California’s Master Plan: Today & Tomorrow

1. California’s Master Plan: Today & Tomorrow Joint Committee on the Master Plan Chancellor Charles B. Reed December 7, 2009

2. Overview – The Master Plan • Is NOT broken • It continues to be a solid framework for meeting the state’s needs • The plan reflects a partnership between higher education and the state • Key problems today • California has abandoned its commitment to higher education • Workforce needs require more, not less • It’s About Students • New approaches, improvements should be part of our work everyday

3. Master Plan – The Right Stuff • A partnership with institutions and the state with three core principles • Access, Affordability and Quality • California did not become world’s eighth largest economy by accident • Master Plan & higher education investment the key • Good framework for us in moving forward – same principles; new approaches for the future

4. Key Problem Today: Lack of Investment • Partnership broken with state • Access, quality and affordability cannot be promised if funding not there • Recovery and reinvestment critical for our future • Without funding there are few real choices: • Reduce enrollment • Raise fees • Reduce programs and student services

5. $111.3 B $102.6 B $103.0 B $94.5 B State General Fund Revenue and CSU Percentage Share (in billions) $93.5 B $96.5 B State General Fund Revenue $92.9B $88.2 B $80.6 B $86.2 B $82.2 B $71.4 B $76.9 B DOF Projected Need $72.3 B $71.9 B $58.6 B 3.61% 3.69% 3.46% 3.25% 3.24% 3.33% 2.98% 3.13% 2.89% CSU % Share of State General Fund Revenue 2.73% 2.89% 2.80%

6. $2.97 CSU General Fund Allocation (In Billions) $2.87 $2.79 $2.68 $2.62 $2.61 $2.49 $2.47 $2.45 $2.25 $2.35 $2.16 Level of 1998-99 Allocation 98 - 99 99 - 00 00 - 01 01 - 02 02 - 03 03 - 04 04 - 05 05 - 06 06 - 07 07 - 08 08 - 09 09 - 10 2008-09 and 2009-10 amounts do not include $717.5 million “retroactive” cut to 2008-09 appropriation, since this is offset by one-time federal funds.

7. Resident FTES Enrollment Actual 357,222 353,915 CSU Enrollment Patterns and General Fund Allocation 340,394 342,893 (target) 321,602 316,243 317,202 301,975 307,954 $2.97 $2.87 270,548 $2.79 $2.68 277,891 263,238 $2.62 $2.61 $2.49 $2.47 $2.45 CSU General Fund Allocation In Billions $2.35 $2.25 $2.16 2008-09 and 2009-10 amounts do not include $717.5 million “retroactive” cut to 2008-09 appropriation, since this is offset by one-time federal funds. 98 - 99 99 - 00 00 - 01 01 - 02 02 - 03 03 - 04 04 - 05 05 - 06 06 - 07 07 - 08 08 - 09 09 - 10

8. Declining State Support Force More Reliance on Student Fees (Constant 2009 Dollars) Note: One-time federal funds for 2009-10 not included.

9. CSU’s Role in Meeting Workforce Needs • PPIC research clear – we need more college graduates not less • CSU plays a critical role • Produce over 92,000 graduates annually • 2 out of 3 CSU baccalaureate graduates transferred to CSU from a community college • Provide a breadth of degree options, program models

10. Source: California Post-Secondary Education Commission

11. Source: California Post-Secondary Education Commission *CIP Codes

12. CSU Share of All Public and Private University Bachelor Degree Recipients in California, by Ethnicity, 2001-2002 Source: California Post-Secondary Education Commission

13. Student Success Is Our Job • Segments responsible for delivering to students • Effectively and efficiently • Our focus has been on improving graduation rates • Increasing academic preparation of students • Creating equal opportunities for all Californians • Improving the community college transfer process • Identifying clear paths to degrees

14. Student Preparation • Early Assessment Program • The CSU Center for Closing the Achievement Gap • Algebra Institutes

15. Equal Opportunity • Parent Institute for Quality Education • Super Sundays • Road to College

16. Clearer Paths to Success • Transfer Process • Student Advising & Support • Facilitate Graduation

17. More Work To Be Done • Encouraging alternative ways to earn course credits • Use of high school senior year • New delivery modes and approaches • Examine four years or 120 units

18. Graduation Rates for Successive Fall Cohorts of Freshmen

19. Improving Graduation Rates • Campuses completing plans to achieve the following by 2014: • Achieve graduation rates in the top quartile of peer institutions starting with 2009 freshman class • Cut in half the current achievement gap for African American, American Indian, Latinos and Pacific Islander students

20. Summary • No need to change the Master Plan • New innovative approaches might be warranted and worthy of exploration • Need the state’s full partnership to deliver on the promise • Funding for recovery and reinvestment • Support innovation and new approaches by the institutions to better serve students, state

21. www.calstate.edu