Deans, Directors and Department Heads

August 27, 2012UNIVERSITY OF TENNESSEE, KNOXVILLE

Journey to the Top 25

June Board of Trustees

8% Tuition Increase

Fee Increases

Take 15, Graduate in 4

5% Raises

Long Term Compensation

Campus/System/BOT Relationships

DevelopmentCelebration: $860 Million

Chairs & Professorships

(Chancellor’s Challenge)

Scholarships & Graduate

Fellowships

College Priorities

Development Priorities

Athletics

Compensation/Performance

Hire at market

Work with Provost and

Human

Resources

Performance-based raises

Merit raises/plan for full

Professor

Teacher/Scholar Model

Teaching/Advising

Scholarship

Research

Creative Activities

Take 15,Graduate in 4

Fall 2013 Tuition Model

A New Expectation for Undergraduate Students

Graduation in Four Years

Used to be the “norm” Off track Must become the “new norm” Critical to our Top 25 goal Better for our students and our state

It’s Better for Students

Spend less on their education

Incur less debt

Opportunity costs

Begin their careers earlier

Dr. Bill FoxDirector of the Center for Business and Economic Research

It’s Better for Students

“A Profile of Non-Completers in Tennessee Higher Education”—a study by the Center for Business and Economic Research and the Tennessee Higher Education Commission

Impact on Student DebtAverage UT student debt:

Less than $20,000

UT students with NO debt:

52%

Average expenses: ~$24,000/year

Most scholarships expire:

4 years

It’s Better for UT

Improves graduation rate

Increases state funding

Increases capacity to serve other students

Produces more undergraduate

degrees/year

Accelerates progress toward Top 25

It’s Better for Tennessee

Increase the number of college graduates

Nat. Average Tennessee0%

5%

10%

15%

20%

25%

30%

35%

30%

21%

Population with Bache-lor's Degree**25+ years of age

Degrees Awarded 2010-2011 Academic Year

UT KNOXVILL

E

MIDDLE

TENNES

SEE

UNIV. MEM

PHIS

VANDERBILT

EAST

TENNES

SEE

TENNES

SEE T

ECH

UT CHATT

ANOOGA

TENNES

SEE S

TATE

Austin Pea

y

UT MARTIN

UT HSC

0

1000

2000

3000

4000

5000

6000

7000

41083629

2562

1583 18731528 1275 984 1157 1017

117

2053

715

1062

1913831

473459

449 267129

683

Bachelor's Graduate/Professional

6161

4344

3624 3496

2704

20011734

1433 14241146

800

FOUR-YEAR FIVE-YEAR SIX-YEAR

2000 2001 2002 2003 2004 2005 2006 2007 20080.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

30.6% 29.4% 30.0% 31.2% 30.6% 33.7% 35.7% 36.7% 40.0%

24.2% 23.7% 24.7% 24.3% 25.2%24.8%

25.8% 26.3%

5.3%4.7% 5.1% 5.1% 4.7%

4.7%4.5%

60%

60%

58%

61%

61%

63%

66%

Graduation Rates

Preliminary

Six-Year Graduation RateFall 2006 cohort

#2 V

irgin

ia#2

UCL

A#1

Ber

keley

#4 M

ichiga

n

#5 U

NC C

hape

l Hill

#13

Penn

Stat

e#1

9 Flo

rida

#23

Geor

gia#1

0 W

iscon

sin#1

3 Illi

nois

#9 U

C Da

vis

#17

UMD

Colle

ge P

ark

#10

Was

hing

ton*

*#1

3 UT

Aus

tin#2

5 Cl

emso

n#1

9 Te

xas A

&M

#10

UC Sa

nta B

arba

ra#1

7 Ohi

o St

ate

#19

Pitts

burg

h#2

5 Ru

tger

s

#28

Mich

igan

Stat

e#3

1 In

dian

a#4

6 NC

Stat

e**

#25

Min

neso

ta#2

3 Pu

rdue

#44

Iowa

Stat

e#3

6 Au

burn

#46

UT K

noxv

ille

50%

55%

60%

65%

70%

75%

80%

85%

90%

95%

100%Aspiration Target Peer

Proposed New Tuition Model

Take 15, graduate in 4

Students pay for 15 hours

Implementation in Fall 2013

Full year to communicate

No additional cost for 15+ hours

Increase revenue by ~$6 million in

year 1

Funds Will Provide Courses and laboratories needed for

graduation

More academic advisors

UTracK system for monitoring progress to graduation

More tutoring and academic support services

More effective communication with undergraduates

Increased communications with prospective students

Funds Will Provide Better faculty/student ratio

More summer school options

More courses online

Additional need-based scholarships for Tennesseans

Performance-based, market-driven compensation

Implementation All current students continue under the

old model– No change for current students

Proposed new model starts fall 2013

Expectation – limit tuition increases to 3% annually for three years

After four years, pay the prevailing rate

15 hours becomes the “new norm”

