37. Oregon Public University Presidents

MEMORANDUM To: Curtis Robinhold, Renee James Co-Chairs, Governor’s Prosperity Council From: Oregon Public University Presidents Date: May 13th, 2026 Subject: Prosperity Council Higher Education Roundtable Follow-Up Dear Co-Chairs Robinhold and James and Members of the Governor’s Prosperity Council, Thank you for your time and for your interest in the role that Oregon’s public universities play in creating a prosperous future for our state. We greatly appreciate your work towards collaboratively building that future. As we discussed, we firmly believe that public universities are foundational to Oregon’s current and future economy. If we are serious about improving Oregon’s economic outlook, accessible, affordable, high-quality, industry-aligned higher education must be included every step of the way. Oregon’s public universities play a major economic role, generating over $10 billion in annual impact (or nearly $20 billion when including OHSU’s academic and hospital operations) and producing more than 20,000 graduates each year who benefit from higher earnings, lower unemployment, and stronger career prospects. Some important figures to note include:

Approximately 85% of personal income tax revenue is paid by those with bachelor’s degrees or higher.
Industry surveys consistently rank access to a skilled and educated workforce as the top factor in site selection for large, high-wage employers. However, Oregon’s public four-year universities face growing financial pressure, as costs, especially benefits, are rising faster than revenues despite efficient operations. At the same time, Oregon significantly underfunds its public universities, ranking 46th nationally in per-student appropriations. This gap has shifted more of the financial burden onto students, leading to higher tuition, with students now covering about two-thirds of costs compared to the state’s one-third. Universities want to be part of the solution. We should be a key part of Oregon's prosperity and business development plans. Across the nation, we see that states with robust business climates include their public universities as active partners in these efforts. Workforce and

innovation are critical for companies and essential in recruiting and retaining businesses. We all are willing and ready to partner in these efforts. Specifically, we want to highlight the five following recommendations:

Sustain and strengthen base funding for public universities
Ensure Public University Support Fund, Statewide Public Services, State Programs, and student financial aid are sufficient to provide stability of core programs
Maintain Oregon’s long-term talent pipeline without further placing the burden on students and families
Support universities in managing costs from increasing retirement and healthcare obligations
Active university engagement in economic development planning
Formally include public universities in state programs for:
Industry recruitment
Regional planning
Workforce development boards
Regional economic development strategies
Develop workforce-aligned investment pools
Flex Future Ready Oregon programs and create targeted funding streams for universities to:
Expand capacity in high-demand programs
Launch rapid credentialing and reskilling programs
Respond quickly to employer needs
Create a statewide work-based learning initiative
Establish incentives (grants or tax credits) for employers to provide:
Paid internships
Apprenticeships
Cooperative education opportunities
Focus particularly on small and mid-sized businesses and rural communities.
Invest in research and innovation through existing programs
Maintain and expand funding for programs such as the University Innovation Research Fund, which:
Attract federal and private R&D dollars
Support commercialization and startup activity
Strengthen Oregon’s position in emerging industries We recognize the difficult budget environment that the state faces, and we want to emphasize that public universities, and indeed these recommendations, serve as multipliers for state resources. For every $1 spent on public universities, over $10 is returned to the state’s economy.

Again, we thank you for your time and consideration of these proposals. Oregon’s public universities stand ready to serve the state and your efforts in any way we can. We are optimistic about the critical role universities can play in renewing Oregon’s economic promise. Please don’t hesitate to reach out to any of us if we can be of further assistance. Ann Cudd Jesse Peters President, Portland State University President, Western Oregon University Kelly Ryan Nagi Naganathan President, Eastern Oregon University President, Oregon Institute of Technology Jayathi Murthy Rick Bailey President, Oregon State University President, Southern Oregon University Karl Scholz Shereef Elnahal President, University of Oregon President, Oregon Health & Science University

Parent: Appendix E: Submissions & Feedback · PDF: pp. 336-338