Missouri Senate's proposed budget leaves tuition freeze in question

A deal that could mean the difference of $5 per credit hour for Missouri students at Southeast Missouri State University hangs in the balance as the legislature works through the state budget.

Late last year, Gov. Jay Nixon made an agreement with university presidents to keep tuition rates the same in exchange for a 5.2 percent reduction in higher education funding.

He made a similar deal in 2008 and universities readily complied. Legislative action has put the agreement in danger this year, but Nixon is standing behind it.

Since making the deal in November, the Missouri Legislature was charged with slashing next year's budget by $500 million to stay within the state's declining revenue, said State Sen. Rob Mayer R-Dexter.

"Things have actually worsened dramatically," said Mayer, chairman of the Senate Appropriations Committee.

Last week, the committee came out with its version of the budget, which cut higher education by 7 percent, breaking the agreement.

"It's either take it there or take it in some other areas I didn't want to cut," Mayer said, citing Access Missouri financial aid. The House version maintains the agreement.

When the deal was originally proposed, state universities were willing to play their part in balancing the budget by taking a $50 million cut, said Dr. Ken Dobbins, Southeast Missouri State University president.

"We thought it was a fair part of that solution," Dobbins said.

Southeast is in the middle of cutting and enhancing its revenue to ready the university for the next two years, which are expected to be rocky in the absence of federal stabilization money. He said he is confident legislators and the governor will come up with the right combination of cuts at the state level.

"It's a sum zero game," he said. "They have to make cuts somewhere."

Despite uncertainty about fees, other rates have been set. Room and board rates were set at the Board of Regents' March meeting. On average, room rates will increase by 2.9 percent while board rates will go up by 3 percent. Increased financial aid is available to the students in greatest need, Dobbins said.

"I think parents and students can easily plan," he said.

The cuts to higher education are part of other reductions, including education programs. The Senate committee also proposed cutting Career Ladder funding for teachers and Missouri scholars and fine arts academies for high school students.

"Decisions are [not] made lightly," Mayer said. "Certainly they're not enjoyable at all."

Mayer said he hopes universities will keep tuition flat despite deeper cuts.

But the actions of at least one university indicate otherwise.

Friday, Missouri State University's Board of Governors set rates for the upcoming school year. Missouri students will pay $186 per credit hour, contingent upon the legislature staying in line with the deal. If deeper cuts are made in higher education, rates will increase by $5 per credit hour.

The University of Missouri System's Board of Curators is set to meet Thursday and Friday in Rolla, Mo.

Dobbins said bigger cuts at the state level will mean higher tuition rates at Southeast. Incidental and general fees would be more than $213 per credit hour, which is a 2.7 percent increase, the maximum allowed under a bill that keeps increases at the rate of inflation.

"The board and I really want to know what's going to pass in the legislature before we set fees, especially this year," Dobbins said. The Regents, he said, will meet in mid May. The final state budget is due by May 7.

Despite the changing circumstances, Nixon is standing behind the deal. He reaffirmed his position during a speech at the University of Missouri in Columbia. His spokesman, Jack Cardetti, said flat tuition rates will help the state recover from the recession.

"Ensuring that a second year in a row that tuition does not rise is important to the state's recovery," Cardetti said. "In the recession we are not raising taxes and we shouldn't raise tuition."

abusch@semissourian.com

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The Associated Press contributed to this report.

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