It seems that there is as much misinformation as there is information being circulated about the proposed restructure. Thankfully, the Rearguard has you covered.

Each proposal for PSU’s funding and administrative restructure will need to meet basic requirements:

• The establishment of a state funding floor (a minimum funding that the state legislature would ensure in each budget, in exchange for minimum performance requirements that the university must meet.
• Tuition must be controlled by the university, and adjusted to reflect market costs, cost of living, financial aid needs, scholarship availability, etc.
• The state must continue to assume responsibility for debt incurred by the state on behalf of the university for construction and other projects on campus.
• Like community colleges, PSU must be allowed to seek revenue through statewide ballot measures.
• PSU must have a constitutionally or statutorily mandated funding model that is based on student enrollment.
• PSU must have flexibility in operational costs comparable to OHSU's (OHSU has converted to a public corporation model) — this would include direct management of personnel matters, including workplace issues and employee benefits.

Here is a list of the proposed models, and their benefits:

University of California (UC) model: Under this model, the Oregon University System (OUS) would become a de facto fourth branch of state government. UC is governed by the Board of Regents; the governor appoints regents in that system every 12 year terms. One student regent is appointed each year. The president and the board statutorily control the government; campus chancellors are given the freedom to run the day-to-day operations of the university.

According to this model, “The system has the constitutional right to set its own tuition, issue its own bonds, and go to the state to ask it to issue additional bonds on its behalf. UC also controls purchasing and contracting, manages its own personnel and benefits (including health, retirement, etc.) and has its own treasurer and general counsel.” Funding comes from the state in the form of a block grant and is controlled in a flexible manner by the president and the Board of Regents. The UC system has developed some of the best public universities in the nation.

North Carolina (NC) model: The NC system is considered to be a structural model of higher education for the nation. The General Assembly of North Carolina appoints a Board of Governors to oversee the general operations, management and affairs of the universities in the system. The Board of Governors leaves a great deal to the discretion of the chancellors of the individual universities, who are appointed by the board president. Each institution has a Board of Trustees, which comprises the student body president and other members appointed by the chancellor. The UNC system has similar tuition authority as the UC system, but leaves purchasing and treasury power to the state legislature. Per-student spending in North Carolina totaled $14,750 (compared to $15,249 for Oregon in 2009, according to the OUS).

Virginia (VA) model: After years of struggling for improved performance and greater autonomy from the state, this higher education system instituted a restructure to simplify credit transfers and dual enrollment between community colleges, high schools, and universities. The universities were required to maintain a high credit rating, work on economic development in economically depressed areas, serve K-12 institutions, and create a six-year plan that addressed funding, academic and enrollment goals. Virginia allows a controlling board to set tuition, oversee construction projects, and allocate funds gathered from non-general sources as needed.

Oregon Health and Science University (OHSU) model: Easily the most controversial, the OHSU model would “provide the best road map for changes to OUS governance because it occurred in Oregon and in a relatively recent time frame,” according to the Frohnmayer Report. OHSU is an independent public body governed by a 10-member board, which is appointed by the governor and approved by the senate. This board operates independently of the state, and is responsible for managing the government and its assets. Management and governance are statutorily controlled by the state. OHSU sets its own tuition; issues bonds; manages faculty, staff and benefits; and has its own treasury, general counsel, and auditing services. OHSU does still receive a small portion of its budget from the state. The report describes OHSU’s incorporation as a “tremendous success,” despite some confusion in the state legislature. The Frohnmayer Report suggests that this model has allowed for greater private fundraising and substantial increases in research grants. PSU has a stated goal of increasing research funding by almost 100% by 2050, which makes this model attractive to some administrators.