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An Overview of
the Proposed
Funding Plan for
Education
Current Funding Sources

1.   Provincial government
2.   Students
3.   Individual donations and corporate funding
4.   Other university revenues
     –   Research
     –   Professional development programs
     –   Other services (parking, food)
5. Federal government
   (will decrease and the planned amount is not yet
   guaranteed)
“New” Money for Funding: the 850 M$
1. Provincial government (430 M$)
  – 206 M$ indexation + variation in the number of
    “clients” (Maintaining the current level of funding)
  – 224 M$ including private sponsorship matching plan
2. Students (265 M$ net):
  –   Tuition hikes
  –   Increase in Canadian and international students
3. Individual donations and corporate funding
   (54 M$ = 50% increase by 2016-2017)
4. Other university revenues
   (101 M$ = 2.7% increase/year
                  until 2016-2017)
Source: Finances Québec, 2011 (p. 17)
Public/Private Funding Balance




Source: Finances Québec, 2011 (p. 37)
Public/Private Funding Balance
Individual Donations and Corporate Funding


• Universities are expected to increase their
  private funding by 50% by 2016-2017
• The government will put in place a private
  sponsorship matching plan to create further
  incentives

Double incentive to increase private funding:
1. Decreases in the governments’ share
2. The private sponsorship
   matching plan
The Private Sponsorship Matching Grant

• Component 1: increases in the current matching
  grant
   – Universities will receive for a given year a
     matching grant from the government of 0.25$ for
     every dollar received from private donations on
     average over the last five known year
   – Maximum subsidy: 1 M$ per institution
     per year
   – Total ceiling is increased from 10 to 40 M$
The Private Sponsorship Matching Grant

• Component 2:
  – Universities are “invited” to set up funding
    campaigns to increase their private funding by
    8% per year compared to their average in
    2004-2009
  – Private donations within this 8% growth will be
    matched
     • Small universities (less than 15,000 students)
       ratio of 1: 1
     • Large universities (more than 15,000 students)
       ratio of 0.5 : 1
Other University Revenues

  « Le gouvernement s’attend à ce que les
  universités obtiennent davantage de contrats privés
  de recherche, et qu’elles commercialisent dans de
  meilleures conditions les résultats de leurs
  recherches » (Finances Québec, 2011 p. 34).

1. Universities are expected to obtain more private
   research contracts and better commercialize their
   research results
Other University Revenues

2. Universities are encouraged to expand their
   professional development programs specifically
   tailored to the needs of corporations:
  – “Universities have every interest in increasing
    services offered directly to businesses, as this
    would strengthen their ties to businesses and
    enable them to obtain additional resources”
    (Finances Québec, 2011, p. 35)
How the Money Will be Spent


                         (26.5-79.5 M$)       Teaching: 50-60%
                                                (265-318 M$)

                                              Research: 15-25%
(53-106 M$)                                    (79.5-132.5 M$)




      Source: Finances Québec, 2011 (p. 11)
Summary
• Increased tuition will disproportionately affect women
  and marginalized groups
• Increased commercialization of research
   – Private research contracts
   – Increased private funding of universities
• Increased commodification of education
   – Students considered as “clients”
   – Universities are pillars of the “economy of knowledge”
   – Need to target Canadian and international students
     through marketing tactics in order to generate higher
     profits
   – Significant portion allocated
     to advertizing
Potential Impacts

• On research:
  – Agenda
  – Direction of current research
  – Intellectual property issues of the outcomes of
    future research
  – Etc.
• On education
  – Curriculum
  – Client mentality (student-teacher relations)
  – Etc.
Food for Thought



To what extent does this threaten the
role of academia in providing broader-
based, life-long learning and critical
reflection?
Reference
English version:
   Finances Québec, 2011. A Fair and Balanced University
   Funding Plan: To Give Québec the Means to Fulfil its
   Ambitions. Gouvernement du Québec, 64 p.
http://www.budget.finances.gouv.qc.ca/Budget/2011-
   2012/en/documents/Educationen.pdf
French version:
• Finances Québec, 2011. Un plan de financement des
   universités équitable et équilibré: pour donner au Québec les
   moyens de ses ambitions. Gouvernement du Québec, 64 p.
http://www.budget.finances.gouv.qc.ca/Budget/2011-
   2012/fr/documents/Education.pdf

