1. Illinois’ Significant Disinvestment in Higher Education
70 East Lake Street Suite Chicago, IL
Illinois’ Significant Disinvestment in Higher Education
Monday, April 3, 2017; 5:00 pm
University of Illinois Champaign-Urbana
Lincoln Hall – Room 1022
702 South Wright Street
Urbana, IL 61802
© 2017, Center for Tax and Budget Accountability
April 3, 2017

2. Unemployment Rate by Educational Attainment, 2014
Chicago Area
Illinois
Midwest
National
Less than H.S.
10.1%
11.3%
9.6%
7.9%
H.S. Diploma
7.2%
7.5%
5.7%
Some College/Associate's
6.3%
6.0%
5.2%
4.8%
Bachelor's +
3.8%
3.4%
2.8%
3.1%
Source: CTBA Analysis of Bureau of Labor Statistics Data
© 2017, Center for Tax and Budget Accountability
April 3, 2017

3. Worth the Investment? UH —YEAH
According to BLS, unemployment rate for dropouts is 2.86 times those with a 4 year degree
From , states with greatest number of college grads had greatest increase in productivity
States with best high school and college completion rates had highest per capita incomes.
© 2017, Center for Tax and Budget Accountability
April 3, 2017

4. Education Wage Gaps Over Time
1979
1995
2007
2011
Percentage Point Change
College/high school
23.5%
42.5%
46.4%
46.9%
23.4%
Advanced degree/high school
32.4%
62.3%
66.6%
69.6%
37.2%
Source: The State of Working in America
© 2017, Center for Tax and Budget Accountability
April 3, 2017

5. Enacted Appropriations
IBHE General Fund
IBHE General Fund Budget Recommendations versus Enacted General Fund Appropriations FY2008-FY2017 ($ Millions)
Fiscal Year
IBHE Recommendations
Enacted Appropriations
$ Difference
2008
$2,534
$2,216
-$319
2009
$2,391
$2,211
-$179
2010
$2,233
$2,220
-$13
2011
$2,207
$2,124
-$83
2012
$2,125
$2,108
-$17
2013
$1,980
-$128
2014
$2,149
$1,991
-$157
2015
$2,117
$1,948
-$169
2016
$2,048
$755
-$1,293
2017
$2,050
$843
-$1,207
Source: Illinois Board of Higher Education. Fiscal Year 2017 Higher Education Budget Recommendations
© 2017, Center for Tax and Budget Accountability
April 3, 2017

6. FY2015 General Fund Appropriations
FY2015 General Fund Appropriations Compared to FY2000, in Nominal Dollars and Adjusted for Inflation and Population Growth
Category
FY2000 Enacted Approps (Nominal $)
FY2015 Enacted Approps (Nominal $)
FY2000 (Adj. for Inflation and Pop to FY2015)
$ Difference
% Difference
Healthcare (including Medicaid
$5.04
$7.45
$9.54
($2.09)
-22%
PreK-12 Education*
$4.84
$6.60
$7.61
($1.01)
-13%
Higher Education
$2.15
$1.99
$3.38
($1.39)
-41%
Human Services
$4.66
$4.81
$7.32
($2.51)
-34%
Public Safety
$1.39
$1.62
$2.18
($0.56)
-26%
Source: CTBA analysis, COGFA.
*FY2015 appropriation for K-12 Education excludes $200 million from the Fund for Advancement of Education that is appropriated for General State Aid.
The Illinois State Board of Education includes that $200 million in its FY2015 General Fund budget report.
© 2017, Center for Tax and Budget Accountability
April 3, 2017

7. FY2016 General Fund Spending
FY2016 Maximum Authorized General Fund Spending Compared to FY2015 Enacted Budget ($ Millions)
Category
FY2015 Enacted Budget
FY2016 Maximum Authorized Spending
Year-to-Year Difference ($)
Year-to-Year Difference %
Early Childhood Education
$293
$315
$22
7.5%
K-12 Education
$6,262
$6,193
($69)
-1.1%
Higher Education
$1,950
$627
($1,323)
-67.8%
Source: General Fund appropriations for FY2015 are from CTBA analysis of GOMB “FY2017 Operating Budget Detail.”
© 2017, Center for Tax and Budget Accountability
April 3, 2017

