An Early Reading of the States

We recently shared an early read of our 2010 State Governance Action Report at AGB's National Conference on Trusteeship. 

The Ingram Center's March 2010 State Governance Action Report (SGAR) provides an early read on what states, university systems, and institutional leaders see as important for the immediate future. 

The fiscal downturn in the states is perhaps the dominant (and underlying) issue of all actions.  While most states are cutting funding, Illinois is gaining special attention as the state is actually withholding all monthly allocations to public institutions, despite joint appeals to the governor.   

State responses in this report reflect the difficult fiscal situation; some actions are strategic and indicative of "doing things differently" going forward.  Through deregulation and governance restructuring, many actions show efforts to recast the relationship between public higher education and state government.  New York, one of the most highly regulated states, is considering a bill that would allow SUNY and CUNY to set their own tuition levels and retain revenues.  This bill is gaining support, much like the legislation in Colorado where institutions are pursuing efforts for flexibility and autonomy, which would include fewer reporting requirements, greater tuition autonomy, and exemptions from some state personnel rules.  Similar proposals in Louisiana and Washington are recommending greater tuition setting authority, as a means to attain greater operating revenues.

Ready for deregulation, New Jersey is advancing the most ambitious set of proposals.  The Presidents' Council presented a list of over 50 unfunded mandates with specific recommendations to alleviate them.  In addition, the state colleges and universities are considering the creation of a new autonomous public corporation, allowing institutions to acquire, sell, and lease real property, and enter into private enterprise partnerships.  Public corporations are also the topic of discussion in Oregon.  A report authored by a former University of Oregon president proposes making the state's three largest institutions quasi-independent public corporations with their own governing boards.  Ties to the University System would continue through formal compacts that would set institutional performance standards.

While deregulation seems to be what institutions are pursuing, it will also be the means through which elected officials require more transparency in finances and accountability for results.

Stay tuned…AGB will continue to track these actions, developments, and legislative proposals.  A follow-up analysis will be released in July 2010!