1.27.26 Appropriations: Higher Education
Video Transcript
Duration: 69 minutes
Speakers: 8
So it is a house committee meeting, but you're welcome to participate from wherever you want.
You love it right where you are.
Sometimes status quo is good.
Alright. We'll get started in just a moment.
Alright. Good afternoon.
Glad Glad to have everyone with us. I'm gonna call this meeting of the appropriation subcommittee on higher education
to order. We, appreciate the opportunity for us to look work at the, work on the amended,
f y twenty six budget. A lot of changes going on, a lot of,
potential new programs we wanna look at, and we're excited to have
several of our,
portions of our subcommittee here today to to talk. That'll be the University System of Georgia first, then the Technical College System of Georgia, and then Georgia Student Finance Commission, all
really good three three strong legs of a of a higher education stool that has
brought
many families,
probably a majority of Georgia families,
to to an amazing
result that we're seeing in Georgia's growth and economy. And,
and, frankly, even the opportune as much as the opportunities to lower income taxes and things that we're working on, some a lot of that is the result of a lot of hard work and a lot of seeds that have been planted by our
higher education
in Georgia. So we're excited to have the opportunity to hear from
several of those today. We're gonna start off with the
University System of Georgia,
with chancellor Sonny Perdue. If you can come on up and
join us wherever you'd most comfortable, sir.
Good afternoon, chairman Newton, members of the committee. Thank you all again for the opportunity to come and talk about our
amended budget for '26.
And,
I do wanna thank you for acknowledging really our higher education system in Georgia. I think we're really fortunate from a state perspective. I think,
I guess I first learned that from Zill. That is,
as the higher education goes, the state follows a generation or two. So I think,
Georgia's enjoying them. The beneficiary
of being of being being a beneficiary
of good,
higher education system in years past. So that's why it's important. I appreciate the opportunity,
and I appreciate again
the generosity
that you all have done. I showed you a slide in the joint committee the other day over the affordability issue, which is important.
But that's respond that's really directly responsible for your,
your appropriations allows to keep, keep these tuitions affordable
in that way.
So the governor's recommendation for the 26
amended budget includes,
a total of $430,000,000
in state funds
for the system and the b units there.
It also includes an additional 145,000,000
for cash funded capital projects that we'll talk about.
So the changes to our budget can be found on pages one through three of your tracking document. However,
I think we have provided you all a one page summary.
That way, that summarizes the recommendations
for the USG in that regard.
You'll note that the the first adjustment is really reflected in all programs, and I'll address it. AGS as a whole, that's the $2,000
one time pay supplement that the governor recommended. That's in '41 dot '1, '41 dot 02/00
in that way.
Increasing funds to provide a one time salary supplement of $2,000
to full time
regular state employees. That took up almost a $105,000,000
in that area.
It's gonna support again full time regular state employees.
I wanna thank the governor for recognizing rewarding
the hard work of state employees
as well in that one. Secondly, I know the one that we talked about last week and the one you've heard, I'm sure, a lot about that we're excited
about. We had begun working at USG,
really with our gala that announced this last year, last
summer over the dream scholarship. That's,
really is an acronym for
dedicating resources to educationally advanced more students.
It's not as cool as hope, but we hope to combine dreams and hope into better opportunities for those students that may not qualify for hope, but also have student needs out there. Along with going afford growing affordability,
trying to keep tuition fees down mean that we also
need to have a hand up, not a handout to help these undergraduate students. It's limited to to eight semesters,
and,
for students with demonstrated financial need by covering a portion of their college cost,
nothing ever more than their cost of attendance
based on
the other awards they may be getting.
So we are looking forward that they can have hope and dream for college because
dreams are gonna be the need based partner for the hopes merit based support. I think Georgia ought to be really proud over the years. We celebrated this year, the thirtieth year anniversary of the Georgia lottery
and the hope awards, and I know
my children and grandchildren have benefited from it. I hope yours have as well, but it's been a a distinguishing program for the university,
and I think it has
created some
political issues in the USG of selectivity with it and difficulty in admitting to University of Georgia, Georgia Tech
because of the demand. I think Georgia Tech had 67,000
applications for this these slots coming up this next year. University of Georgia had about 55,000.
So not only we're attracting
the best and brightest from our state, which is what we had hoped to do, we're also attracting those from out of state as well. And the scores that,
they showed me from University of Georgia were on the out of state applicants were absolutely stunning,
and they were all
extremely high, probably in the top,
5%
nationally on their scores, GPAs, and those kind of things. So it's been a huge success.
Unfortunately,
some of our students in Georgia that we want to provide social mobility for don't qualify for hope. This needs based scholarship will help them. We are developing parameters around that to be good stewards of this endowment,
that will, again,
our commitment to the governor and to OPD and to you all,
obviously, is to be partners and
adding to this.
I'm grateful for the governor's recommendation for the 325,000,000.
That's a historic investment, as you may know.
One of the things that when mentioned higher education in Georgia,
Georgia being only one of two states in the nation did not have a needs based scholarship.
So I think this again takes that off the table. And from an endowment perspective, while we are blessed with
a good reserve fund now, this is, this is the opportunity for us to go out and to raise other money.
I've been beating the bushes in our foundation for a couple years now, and I'll tell you honestly, the question I get is,
well,
we're happy to we believe in higher education, we're happy to contribute, but what is the state doing? And come back when the state,
you know, steps up. So I've got those people on a Rolodex right now, and we're gonna be calling them and, and,
showing them exactly what, hopefully, you all will do in this effort.
Obviously, it's an endowment, which,
we want to,
again raise enough money. My goal, my personal goal is to
do five x times of 300,000,000
and,
I have a billion and a half dollars there that can throw off the investment income,
to go forward and continue to provide needs based scholarship.
We did a needs based assessment statewide
USG, and it was significant,
honestly. And what what we also know is that
students who get stopped out of college by finances
are about 70%
less likely to graduate than those who don't. And so that's significant. Our goal is to get not only enrollment growth, but retention and graduation, because that's what really means
I mean, makes a difference in their,
in their efforts. So
the the bottom line is this state investment,
gives us the momentum to bring in private donors alongside the state's commitment
and open doors for more Georgians. That's not only here in Georgia, but also,
across the country.
