Institutional Revenues: Public Appropriations
After declining for four consecutive years, educational appropriations per full-time equivalent student increased in inflation-adjusted dollars in 2005-06 and 2006-07.
Key Takeaways
- The average appropriation of $6,773 per student in 2006-07 reflects an increase from $6,571 (in 2006 dollars) in 2005-06, but a decrease compared to a high of $7,368 (in 2006 dollars) in 2000-01.
- Changes in public appropriations for higher education institutions are cyclical, with declines corresponding to a weak economy, and a strong economy generating more rapid growth. Increases in tuition and fees at public institutions tend to be smaller when growth in appropriations is more rapid.
- Over the decade from 1996-97 to 2006-07, total appropriations for higher education institutions increased by 26% after adjusting for inflation. Enrollments at public colleges and universities grew by 24% and appropriations per student increased by only 2%.
- Over the five years from 2001-02 to 2006-07, total appropriations for higher education increased by 4% after adjusting for inflation. Enrollments at public colleges grew by 11% and appropriations per student declined by 5%.
ALSO IMPORTANT
- In 2004-05, state and local appropriations constituted 27% of total revenues at public degree-granting institutions (Digest of Education Statistics 2007, Table 339).
- In 2004-05, appropriations constituted 11% of revenues for public institutions in Vermont and 15% in Colorado, compared to 38% in Alaska and 40% in Wyoming (Digest of Education Statistics 2007, Table 339).
Figure 10a: Annual Percentage Changes in Educational Appropriations per Full-Time Equivalent (FTE) Student at Public Institutions
and in Tuition and Fees at Public Four-Year Institutions in Constant (2006) Dollars, 1980-81 to 2006-07
and in Tuition and Fees at Public Four-Year Institutions in Constant (2006) Dollars, 1980-81 to 2006-07
Notes: Total appropriations equal state appropriations plus local appropriations, excluding research, agriculture, and medical appropriations. Full-time equivalent numbers are computed by SHEEO, based on 30 credit hours (or equivalent).
Sources: The College Board, Annual Survey of Colleges; State Higher Education Executive Officers, 2007.
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This graph was prepared in October 2008.
Sources: The College Board, Annual Survey of Colleges; State Higher Education Executive Officers, 2007.
Download Excel for this figure.
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This graph was prepared in October 2008.
Figure 10b: Educational Appropriations for Public Higher Education Institutions: Total Appropriations in Constant (2006) Dollars (in Millions),
Appropriations per FTE Student in Constant (2006) Dollars, and FTE Enrollment (in Thousands), 1980-81 to 2006-07
Appropriations per FTE Student in Constant (2006) Dollars, and FTE Enrollment (in Thousands), 1980-81 to 2006-07
Notes: Total appropriations equal state appropriations plus local appropriations, excluding research, agriculture, and medical appropriations. Full-time equivalent numbers are computed by State Higher Education Executive Officers (SHEEO), based on 30 credit hours (or equivalent).
Sources: The College Board, Annual Survey of Colleges; SHEEO, 2007. Download Excel for this figure.
Download Excel for all figures.
This graph was prepared in October 2008.
Sources: The College Board, Annual Survey of Colleges; SHEEO, 2007.
Download Excel for this figure.
Download Excel for all figures.This graph was prepared in October 2008.