8. Illinois is a National Outlier
37 States increased Higher Ed funding FY2015-FY2016
Illinois is one of 4 states to cut Higher Ed funding in both FY2015 and FY2016
Illinois is one of 9 states to cut Higher Ed by 30% or more since the Great Recession
© 2017, Center for Tax and Budget Accountability
April 3, 2017

9. Higher Ed Appropriations
Enacted General Fund Appropriations and Court Ordered Funding for Higher Education in FY2000 Compared to FY2017, Nominal Dollars ($ Millions)
Category
FY 2000 (Nominal)
FY2017 (Nominal)
FY2000 (Adj. for Inflation) to FY2017
$ Difference
% Difference
Higher Education
$2.15
$0.726
$3.38
($2.65)
-78.5%
Source: CTBA analysis, COGFA
© 2017, Center for Tax and Budget Accountability
April 3, 2017

10. Change in Per-Student Funding (%)
Change in Per-Student Funding of Higher Education in the 15 Largest States
States
Change in Per-Student Funding (%)
California
-3%
Indiana
-6%
New York
Ohio
-15%
Texas
-17%
North Carolina
-20%
Georgia
Washington
Michigan
-21%
Virginia
-22%
New Jersey
-23%
Florida
Pennsylvania
-33%
Illinois
-54%
Arizona
-56%
Source: Michael Mitchell, Michael Leachman, and Kathleen Masterson, “Funding Down, Tuition Up State Cuts to Higher Education Threaten Quality and Affordability at Public Colleges,” Center on Budget and Policy Priorities.
© 2017, Center for Tax and Budget Accountability
April 3, 2017

11. Illinois General Fund Structural Deficit
Source: Growth rate for state revenue sources is approximately 2.8 percent. For the revenue growth rate for federal revenue CTBA used the Congressional Budget Office’s Nominal Wage Growth for Workers Covered by Social Security (Percent) from its 2015 Long-Term Budget, which are the same projections used for spending on current services.
© 2017, Center for Tax and Budget Accountability
April 3, 2017

12. FY2016 Democrats’ Proposed General Fund Deficit Walk-Down ($ Billions)
Source: CTBA, Illinois on Autopilot, the Reality of 2016 (Chicago, February 2016).
© 2017, Center for Tax and Budget Accountability
April 3, 2017

13. Enacted General Fund Appropriations for Public Universities in FY2017 Compared to FY2015, Nominal Dollars
Public Universities
FY2015 Enacted
PA (SB2047) Enacted and Stop Gap Budget FY2017
Nominal Difference ($)
Nominal Difference (%)
Chicago State University
$36,330,500
$12,590,000
-$23,740,500
-65.3%
Illinois State University
$72,226,700
$38,291,000
-$33,935,700
-47.0%
Eastern Illinois University
$42,975,700
$26,222,000
-$16,753,700
-39.0%
Governors State University
$24,062,100
$12,757,000
-$11,305,100
Northeastern Illinois University
$36,898,800
$19,562,000
-$17,336,800
Northern Illinois University
$92,946,900
$48,293,000
-$44,653,900
-48.0%
University of Illinois
$647,186,400
$349,204,700
-$297,981,700
-46.0%
Southern Illinois University
$199,558,500
$106,156,000
-$93,402,500
Western Illinois University
$51,445,200
$31,389,000
-$20,056,200
TOTAL
$1,203,630,800
$644,464,700
-$559,166,100
-46.5%
Source: CTBA analysis, IBHE data and PA
© 2017, Center for Tax and Budget Accountability
April 3, 2017

14. Disinvestment to Higher Education Impacts Institution’s Capacity
Illinois State University cut its budget by $1.021 million between FY2015 and FY2016.
Chicago State University laid off 400 non-faculty positions (40 percent of their workforce).
Western Illinois University laid off 145 non-faculty positions.
University of Illinois eliminated 484 non-instructional staff positons.
Eastern Illinois University laid off 177 civil service employees.
© 2017, Center for Tax and Budget Accountability
April 3, 2017

15. 2014 Profile of University Dependence on State Funding
% of Budget from State Funding
% of Outstanding State Funding
% Out-of-State or International Students
Size of Endowment per Student
Governors State University
26%
15% 0%
$410
Northeastern Illinois University
25%
18% 1%
$1,035
Chicago State University
32%
16%
$1,151
Northern Illinois University
20%
14% 5%
$4,086
Western Illinois University
22% 6%
$4,127
Illinois State University
13% 4%
$4,650
Eastern Illinois University
24%
17% 8%
$4,993
Southern Illinois University
19%
$7,506
University of Illinois
11%
$26,025
The downward spiral: the impact of Illinois’ year without a budget. Adler University Institute on Social Exclusion. June Web 10 October
© 2017, Center for Tax and Budget Accountability
April 3, 2017

