Office of the Governor Rick Perry

RP73 - Relating to a comprehensive review of higher education cost efficiencies.

Wednesday, September 09, 2009  •  Executive Order


Executive Department

Austin, Texas September 9, 2009

Relating to a comprehensive review of higher education cost efficiencies.

WHEREAS, students, parents and taxpayers must be assured of the greatest value for the investment they make in higher education; and

WHEREAS, Texas has made great progress in expanding higher education opportunities to more young Texans; and

WHEREAS, Texas’ higher education funding system must continue to improve to keep pace with changes in the global economy and the modern marketplace; and

WHEREAS, the State of Texas is entrusted by the taxpayers to ensure that public institutions of higher education are operating efficiently; and

WHEREAS, while Texas public institutions of higher education are giving attention to containing costs, the state would benefit from a systematic and comprehensive effort to save taxpayer dollars while sustaining and improving quality; and

WHEREAS, the state budget for higher education has increased by $9.3 billion in the past decade, and institutions of higher education currently consume 12.4 percent of the state’s budget;

NOW THEREFORE, I, RICK PERRY, Governor of the State of Texas, by virtue of the power and authority vested in me by the Constitution and the laws of the State of Texas, do hereby order the following:

The Texas Higher Education Coordinating Board, in cooperation with Texas public institutions of higher education, shall undertake a broad and comprehensive review of system-wide opportunities for achieving cost efficiencies, including, but not limited to:

  • state funding based on student course completion;
  • restructuring the state’s financial aid programs to improve administrative efficiencies and to provide financial aid to students who work hard to academically prepare for college;
  • academic program consolidation and elimination of programs that produce relatively few graduates;
  • faculty workload;
  • articulation agreements between two-year and four-year institutions
  • distance learning;
  • alternatives to creating new campuses;
  • course redesign to improve quality and reduce instructional costs for more courses;
  • cooperative, cross-system contracting and purchasing
  • space utilization;
  • energy use; and
  • cost of instructional materials.

In addition, the Texas Higher Education Coordinating Board shall conduct a review of higher education cost efficiencies implemented in other states and other countries.

Based on the findings of this review, the Texas Higher Education Coordinating Board shall develop practices, policies and recommendations for cost-containment among public institutions of higher education in Texas and submit these practices and policies to the governor, the legislature and public institutions of higher education by November 1, 2010.

This executive order supersedes all previous orders in conflict or inconsistent with its terms and shall remain in effect and in full force until modified, amended, rescinded, or superseded by me or by a succeeding Governor.

Given under my hand this the 9th day of September, 2009.

RICK PERRY (Signature)


Attested by:


Secretary of State

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