Agenda Materials General Academic Institutions Formula Advisory Committee (GAIFAC) for the Biennial Appropriations
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1 Agenda Materials General Academic Institutions Formula Advisory Committee (GAIFAC) for the Biennial Appropriations September 2017
2 Table of Contents Agenda... 1 Prior Meeting s Draft Minutes... 2 Commissioner s Charges... 4 General Academic Institutions Formula Advisory Committee for the Biennium... 5 Charge 1 Study and make recommendations for the appropriate funding levels for the operations support and space support formulas and the percent split between the utilities and operations and maintenance (O&M) components of the space support formula. (TEC, Section (b))... 6 Charge 2 Study and make recommendations for the appropriate funding level for, and for the refinement of, the graduation bonus formula. (TEC, Section )...34 Charge 3 Study and make recommendations on the treatment of competency-based courses in formula allocations THECB September 2017
3 Agenda Meeting of the General Academic Institution Formula Advisory Committee Texas Higher Education Coordinating Board Board Room, First Floor, East Anderson Lane, Austin Wednesday, September 20, :00 p.m. Agenda I. Call to Order II. III. Consideration and approval of the minutes from August 31, 2017, meeting Discussion, review, and consideration of the Commissioner s Biennium charges IV. Planning for subsequent meetings V. Adjournment 1 THECB September 2017
4 Prior Meeting s Draft Minutes Meeting of the General Academic Institutions Formula Advisory Committee Texas Higher Education Coordinating Board Board Room, First Floor 1200 East Anderson Lane, Austin Thursday, August 31, :24 p.m. Minutes Attendees: Mr. Edward T. Hugetz (Chair), Ms. Kathryn Funk-Baxter (Vice Chair), Dr. Dana G. Hoyt, Dr. Harrison Keller, Dr. Karen Murray, Dr. Paula M. Short, Ms. Noel Sloan, and Ms. Angie W. Wright Absent: Dr. James Marquart, Mr. Raaj Kurapati Staff: Dr. David Gardner, Dr. Julie Eklund, Mr. Tom Keaton, and Ms. Jennifer Gonzales 1. The meeting was called to order at 1:24 p.m. 2. Mr. Hugetz, convening chair called for a nomination for chair. Ms. Susan Brown nominated Mr. Hugetz, Dr. Hoyt seconded the nomination, and the members unanimously voted Mr. Hugetz as committee chair. 3. The chair called for a nomination for vice chair, and Dr. Hoyt nominated Ms. Funk-Baxter. Dr. Gallant seconded the nomination, and the members unanimously voted Ms. Funk-Baxter as committee vice chair. 4. Dr. Eklund provided a brief overview of the funding formulas and fielded questions from members. 5. The chair reviewed the Commissioner s biennium charges. a. Charge 1 Funding Levels i. The chair requested that members review the information provided in the meeting s agenda materials and be prepared to discuss funding levels at the September meeting. The committee requested that staff provide a quick overview of 60X30TX and additional details on the expenditure study. b. Charge 2 Graduation Bonus Formula i. The chair requested that members be prepared to take up this charge at the September meeting. The chair requested that staff provide a summary overview of the graduation bonus. 2 THECB September 2017
5 c. Charge 3 Funding Competency-Based Courses i. The chair requested committee members be prepared to take up this charge during the September meeting and Dr. Eklund agreed to provide additional information on Competency-Based Education (CBE). 6. The committee considered future meeting dates. a. The committee will meet on September 20, November 8, December 6, and January 10 (if needed) at 1:00 p.m. The chair requested that staff poll the committee by for availability of the October meeting, to determine if October 11 or October 19 worked for the majority of committee members, and whether a morning versus afternoon meeting was preferred. 7. The meeting was adjourned at 2:26 p.m. until September 20, 2017, at 1:00 p.m. 3 THECB September 2017
