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The Case for Higher Education in the State of Michigan

The Case for Higher Education in the State of Michigan. Susan Moeller Professor of Finance, Eastern Michigan University President, Michigan Conference of the AAUP (American Association of University Professors) March, 2012. What Do These Percentages Mean? .

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The Case for Higher Education in the State of Michigan

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  1. The Case for Higher Education in the State of Michigan Susan Moeller Professor of Finance, Eastern Michigan University President, Michigan Conference of the AAUP (American Association of University Professors) March, 2012

  2. What Do These Percentages Mean? • 19%: The percentage of total revenues supported by the State Appropriation at Eastern Michigan University in 2011-12 • 50%: The percentage of total revenues supported by the State Appropriation at Eastern Michigan University in 1991-92 • Has tuition increased over this time?

  3. Sources: House Fiscal Agency 2012; HEIDI Report February 2012

  4. Public Higher Education Appropriation per FTESource: State Higher Education Finance, 2011 (released March, 2012) • Michigan has among the lowest appropriation per student in the country • It is slightly higher than Ohio and Indiana • The next slide examines the 5-year change

  5. 5-Year Change Public Higher Education Appropriation per FTE (constant 2011 dollars) (Source: State Higher Education Finance, 2011; released March, 2012)

  6. Public Higher Education Net Tuition Revenue per FTESource: (Source: State Higher Education Finance, 2011; released March, 2012) • Michigan is highest in something it should not be: tuition per student • Michigan is lower ranked in appropriation per student, as the two prior slides demonstrated

  7. Source: Bureau of Labor Statistics

  8. 2010-11 Residence of Michigan Public StudentsSource: 2010-11 HEIDI report

  9. Enrollment Growth:All 15 Michigan Publics: 2006-07 to 2010-11

  10. Michigan Higher Education Appropriation in Context(Total Budget of $48B) Source: Preliminary Review of EXECUTIVE BUDGET Fiscal Years 2013 and 2014; February 13, 2012

  11. Higher Education in the Context of the General Fund/General Purpose ($9 billion) • The General Fund is much smaller than the whole budget, as K-12 education is not in the General Fund • There is a component of higher education that is not in the General Fund / General Purpose

  12. HEIDI Data for All 15 Michigan Publics:Changes from 2006-07 to 2010-11 • Instruction includes more than faculty compensation • Institutional support is pure, 100%, upper-level administrative costs • Administration compensation includes all administrators

  13. HEIDI Data for all 15 Michigan Publics:Changes from 2009-10 to 2010-11 • This data is consistent with the prior slide; administrative costs are increasing faster than faculty/instructional costs • This is true for both the long and short term changes • This needs to be addressed

  14. Percent of Adults With Bachelor’s Degree or Higher Michigan is 36th at 24.6%, well below the national average of 27.9% Source: US Statistical Abstract 2012: Data based on 2009 results

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