A presentation on Higher Education in Louisiana. Shared at the Together Louisiana Statewide Issues Conference on February 15th, 2014.

1. HIGHER EDUCATION
CIVIC ACADEMY
CHANGING THE CONVERSATION . . .
Statewide Issues Conference
Saturday, February 15, 2014

2. FOCUS

A broad-based public conversation about the
community’s priority for higher education as .
..
 an
investment of public funds for a nationally
competitive Louisiana,
a
gateway to the middle class, and
 the
key to a diverse, robust and shared
prosperity
2

3. SUMMIT COALITION

Northern and Central Louisiana Interfaith and
member institutions

Grambling State University Faculty Senate

Louisiana Delta Community Council Faculty Council

Louisiana Tech University Senate

University of Louisiana at Monroe Faculty and Staff
Senates
3

4. HIGHER
EDUCATION
STORIES
4

5. HISTORICAL TRENDS IN EDUCATIONAL ATTAINMENT

Pre-World War II, a college degree was an elitist
degree, available to mostly upper-class

G.I. Bill spurred the number of lower-to-middle
class people earning a college degree

Post-World War II most prosperous in history,
due in part to the earning power of people with
college degrees
Source: Harvard University study “PATHWAYS TO PROSPERITY: Meeting the challenge of preparing young Americans for the 21st century”
Feb. 2011”
21st century”
5

6. HISTORICAL TRENDS IN EDUCATIONAL ATTAINMENT

1973: 28% of U.S. workforce had a post-high
school education

2007: 59% of U.S. workforce had post-high
school education

Lifetime earnings for those with a college
degree is $1 Million HIGHER than
those with a high school education.
Source: Harvard University study “PATHWAYS TO PROSPERITY: Meeting the challenge of preparing young Americans for the 21st century”
Feb. 2011”
21st century”
6

7. HISTORICAL TRENDS IN EDUCATIONAL ATTAINMENT

Projected by 2018-2020: two-thirds of jobs will
require a post-high school degree

85% of bachelor degree holders VOTED in the
2000 presidential election.

Conclusion? Higher education provides a
catalyst to a prosperous economy, and civic
participation for people to truly attain the
American Dream.
Source: Harvard University study “PATHWAYS TO PROSPERITY: Meeting the challenge of preparing young Americans for the 21st century”
Feb. 2011”
7

8. CORE VALUES OF SHARED PROSPERITY

Higher Education is a public investment in the
people of Louisiana, not a fixed cost of
government.

Affordable access for ALL families to the
opportunity to send their children to college.

Public Funding must balance equity and
performance measures to optimize the
leveraging of public resources in K-12
education.
8

9. HIGHER EDUCATION PROVIDES
SOCIAL AND ECONOMIC VALUE
Lack of education cost governments money:

Higher Incarceration rates: 87% of prisoners have a high
school diploma or less

Increased Health costs: 93% of people with a high school
diploma or less participate in a publically funded health
program, i.e., Medicaid

Disproportional Mortality rates: 3.5X higher for high
school dropouts than those with some college education
9

10. INVESTMENT IN HIGHER EDUCATION
IS AN INVESTMENT IN LOUISIANA

The state gets $8 returned in the form of economic
development for every $1 put into higher education

State cuts to higher education funding 2008-2013
resulted in $1 Billion in real dollars lost in
Louisiana’s economy.

Result? Using the 8:1 multiplier, $8 Billion in
economic activity was lost in Louisiana’s economy.
Source: University of Louisiana System Economic Impact Study, 2008
10

11. DECLINE OF LOUISIANA TAX REVENUE 2007-08
THROUGH 2011-2012
Source: FY 2008-12 La. State Budget
11

12. STATE EXPENDITURES BY AREA: FY 200809
Source: FY 2008-09 Louisiana State Budget
12

13. STATE EXPENDITURES BY AREA: FY 201112
Source: FY 2011-12 Louisiana State Budget
13

14. UNIVERSITY JOB LOSSES 2008 - 2014
FY 08-09
FY 11-12
FY 12-13
FY 13-14
Job
Losses
%
700
541
562
507
-193
-28%
Tech
1,190
1,077
1,042
987
-203
-17%
UL–Monroe
1,160
982
924
898
-262
-23%
TOTAL UL
SYSTEM
10,477
8,934
8,626
8,393
-2,084
-20%
Grambling
Source: University of Louisiana System - Board of Regents Presentation
14

15. THE TAKE AWAY:
Overall Higher Ed revenues have declined:
• due to economic conditions,
• due to non-revenue neutral tax reductions,
• due to unfunded mandates such as
retirement, health insurance, etc.,
• and no increases to offset changes in the cost of
living.
Higher Ed has a declining piece of the revenue
pie in the face of declining overall state
revenue- a double hit!!!
Source: University of Louisiana System - Board of Regents Presentation
15

16. FORMULA FOR SUSTAINED GROWTH
Long-term investment in Higher Ed
+
Jobs
----------------------------------------------------------------------------------------= Sustainable growth in Louisiana's
Economy
16

17. JOBS, JOBS, JOBS
A PROJECTION THROUGH 2020
JOBS BY SECTOR (require Post-Secondary
Degree)
1
2
3
4
5
6
Nursing
Teaching (pre-K, Elementary, Secondary)
Business
Health Care (excludes
nurses/dentists/doctors/surgeons)
Information Technology/Computing
Social Services
7
8
9
10
11
12
13
14
15
16
17
Medical Professionals (dentists/doctors/surgeons)
Financial
Engineering
Accounting
Pharmacy
Legal Services
Governmental
Production/Operations
Sales
Construction Management
Architectural
Source: Louisiana Department of Labor
RMLA 7
SHREVEPOR
T
RMLA 8
MONROE
TOTAL
5,250
4,300
1,630
2,950
2,140
1,030
8,200
6,440
2,660
1,810
840
1,020
1,020
520
490
2,830
1,360
1,510
810
380
920
500
260
150
70
180
220
80
50
440
340
330
310
190
150
120
110
60
40
20
1,250
720
1,250
810
450
300
190
290
280
120
70
17

18. FORMULA FOR SUSTAINED GROWTH

Workforce and Innovation for a Stronger
Economy (W.I.S.E) Plan is a good start to
provide stabilization of higher education funding

Investment in Louisiana’s intellectual capital and
human capital

Access for ALL families to have the chance to
send their children to college
18