The last time higher education in Louisiana was embroiled in a fiscal crisis, the rest of the nation was in the same boat, and federal stimulus money helped bail out the state’s colleges and universities. This time, the Bayou State is on its own.
“There’s nothing coming from the federal government to help us do this,” says LSU President F. King Alexander, speaking to the Trusteeship Conference hosted by the Board of Regents at the Pennington Biomedical Research Center today. “When Humpty-Dumpty falls off the wall on Friday [when Gov. Bobby Jindal unveils his budget-cutting recommendations], we’re going to need everybody in this room to help piece Humpty-Dumpty back together again.”
And if LSU is in some trouble, that means Southern University is “on the precipice,” says President Ronald Mason.
“We’ve been doing everything that we thought we were supposed to be doing,” including streamlining operations and seeking new revenue through online education, Mason says.
Higher education leaders on Monday again called for the Legislature to give up control over tuition and allow leadership boards more autonomy in supervising operations, saying universities increasingly rely on self-generated money compared to state funding. Mason says schools are expected to operate in a “free-market business model” without “the freedom to market.”
Jindal’s budget recommendations are expected to include cuts that would strip up to 60% of state financing from higher education to help the state close a $1.6 billion shortfall next year.
Legislative leaders in a separate panel discussion today were supportive of greater autonomy, but acknowledged their colleagues have been reluctant to give up authority and that political realities make hard choices even tougher.
“A lot of people come to me and want to know why we have a four-year institution in Alexandria,” says Rep. Steve Carter. “If you’re in Alec, you’ll tell me why.”
Carter says higher education officials, despite recent efforts to reduce duplication, still need to convince skeptical lawmakers their systems aren’t wasteful and top heavy. He says he and other legislators are willing to carry bills desired by higher education stakeholders. Carter says he’s open to considering constitutional protection for college funding.
Louisiana’s budget problem is caused in part by its tax credits, exemptions and rebates, some of which have been around since the 1930s, says House Speaker Chuck Kleckley.
“We need to clean that up,” he adds.
Sen. Chuck Appel says the state treasury likely won’t benefit much for two decades from the recent wave of industrial project announcements.
“We have a basic systemic problem with education in Louisiana, starting with pre-K,” Appel says. He says that, other than trying to patch the budget hole, lawmakers won’t spend much time this year dealing with higher education, “and that’s a shame.”
—David Jacobs
