1. Agenda item no. 9: Annual Financial Conditions Report
Nick Fuller
Deputy Director
Agenda item no. 9: Annual Financial Conditions Report

2. Introduction Report Purpose: Topics Addressed:
Describe financial conditions of Arkansas’s Public Institutions of Higher Education
Describe challenges experienced by Arkansas’s Public Institutions of Higher Education
Topics Addressed:
Productivity-Based Funding
Comparison of Arkansas faculty salaries to other SREB states
Tuition & Fees
Fund Balances
Institutional Scholarship expenditures
Athletic Expenditures
1. What is the projected date the bonds will be sold?
2. Please provide a detailed description of the new facility facilities.  Please include the square feet, type of space that will make up the facility and location of the facility on the campus as well as any other relevant information.
3.  Will the bond issue include furnishings?
4. What is the projected start date and completion date for facility?
5.   Please list a few programs that will be housed in the facility.
6.   Are there any other sources of income being used for this project? (i.e. private gifts)
7.  What is the total project cost including all funding sources? Does this include all sources?

3. Comparison of Arkansas faculty salaries to other SREB states

4. Comparison of Arkansas faculty salaries to other SREB states

5. Comparison of Change in Funds per FTE Students to other SREB states - Universities

6. Comparison of Change in Funds per FTE Students to other SREB states - Colleges

7. Tuition and Fees
With the Governor’s addition of nearly $10,000,000 in State funding for higher education from the implementation of the Productivity Funding model in fiscal year , 4 year institutions were tasked with holding tuition flat year over year and the 2 year institutions were requested to limit tuition increases to the CPI.
Even with this freeze, fee increases were needed at institutions causing total Tuition and Fee increases from to to reflect the following:
Four-year Institutions = 1-YR Average increase 3.3%
Two-year Institutions = 1-YR Average increase 3.1%

8. Tuition Increases – 4 Year Institutions

9. Tuition Increases – 2 Year Institutions

10. Fund Balances
According to industry standards, optimal fund balances should range from 5% to 14% of the E & G operating budget.
For , all but one of the 4-year institutions’ fund balances were above 5%.
For , one 2-year institution’s fund balance fell below 5%.

11. Fund Balances – 4-Year

12. Fund Balances – 2-Year

13. Institutional Scholarships (Academic and Performance)
A.C.A set limitations on Institutional Scholarships from tuition and fees
Academic and Performance scholarships awarded to students who qualify for a Pell Grant were excluded in accordance with A.C.A. §
The limit is 20% of E&G tuition and fee revenue
14,472 scholarships were awarded at 4-Year Institutions at a cost of $62.7 million compared to 17,993 at a cost of $68.5 million the previous year
Scholarships as a percent of tuition and fees were 8.2% compared to 9.2% the previous year

14. Institutional Scholarships

15. Recommendations
Continue to work with institutions to monitor and refine the Productivity Funding Model policies to ensure adequate funding is available to meet student needs, innovation is encouraged, and that the policies continue to respond to attainment goals and priorities of the state.
AHECB, ADHE and institutions of higher education work with the legislature toward alignment of institutional funding policies, state financial aid policies, and tuition policies in a way that prioritizes higher education affordability.

16. Nick Fuller
Deputy Director
Agenda item no. 10: Economic Feasibility of a loan for Arkansas RESEARCH AND EDUCATION OPTICAL NETWORK

17. Relevant Information
$619, with a term of seven (7) a rate not to exceed 2.74%
Educational and general purposes (E&G)
Revenue Funding Source: Membership Fee Revenue
Proceeds from the loan will be used to replace the optical equipment acquired during phase I of the AREON network build out.
1. What is the projected date the bonds will be sold?
2. Please provide a detailed description of the new facility facilities.  Please include the square feet, type of space that will make up the facility and location of the facility on the campus as well as any other relevant information.
3.  Will the bond issue include furnishings?
4. What is the projected start date and completion date for facility?
5.   Please list a few programs that will be housed in the facility.
6.   Are there any other sources of income being used for this project? (i.e. private gifts)
7.  What is the total project cost including all funding sources? Does this include all sources?