So,
I'm committed to bringing in additional funding, and, we got our work cut out for us. So
I want to emphasize again, a hand up, not a handout. We've designed the parameters of this program where students would have to have,
contribution skin in the game regarding,
work service,
volunteer work,
intern, paid interns, those kind of things to make sure that it,
they're going to be expected to contribute
to their, to that effort in earning that. So the awards are going to range from currently about 300
to
potentially $3,000
in an academic year. As I said earlier, it'll be limited to those eight semesters. It's not an eternal college student fund in that way.
So we're we're also having
conversations with the office of the state treasurer to determine the best investment options.
Those funds are going to be invested within the state treasury to make sure they're safe and obviously,
throw off as much income as possible to provide for the students.
We're gonna partner with the Student Finance Commission
for the disbursement of the funds. They're in that business, obviously with HOPE and other awards that you all have provided,
to make sure they do. They'd be allocated at the campus level, but the the physical partner will be the student, Georgia Student Finance Commission,
already has that infrastructure in place. They're accustomed to working with our institutions
regarding the administration of scholarships that way. So, the the other thing I want you to know is that we're using a 100% of the money for scholarships. None of this is a commission or a skim off the top of administrative
in that. We're gonna cover all that cost in our foundations,
and
all the money that you all will appropriate will go directly to students
in that way. Always amazes me sometimes in five zero one three three
organizations, what kind of money takes to administer that. But,
this one I wanna that's that's an important thing to me is all this money that the state appropriates is going directly to students and nothing for administration
in that way.
So
I think, again,
you all are probably aware that,
thanks to chairman Martin again and the college completion grant. We're already seeing bridging financial gaps that way and utilization
that way. So,
we've seen the evidence that need based support can move the needle in that way and keep, keep students in school and help them to graduate.
I wanna move quickly to two other items in the operating budget.
You'll see a couple of,
on 41.1.2
and 41.3.one,
some reductions there. Those in the ag experiment station in the coop extension agent,
service. I just wanna mention that was due to the timing of the hiring there. Those positions were not filled at the front end of the year and OPB
caught that and,
recommended that we adjust that to the time of actual expenditure over the year in that way.
So those those funds were supporting six new positions
and specialists in citrus and blueberries,
turfgrass, and other areas. So they're recommending a reducing the funding based on the actual start dates in that regard.
I'll I'll now, mister chairman, if you permit to move on to capital items recommended for the USG reflected in the,
the budget, for GSFIC.
I want you all to
please express
accept my thanks you for the
MNR, MNR
money that helps us kind of go after some of the deferred maintenance that, you know, we're an old institution, old system. We've got a lot of older buildings out there. And the more it's,
you know the story about the leaky roof, what happens if you don't fix it. So that's we're trying to work down those,
repair situations, major repair and rehab situations as much as possible.
We use those funds to invest in the renewal and upkeep of existing facilities
and infrastructure. A lot of HVACs,
their end of life,
and,
many other roofs and those kind of things take up a lot of money. So
these additional funds will help us address the current backdrop,
backlog of capital maintenance, and update existing facilities to meet
current educational and safety demands.
So those funds are reflected in the budget of GSFIC,
and which also includes a 60 almost 66,000,000
in, ongoing
and R funds.
Hello.
The other thing that we're really proud of, we all all know what the aerospace industry means in Georgia from a manufacturing or an export perspective and for,
the the people that work in that industry. And,
while we've got a great aviation program at Middle Georgia,
this industry is, is needed. It depends on the research. Georgia Tech is one of the best aerospace,
schools in the in the country.
And the $88,200,000
toward the design and construction of the Georgia Tech new building for the Daniel Guggenheim School of Aerospace Engineering.
I think if you went over there, you'd recognize that the need for that that building there. So the good news is, again, from a partnership perspective, skin in the game, Georgia Tech through their philanthropic
efforts, as well as their own money
that they get through the strategic reserve,
it's they're supporting it to a $105,000,000.
So state funds at 88.2,
other funds
of a 105. That's part of what we are gonna be talking to you all about our strategic reserves, how these funds are collected over periods of indirect cost recovery, then utilized to to lessen the state burden over capital projects like this going forward.
Additionally, it's most of you know,
the Board of Regents had approved a a University of Georgia School of Nursing.
It's 5,600,000.0
toward the design of that school.
The estimated
cost would be about 74,900,000.0,
as we finish. And,
that will enable us to do about 500
BSN students, as well as,
both masters and PhD in advanced nursing programs that we all need for the state in that way. So
that funding schedule is FY
'27 for design,
'28 for construction, and '29 for the,
for the equipment. That's kind of a standard capital request and and cycle, as you all well know. And then the coming up, hopefully with
opening this coming December, which has been pretty fast,
$11,400,000
$4.04 $3,000,000
towards equipment for the University of Georgia School of Medicine. We're all excited about that. The state's excited, but about 4 and a half million of that would be the student instruction
simulation equipment doc. You know how important that is today. It's a lot different than when you went to school probably about all the simulation, but I like the fact that the simulation allows these people to do some more,
venipunctures before they start on me,
in that way. Three and a half million dollars for the Nikon Center of Excellence. That's research equipment there. And then 3.48
of library materials
for medical students that you know
how important that is with all the changing of new technology, new discoveries in the medicine.
So,
that's, we hope to have 60 students in the 2026
and
to the fiscal year 2627,
pending, obviously, our LCME
credit granting of the University School of Medicine
preliminary accreditation that seems to be going very well so far. They've been actively engaged in that. So, mister chairman, that's
our simple amended budget.
We're very grateful for the past, and we, are happy to ask any answer any questions that you may have regarding any of those.
Well, thank you, chancellor. I really appreciate that and appreciate the work your team has done on this. And they
really like on that capital campaign that that more than 50% matching is a is a strong
skin in the game, as you mentioned.
Appreciate that.
You did raise a couple of questions that I I guess we have,
I have a couple of questions about if you could help me out.
A couple of things just in background when you when we look all the way back to Hope, as you mentioned early, the thirtieth anniversary.
And,
over the years, that has had to be somewhat nimble during the o eight, o nine, as you know,
time period. Things were tight. It dropped down to less than a 100%.
