Parity Funding

Beyond the Basics

Parity Funding- Historical Recap

Formula Allocations Hold Harmless Agreement Advent of Performance

Funding “One Time” Adjustment

Parity Funding

Current Funding Levels Total MRR $1.3 Billion Appropriations $694 Million Overall Funding Level 52% (based on MRR)

Parity FundingFunding Levels by Sector Based on MRR

Overall Lowest Highest

Research Universities 56% 50% 59% Teaching Universities 53% 38% 65% USC Regionals 52% 43% 63% Technical Colleges 45% 41% 67%

All Sectors 52%

Parity Funding

Challenges: Difficulty in Reallocating Resources Lack of Increases in Funding

Parity Funding

Major Issues What is Parity?

Equal Funding Levels? Where we were before the budget

cut? Minimum Level of Funding? Relative Range?

Parity Funding

Major Issues – continued: When do we begin to address parity? Now? When new funds are available? What portion of new funds?

Parity Funding Other Considerations

What about Performance? Target vs. actual fees? Should we consider other revenue

streams? Pending changes to the MRR? Budget Cuts?

Parity Funding

How do we get there from here? Wait until times are better? Start slowly now? Peter and Paul?

Parity Funding

Funding Levels by Sector: ConsideringBased on Actual Fee MRR Revenues

Research Univ. 56% 75%Teaching Univ. 53% 79%USC-Regional Campuses 53% 68%Tech. Colleges 45% 65%Overall 52% 73%

Lowest Funded 38% 46%Highest Funded 67% 83%

Parity FundingFunding Levels by Sector Considering Actual Fees

Overall Lowest Highest

Research Universities 75% 52% 75% Teaching Universities 79% 63% 83% USC Regionals 68% 60% 78% Technical Colleges 65% 46% 78%

All Sectors 73%