18. Dr. Jessie J Walker
Senior Associate Director of Academic Affairs
/Research & Analytics

19. ACADEMIC COMMITTEE
CONSENT AGENTA ITEMS

20. Consent Items *11. University of Arkansas-Fort Smith
Master of Education in Education
*Numbers refer to main agenda

21. Alana Boles
Program Director of Private Career and Out-of-State Education
Agenda Item no. 12 Institutional Certification Advisory Committee: Resolutions

22. Institutional Certification Advisory Committee (ICAC)
5 Colleges and Universities
16 Programs

23. Agenda Item no. 13 Letters of Notification
Dr. Jessie J Walker
Senior Associate Director of Academic Affairs
/Research & Analytics
Agenda Item no. 13 Letters of Notification

24. Letters of Notification
Programs approved by the ADHE Director
Programs must be included on the AHECB agenda prior to initiation
Programs are reasonable and moderate extensions of existing certificates and degrees

25. Agenda Item no. 14 Letters of Intent
Dr. Jessie J Walker
Senior Associate Director of Academic Affairs
/Research & Analytics
Agenda Item no. 14 Letters of Intent

26. Letters of Intent
Notification of institutional plans to offer new programs or organizational units that require Coordinating Board approval
Chief academic officers and chief executive officers can comment on the proposals before consideration by AHECB

27. October 26 Regular Meeting
Approval of Minutes
October 26 Regular Meeting

28. Agenda item no. 2: REPORT OF NOMINATING COMMITTEE
CHAIR CHARLES ALLEN
Agenda item no. 2: REPORT OF NOMINATING COMMITTEE

29. Report of Nominating Committee
The Nominating Committee (Chair Dr. Charles Allen, Dr. Michael Stanton and Dr. Olin Cook) will make a recommendation on the slate of Board officers for , and the Board will act upon the recommendation.

30. Recommendation Chair, Dr. Jim Carr Vice-Chair, Al Brodell
Secretary, Chris Gilliam
Academic Committee Chair, Lori Griffin
Finance Committee Chair, Keven Anderson

31. CHAIR ALLEN
Agenda item no. 3: State Board of Higher Education Foundation Election of Supervisory Committee

32. Election of Supervisory Committee
The Board for the Foundation includes three annually elected members: a president, a vice president and a secretary/treasurer. The Foundation was established in order to accept private funds for specific projects for the benefit of higher education in Arkansas. The current officers are:
President – Chris Gilliam
Vice President – Lori Griffin
Secretary/Treasurer – Dr. Olin Cook

33. Recommendation President Chris Gilliam Vice President Lori Griffin
Secretary/Treasurer Dr. Olin Cook

34. DR. MARIA MARKHAM
Agenda item no. 4: REIMBURSEMENT OF EXPENSES FOR MEMBERS OF THE AHECB AND ICAC

35. Reimbursement of Expenses
Although members of the AHECB and ICAC by law serve without compensation, they may receive expense reimbursement for performing official board duties after following certain procedures set out by Act 1211 of 1995 (A.C.A. § et seq.).

36. Recommendation
Because Act 1211 of 1995 (A.C.A. § et seq.) is the sole authority for expense reimbursement, it is necessary for the Coordinating Board to adopt a resolution authorizing expense reimbursement for board members and members of the ICAC.

37. NICK FULLER
Agenda item no. 5: REPORT OF THE DIRECTOR

38. ADHE Staffing Rich Sanders IT Senior Project Manager
Began on January 7, 2019

39. Institutional Leadership
The University of Arkansas Community College at Morrilton (UACCM) Chancellor Dr. Larry Davis will retire at the end of January, after almost nine years of service.
Diana Arn, Vice President for Academic Services at UACCM, has been named Interim Chancellor, effective January 31. A U.S. Army veteran, Arn enters the role with 32 years of experience at UACCM.

40. Agency Updates
Legislation
Policy and procedure clean up

41. Agency Projects Policy Review Higher Ed Class/Comp Transition
Higher Ed Master Plan Implementation
Strategic Communications Plan
Strategic Staffing Plan
Private Career Ed Transition
ACTS Review
Arkansas Future
Workforce Challenge
Rule Promulgation
Guided Pathways
Co-requisite Remediation
Funding Model Adjustments
15 to Finish
Math Pathways
Interstate Passport
Career Pathways Initiative
Carl Perkins
Project Pipeline Repair

42. TED THOMAS CHAIRMAN Arkansas Public Service Commission

44. ARKANSAS PUBLIC SERVICE COMMISSION DIVERSITY SUMMIT
Opportunities In Energy
Provide awareness to Higher Education Professionals, particularly at HBCUs
Monday, February 25, 8:30 a.m. – 5:00 p.m.
Mosaic Templars Cultural Center
Participants
Higher Education Professionals
Utility Executives
Regional Transmission Operators
Policy Makers
State and Local Officials
National Diversity Experts

