The 2nd meeting of the Budget Review Subcommittee on Education of the Interim Joint Committee on Appropriations and Revenue was held on Thursday, November 10, 2005, at 10:00 AM, at Jay's Cafeteria in Louisville. Representative John Will Stacy, Chair, called the meeting to order, and the secretary called the roll.
Present were:
Members: Senator Brett Guthrie, Co-Chair; Representative John Will Stacy, Co-Chair; Senator Tim Shaughnessy, Representatives Joe Barrows, Jon Draud, Derrick Graham, Mary Lou Marzian, Charles Miller, Harry Moberly Jr, Frank Rasche, and Tommy Turner.
Guests: Senator Gerald Neal, Representatives Larry Clark, Reginald Meeks, Joni Jenkins and Perry Clark; Dr. James Ramsey, President, University of Louisville; Dr. Dan Hall, Vice-President, External Affairs, University of Louisville; Dr. Ralph Fitzpatrick, Associate Vice-President, External Affairs, University of Louisville; Sam Watkins Jr, Community Advisory Board, University of Louisville; Martin Bell, Superintendent, Jefferson County Public Schools; Kris Kimel, President, Kentucky Science and Technology Corporation (KSTC); Joanne Lang, Executive Vice-President, KSTC.
LRC Staff: Linda Jacobs, Tom Willis, Janie Miller, Kevin Mason, Karen Crabtree, Spring Emerson and Matt Ellis.
Chairman Stacy thanked the members for attending and introduced Dr. James Ramsey for an introduction and presentation of the University of Louisville's strategic plan for excellence.
Dr. Ramsey explained that the University of Louisville is focused on aiding the community. Programs such as the Signature Partnership Initiative have been implemented to create a better economy and quality of life for all citizens. He stated that by maximizing assets and funding, the University of Louisville could be both a Metropolitan Research University and establish external affairs for engagement with the community.
Dr. Dan Hall and Dr. Ralph Fitzpatrick then gave a presentation outlining the Signature Partnership Initiative. Dr. Hall stated that the program was in place to transform and revitalize the community and to maximize positive impact. Until now there has been no coordinated strategy to eliminate and decrease disparities in this area.
Sam Watkins, Jr. stated that statistics for poverty, education and quality of life in the Russell area of Louisville are discouraging and that this program holds great potential to make a positive impact.
Martin Bell stated the need for increasing educational attainment and that the community cannot progress unless the entire community progresses.
Rep. Draud commended the University for its challenge and commitment. He asked if there is a connection between the 75% of males ages 16 to 64 not in the work force and those without high school diplomas. Dr. Hall replied that there was a strong correlation between the two.
Rep. Draud asked what goals and programs were going to be created for basic education with this initiative. Mr. Watkins replied that by targeting attainable goals in the areas of education, economic development and healthcare these problems can be brought to the table. The early education as well as adult education goals will be in place by the end of the year or early January.
Rep. Moberly asked if University of Louisville faculty would be working in the community and the elementary and secondary schools with respect to this program. Dr. Hall replied that there are already some faculty teaching in the community through experiential learning programs. Nursing students are going to the elementary schools to learn and apply their knowledge by aiding the children, as well as business students working with Louisville businesses to gain experience. These classes use the challenge and the needs of the community as a learning asset.
Rep. Moberly asked if these partnerships will be expanded or just better coordinated. Dr. Hall replied that they would see what services need to be provided and what issues need to be addressed and develop programs to fill these needs. The programs in place would be better coordinated or enhanced to fill these needs and new programs would be developed only if necessary.
Rep. Moberly asked what internal changes have been made at the University to make all of this happen. Dr. Ramsey said that it is an institutional-wide priority and faculty is evaluated on these goals. He also stated that the Provost is leading an effort to create incentives to faculty in alignment with these goals.
Rep. Moberly commended Dr. Ramsey and said that he supported faculty awards and promotions in line with the policy set by HB1. Dr. Ramsey stated that to make this happen, leadership changes will be necessary to make sure deans and those in leadership positions are in line with these goals.
Sen. Neal commended the leadership of Dr. Ramsey and stated that this is one of the most significant things to come into the community in a long time. This is a long-term commitment that is real and will translate to and focus in on real people's lives. He asked if there would be long-term financial needs to be determined to meet these goals and objectives. Dr. Ramsey replied that this is all part of the University's business plan for excellence which is authorized until 2010. When making decisions in budgeting this plan, money is dispersed between the goals as needed. There is a need for new money but some of this money can be found by looking beyond the general fund and finding creative ways of funding such as the Dataseam project and other projects.
Sen. Neal explained that he had more than a passing interest in this project being in his district. He said that it inspired him and gave a sense of hope for change showing a major institution focused on real problems. Dr. Ramsey stated that he grew up here and is trying hard for success in doing what the General Assembly had asked in HB1.