Average Net Price of Tuition

$(8,000.00)

$(6,000.00)

$(4,000.00)

$(2,000.00)

$-

$2,000.00

$4,000.00

$(5,711.00)

$2,013.00 $2,870.00 $3,040.00

Bottom Quartile($0 - $43,065)

SecondQuartile

($43,066 - $87,800)

ThirdQuartile

($87,801 - $143,044)

FourthQuartile

($143,045 - $1,430,000)

We Remain a Great Value

New Tuition Model Endorsed

“The prime beneficiaries will be UT students. Graduating sooner translates into spending less money on school and incurring less debt….

The new tuition model is a positive step that will bring UT closer to its laudable goal of becoming a top-25 public research institution.”

JOURNEY TO THE TOP 25

MetricsUTK

June 2010UTK

June 2012

UTK Change

2010-2012

ACT Equivalent 29/24 29/24 No change

Retention Rate 84% 85% +1 pt

6-Year Graduation Rate 60% 63% +3 pt

Ph.D. Degrees 277 270 - 7

Master’s and Professional Degrees 1,845 1726 - 119

Federal Research Expenditures $70 M $109 +$39

Total Research Expenditures $165 M $208 +$43

Tenure-Line Salary Range $66 to $107 K

$71 to $115 + $5 to $8

Undergraduate Student/Tenure-Line Faculty 20 20 No change

Faculty Awards 10 TBD

Teaching and Support Expenditures/ Student $16,100 $17,698 + $1,598

Endowment/ Student $14,380 $16,250 + $1,870

UTK Position

Progress

7 Metrics improved

2 stayed same

2 decreased

1 Metric TBD

31

#1 B

erke

ley

#2 V

irgin

ia

#2 U

CLA

#5 U

NC C

hape

l Hill

#4 M

ichig

an

#13

Illin

ois

#19

Flor

ida

#17

UMD

Colle

ge P

ark

#19

Pitts

burg

h

#13

UT A

ustin

#10

Wisc

onsin

#17

Ohi

o St

ate

#25

Clem

son

#19

Texa

s A&

M

#25

Min

neso

ta

#10

Was

hing

ton

#9 U

C Da

vis

#10

UC S

anta

Bar

bara

#23

Geor

gia

#36

Aubu

rn

#46

UT K

noxv

ille

#13

Penn

Sta

te

#25

Rutg

ers

#23

Purd

ue

#46

NC S

tate

#31

Indi

ana

#28

Mich

igan

Sta

te

#44

Iow

a St

ate

20

22

24

26

28

30

32

34

36

ACT Equivalent Range

ACT Scores for SEC Schools

Vand

erbi

lt

Flor

ida

Texa

s A&

M

Aubu

rn

Geo

rgia

UTK

Sout

h Ca

rolin

a

Arka

nsas

LSU

Miss

ouri

Alab

ama

Kent

ucky

Miss

. Sta

te

Miss

issip

pi

18

21

24

27

30

33

36

Freshman Retention Rate1st to 2nd Year Retention Rate; 2004 to 2010 Freshmen Cohort