Then we went back in the I think the legislature created the Zell Miller
upgrade for for exceptionally,
or exceptional
even more exceptional students, I should say.
And then, of course, we were able as our economy's gotten better and our growth in twelve years best for business and jobs
that, we've been able to
expand that back to a 100%. So the legislature has had to be
somewhat nimble. When
this endowment you did mention, which sounded interesting, that that partnering with the Georgia Student Finance, who's the third on our list today to talk,
is that gonna allow the legislature
to have input? You mentioned how it's an endowment. Who controls the proceeds of that endowment? Will it be Georgia Student Finance and, therefore,
the appropriators,
constitutionally,
the appropriators of state funds?
Will it be an independent board? Is that still up for discussion on different
pathways? Because what you mentioned about the
the the gap that that with the HOPE completion grant, which which created for at least for the last couple of semesters
seems to help a lot.
Trying to make that decision to go to college, I know we'll hear at some point about Georgia Match and the but there's there's a difference between being eligible to get into a college and able to go, and sometimes that is room and board
and not necessarily tuition. You may be a HOPE student.
For example,
is this gonna be primarily for
HOPE eligible who have additional needs,
potentially or and maybe a more important question is
who's gonna be involved in
both beginning the program and do it then also then doing the
adjustments that at least hope is an example. Obviously, it's funded completely different through the lottery as opposed to an endowment or direct it is direct appropriations,
but
through lottery funds.
How do you how do you foresee that? Would the the legislature have a role in the
you mentioned $3,000.
That might be the number now. If you get if you're successful with this $1200000000.0.05
x,
on top of it,
all of that might change. Is there an opportunity for the for the appropriators to be involved in that?
Yes, sir. Obviously, always your influence helps and your feedback helps about how we can have better programs.
The plans as far for both systems, TCSG and USG,
to then do a student aid index over the neediness of the student, obviously,
and then allocate to the pro rata share of each institution
that way then to appropriate the scholarships
by by virtue of their normal provision.
Georgia student finance would be the fiscal agent that disperses those funds to the schools that way, but,
there's there would not be a a planned,
legislative
administrative
appropriation
per per school that way. Obviously, based on how much money we're able to raise, how much money we're able to throw off through investment,
it would change each year, hopefully, continue to grow in that regard. And then we would pro rata share that out to the schools
based
on the the level of need there. Obviously, you can imagine,
our larger,
flagships and,
r ones have more endowment already from scholarships that way.
While some of our,
colleges and state universities
across the state have higher needs in, in that regard. So it would be it would be determined really through the,
the foundation effort of,
of student needs there
on per allocation
either per student on over
a student need index that the institutions would report up to the system level.
Okay. Well, thank you. I know I know as you mentioned,
the dream that the ability to,
to close that gap that someone may have.
Maybe early may like you mentioned, each semester's work. Can I a little separate question? You made a good point too that I I failed to mention. Obviously,
many students
don't know if they can afford to go to college. So if this on the front end, if this is available to them, that may answer the question there. With this help,
I had a gap. With this help, my my parents or I can only contribute this much through my working or or what that is. But with this help,
we can make it. So that that's important as well. Sorry.
It's almost a little separate, if you don't mind. We're gonna got a couple of committee questions. The, I'm just curious about something I was wondering if you could speak to for me on,
the the the the role of our state institutions,
of these 25 university systems.
We have an obligation to citizens of the state.
And wearing my one of my other hats, we deal a lot with graduate medical education, and it does blur the line in a lot of our because it is higher education, but it's also health care and medical. So it it blurs the line sometime in which section of the appropriation.
But we talk a lot about how
GME and where somebody does their final residency
can be key
in where they decide to stay. A lot of times inertia works real well if we've delivered a great quality of life in Georgia
under residency,
you know, practicing physicians. How do you look at that as a university system to balance your role of
of an obligation to current Georgia citizens, but also the opportunity that if we attract some high performing
students,
number one, they'll pay more tuition, maybe even the full cost of the of the education as opposed to the subsidized cost that that in state tuition is. How do you balance,
trying to attract some of the best and brightest? We don't mind getting them from some other states as well, I'm assuming. Is that something that is a is a challenge or a struggle, or or is it pretty much
Well, it depends on where you come from. Most of you and your colleagues would prefer that our Georgia students be educated first, obviously. That's understandable.
But I think where we can really make an impact, you know the importance of residency and GME slots,
and we're severely under resourced in that area. So we're strong advocates for GME slots,
Obviously clinical slots. That's a very complex.
Compared to Florida and many of our neighbors as well. Right? That's right. Yes. In fact, Florida, North Carolina have outdone us in that regard. So while the governor has some recommendations this year,
we can always use more in that regard.
And, when we work with our clinical partners and we're becoming much more and and as you probably know from your own education,
we're coming much more integrated type of thing using clinical experiences earlier in the process
of the medical degree in that regard, even in the even in the second, third, and fourth years that way, and then moving on into residencies. But,
it's it's just a stated fact that those
physicians who complete their residency in one state are more likely to stay there. So that, that's obviously a goal of the university system,
obviously, our Department of Community Health, and the state as a whole because we're under resourced on physicians. And most of you know, in some counties, we don't even have physicians.
Few questions from the committee members, sir. Representative Stinson.
Thank you, mister chairman, and thank you, chancellor Purdue,
for your presentation this afternoon.
Quick question regarding
housing.
Is there any plans
for universities like Foy Valley whose enrollment
increased quite a bit this past fall, but there was a housing crisis.
So is there any plans for,
more housing maybe? And then lastly,
just wanna give a big shout out to the public library system. This summer, I had a chance to visit several libraries across the state, and they all were wonderful. So I'm just wanna give them a big shout out, and thanks for what they do serving all of Georgia. We're proud of our library system, and, we've got a retirement coming up, and we're interviewing
leaders for that system right now, but you're exactly right on the housing.
It's the it's a good problem to have. Our enrollments are growing, a record enrollment this last year, fall of 382,000.
