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State Appropriations

[Note: This material is copyright by the Press-Citizen, and is reproduced here as a matter of "fair use" for non-commercial, educational purposes only. Any other use may require the prior approval of the Iowa City Press-Citizen.]

Dollars for higher education fell more than $80 million in a five-year-period, including $60 million in one year -- FY 2003. Last year, Legislators returned some funding, but part of that was a one-time $20 million appropriation.

"That one-time money has been used to fund ongoing costs like salaries, heating and cooling," Regent Executive Director Gary Steinke said. "That is an awful, terrible business practice."

The Iowa state Board of Regents is calling for the $20 million to become part of the base appropriation. In total, regents are pushing a $73 million raise for its institutions. While some Legislators are optimistic, others scoff at handing over $718 million to a governing body that is under fire after failing to land a University of Iowa president and have tip-toed around open meeting laws.

While the $73 million is the highest asking in recent years, it is still about $5 million short of the FY 2001 level. Officials hope the increase can curb tuition rates, which have surged to bandage appropriation shortfalls, and address lagging faculty pay.

"Today, we are in a situation where Iowa State (University) is last in its peer group, and UI is near bottom of its peer group (in faculty salaries). That is absolutely unacceptable," Steinke said. "I am using every scrap of paper I can get my hands on to convince them a quality education is dependant on quality faculty."

Steinke is at the statehouse two or three days a week, he said, to speak to Legislators about the appropriateness of the asking and the necessity of returning money to state schools.

As appropriations have dwindled, tuition has nearly doubled in the past five years. Regents approved a 5.2 percent tuition hike for in-state students that number could change depending on the state budget.

"There is a direct correlation between increases in tuition and appropriations," Steinke said. "(Universities) have to be affordable and accessible. I don't want to think about or contemplate any further increases then the regents have recommended."

While some are concerned that retribution for the negative publicity surrounding the regents could come in the form of a smaller budget, Steinke and UI's state government liaison Mark Braun, who is at the Legislature when its in session, say they are not hearing flak.

Rep. Dave Jacoby, D-Coralville, though said regents' management and recent events are troubling.

"There is an interim president and a barely functioning board of regents," Jacoby said. "With the regents in disarray, it is hard to get a vision past that next year. We need to see how it is going to look, say in 2015.

"The turmoil with the regents and the selecting a new president made some of the negotiating much more difficult. Everyone, whether you are a Democrat or a Republican, everyone is concerned about how money would be invested."

When university and regent officials visited the Legislature last week, Jacoby noticed the absence of Regent President Michael Gartner, who has been a subject of much of the criticism.

"That is a darn good strategy. In terms of discussing funding, it might be best not to have Michael Gartner there at this point in time," Jacoby said.

Davenport Regent Amir Arbisser said he understands Legislators' concerns and applauded Gartner for staying out of the picture.

"There is an attempt to separate the request from other political issues going on. In particular, Michael Gartner was not present," Arbisser said. "I am sensitive and even Mr. Gartner is sensitive in staying out of that discussion."

Despite concerns, regents, UI officials and local legislators are optimistic to make at least some progress and say Culver's background as a teacher could make him more sympathetic to education.

"I think it will be quite a challenge to get to the $72.8 million," Sen. Joe Bolkcom, D-Iowa City, said. "It is very difficult to achieve with other priorities. It is a good starting point for the conversation.

"My understanding is the $72 million will get us back to what the 2002 funding level was. But that may take a couple years to get to."

Year; Asking for regent operating costs; Actual appropriation; UI's share of asking; Percentage of UI's appropriation in its general fund budget:
• FY 2001: $703,057,422; $693,163,528; $318,588,000; 61.58 percent.
• FY 2002: $710, 354,792; $682,884,957; $294,093,000; 57.05 percent.
• FY 2003: $696,436,257; $623,992,851; $287,423,000; 52.67 percent.
• FY 2004: $635,526,851; $606,675,236; $278,963,722; 48.41 percent.
• FY 2005: $644,674,236; $616,490,000; $271,989,628; 47.08 percent
• FY 2006: $672,020,000; $611,572,911; $278,405,628; 47.07 percent
• FY 2007: $651,572,911; $644,990,327; $317,950,000; 45.87 percent
• FY 2008: asking $717,761,579 (includes tuition replacement appropriations).

• For previous coverage on the regents and the search for a new UI president, go to www.press-citizen.com.