45. ARKANSAS PUBLIC SERVICE COMMISSION DIVERSITY SUMMIT
Opportunities In Energy
ROUNDTABLE DISCUSSION TOPICS
HBCU Overview
Careers in Energy
Workforce Diversity
Women in Energy
Supplier Diversity

46. ARKANSAS PUBLIC SERVICE COMMISSION DIVERSITY SUMMIT
Opportunities In Energy
Registration - Eventbrite

47. Agenda item no. 6: Annual Enrollment report
Sonia Hazelwood
Associate Director for Research & Analytics
January 25, 2019

48. Annual Enrollment Report
The total enrollment for the Fall 2018 term for all sectors of higher education required to report data to the Department of Higher Education (public universities, public colleges, as well as private/independent colleges and universities and nursing schools) was 160,615 students; representing a 1-year decrease of 1.6 percent.
This annual report to the Coordinating Board will include:
Fall 2018 Enrollment
Annual Enrollment
Nursing Fall 2017 enrollment 658 and Fall 2018 enrollment was 619

49. Fall 2017 – Fall 2018 % Change 4-Year Universities: -1.3%
Private had 23 fewer students than fall 2017
Fall 2017 – Fall 2018 % Change
4-Year Universities: -1.3%
2-Year Colleges: -2.7%
Private/Independent: -0.1%
Nursing Schools: -5.9%

50. Fall 2017 – Fall 2018 % Change 4-Year Universities: 2.4%
2-Year Colleges: 5.8%
Private/Independent: 3.3%

51. Fall 2017 – Fall 2018 % Change 4-Year Universities: -1.3%
2-Year Colleges: -5.0%
Private/Independent: .8%
Nursing Schools: -5.9%

52. Fall 2017 – Fall 2018 % Change 4-Year Universities Graduate: -3.4%
4-Year Universities First Prof: 1.0%
Private/Independent Graduate: -17.4%
Private/Independent First Prof: 29.2%

54. ATU: 2.3%
HSU: 18.7%
UAF: .8%
Three universities increased enrollment from Fall 2017 to Fall 2018: ATU increased 2.3%, HSU by 18.7% and UAF had a slight increase of .8%.
All other 4-year universities experienced a decline in Fall enrollment, ranging from 1.0% to 15.4%.

55. Total Fall Term Enrollment Trends – 4-Year Public without UAF.

56. It is possible some of the fall counts may change as UAPTC fall data is not yet official. They were unable to meet the fall submission deadline, but are working to provide an updated submission soon. I will provide an update to the board when available.
Out of our six largest 2-Year Colleges, NWACC was the only one to experience an increase in enrollment from Fall 2017 to Fall They reported a 3.4% gain.
The other five colleges reported enrollment losses ranging between a 1.0% loss for UACCM and a 9.7% decline for UAPTC.

57. Out of the other sixteen 2-Year Colleges, five experienced enrollment increases from Fall 2017 to Fall Those colleges were BRTC, EACC, SAUT, UACCB, & UACCH.
The other eleven colleges reported enrollment losses ranging between 0.5% losses for CCCUA and NAC and a 13.1% decline for UACCRM.

58. Out of the other sixteen 2-Year Colleges, five experienced enrollment increases from Fall 2017 to Fall Those colleges were BRTC, EACC, SAUT, UACCB, & UACCH.
The other eleven colleges reported enrollment losses ranging between 0.5% losses for CCCUA and NAC and a 13.1% decline for UACCRM.

59. 96.3% ACHE
10.2% decline is crc
Out of the 14 private/independent colleges, seven experienced increases in enrollment from Fall 2017 to Fall 2018 ranging from .3% to 96.3%. The other colleges experienced declines between 2.0% and 10.2%.

60. Total Fall Term Enrollment Trends – By Race/Ethnicity

61. All but two 4-Year institutions serving high school students reported increased SSCH. UALR and UAM experienced serious declines.

62. HSU, SAUM, and UAF were the only 4-Year institutions to report increased undergraduate SSCH from Fall 2017 to Fall UCA reported only a .6% decline in undergraduate SSCH, while UALR claimed the largest decline at 7.0%.