It's not
uniform, unfortunately, in that regard. We've got some housing underneath, but we got some housing that's over a 100% occupancy
in that way. Fort Valley, as you well know, in your area being one of those,
fortunately, we were just able to,
close out
a relationship with a vendor that we have with Corvius
and,
that freed us up. We were under a
last refusal
from them in order anymore. This liberates us to do that and we are beginning
right now for every institution
to do the deep data dive over what is the waiting list and those kind of things. Most parents, most mothers
expect their student to have a place in a dorm if they want to come to as a freshman that way. So
we will have a strategic
plan for you this probably late summer in order what we do every institution about that, but we'll have there's some needs out there. They're not totally uniform across,
but most of our most of our students,
most of our institutions really have high occupancy
and it's and some of them have severe waiting lists there that we're not able to accommodate and that that's concerning. I think
I think campus housing
is a bona fide,
good college experience.
Yes. Most of our students for retention,
frankly, do better if they're in dorms on that first year or so. Right. And so our goal is to house as many of them as we can. That's where that they learn how to get along with people that are not like themselves and, and benefit from the camaraderie of a college experience.
Okay. Well, thank you.
Chairman
Jasper.
Chairman Jasper. Thank you,
representative Stinson. I was just thinking, I was a RA in Russell Hall in 1976
and the chancellor I got I learned a lot about life and people
in that dorm that year.
Well, I was in Payne Hall ten years earlier.
Yes, sir. It looked the
the same. Hey. I got a couple comments. So, one, I just wanna thank you for tuition.
Yeah. For the Georgians that may not qualify for HOPE and all that, you know, the the tuition
stabilization has really been a great asset to all of us. And you're looking at, needs by scholarships. I just go or needs by help, I guess, just say,
Georgia State,
back when I was chairman of higher ed, was really the leader in this. I wanna give them a shout out because
they really did with their own money within their own foundation,
did a great job. But I have a just a couple of questions for you on the bereaved scholarship.
So it is the foundation paying out scholarship money now. Are are y'all doing
so what are I guess,
mine is I'd like to see the parameters. I think
the people I've talked to, we've all kinda scrambled around
since the governor's announcement learning about this. And what
y'all are saying is a
are the parameters for getting a scholarship now? I think I'd like to see that. We will provide that, and, honestly, we would welcome feedback.
This is something you struggle about. How why do you make the gap? You know, that way, how do you define the gap? So we would welcome any kind of feedback, but we are we have parameters that we have suggested right now. Obviously,
we had been raising money. That's what our gala in the summer had been about, and we were very had the most successful gala this last summer that we've ever had. Again, trying to beat the bushes out here for that. We got a $2,000,000
contribution this summer from one institution, Truist Bank,
and,
this but as I went to national foundations
higher education philanthropic foundations,
it was always the question, what is the state doing in that way? This will now free me up and go say, look. We put a stake in the ground. This is what we're doing. We're committed to,
to match that. My personal goal is a five x match on that in order to throw off that endowment going forward. So you won't have to depend on revenue from the lottery or other things, just investment as we go forward. So but we would we'll get you the list of current parameters.
We've worked on it very diligently. Okay. And I think I would welcome any feedback that you have as far as fine tuning or suggesting any additions. Well, thank you. Because I think it I'd also like to see,
you know, you talked about doing a needs based assessment by the Board of Regents. I'd like to see that. Yeah. That's a that's a something that is done automatically now with the FAFSA,
and that's that will be the,
we have a FAFSA required, but there's a student aid index that's that's
that's that's
computed after that by the ability of the family to pay. It's called, you know, whatever the family is able to contribute that way,
in that, and so that's that's one of the metrics that we will have. That that starts with a FAFSA.
And so that
translates into the student aid index is what Yeah. That's right. Okay. Because I was just curious. I haven't seen those. I'd just be curious to learn a little bit about them. Mhmm. So I guess I assumed that this will only be, applicable to
USG and not our private institutions across the state. Public just pub our two public irons,
institutions. Just two USG. Okay.
TCSG.
USG. And TCSG.
Okay.
That's mine.
I gave you some things to work on, mister chairman. Appreciate it. Yeah.
Sounds like you have some information coming, and that will be helpful to all of us. Representative
Barrett?
Chancellor,
just,
there's
obviously something really special going on in Georgia in higher education, and it's palpable.
And I I have to share a story. Last night, I was having a pizza in the server at the pizza restaurant as a Georgia Tech student,
but she didn't start at Georgia Tech. She transferred in. And you talk about the difficulty of people getting admitted because the standards are so high now, but there are so many different ways
to to,
accomplish that goal. Ultimately, in Georgia, it's just astounding.
It feels like most everybody in Georgia who wants a a great education can get one. I've I'd I would put us against anyone in the country right now. It seems like everything, like a symphony, is working well. We've got with what you're doing with USG and what TCSG and articulation agreements and and Georgia Student Finance Corporation. And then and the governor, top state for talent, house bill one ninety two last year and and the the career portals this year. It's like it's astounding from this perspective
of what's out there and what's available. Thank you for making my degree from University of Georgia more valuable, by the way. Basic
math,
billion five. First of all, has anyone ever no one does anyone ever tell you no when you go out raising money? I doubt it. But but They have and that's why I'm so excited about this because they told me on multiple occasions,
we're there when the state's there. So I'm I just said they're on my Rolodex.
Basic math, a billion five, I use in a 4%
rate. It's 60,000,000 a year.
At the maximum, 3,000 per year. That's about 20,000 students if I'm doing the math right. Is that That's right. I went to Georgia, and I turned to Texas.
Most of the the $3,000
award would probably be limited. You know, we went from 300 to 3,000.
So anywhere in between, you mentioned Georgia State, which was a,
a great success story with their Panther grants. I think the average may have been like $900
on those to keep students from stopping out. So I think the three would be the top end. And then, you know, you mentioned being nimble. We're going to be nimble with this program as well. We'll be fine tuning it as we go,
in that regard to make sure that the biscuit and the syrup match up.
Thank
you. Thank you.
Quick question on a little policy thing that's come up as we strive to
both reward and also maybe expect more of our state employees,
with with I know we've had, you know, k through 12 education
improvements that we've made, some strong ones over the years. We've also
tried to reward many of the highly valued state employees at various levels, including at USG. And you mentioned in this budget,
even another $2,000,
you know, is a one another one time
bonus, I suppose,
along that that way.
