1. November 5, 2010 Closing The Gaps by 2015 Where We Are Now Closing The Gaps by 2015 Where We Are Now

2. Educational Attainment in Texas was Projected to Drop Source: Texas State Data Center* Projections are shown for the 1.0 scenario THECB 10/2010

3. Annual Average Unemployment Rate in the U.S. as a Function of Educational Attainment Source: Bureau of Labor Statistics Year: 2009 THECB 10/2010

4. TrendsTrends A growing unskilled, under-educated population that cannot meet the demands of a technology-based workplace. Average household income in Texas is projected to decline by $5,000 in constant dollars by 2040 (total annual drop of $63.5 billion). A growing unskilled, under-educated population that cannot meet the demands of a technology-based workplace. Average household income in Texas is projected to decline by $5,000 in constant dollars by 2040 (total annual drop of $63.5 billion). Source: Texas State Data Center THECB 10/2010

5. Goals: By 2015, Close the Gaps in: Participation Participation Success Success Excellence Excellence Research Research Participation Participation Success Success Excellence Excellence Research Research THECB 10/2010

6. GoalsGoals Participation By 2015, close the gaps in enrollment rates across Texas to add 630,000 more students. Participation THECB 10/2010 Success By 2015, award 210,000 undergraduate degrees, certificates and other identifiable student successes from high quality programs. By 2015, award 210,000 undergraduate degrees, certificates and other identifiable student successes from high quality programs.Success

7. 2010 Preliminary Progress Report on Participation PARTICIPATION TARGETPROGRESS TOWARD 2010 TARGET Statewide participationWell above target African American participationWell above target Hispanic participationWell below target White participationWell above target THECB 10/2010

8. Texas’ Participation Rate Has Improved But Remains Lower Than Other States Participation Rate of Total Population – 2000 and (2007) Source: U.S.DOE, IPEDS, and Census Bureau CaliforniaIllinoisMichigan New York Pennsylvania OhioTEXASFloridaGeorgia New Jersey (6.6%) (6.5%) (6.2%) (6.0%) (5.6%) (5.4%) (4.9%) (4.7%) (4.4%) THECB 10/2010

9. Source: Texas Higher Education Coordinating Board The Pipeline Challenge (1998 Cohort of Public High School Students) The Pipeline Challenge (1998 Cohort of Public High School Students) THECB 10/2010

10. Participation Since 2000: 503,382 Increase Participation Since 2000: 503,382 Increase 503,382 630,000 403,483 2010 enrollment is preliminary

11. THECB 10/2010 Percent of HS Grads Entering HE is Increasing Percent of HS Grads Entering HE is Increasing 52.2% 52.3% 52.4% 54.2% Not trackable students excluded. Independent enrollments not available for 2000 and 2001. Not trackable students excluded. Independent enrollments not available for 2000 and 2001. 53.6% 54.5% 55.9% 56.3%

12. There Are Large Increases in the Percent of Entering Students with the Recommended High School Curriculum There Are Large Increases in the Percent of Entering Students with the Recommended High School Curriculum 55% 53% 65% 73% 78% 53% 83% 86%88% 90% 92% THECB 10/2010 92%

13. 15.9% 29.9% 54.8% 57.2% 14.5% 53.9% 25.5% 32.3% 37.2% 71.5% 4.0% 50.8 62.1% 48.6% 33.3% 16.0% 33.4% 46.9% Percent Change in Enrollments by Region 4-Year and 2-Year Institutions* 4-Year and 2-Year Institutions* 2000 to 2009 2000 to 2009 Percent Change in Enrollments by Region 4-Year and 2-Year Institutions* 4-Year and 2-Year Institutions* 2000 to 2009 2000 to 2009 24.0% 50.4% *Percent change at 4-year institutions listed first for each region, followed by percent change at 2-year institutions. THECB 10/2010

14. Enrollment by Region Needed to Meet 2015 CTG Goal

15. THECB 10/2010 Target to Increase Hispanic Enrollment Remains a Big Challenge Note: Public Institutions only. White Hispanic African Am

16. Hispanic Enrollment by Region Needed to Meet 2015 CTG Goal THECB 10/2010

17. Success : By 2015, award 210,000 undergraduate degrees, certificates, and other identifiable student successes from high-quality programs. THECB 10/2010

18. Progress Report on Success SUCCESS TARGET COMPARISON WITH TARGET LINE Statewide certificates, associate degrees, and bachelor degrees On target African American awardsSomewhat below target Hispanic awardsSomewhat below target Technology awardsWell below target Allied health and nursing awardsSomewhat above target Teacher certificationsWell below target THECB 10/2010

19. Percent Increase in UG Awards at Public Institutions is Greatest for Underrepresented Groups +25.2% +62.4% +89.5% +84.5% Source: Texas Higher Education Coordinating Board THECB 10/2010

20. Bachelor’s Degrees on Track to Meet State’s 2015 Goal Bachelor’sAssociate’s THECB 10/2010

21. Some Progress Made in Health Awards; Very Little Progress Made in STEM Fields Technology Nursing/Allied Health THECB 10/2010

22. Educating Teachers is Critical to Texas’ Success Teachers Math & Science Teachers

23. Excellence and Research Goals Excellence : By 2015, substantially increase the number of nationally recognized programs or services at colleges and universities in Texas. Research : By 2015, increase the level of federal science and engineering research funding to Texas institutions to 6.5% of obligations to higher education. Excellence : By 2015, substantially increase the number of nationally recognized programs or services at colleges and universities in Texas. Research : By 2015, increase the level of federal science and engineering research funding to Texas institutions to 6.5% of obligations to higher education. THECB 10/2010

24. Progress Report on Excellence and Research EXCELLENCE TARGET COMPARISON WITH TARGET LINE National rankingsWell below target Program recognitionOn target RESEARCH TARGET COMPARISON WITH TARGET LINE Federal science and engineering research and development obligations Somewhat below target Public universities’ research expenditures Well above target THECB 10/2010

25. Undergraduate Excellence Access to excellent undergraduate education is critical. Access to excellent undergraduate education is critical. 78% of all public university students are undergraduates. 78% of all public university students are undergraduates. 90% of all public college and university students are undergraduates. 90% of all public college and university students are undergraduates. 44% of all public college and university students are freshmen. 44% of all public college and university students are freshmen.