63. Fall Term Undergraduate SSCH - 4-Year Public Institutions without UAF.
Same report without UAF. See changes more clearly.
Fall Term Undergraduate SSCH - 4-Year Public Institutions without UAF.

64. Half of the institutions reported growth in graduate SSCH.

65. UAMS was the only institution to report a decrease in doctoral and first professional SSCH. UCA reported a 57.7% increase.

66. Please note that just yesterday UAPTC discovered an issue with their Summer I data that will affect their totals and the 2-year sector totals. They are working on resubmission and I will provide the board with an update as soon as it is available.
Total Annual Enrollment is an unduplicated headcount for the academic year.

67. Total Annual Enrollment for 4-Year Public Institutions with UAF.

68. Total Annual Enrollment for 4-Year Public Institutions without UAF.

72. Alana Boles Program Director of Private Career and Out-of-State Education Agenda item no. 7: 2018 Institutional Certification Advisory Committee Annual Report

73. ICAC Oversight
Out-of-State Postsecondary Institutions and For-Profit Institutions
Institutions Exempt from Oversight:
Institutions offering only church-related training
Institutions on military bases
Institutions in regional and national reciprocity agreements

74. Institutions Certified under ICAC Rules
15 Arkansas Campuses
22 institutions with programs delivered only through distance technology
11 institutions offering programs both on Arkansas campuses and delivered through distance technology
4 institutions offering programs only on an Arkansas campus

75. Institutions Certified under ICAC Rules
14 Arkansas campuses
2015: 62 institutions
12 Arkansas campuses

76. Degrees Offered July 1, 2017 – June 30, 2018
Type of Degree
Number of degrees offered
Undergraduate
182
Graduate
218
Total
400
July 1, 2016 – June 30, 2017
Type of Degree
Number of degrees offered
Undergraduate
203
Graduate
202
Total
405

77. Student Enrollment and Graduates
July 1, 2017 – June 30, 2018
Total Enrollment – 6,662
Online enrollment – 3,065
Arkansas campus enrollment – 3,597
Total Graduates – 1,624

78. Student Enrollment and Graduates
July 1, 2016 – June 30, 2017
Total Enrollment – 6,646
Online enrollment – 3,061
Arkansas campus enrollment – 3,585
Total Graduates – 1,417

79. Graduates by Degree July 1, 2017 – June 30, 2018 Type of Degree
Number of Graduates by Degree Type
Certificates
392
Associate of Applied Science Degrees
653
Associate of Arts/Science Degrees 4
Bachelor’s Degrees
166
Master’s Degrees
400
Doctoral Degrees 9
Total
1,624

80. Graduates by Degree July 1, 2016 – June 30, 2017 Type of Degree
Number of Graduates by Degree Type
Certificates
293
Associate of Applied Science Degrees
542
Associate of Arts/Science Degrees 47
Bachelor’s Degrees
152
Master’s Degrees
361
Doctoral Degrees 22
Total
1,417

81. Institutions Exempt from Certification
33 institutions offering only church-related training
4 institutions offering programs on military installations
The majority (51% of total annual enrollment) of students enrolled at the institution located on the military installation must be active or retired military personnel and/or their dependents
Out-of-state institutions approved by state higher education agencies to offer degrees by distance technology through a recognized regional or national education compact such as the Southern Regional Education Board (SREB) or the State Authorization Reciprocity Agreement

82. State Authorization Reciprocity Agreements (SARA)
ADHE must approve Arkansas colleges and universities offering distance technology programs for SARA participation based on institutional accreditation, financial stability, and student complaint resolution policy and procedures.
SARA participation is optional.
Arkansas renewed membership in SARA in June; every state has joined SARA except California.
33 Arkansas institutions are in SARA; over 1,650 institutions have joined nationwide.
Applications from out-of-state institutions have decreased as more states and institutions have joined SARA.

83. Agenda Item no. 8 PROGRAM REVIEW & vIABILITY
Dr. Jessie Walker
Academic Affairs
Agenda Item no. 8 PROGRAM REVIEW & vIABILITY

84. Program Viability Report 2019
Non-Viable Programs Since January 2018
Certificate of Proficiency 23
Technical Certificate 25
Associate of Applied Science 20
Associate of Science 4
Associate of Perf/ Media Arts 1
Bachelor’s 6
Graduate Certificate 3
Master’s
Doctoral 1
Educational Leadership 1
Total

85. Program Viability Report 2019