 100 UG FTE Students

o STEM+H, URM, and Low Income Degrees

o Student Progression (@ 30, 60, and 90 credit hour thresholds)

o Educational Opportunity (under consideration)

• Course Completion (35% of allocable resources)

– Distributed based on each institution’s share of sector total

student credit hours earned (weighted to account for cost

differences by degree level and discipline)

Outcomes Based Components

7

6

• Maintenance and Operations (10% of allocable resources)

– Distributed based on each institution’s share of square feet, net of research and non-class laboratory space

• Institutional Support (10% of allocable resources)

– Distributed based on share of sector total instruction and student services spending, net of M&O

• Academic Support (10% of allocable resources)

– Funding for academic support services, such as libraries and academic computing

– Distributed based on share of FTE student enrollment

Operational Support Components

8

7

• Fiscal 2017-18 (Year Zero)

– Run the model with additional year of data and use results to:

o Distribute Postsecondary Education Performance Fund (5%)

o Inform Council’s 2018-20 biennial budget recommendation

• Fiscal 2018-19 (Year One)

– Apply hold harmless provision in first year of implementation

– Request sufficient additional appropriations that when combined with hold harmless allocation will achieve equilibrium in first year

• Fiscal 2019-20 (Year Two)

– Transition to 1% stop loss in second year

• Fiscal 2020-21 (Year Three)

– Transition to 2% stop loss in third year and each year thereafter

Recommended Phase In

9

Sample Model

8

10

9

• Distributes 100% of allocable resources using rational criteria (no

unearned funds).

• Excludes mandated program appropriations that do not contribute to credit hour generation or student success outcomes.

• Dynamic model capable of shifting funds to reflect changes in enrollment, program mix, and student success outcomes.

• Stable fund source provides ongoing incentives for improvement.

• Does not require targets or goals (distribution determined by each

institution’s share of sector total outcomes produced).

• Includes hold harmless and stop loss provisions to minimize shifts in funding in early years of implementation

• Rewards future performance based on relative improvement (after equilibrium achieved).

Advantages of Proposed Approach

11

10

• Encourages increased bachelor’s degree production at universities and associate degrees and industry recognized certificates at KCTCS, which will help Kentucky achieve 58% attainment goal by 2025.

• Provides incentives for efficient degree production (through use of

degrees per 100 FTE metric).

• Supports production of degrees in priority areas (STEM+H fields).

• Helps close achievement gaps by providing incentives for increased underrepresented minority and low income degrees.

• Provides incentives for retaining and progressing students toward timely degree completion.

• Encourages investment in instructional faculty and student support services, as opposed to administrative overhead.

Behaviors Incentivized

12

11

KCTCS Update

13

Proposed Approach

12

• KCTCS is developing an outcomes component that can be integrated into their existing funding formula

• Like the four-year model, their formula will distribute 100% of allocable resources based on rational criteria:


o Student Success

o Course Completion

Operational Support Components

o Maintenance and Operations

o Institutional Support

o Academic Support

• Includes equity adjustment to provide stability to the model

• Will likely include hold harmless and stop loss provisions

14

13

• Student Success

– Distributed based on each institution’s share of system total student success outcomes produced

o Credentials

o Credentials in STEM+H fields

o Credentials earned by URM, low income, & underprepared students

o Student Progression (@ 15, 30, and 45 credit hours)

o Targeted industry credentials

o Transfers

o High wage, high demand graduates

• Course Completion

– Distributed based on share of system total student credit hours

earned


15

Presentation

from the

Performance

Funding Work

Group Meeting

11/2/16

16

Lee Nimocks, Vice President, CPE

November 17, 2016

Statewide Strategic

Agenda and

Accountability

System 17

Kentucky Council on Postsecondary Education 2

KRS 164.020 directs the CPE to develop a Strategic Agenda, which shall:

• Provid[e] statewide priorities and a vision for long-term economic growth;

• State important issues and aspirations of the Commonwealth's students, employers, and workforce reflecting high expectations for their performance;

• Sustain a long-term commitment to constant improvement, while valuing market-driven responsiveness, accountability to the public, technology-based strategies, and incentive-based motivation.

