Budget and Legislative Updates NC Community College Adult Educators Association September 29, 2017 Jennifer Haygood, Chief of Staff

Overview Highlights from 2016 Session Preview of 2017 Legislative Priorities Change, change, and more change at the System Office Please feel free to ask questions at any point! September 29, 2016

2016 Session Highlights Restored ~$6 million R and $6 million NR in management flex cuts Youth Apprenticeship Waiver; Fire/EMS/Rescue waiver for those with permanent duty station on military installation Performance Measure Changes Deleted High School Equivalency Attainment Still allocating $3 million based on # of HSE/AHS diplomas awarded Local Government Finance Officer Training Employee Compensation Salary Increases Bonuses September 29, 2016

FY 2016-17 Tier Rates Tier 1 A Tier 1B Tier 2 Tier 3 Instruction $4,269.73 $3,777.07 $3,284.41 $2,791.75 Inst. & Ac. Support 1,736.00 Total $6,005.73 $5,513.07 $5,020.41 $4,527.75 http://www.nccommunitycolleges.edu/compliance-review-services/fte Tuition and registration receipts help support these allocations. Receipt collections to date appear to be roughly on target. September 29, 2016

Basic Skills Block Grant Basic Skills Block Grant Allocation FTE Allocation (Tier 2) Federal State Federal Performance Allocation FY 2016-17: HSE/AHS Diplomas Awarded State Performance-Based Allocation Basic Skills Student Progress (PBF Quality & Impact) HSE/AHS Diplomas Awarded (PBF Impact Only) September 29, 2016

Basic Skills Block Grant FY 2015-16 FY 2016-17 FTE Allocation (Tier 2) State Federal $3,234.03 $2,542.03 $691.43 $3,284.41 $2,810.45 $473.96 HSE/AHS Allocation $4,772,152 (5,794 @ $823.64) $4,771,824 (7,359 @ $648.43) State PBF BS Student Progress HSE/AHS Diploma Attainment $3,000,000 (HSE Passing Rate) (# HSE/AHS Diplomas Awarded) September 29, 2016

Funding Formula Study Conducted by Program Evaluation Division (non-partisan division within General Assembly) Surveyed college presidents this summer Study will be released and presented to legislative committee on October 10th. Possible issues discussed: Funding in arrears Performance-based funding March 23, 2015

2017 Session Preview Goal 1: Increase employer engagement, work-based learning and the relevance of education, training and credentials. Workforce Training Funds Program start-up fund Increased funding for workforce programs through adjustments to tiered funding rates Performance-Based Funding Earnings Gains Measure March 23, 2015

Earnings Gains Measure Purpose: To ensure our programs and coursework in career and technical fields are aligned with and result in higher paying jobs for students. Description: Average gain in median wages two years before to two years after exit for students enrolled in career and technical areas of study and coursework. Methodology: Increase in median wages from two years before exit to two years after exit for students meeting the following conditions: Non-transfer students who successfully completed at least 6 credit hours in applied science courses during the program year and Tier 1A/1B/2 CE students (those enrolling in continuing education (OE) courses that are scheduled for 96 hours or more and are mapped to a third-party credential, certification, or industry-designed curriculum) Not enrolled in college/university coursework two years after exit North Carolina’s Commerce Department’s Division of Employment Security has four quarters of wage records two years before and two years after exit Four quarters of wages two years before and two years after exit that exceed $11,310 (30 hours per week annually at minimum wage) March 23, 2015

2017 Session Preview Goal 2: Improve career awareness, mapping and connection of students to jobs and careers. Additional Career Coaches Student Success/Student Support Funds Goal 3: Improve college access, affordability and student success. Community college transfer incentive March 23, 2015

2017 Session Preview Goal 4: Strengthen the foundations for success for community colleges [as institutions and for their roles in] the workforce system. Budget Stabilization Stop-loss provision Enrollment growth reserve Faculty and Staff Salaries Flexibility to use performance-based funding carryforward funds for bonuses. March 23, 2015

System Office Transitions March 23, 2015