26. UC-Berkeley Has More National Academy Members Than All Texas Institutions ScienceEngineeringMedicineTotal UT Austin1548467 TAMU/TAMUSHSC517325 Rice U212014 UT Med Cntr-Dallas170 34 U of Houston3508 Baylor CO Medicine401014 UTHSC-San Antonio0011 UTHSC Houston2068 UT Med Br-Galveston0022 UT Dallas1001 Other (SMU, MDA, UNT, UTSA, TTU) 3317 State of Texas Total528544181 UC-Berkeley127789214 THECB 10/2010 Oct 2010

27. Texas’ Share of Federal R&D Obligations Relative to Other Top Performing States 14.9% 13.8% 8.3% 7.9% 6.4% 6.3% 6.0% 6.2% 5.3% 5.6% 6.2% 5.9% Federal R&D Obligations in Millions of 1998 Constant Dollars THECB 10/2010 Percentages reflect the share of the U.S. total for Federal R&D obligations for the state

28. Texas Ranks 6 th in the Percent of Federal Funds to Colleges and Universities $25.3 Billion Total in Federal Funds FY 2007 Source: National Science Foundation THECB 10/2010

29. Research Expenditures for R&D at Public Universities and Health-Related Institutions 3.7% 6.0% 10.4% 9.6% 15.9% (in billions) 7.0% Annual Change 6.0% 10.8% THECB 10/2010 6.6%

30. Research Summary Federal research funding static since FY 2005. Federal research funding static since FY 2005. Proposed budgets for NIH, NSF, and other agencies could be significant if realized. Proposed budgets for NIH, NSF, and other agencies could be significant if realized. The American Recovery & Reinvestment Act (ARRA) of 2009 is providing large amounts of research funding to be obligated through agencies. The American Recovery & Reinvestment Act (ARRA) of 2009 is providing large amounts of research funding to be obligated through agencies. NIH ($10.4 billion) NIH ($10.4 billion) NSF ($3 billion) NSF ($3 billion) DOE, ED, NASA, USDA, and other agencies DOE, ED, NASA, USDA, and other agencies also have stimulus funds for research. Federal research funding static since FY 2005. Federal research funding static since FY 2005. Proposed budgets for NIH, NSF, and other agencies could be significant if realized. Proposed budgets for NIH, NSF, and other agencies could be significant if realized. The American Recovery & Reinvestment Act (ARRA) of 2009 is providing large amounts of research funding to be obligated through agencies. The American Recovery & Reinvestment Act (ARRA) of 2009 is providing large amounts of research funding to be obligated through agencies. NIH ($10.4 billion) NIH ($10.4 billion) NSF ($3 billion) NSF ($3 billion) DOE, ED, NASA, USDA, and other agencies DOE, ED, NASA, USDA, and other agencies also have stimulus funds for research. THECB 11/2010

31. THECB 10/2010 Accomplishments 2000 - 2010 The percentage of students entering higher education from public high schools is increasing. The percentage of students entering higher education from public high schools is increasing. By preliminary fall 2010, over 500,000 additional students are enrolled in public and independent higher education. By preliminary fall 2010, over 500,000 additional students are enrolled in public and independent higher education. The percentage of students entering higher education from public high schools is increasing. The percentage of students entering higher education from public high schools is increasing. By preliminary fall 2010, over 500,000 additional students are enrolled in public and independent higher education. By preliminary fall 2010, over 500,000 additional students are enrolled in public and independent higher education.

32. THECB 10/2010 Accomplishments 2000 - 2010 By fall 2009, more than 98% of university and 86% of community college students enrolling directly from high school had completed the RHSP or above. By fall 2009, more than 98% of university and 86% of community college students enrolling directly from high school had completed the RHSP or above. 39,000 additional undergraduate degrees and certificates are awarded annually. 39,000 additional undergraduate degrees and certificates are awarded annually. By fall 2009, more than 98% of university and 86% of community college students enrolling directly from high school had completed the RHSP or above. By fall 2009, more than 98% of university and 86% of community college students enrolling directly from high school had completed the RHSP or above. 39,000 additional undergraduate degrees and certificates are awarded annually. 39,000 additional undergraduate degrees and certificates are awarded annually.

33. “A Tale of Two States – and One Million Jobs” The payoff to achieving the objectives of Closing the Gaps is enormous. By 2030, annual gains (in 2006 dollars) are projected to be: –$489.6 billion in total spending –$194.5 billion in gross state product –$121.9 billion in personal income –1,023,281 permanent jobs The payoff to achieving the objectives of Closing the Gaps is enormous. By 2030, annual gains (in 2006 dollars) are projected to be: –$489.6 billion in total spending –$194.5 billion in gross state product –$121.9 billion in personal income –1,023,281 permanent jobs Source: Ray Perryman Group; http://www.thecb.state.tx.us/reports/PDF/1345.PDF THECB 11/2010