The University of Kansas An engine of economic growth for Kansas

Presented by Chancellor Douglas A. GirodFebruary 2020

Today’s Presentation• KU at a glance• How KU grows the Kansas economy and provides ROI• Overview of state funding• How was the FY20 increase to KU used?• How would KBOR’s requested FY21 increase be used?

KU at a glance• 28,400 students (60% resident, 40% non-resident)• 14,100 employees• Seven instruction sites• $1.3 billion annual budget• $264M in annual research expenditures• Medical outreach sites in all 105 counties• 48 graduate programs ranked in the Top 50 nationally• AAU member since 1909

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KU at a glance• Lawrence, Edwards, Leavenworth• KU Medical Center in Kansas City, Wichita, Salina• Kansas Law Enforcement Training Center in Yoder

How KU grows the Kansas economyAddress workforce needs• University of Kansas – 6,417 degrees/certificates annually

How KU grows the Kansas economyAddress workforce needs• KU Medical Center – 836 degrees/certificates annually

How KU grows the Kansas economyAddress workforce needs• Attract out-of-state students (25% stay in region)• Partner with industry on curriculum, research, internships

How KU grows the Kansas economyCreate startup companies• 43 active KU startup companies• Of those, 30 are headquartered in Kansas

Recruit companies to Kansas• Companies want access to KU faculty, labs, students• 29 companies relocated to region to work w/ KU since ’10• Examples include ADM, Garmin

Provide resources for startups, emerging companies • 52 companies in our incubator (326 jobs, $19M payroll)

How KU grows the Kansas economyCreate jobs• New startups and relocations bring new jobs• Research grants fund new staff = 4,192 jobs• Service work creates new jobs

• Ex: Achievement and Assessment Institute = 350 jobs• Partner w/ chambers on corporate recruitment, relocation

Bring research dollars to Kansas• $264M annually, including $185M federal• This is why good researchers have tremendous ROI

How KU grows the Kansas economyAttract donations from outside Kansas• 40% of donors live outside Kansas• In other words, initial SGF brings in additional support

Provide infrastructure to Kansas communities• KU Medical Center – telemedicine and JayDoc clinics• Kansas Law Enforcement Training Center• Kansas Fire & Rescue Training Institute• Kansas Geological Survey• School of Business – RedTire, KSBDC• School of Pharmacy – preceptorships, clinical rotations

Source: FY 2019 Revenues

Auxiliary enterprises (Housing, Parking, Rec

Services, Continuing Ed)16%

Tuition and fees,scholarship allowances

24%

(2008 amount: 22%)

Grants and contracts20%

State appropriations18%

(2008 amount: 27%)

Other7%

Capital grants and gifts5%

State funding• We appreciate 2019 Legislature adding funds• But 2019 increase didn’t even cover mandatory costs• State funding (18%) has fallen below tuition (24%)

$259M

How was the FY20 funding increase usedMandatory costs• Inflation, merit raises, employee healthcare

Kept tuition increase at 0%• First time in decades

How would a FY21 increase be used?Address mandatory costs• Inflation, merit raises, employee healthcare

Help us minimize tuition increases• This is urgent given our tuition is high compared to peers

Enhance areas that benefit Kansans• Rural health, cancer research, cybersecurity

Enhance areas that benefit students• Mental health services

Conclusion• KU is an economic engine and talent magnet for Kansas• KU has a tremendous ROI for taxpayers• This can’t continue without adequate state support

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