1 Government Relations “Elections have consequences.”

2 Election results Impact to Rice Historic elections seen as a mandate to significantly reduce spending U.S. Senate: GOP gained 6 seats, 53 to 47 Democrat majority U.S. House: GOP gained 63 seats, 242 to 193 GOP majority Texas Senate: No change Texas House: GOP gained 22+ seats with two party switchers for a 101+ to 49 seat majority.

3 Our delegation Texas delegation and Rice alums in leadership positions Rep. Pete Olson, Energy and Commerce Committee Rep. John Kline, chairman, House Education and Workforce Committee Rep. John Culberson, House Appropriations Committee Sen. Kay Bailey Hutchison, Appropriations Committee Sen. John Cornyn, chairman, Republican Senatorial Committee State Rep. Scott Hochberg, House Appropriations Committee State Rep.-Elect Sarah Davis State Sen. Rodney Ellis, Transportation and State Affairs

4 Despite challenges, Rice has a plan Federal legislative agenda Working with D.C. advocacy firm to identify other sources of funding Provost’s initiatives State legislative agenda Protect Rice’s priorities Look for other opportunities for funding Develop long-term relationships with a broader group of legislators

5 Federal issues Overall spending levels reduced Earmark moratorium for 2 years Perkins –$740,000 –238 students Pell –$2.5 million –586 students

6 State programs important to Rice Rice pays close to $2.5 million in taxes to the state of Texas. Roughly $1.5 million in oil and gas severance taxes in $996,527,000 in sales taxes in 2010.

7 Norman Hackerman Advanced Research Program (NHARP) Overview Rice received eight awards — $1.2 million in NHARP received $16.1 million in NHARP is eliminated in HB 1 and receives $ 12 million in SB 1. Impact to Rice Rice received $1.2 million for eight awards that went to 11 faculty members.

8 Tuition Equalization Grant (TEG) Overview Rice received $2.604 million in FY10. TEG budget in FY10–FY11 was $212 million. TEG total funding in FY12–FY13 (HB 1 and SB 1) is $126 million, a reduction of $87.4 million (41 percent). The amount budgeted was to fund existing students and not for new students.

9 Tuition Equalization Grant (TEG) Impact to Rice 593 current Rice students received TEG grants, an average award of $4, in-state Texas undergraduates who received TEG awards, 32 percent of all Texas residents attending Rice.

10 Cancer Prevention and Research Institute of Texas (CPRIT) Overview Rice received five awards of $5.75 million in the 2010 awards. HB 1/SB 1 — The only impact the budget has on these funds is the servicing of the debt on the bonds. Impact to Rice Rice faculty received three awards worth $5.75 million in 2010.

11 TexShare Overview No state funding in either HB 1 or SB 1. Impact to Rice Rice is one of 700 member institutions that are eligible for TexShare. TexShare provides access to 49 databases which translates into 42,571 journals and NetLibrary e-books. Rice pays $37,450 to have access to these databases but would cost $299,974 if we subscribed directly.

12 Other state legislative agenda Identify other funding opportunities: ETF, TX-DOT Other legislative issues - ReNew Houston - Handguns on Campus - Stem cell ban on state funded research institutions - Connexions - New Texas Higher Education Coordinating Board (THECB) regulations from the HEA

13 Looking ahead Develop long-term relationships through the Government Relations Subcommittee Rice Community Action Network (CAN)