16. Tuition Growth at National Universities 1990-2015
Source: Travis Mitchell, See 20 Years of Tuition Growth at National Universities, U.S. News, July 29, 2015,
© 2017, Center for Tax and Budget Accountability
April 3, 2017

17. Illinois Public University Tuition 2016-2017
In State-Tuition
Out of State Tuition
Chicago State University
$9,994
$10,358
Eastern Illinois University
$22,706
$24,866
Southern Illinois University-Carbondale
$25,953
$39,602
Western Illinois University
$12,217
$16,533
Northern Illinois University
$25,965
$35,430
Northeastern Illinois University
$8,868
$16,164
U of Illinois at Urbana
$31,046
$46,668
Governors State University
$4,214
$7,478
Southern Illinois University-Edwardsville
$20,138
$31,631
University of Illinois at Chicago
$29,652
$42,508
University of Illinois at Springfield
$11,413
$20,938
Illinois State University
$28,295
$39,402
Source: Collegedata.org
© 2017, Center for Tax and Budget Accountability
April 3, 2017

18. Student Loan Debt Share of Families with Student Loan Debt
for those ages 25-55, , by Race
White
African American
Hispanic
1989
10.5%
17.9%
12.7%
1992
14.3%
13.8%
9.1%
1995
16.4%
17.0%
13.6%
1998
15.7%
10.3%
2001
14.6%
18.9%
13.1%
2004
18.3%
21.1%
10.9%
2007
19.5%
29.5%
14.9%
2010
27.8%
32.2%
15.4%
2013
28.1%
41.8%
16.2%
Source: Source: Urban Institute calculations from Survey of Consumer Finances 1989–2013
© 2017, Center for Tax and Budget Accountability
April 3, 2017

19. Illinois Public University Enrollment 2016-2017 Undergraduate and Graduate (based on FTE)
Difference
% Difference
Chicago State University
3,618
2,734
-884
-24%
Eastern Illinois University
7,282
6,234
-1,048
-14%
Southern Illinois University-Carbondale
14,995
13,880
-1,115
-7%
Western Illinois University
9,561
8,934
-627
Northern Illinois University
16,502
15,712
-790
-5%
Northeastern Illinois University
6,366
6,101
-265
-4%
U of Illinois at Urbana
47,644
48,765
1,121
-2%
Governors State University
3,921
3,985 64 2%
Southern Illinois University-Edwardsville
11,985
11,870
-115
-1%
University of Illinois at Chicago
28,687
28,935
248 1%
University of Illinois at Springfield
Illinois State University
18,183
18,533
350
Total
172,644
169,569
-3,095
Source: IBHE Fall 2016 Enrollment Snapshots for Public Universities.
© 2017, Center for Tax and Budget Accountability
April 3, 2017

20. Nominal Difference ($) Nominal Difference (%)
Monetary Award Program
General Fund Appropriations for Higher Education (excluding Universities) in FY2016 Compared to FY2015, Nominal Dollars ($ Thousands)
FY2015 Enacted
FY2016 Enacted & Autopilot
Nominal Difference ($)
Nominal Difference (%)
Monetary Award Program $
$320,799
-$44,058
-12%
Source: Illinois Board of Higher Education. (2016). Fiscal Year 2017 Higher Education Budget Recommendations
© 2017, Center for Tax and Budget Accountability
April 3, 2017

21. 2015 Unemployment Rate by Race and Education Level
Black
White
No High School Diploma
16.6%
6.9%
High School Diploma
9.6%
4.6%
Some college experience
7.4%
4.0%
Bachelor's degree and higher
4.1%
2.4%
Source: Elise Gould and Tanyell Cooke, Unemployment for Young Black Grads is Still Worse than it was for Young White Grads in the Aftermath of the Recession, Economic Policy Institute.
© 2017, Center for Tax and Budget Accountability
April 3, 2017

22. For More Information
Ralph M. Martire Danielle Stanley Executive Director Research Associate (312) 1049 (312)
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© 2017, Center for Tax and Budget Accountability
April 3, 2017