6 Commissioner s Charges The GAIFAC, conducted in an open and public forum, is charged with proposing a set of formulas that provide the appropriate funding levels and financial incentives necessary to best achieve the four major goals of 60x30TX plan. A preliminary written report of its activities and recommendations is due to the Commissioner by December 7, 2017, and a final written report by February 2, The GAIFAC s specific charges are to: 1. Study and make recommendations for the appropriate funding levels for the operations support and space support formulas and the percent split between the utilities and operations and maintenance (O&M) components of the space support formula. (TEC, Section (b)) 2. Study and make recommendations for the appropriate funding level for, and for the refinement of, the graduation bonus formula. (TEC, Section ) 3. Study and make recommendations on the treatment of competency-based courses in formula allocations. 4 THECB September 2017
7 General Academic Institutions Formula Advisory Committee for the Biennium Name Institution Contacts The University of Texas at San Antonio, One UTSA Circle, San Antonio TX Ms. Kathryn Funk-Baxter (2022) Vice President for Business Affairs Mr. Bob Brown (2022) VP for Finance & Administration Ms. Susan Brown (2018) Assistant VP for Strategic Analysis & Institutional Reporting Mr. John Davidson (2022) Associate VP Budget, Planning & Analysis Dr. Danny Gallant (2022) VP for Finance & Administration Dr. Dana G. Hoyt (2018) President Mr. Edward T. Hugetz (2018) Interim Senior VP for Academic Affairs & Provost Dr. Harrison Keller (2020) Vice Provost for Higher Ed Policy & Research Mr. Raaj Kurapati (2022) VP for Finance & CFO Dr. James Marquart (2020) Provost and Vice President Academic Affairs Dr. Karen Murray (2020) Executive Vice President of Academic Affairs & Provost Dr. Paula M. Short (2018) Senior Vice President for Academic Affairs & Provost Ms. Noel Sloan (2020) Chief Financial Officer & Vice President of Administration & Finance Dr. Jerry R. Strawser (2020) Executive VP of Finance & Administration & CFO Ms. Angie W. Wright (2020) Vice President for Finance & Administration University of North Texas 1501 W. Chestnut St., Suite 206 Denton, Texas The University of Texas - Rio Grande Valley, 1201 West University Dr. Edinburg, TX The University of Texas at Arlington 219 West Main St. Arlington, TX Stephen F. Austin State University P.O. Box 6108, SFA Station Nacogdoches, TX Sam Houston State University Box 2027 Huntsville, TX University of Houston-Downtown 1 Main Street Houston, TX The University of Texas at Austin 1 University Station G1000 Austin, TX Texas A&M University-Kingsville 700 University Blvd. MSC 144 Kingsville, TX Lamar University PO Box Beaumont, TX Tarleton State University 1333 West Washington Stephenville, TX University of Houston 4302 University Dr., Room 204 S2019 Houston, TX Texas Tech University 2500 Broadway Lubbock, TX Texas A&M University 1181 TAMU College Station, TX Angelo State University 2601 West Ave N San Angelo, TX kathryn.funk-baxter@utsa.edu bob.brown@unt.edu susan.brown@utrgv.edu john.davidson@uta.edu dgallant@sfasu.edu dlg013@shsu.edu hugetze@uhd.edu harrison.keller@austin.utexas.edu raajkumar.kurapati@tamuk.edu James.marquart@lamar.edu kmurray@tarleton.edu pmshort@uh.edu Note: The year after the member s name is when that member s term expires. noel.a.sloan@ttu.edu jstrawser@tamu.edu angie.wright@angelo.edu THECB September 2017
