Louisville Cardinal Editors Dr. James Ramsey, President, University of Louisville August 27, 2015
A little history Some important milestones in the life of UofL Jefferson Seminary Postsecondary Education Reform Act of 1997 1798 1837 1843 1970 1997 2015 Louisville Medical Institute Gov. Louie B. Nunn & UofL President Woodrow Strickler 2
3 July 9, 1995 newspaper article by Ben Hershberg
A seminal event The 1997 Mandate! UofL is to be a Premier Nationally Recognized Metropolitan Research University (HB1 Postsecondary Education Reform Act of 1997) 4 4
Our trajectory pretty damn amazing Extraordinary Achievements* Freshman ACT score (avg.) 21.4 23.2 25.5 2 6-year graduation rate 30.1% 33.0% 53.6% Baccalaureate degrees awarded 1,734 1,849 2,832 * Doctoral degrees awarded 76 90 174 * Startup companies (cumulative) 1 6 81 * Patents (cumulative) applications filed 151 259 1,716 * Research expenditures $39.1M $80.9M $179.3M * Endowed chairs & professorships 35 87 159 * Endowment 1 $317.0M $478.9M $822.4M * IP income $90K $221.3K $6.6M * * 2015 data are preliminary and are subject to revision. 1 Includes UL Trust and separately held endowments. 1998 reporting year 2002 reporting year 2015 reporting year * 2 Average ACT score will be reported in the 2016 reporting year 5 Updated 8-27- 15
Kentucky non-farm employment 1910.0 2008-09 The Great Recession July 2015 1890.9 1890.0 1870.0 1850.0 1859.2 1830.0 1810.0 1790.0 1811.7 1770.0 1750.0 1747.6 1730.0 6 http://www.bls.gov/eag/eag.ky.htm Updated 8-21- 15
Kentucky manufacturing employment 320.0 310.8 2008-09 The Great Recession July 2015 300.0 280.0 260.0 240.0 252.5 239.0 220.0 200.0 Why Important? WAGES! 7 h5p://www.bls.gov/eag/eag.ky.htm Updated 8-21- 15
And if how you spend money is a reflection of what s important (2008-2014) 70.0% 60.0% 63.5% 50.0% 40.0% 30.0% 41.9% 32.8% 20.0% 10.0% 10.0% 15.3% 0.0% - 10.0% - 20.0% Very Modest! State Revenue Growth Public Pensions Medicaid Debt Service CorrecOons/Adult Prisons - 1.0% K- 12 Base - 14.0% Higher Ed So! Source: Governor's office 8 h5p://www.ksba.org/protected/printarocle.aspx?iid=50gayb&dasi=3ubi
9 Kentucky Chamber of Commerce Leaky Bucket Report July 2014 - Redux
State support for higher education ticks upward in 39 states Here's the percentage change in each state's spending from 2014 to 2015. 14.6 21.1 13 3 3 3.5 3.6 3.7 3.9 4 4 4.2 4.2 4.6 5 5.2 9 6 6.2 6.2 6.7 6.7 6.9 7.1 7.7 8.2 7.2 7.2 10.9 11.2 9.7 10-2 -2-1.7-1.1-1 -0.9-0.5-0.5-0.4-0.4 0 0.1 0.5 0.6 0.9 1.1 1.4 1.6 1.7 West Virginia Kentucky Texas Vermont Arkansas Indiana Alaska Tennessee Delaware Oklahoma North Dakota Maine Louisiana Washington Pennsylvania Nevada Ohio Alabama Virginia Iowa North Carolina New York Mississippi Minnesota Georgia Arizona New Jersey Kansas Nebraska South Dakota New Mexico Total Wyoming Montana Rhode Island Maryland South Carolina Michigan Hawaii Idaho Wisconsin Florida Missouri Massachuse5s ConnecOcut Oregon California Utah New Hampshire Colorado Illinois 10 Note: EsOmated 2015 figures reported by states from September to December 2014. http://chronicle.com/article/state-spending-on-higher/151251/ 01-29- 15
Seven strategies for success (Adopted by BOT 2005) 1. Re-engineering of processes and cost efficiencies - $130.1M Climbing higher in the tree 2. Taking underperforming assets and making them perform (e.g. Shelby Campus, some opposition) 3. Increasing value from our research/ip (A major cultural shift; eg. ACT) 4. Use private sector to do what we are not good at (e.g. dining, residents halls, etc.) 5. Increase philanthropic support (Preparing for next campaign) 6. Being creative - do what other universities haven t done (e.g. tax increment financing districts approved by KEDFA) 7. Generate clinical income to support teaching/academics Note: Strategies to increase clinical income to help us achieve HB1 Self insure medical malpractice JOA KyOne Faculty outpatient center Single point contacting Unified practice plan Hospital Partner 11
Total FY 2015-16 Combined Budget of UofL FY 2015-16 FY 2002-03 Budget Budget University General Fund Budget TuiOon and Fees $300,340,821 $95,155,500 State AppropriaOons $141,236,300 $178,010,000 Other $69,660,579 $50,725,300 Total General Funds $511,237,700 $323,890,800 Non- University General Fund ULRF Research/Clinical $462,151,000 $155,536,200 * ULF Private Support $154,686,000 $35,014,400 ULAA $92,530,000 $31,601,400 Other $8,000,000 $5,348,000 * Total Non- University General Fund $717,367,000 $227,500,000 (Preliminary) Total Combined Budgets $1,228,604,700 $551,390,800 *EsOmates based on FY 15-16 categories 12
University of the 21 st Century Collaborative multi-disciplinary areas of excellence E.g. restorative medicine Additive manufacturing Review general education curriculum Strategic enrollment growth Student focused Alternative instructional delivery models International student experience New financial strategies Shared service centers Financial systems 13
THANK YOU! Questions? 14