Planning and Accountability

18

Statewide Strategic Agenda


What it isn’t What it is

• A replacement for campus strategic plans

• Focused on the needs and goals of individual campuses

• The CPE’s strategic plan • A static plan that cannot be

changed • A publication that gathers

dust on a shelf

• A higher education planning blueprint for Kentucky

• Focused on good of the state and her people

• A guidepost for what we want to achieve

• Reflective of collective values and goals

• A way to engage external stakeholders

• A way to measure progress and adjust course if needed

19

VISION:

MISSION:

Kentucky will experience greater prosperity and a higher quality of life through increased educational attainment, workforce readiness, research and innovation.

Kentucky’s postsecondary system enhances the health and well-being of our citizens by preparing students to create and apply new knowledge and excel in a global economy and culture.

20

EDUCATIONAL ATTAINMENT

5

Kentucky Council on Postsecondary Education

Kentucky lags many other states in the percentage of adults with postsecondary credentials, which affects our economic competitiveness and quality of life.

21


Adults (25-64) with an Associate Degree or Higher, by State

51

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KY Ranked 44th

Source: U.S. Census Bureau, 2013 American Community Survey 1-Year Public Use Microdata Sample.

22


Per Capita Income, by State

KY Ranked 45th

60

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Source: Bureau of Economic Analysis, 2013

23


Educational Attainment in KY, SREB, & the U.S.

13%

32%

22%

9%

14%

10%

13%

30%

22%

8%

17%

10%

12%

26%

22%

9%

20%

11%

0

5

10

15

20

25

30

35

Less than High School High School Some College, NoDegree

Associates Degree Bachelor's Degree Graduate, ProfessionalDegree

Kentucky SREB United States

Source: U.S. Census Bureau, 2013 American Community Survey One-Year Public Use Microdata Sample.

24

EDUCATIONAL ATTAINMENT

9

Kentucky Council on Postsecondary Education

There are sizable gaps in educational attainment between white and underrepresented minority adults.

25


Educational Attainment Gaps in KY: Adults (25-44)

11%

30%

24%

9%

17%

9%

19%

32%

26%

8%

10%

6%

0

5

10

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25

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35

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Some College, NoDegree

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White Minority

Source: U.S. Census Bureau, 2011-13 American Community Survey (ACS) Public Use Microdata Sample (PUMS) File.

26


• To increase educational attainment (certificate and above) to 58% by 2025.

• KY’s current attainment level for working-age adults is 45%.

• Developed in consultation with the National Center on Higher Education Management Systems (NCHEMS).

• Based on HB 1 (1997) goal to achieve “a standard of living and quality of life that meets or exceeds the national average,” to be “accomplished through increased educational attainment at all levels.”

The Big Goal

45%

in 2013

58%

in 2025

27


Higher Education Accountability

• Metrics and targets tied to strategic agenda goals and objectives

• Performance dashboard

• Annual performance presentations

• Institutional scorecards

• Annual accountability report

• Ad hoc reports

• Performance funding

28


• OPPORTUNITY. How can Kentucky encourage more people to take advantage of postsecondary opportunities?

• SUCCESS. How can Kentucky increase degree and certificate completion, fill workforce shortages, and guide more graduates to a career path?

• IMPACT. How can Kentucky’s postsecondary system create economic growth and development and make our state more prosperous?

Three Priority Areas

29

The Plan

Stronger By Degrees: Kentucky’s 2016-2021 Strategic Agenda for Postsecondary and Adult Education

30

Ensure postsecondary education is broadly accessible to all Kentucky residents, students have college-going resources/support, and students are academically prepared

15

FOCUS AREA 1: OPPORTUNITY

OBJECTIVES: Increase diversity & inclusiveness on campuses Partner with P-12 to increase college readiness Increase college-going, particularly among

underrepresented populations Transition more GED graduates to college Increase financial access to postsecondary education

