Briefing Paper

University Research is a large and growing industry in Alaska.  It totals $150 million in annual expenditures, primarily from federal agencies, and corporate and private grants and contracts.  Research is also one of the largest employers in the state, providing 2400 jobs and a $92 million payroll every year.  According to the Institute for Social & Economic Research (ISER), the impact on the state’s economy is over $1 billion per year.

Professional and technical jobs in research are among the highest paid salaries in the state and all but a very few are held by Alaska residents.  Research is a highly sought industry in many states because the return on state investment is high, it has little or no environmental impact, requires minimal regulatory attention, and provides for the development of supportive private sector businesses opportunities.  UA Research activities account for $49 million annually in the purchases of goods and services from Alaska businesses.

UA Research has contributed to the economic, social and cultural development of Alaska on every front – from language preservation to oil development, from agriculture to road building, from volcano-monitoring to fish pricing.  Applied and basic research will be needed even more if Alaska is to continue to flourish in the future.

The majority of research funding coming into UA is from competitive grants, not congressional earmarks.  UA has an impressive track record of leveraging funds from these grants and has achieved a 7 to 1 return on investment since FY00.  In today’s environment UA will achieve at least a 4 to 1 return, but a higher rate is actually more likely.

It’s clear that climate change is becoming a huge area of research in the United States.  UA is, by virtue of its geography and expertise in arctic research, the premier institution for study of climate change.  The need to capitalize on this advantage is urgent because billions in research grants are being dedicated to this endeavor.  

A great deal of research will be done in Alaska; the question is, how much of it will be done by the University of Alaska?  Alaska needs to make an investment now to be able to maximize UA’s positional opportunity.

State investment in research has been very modest and the internal funding UA has directed to support new research initiatives is not sustainable.  The State’s increased investment is critical to the success of future research opportunities.  

Board of Regents’ FY09 Operating Request includes the following General Fund (GF) request for Research:

UAF:    $2,922.2 – Fairbanks Campus
Climate Impact & Alaska’s Natural Resources ($900.0 GF); Engineering, Transportation and Energy ($1,000.0 GF);
Biomedical and Health Research ($350.0); Graduate Student Support ($422.2); Arctic Region Supercomputer ($250.0 GF)

UAA:    $567.5 – Anchorage Campus
Climate Impact & Resource Economics ($66.4); Biomedical & Health Research ($200.0); Experimental Economics ($201.1 GF)
Graduate Student Support ($100.0)

UAS:    $100.0 – Juneau Campus
General funds that will enhance competitive research.

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