8 Charge 1 Study and make recommendations for the appropriate funding levels for the operations support and space support formulas and the percent split between the utilities and operations and maintenance (O&M) components of the space support formula. (TEC, Section (b)) Presentations on the goals of 60x30TX and the annual Expenditure Study are included to inform the committee s discussion of funding level recommendations. A. 60x30TX Presentation The 60x30TX Texas Higher Education Strategic Plan: can be found at The Higher Education Strategic Planning Committee agendas, materials, and presentations can be viewed at The 12 pages below provide an overview of the 60x30TX plan, followed by summary table of the 60x30TX Progress Report as of July The progress report can be found in its entirety at B. Expenditure Study Presentation Following the 60x30TX presentation is an overview of the General Academic Institutions Expenditure Study. More detail regarding the expenditure study is available at 6 THECB September 2017
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30 Expenditures per SCH Funded Rate per SCH Difference Sources: 1 - Expenditure Study Years , Overview of Formula Funding, 28 THECB September 2017
31 Credit Hours Semester Credit Hours Compared to Weighted Semester Credit Hours 40,000,000 35,000,000 30,453,263 32,375,896 34,692,436 35,000,371 30,000,000 27,723,122 27,662,603 27,373,107 27,913,680 25,000,000 22,875,934 24,155,985 20,000,000 15,000,000 10,000,000 9,730,287 10,261,145 11,346,675 11,832,678 12,045,130 12,363,814 13,413,982 13,872,785 14,452,702 15,324,174 5,000, Biennium Weighted Semester Credit Hours Semester Credit Hours Biennium Weighted Semester Credit Hours 22,875,934 24,155,985 27,723,122 27,662,603 27,373,107 27,913,680 30,453,263 32,375,896 34,692,436 35,000,371 Semester Credit Hours 9,730,287 10,261,145 11,346,675 11,832,678 12,045,130 12,363,814 13,413,982 13,872,785 14,452,702 15,324,174 Percent Difference 135% 135% 144% 134% 127% 126% 127% 133% 140% 128% *Operations Support Only (excludes Teaching Supplement) 29 THECB September 2017
32 Total Average (excludes zeros) Standard Deviation (excl. 0's) Relative Weights Undergraduate Lower Level Liberal Arts Science Fine Arts Teacher Education Agriculture Engineering Home Economics Social Service Library Science Vocational Training Physical Training Health Services Pharmacy Business Administration Teacher Education-Practical Technology Nursing Undergraduate Upper Level Liberal Arts Science Fine Arts Teacher Education Agriculture THECB September 2017
33 Relative Weights Undergraduate Upper Level Engineering Home Economics Social Service Library Science Vocational Training Physical Training Health Services Pharmacy Business Administration Teacher Education-Practical Technology Nursing Masters Liberal Arts Science Fine Arts Teacher Education Agriculture Engineering Home Economics Social Service Library Science Health Services Pharmacy Business Administration Optometry Technology Nursing Doctoral Liberal Arts Science Fine Arts Teacher Education Agriculture Engineering Home Economics Social Service Library Science Health Services Pharmacy Business Administration Optometry Technology Nursing Special Professional Law Veterinary Sciences Health Services Pharmacy Optometry THECB September 2017