31

• College Readiness of College Entrants

• College-Going Rate of High School Graduates

• Kentucky Residents (25-64) Enrolled in Postsecondary Education

• Working-Age Population (18-64) Without a High School Diploma

• Number of Kentuckians Earning a GED®

• Percent of Adult Education Students Transitioning to Postsecondary Education

• Net General Fund Appropriations

• Qualified Students Not Receiving Need-Based State Aid

• Average Net Price

• Outcome of Annual Degree Eligibility Review, Linked to Campus Diversity Plans

• Progress of Underprepared Students in English & Math

Draft Metrics

32

Enable more people to complete college with the skills and abilities to be productive, engaged citizens

17

FOCUS AREA 2: SUCCESS

OBJECTIVES: Increase persistence & completion for all students and

accelerate successful outcomes for low-income, underprepared, and underrepresented minority students

Increase the number who transfer from 2-year to 4-year institutions and complete degrees

Promote educational excellence through improvements in teaching & learning

33

Draft State-Level Metrics Draft Metrics

• Six-Year College Completion Rate

• Two to four year transfer *

• 3-Year and 6-Year Graduation Rates, with breakouts from URM and Low Income **

• First-Year to Second-Year Retention **

• Student Progression (30, 60, and 90 hours) *

• Degrees per 100 FTE *

• Average Credit Hours Earned for Graduates

• Academic Quality and Excellence Metrics (varied based on institutional mission and priorities)

34

Strengthen postsecondary education’s ability to advance new knowledge and research, improve communities, increase educational attainment, and produce a well-educated, highly-skilled citizenry

19

FOCUS AREA 3: IMPACT

OBJECTIVES: Increase educational attainment and degrees & credentials

awarded Increase alignment between degrees/credentials & state

workforce needs Increase basic, applied and translational research to create

new knowledge and economic growth Expand regional partnerships, outreach, and public service.

35

Draft Metrics

• Educational Attainment (Percent of Kentuckians 25-64 with a postsecondary credential)

• Percent of Graduates Working or Pursuing Additional Education

• Degrees/Credentials Conferred with breakouts from URM, STEM and Low Income ***

• Percent of Graduates who Complete Internships and/or Co-ops

• Non-Credit Workforce Training (KCTCS only)

• Annual Updates on Regional Development, Outreach and Public Service

36

QUESTIONS?


37

Tuition Setting

Process for

Academic Year

2017-18

CPE Work Session

November 17, 2016

38

2

• Statutory authority to determine tuition (KRS 164.020)

• Collaborative process involving multiple stakeholders – Council president and staff

– Campus presidents and chief budget officers

– Council members (TDWG)

– Governor and legislative leadership

– Student groups

• Data driven and transparent – Regional and national comparisons of sticker and net prices

– Trends in federal, state, and campus funded student aid

– Net price % of family income and student debt

– Fixed cost increase and tuition revenue estimates

Tuition Setting Process

39

Tuition and Fee Policy

• Funding Adequacy – The Council seeks to balance the affordability of postsecondary

education for Kentucky’s citizens with the institutional funding necessary to accomplish the goals of HB 1 and the Strategic Agenda.

• Shared Benefits and Responsibility – The Council and the institutions believe that funding postsecondary

education is a shared responsibility of state and federal governments, students and families, and postsecondary education institutions.

• Affordability and Access – The Council and the institutions are committed to ensuring that college

is affordable and accessible to all academically qualified Kentuckians, with particular emphasis on adult learners, part-time students, minority students, and students from low and moderate income backgrounds.

3

40

Tuition and Fee Policy (Cont’d)

• Affordability and Access

– The Council believes that no citizen of the Commonwealth who has the drive and ability to succeed should be denied access to postsecondary education in Kentucky because of inability to pay.

– Access should be provided through a reasonable combination of savings, family contributions, work, and financial aid, including grants and loans.

• Nonresident Student Policy

– Nonresident students should pay a larger share of their educational costs than do resident students.

– Institution shall manage tuition and fee rates, price discounting, and scholarship aid for out-of-state students, so that average net tuition and fee revenue per nonresident student equals or exceeds 100% of direct instructional and student services costs per student.

