Wyoming

FUNDING PRIORITIES FOR HIGHER EDUCATION

Wyoming students have traditionally enjoyed some of the lowest tuition prices in the United States. Wyoming's general tuition philosophy states, "tuition shall be as nearly free as possible."¹ In FY16, the state's net tuition revenue as a percent of total education revenue was just 12.7%, the lowest in the nation.² For the 2016-17 year, public two-year in-district tuition and fees were $2,992, and public four-year in-state tuition and fees were $5,055.³ While prices for the twoyear sector were the tenth lowest in the United States, four-year prices were the lowest. State appropriations per full-time equivalent (FTE) were the highest in the United States, at $17,620.⁴ This value was $10,505 greater than the national average.⁵

CHANGES TO FUNDING FORMULA FOR HIGHER EDUCATION

Since 2014, when it passed performance-based funding for two-year colleges, Wyoming has not seen any major changes to its funding formula. Funding under this model is based on the number of course completions at each college, proportional to completions at all colleges.⁶

PRESSING ISSUES AFFECTING HIGHER EDUCATION FUNDING

As a state largely dependent on coal and oil tax revenue, Wyoming has felt pressure from declines in these industries. In fact, the majority of the state's funding for public education comes from revenue sources generated from oil and coal.⁷ In 2016, coal production reached a 35-year low. At the same time, Wyoming has experienced a shortfall in its education budget. The shortfall is expected to reach $1.8 billion by the year 2022.⁸

In response to the budget crisis, a hiring freeze placed on state employee positions went into effect in May of 2017.⁹ Exempt from the freeze are the University of Wyoming, state community colleges, and the Wyoming Department of Corrections. The University of Wyoming was made exempt from the hiring freeze because its funding comes largely from a block grant.

Still, the University of Wyoming is not immune to the effects of the state's budget crisis. In the 2017-18 biennium, the University of Wyoming will see a $5.79 million dollar reduction to its block grant.¹⁰ Additionally, Governor Matt Mead has informed the UW Board of Trustees that it must cut more than $30 million from its budget during the FY2017-18 biennium.¹¹ In 2016, newly appointed University of Wyoming president Laurie Nichols responded to planned cuts by declaring a financial crisis and began eliminating vacant positions, offering early retirements, increased teaching loads, and changing part-time employment schedules in order to reduce benefit costs.¹² In 2017, the University began notifying 37 staff members that they will be laid off due to the budget cuts.¹³

HIGHER EDUCATION: TRENDS IN STATE FUNDING FOR PUBLIC INSTITUTIONS

Wyoming has a history of being a leader in state support for higher education. Since 2005, state appropriations per FTE have been the highest in the United States.¹⁴ However, in FY2017, Wyoming's appropriation levels decreased by 8.8%,¹⁵ the largest percentage decline in the country. The decline is most likely related to the state's economic situation. Whether it marks a new trend in state funding remains to be seen.

EDUCATION STATISTICS

Allocation of state dollars to Higher Education: $382.2 million¹⁶