Hank Gilbert Unveils Plan Creating 7 Tier-1 Universities In 10 Years

“University Excellence Fund” Will Provide Universities Much Needed Research Funds

Hank Gilbert unveils plan for 7 Tier 1 Universities

LUBBOCK—Hank Gilbert today unveiled a plan to create seven Tier One universities in Texas in the next decade that does not require matching funds from the schools and stops research funding from being at the mercy of legislative politics or appropriations battles. Gilbert, a Whitehouse rancher seeking Texas Democrats’ nomination for governor in the 2010 primary, made the major policy announcement during a meet and greet event with supporters in Lubbock.

“The Legislature has spent part of the last two decades trying to close the research gap between Texas A&M and the University of Texas and schools like Texas Tech and the University of Texas at Dallas. What we’ve lacked is a governor who demonstrated any meaningful leadership willing to roll up his sleeves and fix the problem,” Gilbert said.

Although Gilbert noted that the Texas Legislature made great strides toward sustaining more Tier One universities in Texas with the creation of the National Research University Fund—contingent on voter approval this November—he said that addresses only half of the problem.

“Our universities shouldn’t be forced to go out and beg for money and compete against each other with the same pool of donors to try to earn matching funds from a pot that is already $450 million dollars too small and dependent on the whims of legislators for more funding in two years,” Gilbert said. “Throwing $50 million dollars at seven universities who need at least three times that much per year each to sustain Tier One level research doesn’t come close to solving the problem. It is like telling the Texas Tech cheerleaders they need to hold a bake sale to pay for a new football stadium. It is a drop in the bucket.”

Under Gilbert’s plan, a constitutional amendment passed by voters would require the state to allocate $500 million per biennium for a newly created “University Excellence Fund” to fund research at the state’s seven Emerging Research Universities for ten years.

Four universities in geographically diverse areas of the state—Texas Tech, the University of Texas at Dallas, the University of Texas at El Paso, and the University of Houston would be immediate beneficiaries of the money they need to allow for $150 million in annual spending on research. The remaining three Emerging Research Universities—the University of Texas at Arlington, the University of Texas at San Antonio, and the University of North Texas, would be beneficiaries of funds in subsequent biennia. In addition to the mandatory allocation, additional funding could come from new revenue sources as well as reallocation of some existing revenue.

UNIVERSITY EXCELLENCE FUND PROPOSAL FACT SHEET

• Texas presently has only two public Tier One institutions: UT Austin and Texas A&M University College Station. Rice University is also a Tier One institution but is not supported by state funds.

• California and New York have more public Tier One institutions than Texas; California has nine while New York has seven. Texas has nearly five million more inhabitants than New York, and less than half as many public Tier One universities.

• The University Excellence Fund would replace the Texas Research Incentive Program (TRIF), which was created by Senate Bill 51, as passed by the 81st Texas Legislature. TRIF is the program which set aside $50 million in “matching funds” for universities competing for Tier One status.

• With Texas Tech University’s announcement last week that it had raised more than $20 million dollars in funds eligible for TRIF match, nearly half of the appropriated matching funds are already depleted—and the state is less than 15 days into a new budget cycle. That money can’t be replaced until the Legislature convenes in January, 2011.

• In addition to Texas Tech’s announcement, several other Emerging Research Universities announced significant fundraising totals eligible for TRIF matching funds: University of Texas at Dallas, $16.8 million; University of North Texas, $1.7 million; University of Texas at Arlington, $1.1 million; University of Houston, $4.7 million; University of Texas at San Antonio, $2.8 million; University of Texas at El Paso, $3 million. The total of all funds eligible for TRIP matching (including Tech) as of September 1 is approximately $50.1 million dollars.

• Nationally, Tier One universities typically spend a minimum of $150 million per year on research, and award at least 100 doctorates in a minimum of 15 disciplines annually.

• Of Texas’ two public Tier One institutions, the University of Texas at Austin spends approximately $500 million annually on research; Texas A&M University spends approximately $570 million on research annually.

• The University Excellence Fund Plan would require a constitutional amendment to mandate that a minimum of $500 million per biennium be set aside for research at the Emerging Research Universities in a manner similar to the mechanism by which other higher education funds have been allocated.

• The plan would last for ten years and automatically sunset unless additional universities have qualified for Emerging Research University Status and voters reauthorize the measure.

• $500 million is roughly 2.97 percent of the state’s total budget of $168 billion for the 2008-2009 biennium just concluded.

• Additional funding from new revenue or reallocated revenue could include reallocation of unencumbered and Texas Lottery revenue which is typically funneled into general revenue (the Lottery Commission reports that as roughly one percent of all lottery revenue); the reallocation of some existing state taxes and fees; the creation of new revenue such as a surcharge on parking violations issued at Texas colleges and universities or a $1 to $5 fee per student per semester paid by college and university students.

Download a Copy of Hank’s Plan to Create Seven Tier One Universities In Ten Years in PDF format