4

41

Key Issues for 2016-17

5

• Enacted reduction of 4.5% (or $40.1 million)

• Large increase in mandated KERS contributions (9.82 % points)

• Fixed and unavoidable cost increases

• Sector differentiation

• Widening tuition gap in comprehensive sector

42

6

Kentucky Public Postsecondary InstitutionCombined Budget Reduction and Fixed Cost IncreasesFiscal Year 2016-17

Enacted (a) Mandated (b) Other Fixed (c) Combined Percent of

Institution Reduction KERS Increases Cost Increases Challenges 2015-16 Base

University of Kentucky ($12,582,500) $0 ($12,138,444) ($24,720,944) -8.8%

University of Louisville ($6,258,500) $0 ($10,754,252) (17,012,752) -12.2%

Eastern Kentucky University ($3,061,500) ($2,721,490) ($2,781,841) (8,564,831) -12.6%

Kentucky State University $0 ($456,000) ($213,000) (669,000) -2.9%

Morehead State University ($1,950,300) ($919,078) ($1,890,766) (4,760,144) -11.0%

Murray State University ($2,161,100) ($1,082,947) ($1,161,451) (4,405,498) -9.2%

Northern Kentucky University ($2,184,200) ($3,800,000) ($904,303) (6,888,503) -14.2%

Western Kentucky University ($3,359,200) ($1,828,025) ($1,714,975) (6,902,200) -9.2%

KCTCS ($8,557,300) ($2,600,000) ($8,194,966) (19,352,266) -10.2%

System Total ($40,114,600) ($13,407,540) ($39,753,998) ($93,276,138) -10.2%

(a) The 2016-18 Budget of the Commonwealth (HB 303) includes an enacted 4.5% reduction each year from the current year base.(b)

HB 303 mandates an employer contribution rate of 48.59% for KERS in fiscal year 2016-17, a 9.82 percentage point increase.(c) Includes M&O, utilities, health insurance, mandated tuition waiver, and contractual obligation cost increases.

Source: Kentucky Budget of the Commonwealth; University and KCTCS Chief Budget Officer estimates.

Budget Cut and Cost Increases

43

7

$40.1

$13.4

$39.8

$33.1

$61.6

Fixed Cost Increases and

State Budget Reductions

Gross Tuition and Fee

Revenue Increase

Budget Challenges for Postsecondary InstitutionsFiscal Year 2016-17

(Dollars in Millions)

$126.4

Growth in Campus FundedStudent Financial Aid

Other Fixed and Unavoidable Cost Increases1

1 Includes M&O, utilities, health insurance, mandated tuition waiver, and contractual obligation cost increases.

Mandated KERS Increases

General Fund Budget Reduction @ 4.5%

Source: Council on Postsecondary Education, Comprehensive Database.

$64.8 Shortfall

44

8

$0

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

20

01

-02

20

02

-03

20

03

-04

20

04

-05

20

05

-06

20

06

-07

20

07

-08

20

08

-09

20

09

-10

20

10

-11

20

11

-12

20

12

-13

20

13

-14

20

14

-15

20

15

-16

20

16

-17

EKU KSU MoSU MuSU NKU WKU

Kentucky Comprehensive UniversityGrowing Dispersion of Resident Undergraduate Tuition and Fees

Academic Years 2001-02 through 2016-17

High, WKU@ $9,912

High, WKU@ $2,844

Low, KSU@ $7,796

Low, KSU@ $2,648

AY 2016-17$2,116 Gap


AY 2001-02$196 Gap

Sticker Prices

Prices include Special Use and Agency Bond fees.

45

Key Issues for 2017-18

9

• Nine budget cuts over ten years

• Kentucky one of few states not reinvesting

• Transfer of $42.9 million to Postsecondary Education Performance Fund

• Minimal KERS increase for 2017-18 (less than 1 % point)

• Sector differentiation

• Widening tuition gap in comprehensive sector

46

10

Kentucky Public Postsecondary Institution

Enacted Net General Fund Appropriations

Fiscal Years 2007-08 and 2017-18

2007-08 2017-18

Enacted Net Enacted Net(a)

