1. State Government 101

2. State Budget Outlook February 2013 MMB Forecast a zero balance after $295 million of the school shift is paid back FY 2014-2015 projected $627 million shortfall, however $2.1 in revenue increases during legislative session will cover the deficit MNs economy ranked 5th fastest growing in 2012

3. New Revenue $2.1 billion in new taxes from last session Cigarette tax: $1.60/pack Expanded sales tax Income tax: 9.85% for gross income above $250,000 for couples and above $150,000 for individuals

4. Tuition and the State In state statue, the legislature pays 2/3 the cost of higher education through appropriations and tuition makes up 1/3 of the cost The FY 13 MnSCU budget, tuition is 60.9%, shows a complete reversal of 2000 budgeting when state appropriation was 67.4% of revenue

5. State Funding and MnSCU Prior to last session, MnSCU was cut 10% in the last biennium, $60 million each year State funding for the MnSCU system was down 45% from per student since FY 2000, as shown in FY 2013 Operating Budget Until last session, MnSCU faced over a decade of decreasing appropriations

6. 1 Minnesota State Colleges and Universities State Appropriation vs. Tuition Relationship Fiscal Years 2002-2015 100.0% 90.0% 80.0% 66.3% 55.3% 70.0% 52.6% 60.0% 50.0% 33.7% 44.7% 40.0% 47.4% 30.0% 20.0% 10.0% 0.0% Tuition 60.1% 51.4% 55.2% 48.6% 44.8% 39.9% Appropriation 58.8% 58.1% 41.2% 41.9%

7. MnSCU Appropriations FY 15: $605 million FY 14: $588 million FY 13: $545 million FY 11: $605 million FY 08: $671 million FY 05: $551 million FY 00: $554 million

8. State Legislature

9. Legislative Basics Biennial cycle: first year is a budget/appropriations year, second year is bonding bill 67 Senators, 134 Representatives Higher Education committee members in House and Senate are the main focus of our work, Capital Investment committee is also important, especially in bonding years

10. Current Legislative Composition House of Representatives DFL: 73 R: 61 Senate DFL: 39 R: 28 DFL Governor

11. Major Topics from Last Session New funding for MnSCU Part-time pilot Dream Act Workforce Development Initiatives New internships Leveraged equipment FasTrac

12. New Investment $250 million in new funding for higher education for FY 2014-2015 $102 million for MnSCU $78 million for the U of M $70 million for the Minnesota State Grant Program

13. MnSCU Funding $78 million to buy down 3% tuition increase for each year of the biennium $17 million for faculty retention (one-time funding) $7.3 for leveraged equipment $50,000 for a mental health summit 5% of 2015 appropriations dependent on performance metrics

14. So, whats next at the Capitol? Bonding MnSCU will be asking for: $110 million in HEAPR funding $20.6 million for demolition $155.9 million for capital projects and design The request relies on $58.8 of System financing and $227.7 million in General Obligation financing If fully funded, this request reduces total MnSCU square footage by 257,360 feet To pass, the bonding bill needs a super majority in each legislative body and must be signed by the Governor

15. Be an Advocate, Share your Story! http://www.mscsa.org/legislative-stories Why should Stafford Loan rates be kept at 3.4%? Why is the Pell Grant important?

16. State Gov Jeopardy!

17. Higher Ed Potpourri MnSCU Bonding House Senate 100 100 100 100 100 200 200 200 200 200 300 300 300 300 300 400 400 400 400 400 500 500 500 500 500

18. FINAL JEOPARDY!

19. This is the percentage of the total state budget that will be spent on higher education during the current biennium.

20. What is 7.3%?

21. House members serve a terms for this many years.

22. What is two years?

23. There are this many members are in the House.

24. What is 134?

25. The leader of the House is called this.

26. Who is the Speaker of the House?

27. The new Speaker of the House.

28. Who is Representative Paul Thissen?

29. This party has the majority in the House.

30. What is the DFL?

31. The Minority Leader.

32. Who is Representative Kurt Daudt?

33. This party has the majority in the Senate.

34. What is the DFL party?

35. Length of Senate terms.

36. What is four years?

37. This is the title of the most powerful member of the Senate.

38. What is the Senate Majority Leader?

39. This is the President of the Senate.

40. Who is Senator Sandy Pappas?

41. The Republican leader in the Senate.

42. Who Senator David Hann?

43. MnSCU received this much in additional appropriations last session.

44. What is $102 million?

45. The chair of the Higher Education Policy and Finance Committee.

46. Who is Representative Pelowski?

47. Chair of Higher Education and Workforce Committee.

48. Who is Senator Terri Bonoff?

49. What was the total amount of funding for higher education last session?

50. What is $250 million?

51. The Legislature provides funding for the U of M, MnSCU, and this program.

52. What is the Minnesota State Grant Program?

53. These people have the authority to write a bill.

54. Who are legislators?

55. This is needed in each body to pass a bonding bill.

56. What is a super majority?

57. This person appoints the Commissioner of the Office of Higher Education.

58. Who is the Governor?

59. This person is the chair of the House Capital Investment Committee.

60. Who is Alice Hausman?

61. This is the focus of the legislature during the upcoming session.

62. What is the bonding bill?

63. The MnSCU bonding requests asks for this much in total funding from the state.

64. What is $277.7 million?

65. The MnSCU asks for how much in HEAPR funding?

66. What is $110 million?

67. The bonding request asks for this much to fund demolition.

68. What is $20. 6 million?

69. The bonding request seeks this much in funding for capital projects.

70. What is $155.9 million?

71. HEAPR stands for this.

72. What is Higher Education Asset Preservation and Replacement?