Somewhere in there also, we did have an expectation that people actually be
at the workplace
delivering the service to our students, to our students' parents, as you mentioned, the moms that are taking a tour of the campus, whatever it might be, the professors
that are available,
all these these ones that we are given. Have you seen
any kind of an impact from the
return to work mandate, the on-site mandate? I know there's been some news articles about it, maybe condemning it or at least getting quotes from people who don't like it. But have you been able to see that are we able either to get by with some of the people who've who who were remote and now are not decided not to come back or to go work somewhere else or the ones who were eligible for retirement and now are under
TRS or whatever,
have you seen a an impact either on the budget or on the,
the manpower? Or are you not able to get the services to the students that you need because
I think we've seen an impact. I think, again,
higher education, while it's
a great
moral, ethical improvement, it is also a business.
And if you're there on a campus and as a father, you've got one Friday afternoon off with your daughter or son to go to a campus
and you arrive and nobody's there, that's not a good impression. So,
while we had a lot of objections,
frankly, from the return to work,
It's, we're solid on that. We had some protesters at our last Board of Regents meeting still about that. I'm guessing most people did return to work, and now they're
sitting alongside their colleagues delivering the service that you expect. Yeah. I think we had
at least two or three people protesting in our last board meeting. The rest of them were doing it remotely.
Is that is that when you talk to the television?
But
I got a cute card this week in the mail when I got back,
to work. It had a picture of Bigfoot on the,
on the,
outside of it and had the great gatherer or something like that on the back. It said, thank you, chancellor, for
the worst flu season in there. Thank you for coming back to work so we can all share.
You know, so it's we get some of those kind of things, but I think it's the right thing to do.
And,
we, we actually did it at USDA
against some concerns, but, I mean, COVID is over,
and frankly, while we've learned how to learn remotely and we're utilizing that,
I think the most productive environment that we can have, particularly for serving our public
and answering those questions is to be,
on-site,
on work, and, on time, and and those are our expectations.
We don't apologize for it. Well, it does take a team to deliver that, as you say, and a lot of times that means we gotta we gotta show up. Chairman Jaspers, you have another question. Thank you, mister chairman. Following up on a question you asked earlier,
chancellor,
is there a
reason
that we're not taking this 300,000,000
and putting it in student finance
where, I guess, there's some control over the legislature or thought maybe there's yes or isn't,
But
then then into the foundation,
is there a reason for that? I mean Well, it is pride. I mean, I all that stuff. But No. It is an endowment that we're adding to and contributing
to that as well. So
that, that was a decision, I guess, maybe above my pay grade,
but, we had begun that already
raising money,
you know, for that in that regard. But,
we will,
I don't know who I can ask the test technical questions other than is an endowment that we're gonna add to. Yeah. I guess I'm thinking that if it's under Georgia student finance,
our private schools that are just a great part of our education system with Georgia would have access to it too if they, you know, jump in and contribute, you know, be a part of it. Yeah. But most of your private schools also have strong foundations and endowments as well
in that regard. So
I hear you, but I'm not sure that'd be could be your decision. But,
obviously, this was conceived as a,
a dreams program for,
for our students here in the public environment. Okay. Thank you. Thanks, chairman.
I don't know about pay grade, but when it comes to service grade, governor, secretary, chancellor, we appreciate your work. We appreciate your,
your impact here on Georgia, your willingness to,
to invest yourself in in leading this.
And I appreciate your testimony here today and look forward to working together and coming up with f y 27 before long. Well, as I told you before, I appreciate that, and thank you. It is one of the more impactful things I've ever done. Thank you. Thank you, sir.
Alright.
And thank you to USG and all those that are here. We do go we're going along to another important part of our higher education
role.
Commissioner Dozier. Greg Dozier, if you can come on up with your team or whoever you need with the Technical College System of Georgia,
We look
forward to hearing from you and your team.
We're pulling up your track sheet, I believe, that
alright.
Go right ahead. Welcome. Thank you for being here. Alright. Mister chairman and committee, thank you so much for the opportunity. And
I won't go through everything I, presented in the, joint appropriations, but I did wanna kinda start with a few things just because I'm so proud of the organization.
Just a reminder, we have five pillars. Those five pillars include
adult education, technical education,
our quick start program,
our work source, which are the one stop shops, as well as our WIOA programs,
and economic development, which is our customized recruitment and customized training.
With that, we serviced just under 600,000
individuals last year.
So when you look at the breadth and vast, touch points of TCSG,
I couldn't be more proud that we're hitting workforce every day from so many angles.
And it's very clear in our mission that that's what our purpose is.
When you look at our technical ed side,
I just couldn't be more proud. Our colleges have stood up, our 22 colleges, our presidents and their faculty,
and we continue to have first. And just a reminder,
last year or this current semester, past semester fall,
we set a record high. First time TCSG has hit over a million credit hours in one semester.
Last year,
we had a record high 47,400
graduates
a record high 81,400
credentials
in a record high 92%
in field placement rate.
When you look at that
it's very clear that the folks working in your technical colleges
are focused on making sure we have the folks working in the future that were competitive
that we continue to bring jobs in.
That success is not something we stand by ourselves-
miss chairman you mentioned the-
articulation
one of the things I do want to say that I'm extremely proud and-
we have had great success across our independent colleges
In our state partners at the university system in the chancellor and his team. Continues to support that to make sure pathways are open and accessible for the students of the future and so for a number years we had twenty eight eight courses
that was set years ago and had not changed that articulated between systems.
Under his leadership and his team support-
we're up to 35 and will be 36 or 37
classes across
our systems as a whole.
In addition to that we have signed the first of a kind across systems.
We have a two plus two which means if someone comes into the technical college
yes the first two years of nursing.
They can transfer right into the university system pick up where they left off and finish their last two years toward a bachelor of science in nursing.
We have three more of those agreements that are coming
along with the 900 plus agreements that are across our system so. Your to- systems as well as our independent colleges but your two state systems are really working together more than ever before
very very thankful for that.
When you look in our tracking sheet Mr chairman we're on page
eight of nine.
There is simply two items on that tracking sheet
that the tracking sheet- has an item under each
division and that's at $2,000
pay raise if you add up.
Each of the sections on the $2,000
pay raise
it equates to-
goodness I'm on the wrong page.