Dollar Percent

Institution General Fund General Fund Change Change

University of Kentucky $335.1 $253.7 ($81.4) -24.3%

University of Louisville 168.6 126.2 (42.4) -25.1%Eastern Kentucky University 79.8 61.7 (18.0) -22.6%Kentucky State University 27.4 26.7 (b) (0.7) -2.6%Morehead State University 48.2 39.9 (c) (8.3) -17.2%Murray State University 56.1 43.6 (12.5) -22.3%Northern Kentucky University 55.1 48.9 (d) (6.2) -11.3%Western Kentucky University 85.1 70.8 (e) (14.3) -16.8%

KCTCS 228.7 172.5 (56.2) -24.6%

System Totals $1,084.0 $844.0 ($240.0) -22.1%

(a) Figures net of $42.9 million transfer to Postsecondary Education Performance Fund.(b) Includes an additional appropriation of $3,300,000 for KSU's Land Grant Program.(c) Includes an additional appropriation of $580,000 for MoSU's Craft Academy.(d) Includes $5,334,200 in equity adjustment funds at NKU.(e) Includes $2,588,000 in equity adjustment funds at WKU and $750,000 for Kentucky Mesonet Project.

Source: Kentucky Budget of the Commonwealth, multiple biennia.

47

11

$1,084

$915

$1,261

$915$879

$844

$879

$844

$43 $43

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

2007-08 2015-16 2016-17 2017-18 2007-08 2015-16 2016-17 2017-18

Net General Fund Appropriations Newly Enacted Budget (HB 303) Performance Reallocation

$887 $887

($374 M)-30%

Kentucky Public Postsecondary SystemEnacted Net General Fund AppropriationsSelected Fiscal Years 2007-08 through 2017-18

($197 M)-18%

Sources: Kentucky Budget of the Commonwealth, multiple biennia.

Nominal Dollars Inflation Adjusted

Dollars(In Millions)

48

12

$8,664$8,404

$7,766

$7,223$6,828

$6,415$6,172 $6,030 $5,937 $6,000

$5,767 $5,535

$0

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

$8,000

$9,000

$10,000

(E) 2

00

7-0

8

(R) 2

00

7-0

8

20

08

-09

20

09

-10

20

10

-11

20

11

-12

20

12

-13

20

13

-14

20

14

-15

20

15

-16

20

16

-17

20

17

-18

Net General Fund per FTE Enacted Budget GF per FTE Performance Reallocation per FTE

Kentucky Public Postsecondary SystemNet General Fund Appropriations per Full-Time Equivalent Student

Fiscal Years 2007-08 through 2017-18

Dollars(per Student)

Constant 2016 Dollars

(E) = Enacted; (R) = Revised. Note: Figures displayed after 2015-16 are not inflation adjusted and assume no enrollment growth.

Sources: Kentucky Budget of the Commonwealth, multiple biennia; Commonfund Institute, Higher Education Price Index.

$5,817

($2,847)-33%

Equates to

($434 M)

Performance Reallocation = $282 per FTE

49

13

44.6%

11.6%

-4.2% -27.3%

MT

UT

MA

CO SC OR

CA ID

WY

SD HI

TX FL NE

MD RI

IN NY

OH IA

USA M

S

WA CT

NM

MN

NH

VA

DE

MO

ME

KS

AL

NC

AK

GA NJ

WI

TN

AR

NV

MI

WV

VT

KY

OK LA AZ

Note: Kentucky data does not include 2% cuts enacted at the close of FY 16 and currently the subject of litigation.

Source: “Grapevine” Report, Center for the Study of Education Policy and the Association of State Higher Education ExecutiveOfficers, 2016.

Change in State Support for Higher Education Between Fiscal Years 2010-11 and 2015-16

50

Sticker Price Comparison

14

• Sticker prices at Kentucky research and comprehensive institutions are at or below regional averages

• Stickers prices at KCTCS institutions are among the highest in our region (due to lack of local tax revenue)

• Every year since 2009, the Council has adopted tuition and fee ceilings (for resident UG rates)

• Rate increases at research and comprehensive institutions have been below regional and national averages

• Increases at KCTCS have been among the lowest in our region and nationally

51

15

$6,456

$9,415

$10,037

$10,062

$10,110

$10,262

$12,458

$15,258

$0 $2,000 $4,000 $6,000 $8,000 $10,000 $12,000 $14,000 $16,000 $18,000

West Virginia

Missouri

Ohio

Tennessee

Kentucky

Indiana

Virginia

Illinois

Flagship Universities in Kentucky and Surrounding StatesResident Undergraduate Tuition and Required Fees

Academic Year 2013-14

Source: Washington Student Achievement Council (WSAC).

