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Money matters

MSU needs to carefully weigh options when deciding how to use increased state funding

After cuts to higher education have plagued Michigan for years, the state Legislature made a bold move in support of public universities - unfortunately, it seems MSU got the short end of the stick.

Although some schools - Saginaw Valley State University, Grand Valley State University and Oakland University - will receive funding increases of more than 7 percent from a $14 million share left in the House and Senate budgets, MSU will only receive a 0.4 percent increase.

Students can't complain too much. After years of chopping up the budget for higher education, state lawmakers are finally showing signs that Michigan universities are a vital component to the state's health.

Money for MSU suits dual purposes. It helps educate Michigan's young adults to create a more vibrant labor pool, which in turn boosts the economy. But the money also provides the basis for one of mid-Michigan's largest employers.

So why only 0.4 percent?

Many legislators argue that other schools, which receive less per student than MSU, should be brought up to the level.

The other school of thought, which is popular among MSU trustees, is that schools should be rewarded for better performance.

As MSU Board of Trustees member Donald Nugent said, "We've got to fund the universities that are doing their job."

Included in the bipartisan agreement is a new funding formula expected to take effect in 2006. The formula is based on enrollment, research and graduation rates, which could eventually boost MSU's funding.

MSU students are familiar with the state's budget woes. A prior agreement between the state and Michigan's universities limited funding cuts if universities kept tuition increases at the rate of inflation, but the state failed to meet its end of the bargain.

During the summer, the Board of Trustees approved a hefty 13.5 percent tuition hike for new students and a 9.3 percent increase for returning students, pushing the college experience out of reach for some.

There was a 9.9 percent jump in 2003-04, but last year tuition rose a mere 2.4 percent, and for much of the '90s MSU kept tuition increases below 3 percent.

Vice President for University Relations Terry Denbow said he hoped the board would be able to refund some tuition by spring because of the funding increase.

On one hand, the money could be used to shore up future state funding cuts. It's almost certain that after years of higher education being placed on the back burner of state budget politics, cuts will continue.

On the other hand, college students could always use the extra money and many will be graduating this year. That refund could cover a rent bill or a shopping cart of groceries.

The assault on Michigan's higher education will most likely continue for many years to come, but this slight increase in funding is a start. The college experience should be attainable for everyone and not be limited by a person's financial status.

Higher education is vital to the future of our state and our down-in-the-dumps economy. We urge lawmakers and university officials to make this their mantra and continue to push for higher funding - not push MSU and other institutions of higher learning to the back of the line.

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