It equates to thirteen million
nine hundred ninety eight thousand eight zero six
and so that first item is basically roughly over 6,500
employees getting a 2,000 dollar-
not pay raise but bonus
supplemental pay.
The only other item that you see on there is under section forty six point seven point two. That's the very last item at the bottom of the first page, page eight.
And it says to eliminate funds for one unfilled workforce development
development position.
This was a position that was put in the budget to partner with the department of economic development.
We have a memorandum of agreement with them for them to fill that position and work that South Georgia area in their- in their capacity.
They no longer planning to fill that so O. P. B. Has removed that funding and you'll see that in this budget as well as the big budget.
We do have just as a chancellor not in your package.
Under, Georgia,
State Financing and Investment Commission. We have one item,
and it is fifty point one point five.
That item is 48,000,000
to provide additional,
major
rehabilitation
and renovation projects statewide.
That 48,000,000
will cover 77
individual projects across all 22 colleges.
That comes from our senior report. That's our critical infrastructure
needs assessment.
All of those items are end of life
and primarily focuses on HVAC. About 48%
of those projects are HVAC, 25%
roofing, the rest are fire suppression,
parking lots, and several other things.
Mister chairman, those are the items that are in the amended budget and obviously I'd be happy to answer any questions you or the committee may have.
Well, I thank you for your work on this and, and certainly we appreciate all those employ 6,500
employees
delivering that, you did mention a 47,000
degrees or or
Yes, sir. 47,000
graduates and 81,000
credentials. Did the 81,000 include the 47 or is that a 120 something? It could be. It would be some of the same people, but it would be individual credentials
that somebody could get one of or get multiple working up to that degree.
Gotcha. Thank you very much. And that
rehab and renovation projects, those you've already have your list and and they've probably been needed for years. Is that correct? They're end of life projects and things that are very much needed just to keep the buildings up and running. You did mention
working together. And I know we just heard a little bit from USG, one of their large capital projects is at the engineering school level
of aerospace,
and new
new capacity to to teach in that area. But then I think you've also mentioned that's one of your is it your high demand career fields?
How does the articulation
work?
Because you've got everything from those who design the satellite
to or or the plane engine or some other small part, and then you've got people who are learning to work in that, you know, to weld a fuselage or to make something up.
How do you work together on some of that, especially you mentioned your economic development,
customized service.
Yeah. Yeah.
It's interesting to reach out together with
everything almost from soup to nuts that an aerospace company would need.
Yeah we're we're very proud of our aviation programs
as you know we just opened up our largest one in Paulding County-
that is a true-
that. It's a true story across the state when you look at it- as far as how we partner every program we have can navigate to a two year associate degree.
That two year associate degree depending on transferability
will depend on the math and English that you take. But the courses do articulate across systems so someone comes to us and wants to do something in aviation and actually go into some type of-
engineering
there's a pathway for and it's really neat to see that the concept of always learning and building on your framework.
Credentials that actually build
We start from the lowest credential all the way to the degree
and it transfers over to USG.
In our independence.
A little separate on that what- which
exactly where
does Georgia Match fit under more TCSG or is that under
So it it hits all of our systems.
Very, very proud though of the impact on Georgia Match.
So basically all graduating
high school students,
get a list that says you are in one of these colleges and it'll have all 22 of our colleges on there as well as depending on their GPA
the corresponding USG college that they qualify for. They then can say I want to hold a spot and they can say I want to go and they can hold up to three colleges.
When you look at the impact on our system-
we have really trailed behind our counterparts across the state-
folks graduating high school coming to two year colleges is typically around twelve to fifteen percent of those graduating
nationally nationally
in Georgia we've hovered around seven percent for decades.
Since Georgia match has gone into effect, we're up to ten percent and that continues to climb.
So Georgia match is making a big difference on making sure folks are graduating high school,
Understand they have options
and they also takes away the stress and alleviates the anxiety
can I get in because Georgia match doesn't say you can apply?
It says you're in these colleges
So it's pretty amazing. Do they get a QR code or something on that? Or They do. And would it would it give them any information about,
you know, at least some rough estimates of what they might be eligible for, whether a HOPE grant or a a So so obviously, they Depending on Georgia Match is actually partnered with my friend Chris Green over here. We'll hear from you. And obviously, they, they provide all of that for them as well. Yes, sir. Thank you. Okay.
Representative
Franklin. Thank thank you. Appreciate commissioner Dozier. Appreciate all your service and your work you're doing for our state. And, you know, I know we have we gotta get you tech down to my stomping grounds. This has been a significant contribution, so I'm fortunate to have it.
I understand that there's a, potentially a a pilot program,
that's available for nine of your,
technical schools that allows for,
enhancement of their, safety protections on the campus.
Can you do you know anything about that or have you can you tell us a little bit about that and
would you welcome it?
So so tell me one more oh, I got you. I know. I'm sorry. I was connecting the dots.
Yeah. I mean, as as you look across our campuses, obviously, public safety is critical. You guys helped us a couple of years ago
providing funding for two officers per per campus I mean, per college
so that we can increase our campus safety
across our colleges. We're also trying to get a notification system installed.
We have a notification system on many of my colleges. I don't have that number here, but as you've heard, there's nine additional colleges that would like funding to actually implement that system.
That system is a great notification. So basically the card keys in many cases have a locator so you know where your staff are. It has a panic indicator on it as well as it has a first responder alert on it. So as far as when something were to happen on that campus it gives us an accounting of where our staff is. It also gives us an account of where the incident took place
and allows our first responders whether it's our campus police or our partners are in the community to know where to go.
So as we move forward with continuing to enhance
campus safety, that would be a great,
great additive to us.
So would would I think it's 800,000, right, for all none. Would would that be just for the,
the programming of it or did also for officers to be there as well? No. No. It just be that card system as well as notification.
So it gives out notification to staff, students, as well as first responders. And that's put you back in on, high school programs that are already in effect. That's exactly right. Alright. Yes, sir. Thank you, sir. Well, you bring up vice chair, you bring up a good point, that,
when we talk about k through 12 and security there Mhmm.
Believe TCSG may be a leader in dual dual enrollment Yes, sir. Which is a lot of our high school seniors are on your campus. And when it comes to if we're gonna protect them, I guess this pilot program could be helpful to find a way we can do it. I know you've got from group sitting in a classroom to people individually welding and and That's right. Construction and whatever,
detailed skills there might be. So it is a more diverse campus than just
a a number of classrooms.