Sticker

Prices

52

16

$5,985

$6,752

$7,713

$8,026

$8,708

$9,561

$9,644

$12,120

$0 $2,000 $4,000 $6,000 $8,000 $10,000 $12,000 $14,000

West Virginia

Missouri

Tennessee

Kentucky

Indiana

Ohio

Virginia

Illinois

Comprehensive Colleges and Universities in Kentucky and Surrounding StatesResident Undergraduate Tuition and Required Fees (State Averages)



StickerPrices

53

$3,117

$3,231

$3,380

$3,680

$3,787

$3,865

$3,900

$4,320

$0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 $4,500 $5,000

Missouri

West Virginia

Illinois

Indiana

Tennessee

Ohio

Virginia

Kentucky

Community Colleges in Kentucky and Surrounding StatesResident Tuition and Required Fees (Estimated State Averages)



StickerPrices

54

18

9.8%

15.4%16.0%

12.8%

11.6%

8.7%8.0%

4.5%

5.4%6.1%

5.2%

3.1%

4.5%3.6%

5.4%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

18.0%20

02-0

3

2003

-04

2004

-05

2005

-06

2006

-07

2007

-08

2008

-09

2009

-10

2010

-11

2011

-12

2012

-13

2013

-14

2014

-15

2015

-16

2016

-17

Percent Change from Prior Year


Kentucky Public Postsecondary SystemAnnual Change in Resident Undergraduate Tuition and Fees


Impact of CPE Tuition and Fee Ceilings

AAGR - Average Annual Growth Rate

11.7% AAGR 4.7% AAGR

55

Net Price Comparison

19

• Most students do not pay published sticker prices due to availability of student financial aid

• Since the early 2000s, Kentucky has been a high student financial aid state

• The average net price of college attendance at Kentucky research institutions is below the regional average

• The net price at Kentucky comprehensive universities is among the lowest in our region

• Student aid covers the cost of tuition, fees, and books for all but the highest income students at KCTCS

• College is relatively affordable at KCTCS and comprehensive institutions (based on net price as a % of MFI statistics)

56

20

$0

$2

6

$4

8

$5

2

$6

4

$7

4

$1

16

$

12

1

$1

25

$

13

0

$1

33

$

19

5

$2

36

$

24

8

$2

68

$

28

3

$2

86

$

29

5

$3

55

$

36

7

$4

05

$

41

2

$4

37

$

45

7

$4

57

$

52

0

$5

20

$

55

5

$5

81

$

60

5

$6

29

$

69

6

$7

01

$

70

8

$7

76

$

77

9

$7

92

$

84

4 $9

62

$

97

5

$1

,01

6

$1

,06

2

$1

,09

0

$1

,11

0

$1

,13

3

$1

,14

1 $1

,32

4

$1

,36

8

$1

,51

3

$1

,54

5

$1

,66

8

$1

,96

2

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

$2,000

$2,200

$2,400 N

H AL

UT

AZ ID HI

RI

KS

MT

SD PR NE

MS

MI

OH

ME

MA CT OR IA ND

MO

NV

CO

MD VT

WI

FL DE

OK

WY

AK IL DC TX

NC

MN PA

VA IN AR

CA

WV

NM NY

KY NJ

WA

TN LA GA SC

Source: National Association of State Student Grant and Aid Programs (NASSGAP), 46th Annual Survey Report on State-Sponsored Student Financial Aid.

State Funded Student Financial Aid Programs in United StatesTotal Undergraduate Grant Dollars per Undergraduate Student Enrollment


Low Aid States High Aid States


57

21

$1,031 $997 $956 $966$1,029

$1,124

$1,719

$1,941$1,766

$1,504$1,438

$778 $781 $829 $821 $762 $757

$993$885

$677$781 $739

$1,693$1,800

$1,952$2,083

$2,224$2,326

$2,078$2,184

$2,579

$2,786$2,932

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14

Pell and Other Federal Grants State Grants Campus Funded Grants and Scholarships

Kentucky Public Postsecondary SystemStudent Financial Aid per FTE Student by Source


Source: Integrated Postsecondary Education Data System (IPEDS); Commonfund Institute, Higher Education Price Index (HEPI).

