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May. 14, 2009
Copyright © Las Vegas Review-Journal UNLV community breathes a sigh of relief 
NEVADA’S HIGHER EDUCATION BUDGET 
It could have been worse, so there is relief among many in the state's higher education community. There will not be massive layoffs. Important programs probably won't be lost in their entirety. Students will not be forking over twice as much to go to school next year, as some feared they would. This was largely the reaction Wednesday to the Legislature's deal that seems to have spared the higher education system from cuts of more than a third, as proposed by Gov. Jim Gibbons as a way to avoid tax increases. "It's the first time in many, many months where we replaced uncertainty with a clearer picture of what's ahead of us," UNLV President David Ashley told a group of university employees Wednesday afternoon. "And I have to say, that feels pretty good to me." Lawmakers worked out a deal Tuesday that would cut the system's state support by 12.5 percent. Importantly, they also agreed to allow the institutions to keep whatever money they raise from a likely tuition increase; typically, nearly two thirds of such money goes into the state's general fund. Keeping that money means the cut will in effect be a little more than 10 percent, systemwide. "It could have been so much worse," said Sondra Cosgrove, the chair of the faculty senate at the College of Southern Nevada, the state's largest institution. "We've been worried." The cut is not a 12.5 percent cut over what was spent this fiscal year. It is a cut of 12.5 percent for the next two years when compared to what was approved in 2007, $1.3 billion for two years. Typically, the system's budget increases each year. It was budgeted for $885 million this year, but the budget was cut by about 8 percent before the year was in full gear because of the economy. Because this fiscal year does not end for another six weeks, system officials could not say Wednesday what actual spending will be this year. If 8 percent is subtracted from $885 million, you get about $814 million. Last year, system officials said, $807 million was spent systemwide. Officials said their budget, as approved by the legislative committees, is expected to be $792 million in the upcoming fiscal year and $804 million the next fiscal year. That would equate to about 3 percent less spending in the upcoming year compared to this year and about 1 percent less the year after that when compared to this year. All the while, officials note, expenses are going up. Enrollment continues to grow, systemwide, particularly at the community colleges. CSN, for example, saw growth of 10 percent this year. CSN's spokeswoman, K.C. Brekken, said it was still unclear Wednesday how the school would handle continued growth. "We're going to do everything we can to minimize the impact on our students," she said. University system Chancellor Jim Rogers insisted that all is not rosy. The cuts, he and other leaders say, will be hard. There will be pay cuts for some employees. There will probably be shortages of classes, meaning choices for students will be limited. Some might have to wait longer to graduate. There may even be enrollment caps. No one can say yet for sure. But tuition increases? They are certain, though by how much has yet to be decided. Tuition could jump by as much as 20 percent in the next two years. The Board of Regents, which governs the system, long ago approved an increase in tuition and fees that is already set to go into effect this Fall. It will go up by 5 percent this year and 5 percent next year. Regents are expected to discuss at a special meeting today whether to implement another increase. The figures being bandied about are 5 percent more this year and 5 percent more next year. In all, that could mean the cost of attending UNLV would jump by nearly $1,000 a year. Students have long known a tuition increase was likely. They even issued letters of support, through their elected leaders, in recent months -- with the stipulation that all the money raised should stay at the schools. Ashley, in what was billed as a town hall meeting open to all, addressed a crowd of well over 300 on Wednesday. Mostly, they seemed to be rank and file university employees. Very few students showed up, as they've already taken final exams and most have left campus. He said the cuts to UNLV look to be in the 14.5 percent range, after calculating how the overall higher education budget will be divvied up between the state's institutions. Those that grow faster -- like CSN -- are typically rewarded with more funding. It "doesn't feel terribly good," Ashley said, "but it's something we can deal with." He said that because the university's leaders already knew some sort of cuts were coming, they have been planning ahead. They've already had to cut 8 percent this year over what was initially approved, so they've been living with that. The university also offered buyouts, which dozens of employees took. That has left about 100 faculty positions empty; they will not be filled. About 1,000 class sections were cut, too. And it is likely that they won't be added back soon. Ashley said that because of all of this, the university could deal with a cut of around 8 to 10 percent without changing much. Add to that the money raised from a tuition increase -- systemwide, it's expected to be about $19 million -- and savings from state-mandated salary cuts to some employees, and the university should be fine without major upheaval, he said. He added that two-thirds of whatever money UNLV raises from a tuition increase will go directly to financial aid. Many of the other details, he said, will be decided after today's board meeting. All of this is contingent on the full Legislature endorsing the plan and then overriding the almost certain veto from the governor. Contact reporter Richard Lake at rlake@reviewjournal.com or 702-383-0307. 
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