Arizona State and Local Government Documents Collection

In "Roadmap to Arizona's Economic Recovery," a general fund revenue forecast is presented which includes proposed changes to the revenue system. If the proposed changes are backed out of these figures, the baseline forecast can be obtained. This addendum provides detail on the Roadmap's revenue projection. the three key points are: 1) Arizona's economy is highly cyclical, growing much faster than the nation during economic expansions; 2) Revenues everywhere, but especially in Arizona, given its revenue structure, are much more cyclical than the overall economy; 3) the revenue forecast in the Roadmap is actually conservative. Revenues relative to the size of the economy remain below the historical norm, even in fiscal year 2015.

The state government general fund shortfall in the current fiscal year is projected to be between about $550 million and $1 billion. This shortfall will need to be eliminated through spending cuts and/or revenue enhancements. The Legislature has demonstrated a preference for spending cuts. However demand does not decline during a recession for most public-sector services, including university services. Any reduction in funding for universities will have a negative and direct effect. A reduction in state government spending for universities of around $200 million would cause direct and indirect job losses of approximately 4,000. A substantial decrease in state government funding for universities will have negative consequences beyond these short-term effects.

In 1996, the Arizona Legislature charged our universities, community colleges, and Board of Regents to collaborate to develop ways for students to seamlessly transfer from community colleges to universities. Meeting the higher education needs of our state was and is a priority of these three bodies. The Academic Program Articulation Steering Committee was formed as the cooperative body to carry out this charge. On behalf of the community colleges and Arizona Board of Regents, it prepares an annual report to the legislature on the progress toward improving articulation and transfer.

In the Arizona University System, research that leads to real innovations translates to technologies and products that improve lives and stimulate the economy. This report provides an in-depth and comprehensive review of Arizona's higher education research enterprise. It is designed to allow the reader to easily locate any single research metric for any of Arizona's three public universities and quickly compare each Arizona university's performance against those of its Board-approved peers.

In the 2009 report entitled "Vision 2020," the Arizona Board of Regents outlined the objective of raising Arizona to the national average of college graduates in the work force and moving Arizona to the status of a large scale center for academic research. This realignment plan outlines how both of these significant goals will be achieved in an era of more modest public investment.

The Arizona Board of Regents presents in this 2020 Vision a framework for the Arizona University System to improve the economic strength of our state and quality of life for Arizonans over the next 12 years. This plan lays out a series of touchstones for this ambition organized around four key themes: Educational Excellence, Research Excellence, Community Engagement and Workforce Impact, and Productivity. This plan builds on a foundation manifested in previous strategic planning efforts of the universities and the Board, including the establishment of a medical college in Phoenix, development of new health professions programs not offered by public institutions in the state, growth in the research enterprise, and increasingly intensive efforts to provide baccalaureate access to all regions of the state.

This is a summary of several reports related to government finance in Arizona that have been produced by the Office of the University Economist since December 2008. Some new information has been added in an attempt to provide a complete picture. The format of this report is a brief summary by issue, sometimes accompanied by a table or chart. References are provided to the report and the page number where additional detail can be found.