Constant 2014 Dollars


58

22

$9,380

$11,573

$14,069

$14,842

$16,249

$16,872

$17,863

$19,613

$0 $3,000 $6,000 $9,000 $12,000 $15,000 $18,000 $21,000

West Virginia

Indiana

Virginia

Kentucky

Illinois

Missouri

Tennessee

Ohio

Flagship Universities in Kentucky and Surrounding StatesAverage Net Price for Full-Time, Degree-Seeking Undergraduates


Source: Integrated Postsecondary Data System.

Net Price

59

23

$8,825

$11,288

$11,830

$12,324

$12,610

$15,420

$15,544

$16,969

$0 $2,000 $4,000 $6,000 $8,000 $10,000 $12,000 $14,000 $16,000 $18,000

West Virginia

Kentucky

Tennessee

Indiana

Missouri

Virginia

Ohio

Illinois

Comprehensive Colleges and Universities in Kentucky and Surrounding StatesAverage Net Price for Full-Time, Degree-Seeking Undergraduates


Source: Integrated Postsecondary Education Data System.

Net Price

60

24

$7,718 $7,315

$4,665

$2,273

$2,206

$0

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

$8,000

$9,000

Aid to Lowest Aid to Second Aid to Third Aid to Highest

Income Quartile Income Quartile Income Quartile Income Quartile

($8,394 average) ($29,651 average) ($54,181 average) ($108,812 average)

Need and Merit Based Grants Out-of-Pocket Costs to Student

Sources: CPE Comprehensive Database; Integrated Postsecondary Data System.

Kentucky Community and Technical College SystemAverage Need and Merit Based Grant Aid per Full-Time Resident Undergraduate Student

Academic Year 2013-14Dollars(per Student)

Annual cost of tuition,fees, & books = $4,479

61

25

19% 20

% 21% 22

% 23% 24

%24

%24

%24

% 25% 26

%26

%26

% 27%

27%

27%

27% 28

%28

%28

%28

% 29%

29%

29%

29% 30

%30

%30

%30

% 31%

31% 32

%32

%32

% 33%

33%

33% 34

%34

%34

%34

%34

% 35%

35% 36

% 37%

37% 39

%42

%47

%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

55%A

K

WV LA WY HI

NM IN NC TX IA FL

MN MI

MD

WA AZ

CA

GA

TN NV UT

VT

DE

MA KY

ND

AR

NE

WI

NY

OK ID MT

SD IL VA

MO

ME

OR

KS

CO NJ RI

MS

CT

SC OH AL

NH

PA

Source: Penn Graduate School of Education, Institute for Research on Higher Education, 2016 College Affordability Diagnosis.

Public Research Universities in the United StatesAverage Net Price as a Percent of Median Family Income


More Affordable Less Affordable

62

26

19%

19% 20

%20

%20

%20

% 21%

21%

21%

21% 22

% 23%

23%

23% 24

%24

%24

%24

% 25%

25%

25%

25% 26

%26

%26

% 27% 28

%28

%28

% 29%

29% 30

%30

%30

%30

%30

% 31% 32

%32

%32

%32

% 33%

33%

33%

35% 36

% 37%

37%

37%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%A

K RI

WV FL CA

OK HI

NM ND UT

NY

WA

TN KY

LA NC

AR IN TX WI

KS

AZ

OH NE

MO

MT IA

MN MI

MS

GA

NV

CO

MD CT

SD AL

VA ID

MA

OR

VT

SC ME IL DE

PA

NH NJ


Public Four-Year Nondoctoral Colleges in the United StatesAverage Net Price as a Percent of Median Family Income



