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Legislative Report: Education level affects economy |
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Tuesday, 16 October 2007 |
The Legislative Interim Committee on Higher Education met recently in Bismarck for a marathon two-day session. The committee heard from former Chancellor of the North Dakota University System, Larry Isaak, who is now the CEO for the Midwestern Higher Education Compact. We also heard from Dennis Jones, the president of the National Center for Higher Education Management Systems out of Denver, Colo., and William E. Kirwan, the Chancellor of the Maryland University system. Their presentation to the committee was a comprehensive analysis of higher education in the North Dakota and the United States and how our system compares to the world.
The presentations were somewhat duplicative, but nonetheless, very interesting and thought-provoking. Mr. Jones discussed the importance of higher education and its impact on quality of life, the economy, and the world in general. He noted that an alarming percentage of folks incarcerated in the United States are folks who have attained less than a high school diploma. On the other side of the equation the numbers of folks incarcerated who have completed a college degree is relatively small. Specific to North Dakota, Jones pointed out that the demography is a major concern for the state, noting that a significant percentage of the population is shifting to four counties, i.e., Burleigh, Cass, Grand Forks and Ward. He also noted that unless we are able to impact the population/demography challenges, North Dakota stands to lose 3.3 percent of its population by 2025. That figure puts North Dakota in a situation which is worse than any other state.
To further illustrate this challenge, North Dakota will have 41 of 53 counties that will experience a decrease in population. That statistic spells real challenges for the state to support the current infrastructure. At the same time, our population is aging at an alarming rate. Jones also pointed out that per capita income in North Dakota is $31,395, which is 19th from the bottom of all of the states. This is also a statistic that we need to change.
There are number of areas where North Dakota does very well. We rank second of all states in the area of educational attainment. A total of 88.1 percent of our students in the age bracket of 18 to 24 have a high school diploma. North Dakota ranks first in the number of residents in the 25 to 64 age bracket with a high school diploma. A total of 29.2 percent of our population ages 25 to 64, have a bachelor’s degree or highere. It is no surprise that the counties where colleges and universities are located lead the state in the percentage of residents with at least an associate degree. For example, Burleigh leads the state with 46 percent. Sheridan County is at 18.9percent. The state average is 37.2 percent. A total of 11 percent of the population have no high school diploma. That compares with 19.6 percent nationally.
North Dakota is in an interesting situation. We have very low unemployment. However, we rank very high among the states with the number of our residents with two jobs. We have more outmigration than any other state. The impact of the oil economy in the western part of the state is very significant, not only to the state’s economy, but to the field of education as well. Many of those jobs don’t require higher education, but pay very well, thus skewing the picture of educational attainment in comparison to one’s earning potential. Unfortunately, in general, we continue to struggle across the state with the issue of high paying jobs. According to the Department of Commerce, there are over 10,000 jobs open in North Dakota at the present time. Many of these positions are skilled positions. Employers have had to say no to their customers because they have not been able to respond to orders due to a shortage of qualified workers. Lee Vickers, the president of Dickinson State University, informed the committee that a fast food chain in his community is paying $9.50 per hour and offering sign-on bonuses. This is a result of the impact of the oil boom in that part of the state.
North Dakota per capita spending on higher education is relatively high in comparison to other states. That argument is also true when we look at all other forms of government in North Dakota. We have struggled with that issue for years. The issue here is the fact that we need more per capita’s. In terms of spending per student, North Dakota is low. In short, we get a pretty good bang for the buck for our expenditures on higher education in North Dakota.
We live in a global society. We can sit back and wait for the future to unfold or we can put in place efforts and initiatives that will hopefully create that future for us. In the midst of the Great Depression, our capital building in Bismarck burned to the ground. The response from the people of North Dakota was to step forward and build a skyscraper on the prairie that is the envy of many states today. Do we still have that can do attitude? I, for one, have confidence in our people and our state. I think we will find a way to respond to these challenges. It won’t be easy. As we ponder these issues, we must remember, in today’s world, even if you are on the right road, you had better be traveling fast enough or you will likely get run over. We must remember that as we attempt to move forward, other states are making significant efforts, as well. The competition is indeed intense!
The question is really, What Kind of State Do We Want? Our committee will meet again in a few weeks to continue our deliberations. We would welcome your thoughts and or comments as we attempt to address the many challenges facing higher education and our state.
Feel free to contact any of us at your convenience. Our email addresses are as follows:
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Editor’s Note: Larry Robinson (D-24) is a senator in the North Dakota Legislature. He lives in Valley City.
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Last Updated ( Thursday, 20 December 2007 )
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