1. Parity Funding Beyond the Basics

2. Parity Funding- Historical Recap  Formula Allocations  Hold Harmless Agreement  Advent of Performance Funding  “One Time” Adjustment

3. Parity Funding Current Funding Levels  Total MRR$1.3 Billion  Appropriations $694 Million  Overall Funding Level 52% (based on MRR)

4. Parity Funding Funding Levels by Sector Based on MRR OverallLowest Highest  Research Universities56% 50%59%  Teaching Universities53% 38%65%  USC Regionals52% 43%63%  Technical Colleges45% 41%67%  All Sectors52%

5. Parity Funding  Challenges: Difficulty in Reallocating Resources Lack of Increases in Funding

6. Parity Funding  Major Issues What is Parity?  Equal Funding Levels?  Where we were before the budget cut?  Minimum Level of Funding?  Relative Range?

7. ParityFunding  Major Issues – continued: When do we begin to address parity? Now? When new funds are available? What portion of new funds?

8. Parity Funding  Other Considerations What about Performance? Target vs. actual fees? Should we consider other revenue streams? Pending changes to the MRR? Budget Cuts?

9. Parity Funding  How do we get there from here? Wait until times are better? Start slowly now? Peter and Paul?

11. Parity Funding Funding Levels by Sector:Considering Based on Actual Fee MRR Revenues Research Univ.56%75% Teaching Univ.53%79% USC-Regional Campuses53%68% Tech. Colleges45%65% Overall52%73% Lowest Funded38%46% Highest Funded67%83%

12. Parity Funding Funding Levels by Sector Considering Actual Fees OverallLowest Highest  Research Universities75% 52%75%  Teaching Universities79% 63%83%  USC Regionals68% 60%78%  Technical Colleges65% 46%78%  All Sectors73%