Yes, sir. We serve over 40,000
dual enrollment students across our system as well as just a reminder, we have five pilot high schools in our system.
So those that are looking to not are looking to drop out, we don't want them to in In those five pilot high school areas,
they can actually transfer from their local high school into our technical college
and finish their high school program.
Representative Stinson.
Thank you, mister chairman. Commissioner, thank you for your presentation.
Same question to you as I asked the chancellor Purdue.
This fall, I had a chance to visit
South Georgia Technical College campus
as well as Central Georgia Technical College. Beautiful campuses.
Housing,
is there any discussion for
about more housing
at South Georgia and maybe housing at Central Georgia Technical College? Yeah. And and thank you for the question. And just, for the committee's
sake, if you don't know,
we've had two of our 22 colleges that had housing since it began, the inception, that is South Georgia
Tech as well as North Georgia Tech. It's the old
dorm style classrooms.
Those colleges actually,
keep those full and we actually,
they are getting old and outdated. We've redone the one in South Georgia, as you know, and put some,
joined restrooms in between those those those dorms. But we need some additional housing in that area. We continue to look at private public partnerships. It's a little hard down in South Georgia just based on demand and opportunity.
For Central, we actually do have some recent housing at Central.
And so when you look on the Houston County,
campus,
there is a private public partnership right there in Houston County.
That's the only location though for Central Georgia Tech that has it. But it is state of the art apartment complex that's partnered both with the hospital
as well as a private entity that built the dorms and our students that are staying in it is primarily designed,
it houses others, but it's primarily designed for those future nurses that are working in what was Houston Medical and now is Emory.
And so it's a great partnership there to where our students have somewhere to live. They have they can walk across and get their learning, but they also are right by the hospital and can actually partner there.
When you look at it, that's a model that we've seen,
starting to come across the state. We have a similar partnership that's gotten a lot of attention down in Albany with Phoebe Putney.
Phoebe Putney took an old high school across from Phoebe Putney Hospital,
turned it into a living learning center. They provided us additional training space in that facility. We went from
around 50 nurses up to over 200 nurses that were able to train and above that they created housing
for those nurses
that are going through the program
And they can actually stay there when they get out as a workforce housing thing that solves. So we're continuing to look at partnerships that make sense across the systems.
But we don't have much in T. C. S. G. And I think as we continue to grow and as we continue to look at workforce housing, that's something we've got to balance in the right areas.
Okay. Follow-up question, mister Chambers? Sure. Certainly. Thank you for that information.
And I look forward to hear more about that that that partnership. But, you know, I gotta ask the question.
How well is the Mortuary of Science program doing
at Columbus Tech? And is there an opportunity to extend that program in other parts of the state? Yeah. Yeah. Well, yeah. We need some more funeral directors. Well, Well, I gotta look up here at my friend in, in Statesboro because he had the first one, and then the second one was opened up in Columbus.
But they are, they are doing well, and we are looking to see if there's another area we're considering. And I think we're almost if we haven't opened it, it's gonna be at West Georgia Tech.
And so we continue to expand that program and make sure we have,
have those that we need in that industry. Well, I have an available building in Taylor County.
Yes, ma'am. Yes,
ma'am. In case you had hadn't heard, I have looked at building in Taylor County. Thank you.
Representative
Barrett.
Thank you, mister chairman.
Commissioner, thank you as always.
I think in in Clarksville opening one in January?
Yes. Yes. Yeah. That's the West Georgia one.
Oh, that's okay. Yep. Okay.
Gotcha.
So I'm beginning to start sounding like a bit of a broken record.
There's so many exciting things going on.
Georgia Match,
career portals,
top state for talent.
A a a constant refrain with me is is
inflation is roiling families everywhere.
People are living routinely to be 95 and 100 years old now.
And I'm concerned about not just our kids, but our our
empty nesters
needing to plug back into the economy. And maybe after being a little bit rusty,
needing to find a way to plug back in,
what are we gonna be doing to help make sure that those folks
can can find you know, the CEO of Anthropic said recently 50% of white collar jobs will be wiped out due to AI. I don't know if that's accurate or not, but it'll probably happen pretty quickly as I rode around in a way mode the other night and was astounded by that.
That is my constant concern is how do we help our empty nesters in our in our adults,
even people my age, which are advanced. I'd like to think I'm an empty I'm beyond empty nester plus plus.
How do we help those folks find a way to plug back into the economy? Y'all are so successful and your placement rates are so good. Are we doing all we can to make sure that we're not the best kept secret Right.
For those folks?
Mister chairman, I always believe you can do better. So don't mishear me saying that we're doing all we can do. We can always do more.
We do have free education, but I think what's neat about your technical college is,
we're nimble
and we're in the business of rescaling and retraining.
We've just got to get folks to come back and want to be part of that economy.
When you look at it,
Chris Clark said the other day, and it was just a good stat to remember,
We have more people employed today
in Georgia than we had before the pandemic so that's important to hear we have more workers working today than we did before the pandemic.
But when you look at those that could be working
there's fewer percent so you look in and we have more people in the state of Georgia before the pandemic it was over 70 something percent. That was in the labor participation.
We're now right at 6062%
somewhere in that range.
And so it really just validates your question.
What are we doing to make sure those that are not in the labor force that should be in the labor force or want to be in labor force. Understand their opportunities.
We're working each and every day to try to make sure they hear the message.
We can do more, but we're we're doing what we can to see it. And I think we're seeing it. It's just not at as fast a pace as we want.
Yeah.
I thank the committee for your their questions, their interest. I thank you for your, information you've brought to us about a a vital part of,
of preparing Georgia for tomorrow, preparing our future Georgia families for a for a a different life than before they were involved in the technical college system. Thank you for their, you and your team's work, and we appreciate it. We'll get we'll hear back from you when we start talking about f y twenty seven, but some very,
ambitious
goals right here now. Thank you, mister chairman. Thank you, committee.
Alright.
And someone, I believe, mentioned Chris Green, president of George Student Finance. If you can, come join us. And,
we we look forward to hearing. We've we've we've referenced the good work that's done and
the teamwork with the legislature
and the appropriators
as, chairman Jasper's mentioned.