34 Total -8% 0% -1% 6% 4% 2% 1% 3.2% 19.8% 0.3% 3.1% 1.3% -18.2% -0.2% Average -8% 0% -1% 6% 4% 1% 0% 3.2% 19.8% 0.3% 3.1% 1.3% -15.8% -0.2% Standard Deviation -9% 3% 0% 9% 7% 2% 2% 5.7% 45.6% -2.4% 3.6% 2.2% -29.1% 1.1% Undergraduate Lower Level Liberal Arts 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Science -7% -2% -3% 2% 0% 0% 2% 1% 1% 1% 1% -1% -5% -3% Fine Arts -3% -1% -1% 1% 0% 1% 1% 1% 1% 1% 0% 1% 0% -1% Teacher Education -7% -3% -4% 3% 2% 3% -1% 0% 3% 6% 5% 2% -2% -4% Agriculture -7% 0% -2% 3% -4% -2% 1% 8% 3% 0% -2% 1% 1% -1% Engineering -6% 7% 8% 16% 4% 2% 0% 0% 0% 1% 0% -3% -5% -4% Home Economics -3% -4% -2% 0% 3% -1% -2% -1% -1% 1% 2% 5% 3% -2% Social Service 0% -5% -10% -11% -2% 1% -2% -1% -10% 4% -10% 5% -10% 3% Library Science 9% -3% 2% -10% -3% 13% 17% 8% 4% 1% 3% -5% 0% -3% Vocational Training -15% -26% -23% 1% -11% -10% -13% -1% -4% 7% 0% -1% -13% -8% Physical Training -4% 1% -2% 0% -1% 3% 5% 2% -1% 1% 2% 8% 0% -3% Health Services -6% 0% 0% 2% 0% -5% -1% -3% -4% -4% -2% 0% -2% -3% Pharmacy -6% -6% -5% -11% -11% -3% 79% 17% 8% -9% 12% 14% 10% 21% Business Administration 0% 2% 2% 3% 0% 0% -2% 2% 2% 4% 1% 1% -1% -2% Teacher Education-Practical 0% -7% -7% 0% 18% 16% 10% 12% 14% 9% 10% 4% -2% -14% Technology -6% -4% 0% 3% 4% 1% 3% 7% 8% 4% -1% -3% -4% -5% Nursing -5% -4% -6% -1% -4% 2% 1% 4% -5% -2% -4% -5% -8% -6% Undergraduate Upper Level Liberal Arts 0% -2% -2% -2% 0% 0% -1% -1% 0% 1% 2% 1% 0% -2% Science -5% -3% -2% 2% 2% 0% -1% -1% 1% 2% 1% -1% -4% -3% Fine Arts -3% -1% -1% 0% 0% 0% 0% 1% 2% 3% 2% 2% 0% 0% Teacher Education -3% -4% -5% -2% 0% 0% -1% 1% 3% 6% 5% 5% 1% -1% Agriculture -4% 1% 0% 3% -1% -5% -2% 3% 4% 0% 0% 4% -2% -4% *Highlighted values are those that differed greater than 9% (green) or -9% (red). 32 THECB September 2017
35 Relative Weights Undergraduate Upper Level Engineering -4% 3% 6% 11% 6% 3% -1% -3% -3% 0% 0% -2% -4% -4% Home Economics -4% -3% -4% -2% 0% -2% -1% -1% -1% 1% 1% 5% 1% -1% Social Service 17% -10% -9% -22% -5% 0% -1% 3% -2% 6% -7% 2% -9% 1% Library Science 10% -6% 0% -11% -2% -3% -1% 4% 7% 13% 11% 4% -2% 0% Vocational Training 16% 4% -5% 3% -9% -7% -6% 2% 5% 4% 13% 13% 8% -4% Physical Training 0% 2% 17% 5% -3% -15% -6% -2% -6% 3% 4% 7% -1% 1% Health Services 0% 0% 0% -1% -2% -5% -5% -4% -3% -2% -2% -3% -4% -3% Pharmacy -4% 0% -2% 8% 3% 17% 7% 11% 5% 8% 2% -14% -2% -4% Business Administration 2% 0% 1% 1% 1% 0% -2% 1% 2% 3% 3% 1% -1% -2% Teacher Education-Practical -3% 0% 0% 0% 2% -2% -2% 0% 3% 7% 5% 5% 4% -2% Technology -2% -2% 0% 2% 1% -1% 2% 1% 3% -2% 0% -2% -1% -3% Nursing -8% -1% -3% 2% -1% -3% -4% -6% -7% -2% 3% 1% 0% -3% Masters Liberal Arts -10% -1% -4% 5% 3% 1% -3% -4% -1% 0% 2% 2% 1% -1% Science -12% -6% -7% 5% 6% 4% 0% -1% -3% -1% -1% 0% -1% -5% Fine Arts -12% 0% -1% 8% 2% -1% 0% -1% 1% 1% 5% 4% 1% 0% Teacher Education -6% -2% -2% 3% 2% -3% -6% -3% 1% 6% 3% 2% -4% -3% Agriculture -1% 0% 1% 1% 0% -2% -1% 2% 3% 5% 5% -3% -8% -9% Engineering -11% 3% 5% 17% 6% 1% -2% 0% 2% 1% 0% -7% -14% -10% Home Economics -11% -6% -6% 2% 4% -3% 1% 0% 4% 2% 0% -3% -5% -2% Social Service -8% -1% -4% -1% -3% -1% -1% 2% -3% 6% -6% 1% -12% -4% Library Science -6% -6% -7% -1% 0% -1% -2% 4% 5% 12% 7% 7% -1% -6% Health Services -5% 0% -2% -2% -2% -3% 1% -2% -2% -4% -2% -4% -4% -5% Pharmacy -3% 14% -6% 5% 0% 18% 18% -1% -1% -2% 14% 10% 1% 0% Business Administration -5% 0% 1% 6% 2% -2% -5% -3% 1% 2% 3% 1% -1% -3% Optometry 0% 0% 0% 0% 0% 0% 0% 0% 653% -16% 10% -1% Deleted Technology -14% -3% -1% 8% 5% -8% -8% -5% 0% 0% 1% 0% -4% -8% Nursing -13% -2% -3% 3% 0% -5% -6% -8% -8% -6% -1% -4% -4% -7% Doctoral Liberal Arts -12% 0% -3% 5% 1% 0% 0% 0% 1% 4% 5% 5% 1% 0% Science -12% 1% 0% 10% 2% -1% -1% 4% 3% 0% -2% -4% 3% -3% Fine Arts -11% -1% -1% 8% 1% -2% -2% 2% 3% 3% 3% 1% -2% -4% Teacher Education -11% -1% -1% 9% 9% 1% -1% -3% 4% 3% -2% -5% -6% 0% Agriculture -13% 1% 0% 8% 1% -6% -6% 3% 5% 3% 8% 5% 5% -5% Engineering -14% 0% 0% 11% 4% -1% -1% 1% 4% 4% 3% 0% -2% -3% Home Economics -17% -5% -6% 7% 9% 3% 5% 4% 7% 8% 2% 1% -2% 7% Social Service -13% -6% -1% 9% 12% 0% 4% 2% 4% 3% 8% 7% 7% -1% Library Science -7% 2% 5% 13% 2% 5% 13% 29% 24% 7% -3% -3% 8% 12% Health Services -3% -12% -4% -2% 6% 7% 8% 7% 2% -2% 0% 1% 3% 1% Pharmacy -4% 3% 3% 9% 7% 1% 3% 12% 5% 7% -3% -6% -8% 0% Business Administration -12% 4% 3% 17% 12% 7% 1% -4% -1% 1% 1% 2% 2% 1% Optometry 0% 0% 0% 0% 0% 0% 0% 0% 170% -1% 3% 6% Deleted Technology Added -12% -4% 48% -8% 18% 15% 121% 29% Nursing -15% -1% -4% 7% 2% 1% -7% -7% -8% 1% 3% 2% 3% 3% Special Professional Law -4% 1% 1% 6% 4% 1% 2% 6% 8% 7% 6% 1% -4% -4% Veterinary Sciences -10% 1% -3% 6% 21% 2% -9% 33% 1% 4% 4% 1% 4% 2% Health Services Added 7% 3% 2% 1% -4% -1% -4% Pharmacy -2% 0% 3% 4% 0% -1% -1% 5% 2% 4% 1% 2% -1% -1% Optometry 0% 0% 0% 0% 0% 0% 0% 0% -15% 0% 12% 13% 5% -4% 33 THECB September 2017
36 Charge 2 Study and make recommendations for the appropriate funding level for, and for the refinement of, the graduation bonus formula. (TEC, Section ) The following presentation provides an overview of the graduation bonus methodology in order to inform the committee s discussion of the appropriate levels of funding for, and possible refinement of, the graduation bonus formula. 34 THECB September 2017
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45 Charge 3 Study and make recommendations on the treatment of competency-based courses in formula allocations. Competency-based education (CBE) allows students to progress towards completion, often at their own pace, as they demonstrate mastery measured through authentic assessment of a defined set of knowledge and skills. Programs may be organized around traditional course-based units, but this is not required. A majority of the curriculum must include regular and substantive interaction with faculty. Texas A&M Commerce and South Texas College began their competency-based education (CBE) pilot programs in spring The community college reports courses when students complete all the modules associated with a course. CBE is growing in Texas. In March 2017, the THECB awarded more than $650,000 for the following four Texas Affordable Baccalaureate (TAB) degree programs: criminal justice at Texas A&M University-Commerce, a bachelor of science in applied science at Tarleton State University, computer information technology at South Texas College (in partnership with Austin Community College), and mechanical engineering technology at Texas A&M University-Corpus Christi. These programs will be using innovative approaches to curriculum design and delivery, including competency-based education. Consideration of funding strategies for programs incorporating competency-based education and other non-traditional delivery modes will benefit the current and future TAB programs as they serve a critical need for Texans seeking degrees. The committee should focus on funding for course-based units, since these programs are eligible for federal financial aid. Non-coursebased units may become eligible in the future, so the committee should also discuss these. The following presentation provides an overview of competency-based education. 43 THECB September 2017
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62 This document is available on the Texas Higher Education Coordinating Board Website: For more information contact: Thomas E. Keaton, MPA Director Finance and Resource Planning Texas Higher Education Coordinating Board P.O. Box Austin, TX (512)
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