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Official: If Mich. wants stimulus money, it can't cut from education

By Allison Bush (Last updated: 02/19/09 4:40pm)

Michigan wouldn’t have access to the federal stimulus package if it follows through with Gov. Jennifer Granholm’s proposed 3 percent cut to universities next year, according to a state official.

Gary Olson, director of the Senate Fiscal Agency, told lawmakers Wednesday the federal stimulus stipulates that funding to universities remain steady or increase in the fiscal year that begins in October.

“It’s clear to me that we can’t reduce funding for universities or community colleges and higher education in 2010 below the levels in 2009,” Olson said.

Granholm’s administration disagrees with Olson’s interpretation, the Associated Press reported Thursday. A Granholm representative wasn’t immediately available to The State News for comment.

“I don’t know, quite honestly, how they’re making that interpretation,” Olson said. “It’s spelled right out.”

The Fiscal Agency is a nonpartisan agency that advises the Senate on state finances.

Olson told state lawmakers on Wednesday that the state would have to use money from its general fund or tap the stimulus funds to keep education funding at current levels.

Granholm released her recommended budget last week, before President Barack Obama signed the stimulus package into law on Tuesday. Granholm has said assumptions about stimulus cash weren’t built into her budget proposal.

Before releasing her budget proposal, Granholm called on universities to freeze tuition rates at current levels for next year.

Originally Published: 02/19/09 12:16pm




Commentary:

Spartygold

02/19/09 12:25pm

Why would she want to cut education when Michigan is going to get a stimulus earmarked just for education. I thought Engler was bad for education-what is her deal. Granholm ran as a friend to education. What a joke. How will Michigan compete for 21st. century jobs with a second class Educational system. That also includes K-12 schools.

jenny from the block

02/19/09 12:47pm

democrats continue to gut michigan

I’m sure this is all somehow Engler’s fault, right lolberals?

JR

02/19/09 2:03pm

MSU’s President says increase tuition, Our governor asks univeristies to freeze tuition, and our federal government says it was give more money to higher education. What a cluster F^&%!

I think it’s obvious nobody know how to communicate or how to do anything to work together to make things better. Everyone has their own agenda and the people at the reigns don’t communicate effectively enough to get it done.

student

02/19/09 2:58pm

JR, you forgot something. It goes this way…

MSU President: if they cut universities budget we will raise tuition
Granholm: we will cut universities budget. But, freeze tuition and we’ll give you stimulus cash
MSU President: we don’t even know how much cash we’ll get. you are not holding your part of the deal. we will increase tuition.
Stimulus: Granholm, if you cut to the universities you won’t receive your share of the stimulus.
Granholm: Hmmm…

Grad Student

02/19/09 3:06pm

This is rather silly imo, the whole situation. I think Granholm is trying to appeal a bit too much to the right wing conservatives by nailing State Employees and Higher Education.

Raising tuition even as a student makes sense, MSU is a bargain at even a 15% increase, let along 5% that would be typical.

Paycuts and layoffs will only deteriorate the infrastructure of the university, the Employees are not getting rich here. That’s for sure, especially staff.

Ridiculous

02/19/09 5:28pm

I don’t understand how anyone can demand a tuition freeze then cut the funds that would enable a freeze. If you are going to lose money by freezing tuition you cant expect a university to maintain anything by also taking away money it gets from the state. Shows how good those Canadian universities are.

JB

02/19/09 8:30pm

It’s the same crap the state government has been pulling for many years but at least universities have spotted the deceit. It used to be that government simply promised no funding cuts if tuition didn’t increase and then cut funding anyways once tuition rates were locked in. Once universities stopped believing the lies, the government stopped pretending they wouldn’t cut funding. And so every year, students foot more of the bill.

Green

02/20/09 1:32pm

ha. ha.

University lobbying of Congress seems to have paid off. Wonder who got that into the stimulus law?

Wonder what the time line of that going into the law was? Did it go in after Granholm’s budget came out?




PHOTOS OF THE WEEK:More reprints »
Sean Cook / The State News

Gov. Jennifer Granholm speaks to a crowd about the Michigan Promise Scholarship during a rally Wednesday morning outside the Administration Building. Granholm is touring colleges in Michigan to discuss the scholarship.

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