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Bleak outlook for school funding
Official sees $52 million shortfall for higher education next year
by Jimmy Myers
Thursday, October 1, 2009

MARYVILLE, Mo. — Not even photos of cuddly koalas could brighten the gloom in Paul Wagner’s PowerPoint presentation.

Mr. Wagner, the deputy commissioner of the Missouri Department of Higher Education, addressed issues with the Missouri budget and how it affects funding for higher education. The presentation Wednesday at Charles Johnson theater at Northwest Missouri State University laid out a particularly tough 2011 fiscal year, not only for higher education, but for K-12 grades as well.

Of the state’s $23 billion budget, only a third of it goes to general revenue, which is where higher education gets its funding, along with a multitude of other state agencies. Higher education institutions get about 12 percent of the $7.8 billion in the general revenue fund, Mr. Wagner said.

Federal stimulus education stabilization money kept universities above water this fiscal year. The state spent $560 million of the stimulus money on higher and secondary education. But there is only $109 million left for fiscal year 2011. Enter the koala photograph.

Mr. Wagner quickly got back to the gloom, showing graphs of expenditures and revenues and the gap that lies between. Mr. Wagner interprets the gap as a $52 million shortfall for higher education next year, a 5.4 percent reduction. Due to recent legislation, schools have their hands tied in covering the potential shortfall.

In 2007, legislators passed a law (Hancock II) that prevents universities from raising tuition beyond that of the consumer price index. A waiver could be approved under special circumstances, but universities that break the law are subject to fines.

Universities across the state agreed not to raise tuition this year in exchange for a flat appropriation, and none of the schools submitted waivers. However, Mr. Wagner said Wednesday he would expect some institutions to consider waivers to raise their tuition above the CPI next year to make up for budget shortfalls.

Jimmy Myers can be reached

at jimmym@npgco.com.

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cindyo October 3, 2009 at 9:08 a.m. (Suggest removal)

Those of us in the private sector will be looked to for additional funding; all in the name of "education". Instructors making outrageous salaries/benefits and programs promoting the latest politically correct dogma waste the taxpayer funds and do nothing to elevate students' capability to support themselves when they graduate. Of course, every university has worthwhile classes and capable instructors. The problem is no one has the courage to differentiate between necessary and totally unnecessary for fear of being seen as unsupportive of "education". Politicians need to gain some courage and become the leaders they purport to be; demand accountability from these endlessly self promoting institutions. Why should taxpayers expect any less?

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