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Department meeting 09 03 2012 all english

  • 1. An Overview of the Proposed Funding Plan for Education
  • 2. Current Funding Sources 1. Provincial government 2. Students 3. Individual donations and corporate funding 4. Other university revenues – Research – Professional development programs – Other services (parking, food) 5. Federal government (will decrease and the planned amount is not yet guaranteed)
  • 3. “New” Money for Funding: the 850 M$ 1. Provincial government (430 M$) – 206 M$ indexation + variation in the number of “clients” (Maintaining the current level of funding) – 224 M$ including private sponsorship matching plan 2. Students (265 M$ net): – Tuition hikes – Increase in Canadian and international students 3. Individual donations and corporate funding (54 M$ = 50% increase by 2016-2017) 4. Other university revenues (101 M$ = 2.7% increase/year until 2016-2017)
  • 5. Public/Private Funding Balance Source: Finances Québec, 2011 (p. 37)
  • 7. Individual Donations and Corporate Funding • Universities are expected to increase their private funding by 50% by 2016-2017 • The government will put in place a private sponsorship matching plan to create further incentives Double incentive to increase private funding: 1. Decreases in the governments’ share 2. The private sponsorship matching plan
  • 8. The Private Sponsorship Matching Grant • Component 1: increases in the current matching grant – Universities will receive for a given year a matching grant from the government of 0.25$ for every dollar received from private donations on average over the last five known year – Maximum subsidy: 1 M$ per institution per year – Total ceiling is increased from 10 to 40 M$
  • 9. The Private Sponsorship Matching Grant • Component 2: – Universities are “invited” to set up funding campaigns to increase their private funding by 8% per year compared to their average in 2004-2009 – Private donations within this 8% growth will be matched • Small universities (less than 15,000 students) ratio of 1: 1 • Large universities (more than 15,000 students) ratio of 0.5 : 1
  • 10. Other University Revenues « Le gouvernement s’attend à ce que les universités obtiennent davantage de contrats privés de recherche, et qu’elles commercialisent dans de meilleures conditions les résultats de leurs recherches » (Finances Québec, 2011 p. 34). 1. Universities are expected to obtain more private research contracts and better commercialize their research results
  • 11. Other University Revenues 2. Universities are encouraged to expand their professional development programs specifically tailored to the needs of corporations: – “Universities have every interest in increasing services offered directly to businesses, as this would strengthen their ties to businesses and enable them to obtain additional resources” (Finances Québec, 2011, p. 35)
  • 12. How the Money Will be Spent (26.5-79.5 M$) Teaching: 50-60% (265-318 M$) Research: 15-25% (53-106 M$) (79.5-132.5 M$) Source: Finances Québec, 2011 (p. 11)
  • 13. Summary • Increased tuition will disproportionately affect women and marginalized groups • Increased commercialization of research – Private research contracts – Increased private funding of universities • Increased commodification of education – Students considered as “clients” – Universities are pillars of the “economy of knowledge” – Need to target Canadian and international students through marketing tactics in order to generate higher profits – Significant portion allocated to advertizing
  • 14. Potential Impacts • On research: – Agenda – Direction of current research – Intellectual property issues of the outcomes of future research – Etc. • On education – Curriculum – Client mentality (student-teacher relations) – Etc.
  • 15. Food for Thought To what extent does this threaten the role of academia in providing broader- based, life-long learning and critical reflection?
  • 16. Reference English version: Finances Québec, 2011. A Fair and Balanced University Funding Plan: To Give Québec the Means to Fulfil its Ambitions. Gouvernement du Québec, 64 p. http://www.budget.finances.gouv.qc.ca/Budget/2011- 2012/en/documents/Educationen.pdf French version: • Finances Québec, 2011. Un plan de financement des universités équitable et équilibré: pour donner au Québec les moyens de ses ambitions. Gouvernement du Québec, 64 p. http://www.budget.finances.gouv.qc.ca/Budget/2011- 2012/fr/documents/Education.pdf

Editor's Notes

  1. The provincial government’s share in funding universities will decrease.
  2. The decrease in public funding is a trend that has been ongoing.