UALR Chancellor Joel E. Anderson welcomed new and returning faculty and staff at the first meeting of the University Assembly for the 2012-2013 academic year, saying the institution was in good good shape to handle the challenges facing all universities – reduced government support, higher tuition and fees, and the growing competition from for-profit, online education operations.

He outlined several changes in the administration’s organization to coordinate the processes of recruitment, retention, admission, registration, financial aid, and other support services under a new vice chancellor for enrollment management. Finalists for that new position are expected to visit the campus next month.

The new position will be critical as the state of Arkansas initiates a performance-based funding formula where state funds for higher education will be tied to retention and graduation rates. He also said budget issues in Washington have a significant potential to affect higher education – notably possible reductions in Pell Grants.

The growth of UALR’s housing program that now offers on-campus living for more than 1,400 students offers settings for more learning communities that have proven effective in increasing retention, the chancellor said. Other programs, such as the African American Male Initiative and the year-old female counterpart organization, the African American Female Initiative, also are credited with increasing retention of minority students.

Anderson stated another challenge for UALR and all universities is a dramatic increase in enrollment by students in for-profit online education. University of Arkansas System President Don Bobbitt has made the system’s response to that challenge a high priority. Anderson said UALR is more than ready to accept the challenge.

“Frankly, I approach the challenges and opportunities of online programs with much confidence,” he said. “I approach this year – despite those significant storm clouds that are quite visible all around us – with confidence.”

He said UALR is “highly relevant” in addressing the higher education needs of the state. “The university is stable, financially lean, but solid, and has a wonderful faculty and staff.’’

Although distance education is considered a “disruptive force” in the higher education marketplace, Chancellor Anderson said he is confident UALR will succeed.

“It’s not new at UALR,” he said, noting in 2011-2012 UALR offered 381 online courses in 1,223 course sections taught by 284 faculty and representing 71,735 student semester credit hours.

“We’ve been doing it for a decade. We have a substantial base of experience. We can move forward more confidently than any other campus in the state,” Anderson said. “My response to all those storm clouds gathering – bring them on.”