Shared Leadership for a Stronger

Montana Economy

State Higher Education Executive Officers Workforce & Economic Development Committee

July 20, 2005

Education Subcommittee of Appropriations January 24, 2005- 2 -

Purpose of “Shared Leadership”

Develop a course of action by which the university system

(both 2- and 4-year colleges) can coordinate more

efficiently with the executive and legislative branches, our

congressional delegation, the K-12 educational system,

and the business community to improve Montana’s

economy and create more good paying jobs for our

citizens.

Education Subcommittee of Appropriations January 24, 2005- 3 -

“Shared Leadership” Progress

• Phase 1 (July ‘03): Ad hoc group “brainstorms” process and issues

• Phase 2 (Jan. ’04): Formal process implemented, including…

– Leadership Group to guide overall effort

– Formal engagement of legislature through Education Committee

• Phase 3 (Aug. ’04): Steering committees formed

– Identified key problem areas in assigned initiative area

– Developed recommendations for change.

• Phase 4 (Jan. ’05): State legislature meets, approves key initiatives

• Phase 5 (June ’05): Implementation of recommendations

Education Subcommittee of Appropriations January 24, 2005- 4 -

Three Priority Initiatives

• Develop stronger business-university system partnerships for workforce training (“Workforce”)

• Remove barriers to access for postsecondary education (“Access”)

• Expand distance learning programs and training (“Distance Learning”)

  

Three initiatives are the initial focus of the Shared Leadership effort

Education Subcommittee of Appropriations January 24, 2005- 5 -

Overview of the Effort

• Shared Leadership is an on-going effort.– We start with three priority initiatives.– Initiatives will expand over time.

• Steering committees comprised of non-university system citizens.

• Problem descriptions and recommendations are from the steering committee.

• Recommendations overlap with other important effort underway.– E.g. Board of Education P-20, Best & Brightest.

Education Subcommittee of Appropriations January 24, 2005- 6 -

Expand Distance Learning Programs

and Training

Education Subcommittee of Appropriations January 24, 2005- 7 -

Distance and Online Learning

Steering Committee’s Problem Summary:

• Some Montana campuses have great distance learning programs, but…

• Montana’s distance learning programs lack system-wide coordination.

– Each institution determines its own offerings.

– Current “catalogue” consists of links to individual sites.

• Disparities are confusing and costly for students, especially students who use the offerings of more than one campus.

• Support services have little consistency.

• The university system cannot capture economies of scale or position the system strategically.

– Competition is truly global.

Education Subcommittee of Appropriations January 24, 2005- 8 -

Distance and Online Learning

Recommendations of the Steering Committee:

• Develop a coordinated structure for distance learning in Montana including the creation of a director charged with designing and implementing a statewide approach to distance learning.

• Develop a Montana Distance Learning Gateway that will provide a “one-stop” portal for Montanans to learn about and access distance delivery courses throughout the State.

• Conduct a needs assessment to determine the types of distance programs most needed by Montana citizens and employers and then develop those priority programs.

Legislative/Executive Appropriation:

• $300,000 to implement at least the first recommendation.

Education Subcommittee of Appropriations January 24, 2005- 9 -

Remove Barriers to Access for

Postsecondary Education

Education Subcommittee of Appropriations January 24, 2005- 10 -

Promote and Enhance Access to Postsecondary Education

National Average Wage

Skill Level Drives Earnings

Some postsecondary education is critical for increasing wages over time.

Education Subcommittee of Appropriations January 24, 2005- 11 -

Demand for Skilled Workers Growing

0%

10%

20%

30%

40%

50%

60%

70%

1971 1981 1991 2001

Postsecondary Wage Premium

Postsecondary Population Share

140

150

160

170

180

190

200

2000 2010 2020

Mil

lio

ns

of

Job

s

Shortage of 14 million postsecondary workers by 2020

Jobs

Labor Force

Shortage of 7 million less-skilled workers by 2020

Wage Premium is Growing Trends will Accelerate

Education Subcommittee of Appropriations January 24, 2005- 12 -

Promote and Enhance Access to Postsecondary Education

Steering Committee’s Problem Summary:

• Montana postsecondary participation and completion rates lag nation.

• Postsecondary education costs are increasingly a barrier:

– Tuition is rising rapidly, average college graduation debt is $20,000

– Many families cannot borrow any more to fund education

– Montanans pay 40% more of income than Western States’ average

– Colleges of Technology highest tuition in country for 2-year colleges.

• Montana lacks need-based aid ($62 per student vs. national $316)

• Students/families often need additional support and information in order to consider, prepare for, and successfully complete postsecondary education.

• Lack of information and system-wide data creates an additional barrier.

Education Subcommittee of Appropriations January 24, 2005- 13 -

Promote and Enhance Access to Postsecondary Education

Recommendations of the Steering Committee:

• Provide additional need-based aid, for both traditional and non-traditional students, to increase postsecondary participation/completion rates.

• Develop a method to identify, collect, analyze and share existing data and prioritize the need for additional “access-related” data/research.

• Create a Montana Access-to-Education Coordinating & Advisory Council to coordinate communications, outreach,and empowerment programs.

Legislative/Executive Appropriation:

• $1.5 million need & merit based scholarships (Gov’s Postsecondary Scholarships)

• $800,000 for non-beneficiary students

• $500,000 million need-based aid (Montana Higher Education Grants)

• Total need-based aid moves us about 10% closer to our goal

Education Subcommittee of Appropriations January 24, 2005- 14 -

Develop Stronger Business-University System Partnerships

Education Subcommittee of Appropriations January 24, 2005- 15 -

Stronger Partnerships for Workforce Training & Education

Steering Committee’s Problem Summary:

• The state lacks connections with business to ensure existing and potential Montana industries will have a prepared workforce.

• The role and value of the two-year college system is not well understood:

– In providing worker training, and

– As a low-cost point of entry into postsecondary education.

• The organization of the state’s two-year colleges is confusing and impedes statewide collaboration and planning.

• Dual enrollment programs are inconsistent and not well coordinated.

• The lack of comprehensive data makes it difficult to apply limited resources to achieve system-wide objectives.

Education Subcommittee of Appropriations January 24, 2005- 16 -

Stronger Partnerships for Workforce Training & Education

Recommendations of the Steering Committee:

• Improve the connection between businesses and workforce training.

• Increase the awareness of opportunities and value of two-year education.

• Improve coordination and delivery of apprenticeship training.

• Improve flexibility and coordination of two-year education in Montana:

• Increase the utilization of dual enrollment programs in Montana.

• Improve data collection to better target resources for workforce training.

Legislative/Executive Appropriation:

• $1.4 million for university system programs to meet high demand occupation needs

• $900,000 for state’s three community colleges to expand programs

• $3 million for new/replacement equipment at 2-year programs