We look forward to finding ways to do that, but give us
your report on, or tracking sheet or whatever you need us to see. I guess you did give us a handout, didn't you?
Well, good afternoon, chairman, members of the committee.
Thank you for the opportunity to present the governor's
recommended amend amended fiscal year '26,
budget for the Georgia Student Finance Commission.
Mister chairman, I was gonna present from your track sheet. This is page five, and we are in section 44.
Oh, that's okay. Thank you. Perfect.
Committee members, item forty four point two point one. This is a recommendation from the governor, an increase of 245,000
to provide funds for the one time salary supplement.
You know, we only have a 124
employees, but administering over a billion dollars that you entrust to us. So I hope we demonstrate
a terrific, ROI on your investment and appreciate your consideration,
of this, one time enhancement for our employees.
Forty four point three point one,
a recommended increase of 18,000,000
for the dual enrollment program. This is to meet the projected need.
Forty four point four point one,
recommended decrease of a 160,000
for the engineering scholarship.
This is a one time true up request
from Mercer University.
Item forty four point five point one,
this is
a recommendation to increase by 439,000,
to meet the projected need for the Georgia Military College scholarship.
Down at forty four point nine point one,
a recommended increase of 927,000
for Hope Scholarships private.
Again, this is to meet the projected need and what we, expect in student awards.
Item forty four point ten point one, a recommended increase of 11,200,000.
This is for Hope Scholarship public, again, just to meet our projected need in the amended year.
Item forty four point twelve point one,
an increase of 554,000
for the University of North Georgia military scholarships.
Item forty four point fourteen point one,
this is a recommended decrease of 85,000,000
to meet the projected need based on the first year of applications for the Promise scholarship.
Item forty four point eighteen point one,
although no state dollars here, I just want to call your attention to a caption,
instructing us to use 1,800,000.0
of program reserves to meet the projected
non public post secondary education commission is attached
to GSFC
and so you'll see there's a recommended increase of 19,000
there for NPEC and their executive director, doctor Kirk Shook, is here should you have any questions about their, recommendation as well.
Mister chairman, that concludes our recommended changes in the amended budget and be more than happy to speak to any of these for the committee.
Representative Stinson. Yes, sir. Yes, sir. Thank you.
Thank you,
president Greene, for your presentation.
On,
page six of nine forty four point twelve,
North Georgia military scholarship grants.
Is can you elaborate a little bit more about those scholarship grants? Because I just see here it provides three scholars per congressional district.
So Yes, ma'am. Thank you for the question.
The University of North Georgia service scholarship is one of our older programs, has been in code since the seventies.
This is a essentially a full ride scholarship to the University of North Georgia to serve in the cadet program
and so in exchange for,
do a service commitment after graduation
we pay everything for those students tuition fees books room and board
even their cadet uniforms so really a tremendous opportunity
extremely important to our military and that institution.
The
slots per
congressional district,
just like a West Point scholarship, students have to get letters of recommendation. There's
a
evaluation process for the students to be selected.
So really just a terrific partnership with University of North Georgia and, we do
understandably over over the last several years, they have experienced cost increases,
thinking about even the cost of the uniforms, the books. And so in prior years, we've been glad to cover that out of program reserves. But last year, we did
exhaust, that. And so that leads to this request for new dollars to make sure that we can fully meet the the demand.
Thank you. I'm just thinking of how
students in rural
Georgia,
particularly in my district, will
how they can benefit from this program?
I know the University of North Georgia would love to recruit them, so I'll be sure to connect you. Thank you. Yes, ma'am. Thank you.
Quick question I have, if you don't mind. I I know I know you all oversee the Hope scholarship. And, and now those
guidelines for how that money is distributed are written by the legislature. Yes, sir. Statutory.
Statutory. So that's where you get your marching orders is is and when to change it. And you've got Hope public and Hope private. Yes, sir. And, frankly, now you also have the Promise scholarship, which is really covering some opportunities for families who the current system isn't meeting in the k through 12 arena that and I guess so you get your
your direction from the
from the legislature
and
and statute. Okay. So then
and then the funding is is has to follow.
Is that right? I appreciate that. Okay. Let me see. Chairman Jasper, should go ahead.
Thank you,
mister chairman. You are thinking the like, I believe, tonight.
You know,
pres are you president or chairman? Yes, sir. President Chris. Just fine. I love that. Go to president Green. You know? You know? Sure appreciate the job you're doing. I do want just before I get my through my question, that on 4419
In Peck Yes, sir.
You said he's here. If that would get offline, I wanna know what that is. K. I mean, I you know, I just would my curiosity, you curiosity, you know. But I guess my question is, you know, I heard you heard me ask,
the five chancellor about this endowment.
And if following what
our good chairman is asking too,
If we ask, could,
Georgia student finance oversee an endowment to,
you know,
to do this? That may be a political question. Just say, I'd rather not answer if you don't want to, but and I'd understand. But, you know, I guess, our we're looking at it as something that maybe we have a little bit more control over since we're the funders of it, and it would be available to both public and private. And so could you oversee the endowment?
Chairman Jaspers, let me start by saying we fully support the
historic investment. That's how you got to be president.
If
if I could add, the the chancellor described us as a a fiscal agent, and we are certainly happy to follow your lead, follow the governor's lead, the chancellor's lead. You know, for sixty years we have been,
moving money successfully flawlessly from the treasury to student accounts. And so if the vision is that, the USG Foundation continues to to raise the private dollars and there's a mechanism to get us the funds,
we're glad to be your partner to make sure they get securely to student accounts. But,
fundraising is not,
that would be something might have some concerns about. Sure. Well, thank you. Thank you, mister chairman. Yes, sir. Thank you, chairman.
Alright. Well, thank you very much. I think we, we,
have gotten our information about, the amended budget for f y twenty six. Thank you for your participation in it and your
over sixty years, which is this is way before the lottery. Right? Yes, sir. Thank you for over sixty years and for taking that over. And I think on unless the committee has any other discussion or finances, I believe this, will end our hearing today. I wanna thank our senate members for coming and sticking with us, and thank you this for the team effort that we'll put into this.
But thank you very much. We are adjourned.