Legislature an annual comprehensive plan for the period two years in advance of the planning year. Consideration and action on such plan by the Governor and the Legislature would follow in the next session of the Legislature. After such action on the plan, the State Management Agency, prior to the next Legislature session, would prepare an overall budget representing the programs of all institutions as provided for by such plan and submit the same for consideration and action by the Governor and the Legislature.

The staff of the State Commission should be oriented to research and planning. The thrust of the entire assignment to the State Commission would be the continued planning for a comprehensive, interrelated, responsible and responsive system of postsecondary education. The staff of the State Commission should embrace this role and forsake any ambitions for administration of the system. Skills and experience in research and planning, especially in concept development, measurement methods, statistical analysis and projection techniques, are essential to the successful fulfillment of the role of the State Commission. The Commission's staff should be headed by a "Director of Research and Planning".

STATE MANAGEMENT AGENCY

The primary function of the State Management Agency would be management of the state interest in postsecondary education. In carrying out its function, the State Management Agency would implement the state plan for postsecondary education; assemble and coordinate budget estimates embracing all institutions for the Governor and Legislature relative to an adopted state plan; and provide continuing evaluation of the experience with state plans to the State Commission.

In implementing the state plan and in providing overall budget estimates the State Management Agency would proceed on the basis of formulating guidelines for achieving objectives of the state plan in the following areas: academic, vocational and technical, professional and graduate, medical and health care, and others as might from time to time be required. The guidelines would provide direction for the individual institutions in developing programs tailored to the individual goals and objectives of each institution and to the needs of those it serves. The merits of these programs, measured by guideline statements of needs and objectives, promising innovation, and cost effectiveness, would provide the basis for program approval at the various institutions.

The process of program approval, however, should be separated from the process of institutional budget approval. The approval of a program by the State Management Agency would not automatically

mean that it would subsequently be funded. Accordingly, the State Management Agency should develop a system of priorities, consistent with those in the adopted state plan, for funding approved programs. This would tend to insure that, at any level of funding for postsecondary education, those approved programs with comparable priority among the various institutions would go forth.

The State Management Agency should have sole responsibility for fiscal management, including all federal funds for postsecondary education. The budget for all of postsecondary education should be a combined budget for all institutions and not by individual institution.

The State Management Agency, in carrying out the responsibilities in Part B, Section 1055, of the Education Amendments of 1972 would have sole responsibility for fiscal management and administration of programs developed under this part of the Amendments. The State Management Agency would adopt administrative arrangements to assure the U.S. Commissioner of Education that (a) administration of the approved plan provides adequate consultation and review by individuals involved in development of the plan; (b) the State Advisory Council for Vocational Education is charged with the same responsibilities for programs as in the Vocational Education Act of 1963, as amended in 1968; and (c) provision for appeal to the State Management Agency is established and maintained. 18

The State Management Agency would maintain direct channels of communication and management control with each individual institution. No body or organization should intervene between the State Management Agency and the governing board of any institution. Also, the State Management Agency should provide for an appeal and hearing for any institution with respect to guidelines, policies, procedures, programs, budgets and resource allocation.

The staff of the State Management Agency should be skilled in management techniques. It would carry the staff responsibility for developing the operational content of the state plan, of devising means of monitoring institutional performance relative to the plan, and of carrying out fiscal administration. The staff should not attempt to provide the special skills needed for program approval and evaluation in all fields. Such a course would be too expensive. The concept of a temporary "committee of scholars" properly selected and identified for the particular task - should be employed to extend the staff's skills when necessary. The staff would be headed by an "Executive Director”.

18 U.S., Congress, Senate, Education Amendments of 1972, 92d Congress, 2d Sess., 1972, Title X, Part B, Sec. 1055 (a).

The two senior staff positions in the State Commission and in the State Management Agency are equal in terms of responsibilities and contribution to the effectiveness of postsecondary education. Salary levels for each should be comparable with that for the chief executive officer of the largest universities in the state.