Years

2004 2005 2006 2007 2008 2009 201074

76

78

80

82

84

86

88

90

84.5%

ResearchFederal Research Expenditures; 2004-2011

2004 2005 2006 2007 2008 2009 2010 2011 $-

$20

$40

$60

$80

$100

$120

$140

$160

$180

$200

Top 25 Target Peers, No Med School

UTK

Faculty#1

Ber

keley

#2 U

CLA

#4 M

ichiga

n

#17 U

MD Co

llege

Park

#13 U

T Aus

tin#1

3 Illin

ois#1

7 Ohio

Stat

e#9

UC D

avis

#5 U

NC Cha

pel H

ill#2

Virg

inia

#10 W

ashin

gton

#25 M

innes

ota

#23 P

urdu

e#2

5 Rut

gers

#10 U

C San

ta B

arba

ra#3

1 Ind

iana

#13 P

enn S

tate

#10 W

iscon

sin#2

3 Geo

rgia

#44 I

owa S

tate

#19 P

ittsb

urgh

#19 T

exas

A&M

#46 U

T Kno

xville

#46 N

C Sta

te#2

5 Clem

son

#28 M

ichiga

n Sta

te#1

9 Flor

ida#3

6 Aub

urn

$50

$55

$60

$65

$70

$75

$80

$85

$90

$95

$71

Aspiration Target Peer

UTK in 2010 –

up 4 position

s

Average Assistant Professor Salary; Fall 2011

FacultyAverage Associate Professor Salary, Fall 2011

#2 U

CLA

#1 B

erke

ley#2

5 Rut

gers

#4 M

ichiga

n

#17 U

MD Co

llege

Park

#2 V

irgini

a

#5 U

NC Cha

pel H

ill#9

UC D

avis

#19 P

ittsb

urgh

#13 U

T Aus

tin#1

7 Ohio

Stat

e

#13 P

enn S

tate

#28 M

ichiga

n Sta

te

#10 W

ashin

gton

#10 W

iscon

sin#2

3 Pur

due

#31 I

ndian

a#1

3 Illin

ois

#25 M

innes

ota

#10 U

C San

ta B

arba

ra#4

6 NC S

tate

#44 I

owa S

tate

#19 T

exas

A&M

#46 U

T Kno

xville

#19 F

lorida

#23 G

eorg

ia#2

5 Clem

son

#36 A

ubur

n

$50

$60

$70

$80

$90

$100

$110

$120

$83

Aspiration Target Peer

UTK in 2010 –

up 1 position

FacultyAverage Full Professor Salary, Fall 2011

#2 U

CLA

#1 B

erke

ley#4

Mich

igan

#25 R

utge

rs

#5 U

NC Cha

pel H

ill#2

Virg

inia

#13 U

T Aus

tin

#10 U

C San

ta B

arba

ra#1

3 Illin

ois

#17 U

MD Co

llege

Park

#19 P

ittsb

urgh

#17 O

hio St

ate

#13 P

enn S

tate

#9 U

C Dav

is

#28 M

ichiga

n Sta

te#3

1 Ind

iana

#25 M

innes

ota

#23 P

urdu

e

#10 W

ashin

gton

#19 F

lorida

#19 T

exas

A&M

#46 N

C Sta

te

#44 I

owa S

tate

#46 U

T Kno

xville

#10 W

iscon

sin#2

5 Clem

son

#23 G

eorg

ia#3

6 Aub

urn

$50

$70

$90

$110

$130

$150

$170

$11

5

Aspiration Target Peer

UTK in 2010 – up 1

position

Top 25 Infrastructure Progress Buildings underway

Student Union

Natalie Haslam Music Center

John Tickle Engineering Building

Strong Hall

Residence Hall Major Renovations

Humanities and Social Sciences

Greve Hall

Brehm Animal Science and Food Science Buildings

Top 25 Investments Strategic Instructional Fund

Relieve bottleneck courses

Additional tenure-line faculty

Additional lecturers

Raises

First Year and Transition Programs

Additional advisors

The journey we take is just as important

as achieving the goal

Issues for the Future

Civility/Diversity/Citizenship

Internationalization

InternationalizationTop 25 Institutions % of Total Enrollment

2010-11

#13 University of Illinois-Urbana-Champaign

18.22%

#2 UCLA 15.78%

#17 Ohio State University 10.85%

#19 University of Florida 10.82%

#25 Rutgers University 7.26%

#46 University of Tennessee 3.79%

Communication

How do we

communicate

better?

Academics

Focus on Better Teaching and

on Student Learning

Rigor

Advising

Tracking students

Course availability

Academics

How much do we grow? When?

Utilization of summer

Distance education

Harvard/MIT/Berkeley Experiment

Multiple Approaches to Institution

Higher Education is Under Attack

Higher Education is Under Attack

Governor’s Review of Higher Education

Access

Quality

Preparing the

Workforce

Morrill Act Anniversary

Celebrating the 150th

Anniversary

Land grants vital to future of

higher education

Questions/Comments