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From the Daily: Two-percent turnaround

Published February 13, 2006

Annual cuts to higher education funding have been hitting the University longer than most undergraduates have been in Ann Arbor. But Gov. Jennifer Granholm finally had good news for the University last Thursday, proposing an overall 2-percent increase in higher education funding. At a time when any additional budget cuts would force a choice between compromising the University's quality of education and further increasing tuition, this announcement is a relief to administrators and students. But with the serious hit that state appropriations have taken since 2002, the additional $6.3 million is only a start. If Michigan is to really develop the educated workforce needed to revive the state's economy, its public universities will need greater state support.

Perhaps Granholm is looking to November's gubernatorial elections. Maybe she is finally realizing that action on the Cherry Commission on Higher Education's recommendation to double the number of college graduates in Michigan workforce cannot include annual cuts in higher-education funding, Regardless of the motives, her proposed 2-percent increase in state appropriations is certainly welcome. Although Granholm's budget suggests a renewed commitment to higher education funding, it will take sustained increases to prove that the turnaround is genuine.

This year's increase will be paid for by unexpected surplus tax revenue that came in last year - hardly a steady source of income. As long as higher education funding is allocated out of the state's discretionary fund, future increases will remain uncertain. The K-16 Coalition is lobbying the state Legislature to set aside money for education funding and mandate annual increases in line with inflation, a plan that could solve problems for public universities. After taking into account that inflation is currently 3.4 percent nationally, even the 2-percent increase is still a loss for the University.

With wages falling and job opportunities disappearing for less-educated workers, Michigan's economic survival increasingly depends on its ability to build, attract and retain a highly educated workforce. The state has no better tool to adapt than taking full advantage of its public universities. The University can help the state through its high-quality research endeavors and by educating residents and future residents. It is in the entire state's interest to ensure its public universities not only continue to fulfill these functions, but can expand their reach beyond financial boundaries, so that all residents can afford a high-quality college education.

This rise in state appropriations is a promising sign that the state is more willing to increase its support of public universities. But even at risk of sounding ungrateful, the University must continue to push Lansing for more.