INDIVIDUAL INSTITUTIONS

Each public institution should be governed by a board of trustees. Each of the institutions presently governed by the Board of Regents plus Washburn University should have a board of trustees appointed by the Governor with the advice and consent of the Senate. For each of the other surviving or merged institutions the governing board should be elected from the geographic area served.

The board of trustees is responsible for the institution's role within the state system of postsecondary education. The board of trustees responsibilities include policy, budget, programs and staffing. It is important to the well-being of postsecondary education that the boards of trustees maintain the autonomy of the institutions within the state system. Individual institutions cannot be effectively managed by state authorities. The state has an altogether different function that of providing a comprehensive framework within which the institutions will be able to effectively and efficiently meet state goals for postsecondary education.

Recommendations

CHAPTER 7. FINANCE

In order to implement the recommendations of this report regarding postsecondary institutions and the students attending these institutions, it will be necessary to revise the present system of financing postsecondary education in such a manner that all institutions will be treated alike insofar as possible as regards financing from state sources. The following provide the essential considerations:

RECOMMENDATION NO. 12. Tuition (or fees) to be paid by each student attending a public institution should be determined every two years and should be equal to 25 percent of the cost per full-time equivalent student for each institution.

RECOMMENDATION NO. 13. State and federal appropriations should cover the remaining 75 percent of the cost per full-time equivalent student for each institution. Institutional funds obtained from endowments and other non-public sources should be excluded from the computation of state and federal appropriations. With the student, the state and federal governments providing the whole of institutional expenditures the current provision for out-district tuition would be abandoned.

RECOMMENDATION NO. 14. A student assistance program should be established on the basis of need and made available to all Kansans in attendance at public or private postsecondary institutions. This aid should not exceed an amount equal to demonstrated need, the cost of tuition and fees at the institution where the student is in attendance or an amount initially set at $1400, whichever is less. Any federal aid to students not directly applicable to tuition payments and any funded scholarship grants should be excluded.

RECOMMENDATION NO. 15. The State Commission should give future consideration to the student assuming a larger proportion of the cost of his education, together with an expanded student aid program. Consideration should also be given to the provision of tuition incentives geared to state priorities.

RECOMMENDATION NO. 16. A statewide fund should be established to cover future outlays at public institutions for capital expenditures for buildings and equipment.

Implementation

CHAPTER 8. PROCEDURE AND TIMING

The Master Planning Planning Commission urges that the recommendations of this Report receive immediate consideration. For some of the recommendations timely enactment is essential.

Adoption of the provisions for governance of postsecondary education should be accomplished in the 1973 Legislative session. The MPC gives utmost priority to the creation of a coordinated system of postsecondary education. The accomplishment of that goal depends upon the enactment of legislation providing for overall planning and overall management. 19

Provision for governance is important not only in its own right but also in view of the pressing deadline for implementation of the Education Amendments of 1972. In general, provisions of that act became effective after June 30, 1972 and with respect to appropriations for the fiscal year ending June 30, 1973.

Legislative provision for the State Commission identified in Recommendation No. 8 should be accomplished early in 1973 and such Commission should be designated as the State Commission in accordance with Title XII, Section 1202 (a) of the Higher Education Act of 1965 as amended by the Education Amendments of 1972. After July 1, the present Kansas State Education Commission will be subsumed under the "1202" State Commission.

The State Commission should be composed of 11 public members, two from each Congressional District and one at large, appointed by the Legislature, who are "broadly and equitably representative of the general public and public and private non-profit and proprietary institutions of postsecondary education in the state including community colleges (as defined in Title X), junior colleges, postsecondary vocational schools, area vocational schools, technical institutes, four-year institutions of higher education and branches thereof."

Provision for the State Management Agency, identified in Recommendation No. 9, should be accomplished at the earliest possible date by amendment to the Kansas State Constitution removing the provision for the State Board of Regents followed by

19 The thrust of the MPC's recommendation is to establish an independent and comprehensive planning function in the State Commission and a responsibility for overall management in the State Management Agency. It is the MPC's understanding of the Education Amendments of 1972 that this position is consistent with the new federal legislation. The specific nature of the relationship of the State Commission and the State Management Agency to the Education Amendments of 1972 will be clarified in the forthcoming federal guidelines.