Rep. Meeks stated that there is a role to be played in this partnership by lawmakers in Frankfort. Not only financing these ideals but also for LRC to research some issues to compliment and supplement this work. As this model is made successful it can be used to help other areas of Kentucky in the same situation. He stated that this effort starts from the top and everyone must work together so all can share in the benefits that come from this program and urged support in legislation during the upcoming session regarding this program.
Sen. Guthrie thanked Chairman Stacy for bringing everyone here and exposing them to this type of program. He stated that what happens in Louisville plays a direct role in what happens in the rest of the state. He mentioned the Town and Gown program in New Haven which also implemented some of these ideas with students going out into the community. He addressed the need for technical and trade schools in preparing citizens for more opportunity in the workforce. Dr. Fitzpatrick agreed and said that it is very important to connect with other institutions to create a seamless system. The need for vocational occupations is high and plays a big part in the focus on human revitalization.
Rep. Barrows asked why the state and the community would place a bigger emphasis on funding for a basketball arena as opposed to the priorities and concerns that were being addressed. Sen. Shaughnessy said that he had never heard Dr. Ramsey or anyone from the University of Louisville ask for the arena. He added that he had never seen an institution take on a project as bold as this. He said that he has never been more excited about news coming out of the University of Louisville and looks forward to a new day with a new attitude. Rep. Barrows said that he didn't ask his question to put the University of Louisville's guests on the spot, but to put the members of the committee on the spot.
Mr. Watkins said that Dr. Ramsey made the difference in setting a different standard for the University and the community. He stated that this program has to be sustained by the community in the long-term and not by the institution itself, adding that he hopes everyone can support this to make a difference in changing the drastic statistics.
Sen. Neal said that the bigger issue is that we need something to create more of an economic foundation and more revenues. He stated that there is a responsibility to make a case to the people and step up to the plate for more revenue.
Chairman Stacy asked how the community outreach is accepted in this area. Mr. Watkins said that with the help of trusted partners in the communities such as churches and key legislators, this will be a success, and will be a good opportunity to take advantage of these relationships and make this initiative work.
Chairman Stacy said that this idea has had a tremendous impact on the committee. The members of the committees and other legislators want to help these communities, adding that it should be about the people and not the programs. The University of Louisville has taken the first step in caring about and improving the lives of their neighbors and should be commended for their effort in this important work. He thanked the guests for coming and for hosting the meeting.
Next, Chairman Stacy introduced Kris Kimel and Joanne Lang for a presentation of the Kentucky Science and Technology Corporation.
Rep. Moberly stated that there is not enough balance in investing in manufacturing versus recent efforts in high technology and asked if the balance was not yet there. Mr. Kimel replied that for the state to be competitive in today's economic environment we have to compete at the top end to provide the types of jobs and incomes needed.
Chairman Stacy asked what communities are considered rural and what dollar amounts are invested in these areas. Mr. Kimel replied that rural is anything outside of Jefferson, Fayette and the three Northern Kentucky counties. Ms. Lang stated that the dollar amount invested by the company in rural communities is just under $3 million, not including any universities in these areas.
Chairman Stacy asked for the amount of total dollars invested for the whole state. Ms. Lang replied that since FY 2002 there has been $25.3 million dollars invested. Chairman Stacy asked how much of that total investment has been in rural areas. Mr. Kimel said that he would have to get that data. Ms. Lang said that almost $6.5 million has been invested in companies and $2.8 million has gone into rural communities. Chairman Stacy stated that in rural areas such as his district, the only hope of competing is through technology. He stated that investments are needed in these communities to make the state as a whole the best it can be.
Rep. Moberly asked who is responsible for visioning the economic development strategy for the state to bring more technology and development to the rural areas. Mr. Kimel said that according to the Kentucky Innovation Act they do play a role in this but not in an official capacity. All of the programs were built from the ground up and have value because they are driven by people who are committed to improving the economy.
Rep. Moberly said that greater investments need to be made in growing and recruiting more technology companies in the state of Kentucky. Mr. Kimel agreed and stated that the future economic success of the state is going to rely on companies that we grow ourselves.
Rep. Moberly stated that shifting dollars from manufacturing incentives to this area is an important discussion. He stated that as the legislative session begins, the members rely on information from the KSTC to know what programs are working and if more investments should be made in these areas.
Chairman Stacy thanked the guests for coming and explained the schedule for members and guests to tour the Kentucky Center for African American Heritage. He then asked for a motion to approve the minutes from the last meeting. Sen. Guthrie made the motion, it was seconded by Rep. Moberly, and was approved unanimously.
Chairman Stacy introduced and welcomed Linda Jacobs and Matt Ellis as new staff members for the subcommittee.
There being no more business, the meeting was adjourned at 12:28 P.M.