63

27

13%

13% 14

% 15%

15%

15%

15% 16

%16

%16

%16

%16

%16

%16

% 17%

17%

17%

17%

17%

17%

17%

17%

17% 18

%18

%18

%18

%18

%18

%18

%18

%18

%18

%18

% 19%

19%

19%

19% 20

% 21%

21% 22

%22

% 23%

23%

23%

28% 29

%37

%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%H

I

MS

MI

GA

NM CT RI

NE

KY

WY

TX IL CA AL

NJ

WV ID VA TN DE

WA

OK

MO AZ

ND SC AR

OH NY FL KS

MA

MD IN NV

PA

NC

UT

MT

LA WI

OR IA CO SD ME

MN VT

NH


Public Two-Year Colleges in the United StatesAverage Net Price as a Percent of Median Family Income



64

Student Loan Debt Comparison

28

• Average student loan debt and the proportion graduating with debt are important measures of college affordability

• Staff performs annual assessments of loan debt as part of the tuition setting process

• About 64% of the class of 2015 graduated with debt

• Average loan debt for the class of 2015 was 4.95% higher than loan debt for the class of 2014

• Graduates from Kentucky institutions have relatively low loan debt compared to graduates from surrounding states

• Kentucky has historically been a low student loan debt state, but has begun to move toward the US average

65

29

$14,250$15,861 $15,406

$16,972$15,951

$19,112 $19,375

$22,287 $22,384

$24,693$25,939

$27,22552%

60%63% 64%

57%54%

58%60%

62%59%

64% 64%

0%

10%

20%

30%

40%

50%

60%

70%

$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Average Student Loan Debt Percent Graduating With Debt

Kentucky Public and Private Four-Year UniversitiesAverage Student Loan Debt and Percent Graduating with Debt

Graduating Classes 2004 through 2015Dollars

(Avg. Debt)Percent

(With Debt)

Source: The Project on Student Debt, Student Debt and the Class of 2015, October 2016.

Graduating Classes

66

30

$26,083

$27,225

$27,480

$27,713

$27,717

$29,022

$29,305

$30,239

$0 $5,000 $10,000 $15,000 $20,000 $25,000 $30,000 $35,000

Tennessee

Kentucky

Missouri

West Virginia

Virginia

Indiana

Illinois

Ohio


Kentucky Public and Private Four-Year UniversitiesAverage Student Loan Debt in Kentucky and Surrounding States

Graduating Class of 2015

Average Loan Debt of Students Graduating with Debt

67

31

$1

8,8

73

$

20

,19

3

$2

2,1

91

$

22

,68

3

$2

3,3

79

$

23

,45

6

$2

3,4

62

$

23

,78

0

$2

4,6

00

$

24

,84

9

$2

5,6

45

$

25

,84

0

$2

6,0

82

$

26

,08

3

$2

6,1

71

$

26

,23

5

$2

6,2

80

$

26

,86

5

$2

7,2

25

$

27

,32

4

$2

7,4

80

$

27

,63

9

$2

7,6

72

$

27

,69

7

$2

7,7

13

$

27

,71

7

$2

7,7

54

$

27

,76

5

$2

8,0

08

$

28

,28

3

$2

9,0

22

$

29

,15

3

$2

9,3

05

$

29

,32

0

$2

9,3

64

$

29

,46

0

$2

9,5

47

$

29

,64

4

$2

9,6

44

$

29

,94

2

$3

0,0

45

$

30

,10

4

$3

0,2

39

$

30

,56

4

$3

1,5

26

$

32

,92

0

$3

3,8

49

$

34

,77

3

$3

4,7

98

$

36

,10

1

$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

$40,000

$45,000 U

T

NM CA WY FL HI

NV AZ

WA

OK

NC

CO AR

TN AK

NE

MT LA KY TX

MO ID

MD

OR

WV

VA

GA

US

KS VT IN AL IL NY

SD WI

IA

MA

ME

MS

MI

NJ

OH SC

MN RI

DE

CT PA NH


Public and Private Four-Year UniversitiesAverage Student Loan Debt by State

Graduating Class of 2015Dollars

(Average Debt)

Low Debt States High Debt States

68

Tuition Setting

Process for

Academic Year

2017-18

CPE Work Session

November 17, 2016

69

agenda: nov 17, 2016 cpe meetingcpe.ky.gov/aboutus/records/cpe_meetings/agenda-2016-11...2016/11/17...

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