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Last Wednesday, University President Lee Bollinger, along with five other state university presidents, testified before the state House Higher Education Appropriations Subcommittee about Gov. John Engler's proposed funding formula for higher education. This formula would organize Michigan's 15 state universities into four tiers, with varying per-student funding floors. The University - along with Michigan State University, Wayne State University and Michigan Technological University - would fall into the highest tier. Bollinger argued against this system on the grounds that it overlooks the specific needs of individual universities. And his criticisms are on target - Engler's system is likely to be more harmful than helpful.
The four-tier system would be detrimental to the University. Under Engler's plan, the top tier, which includes the University, would have an $8,500-per-student funding floor. Because the University already receives $14,573 per student, it would not receive any of the available funds. The only top-tier school to receive money under the plan would be Michigan State University. But Engler's plan overlooks the importance of the University to the state of Michigan. Not only is it one of the top public universities in the United States, it is also an important center of research, with the largest research expenditures in the nation. Decreasing the amount of funds allocated to the University would damage the aspects of the University that makes it a world-renowned institution.
Dividing Michigan's universities into four groups overlooks the fact that each university is unique. A large research institution like the University has vastly different needs than a smaller college. Different universities have different purposes, and ignoring these key differences in favor of a supposedly equal system would ultimately harm higher education in the state. The University and other top-level educational institutions have different funding needs from other universities; Engler's budget proposal disregards those needs in favor of a misguided attempt to "equalize" higher education spending.
Despite the apparent attention that Engler's budget proposal gives to higher education, it is clear even with this plan that the budget is woefully neglectful of the needs of universities. Compared with the increases given to the Department of Management and Budget, the Executive Office and perennial Engler favorite, the Department of Corrections, the amount of money allotted to the University would be paltry. This budget shows an alarming lack of concern for the needs of educational institutions, despite their crucial importance.
Higher education is such an important part of the state - and the nation as a whole - that its needs should not be overlooked in this way. Pigeonholing 15 very distinctive institutions into four general categories does a disservice not just to the University, but to all of Michigan's universities. Michigan's legislators must work to meet the needs of the state's educational institutions - not only by rejecting the funding formula, but by increasing funding for colleges and universities.
03-16-99
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