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Iowa gov. will shutdown on July 1 if $41M is not cut from universities

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posted on Jun, 8 2011 @ 09:47 PM
Cutting high end education. Let's do that when it's the only edge we have (for now) against globalism...

Regents brace for possible shutdown

Proposed budget bill would cut $41M from Iowa's three public universities

The Iowa state Board of Regents has asked the University of Iowa and other member institutions to develop contingency plans in case the state government shuts down July 1, Regents president David Miles said Tuesday.

If lawmakers do not agree on a state budget by the end of the fiscal year June 30, it is uncertain how state agencies will continue to operate.

About the budget :

The House will debate a budget bill today that would cut $41 million from Iowa's three public universities, but Kaufmann said that bill is just a starting point.

Miles told lawmakers at a budget hearing Monday that a $41 million cut on top of the $118 million already incurred by the schools in the last three years would create incredible hardships for administrators, faculty and students.

Miles said the proposed cuts likely would lead to larger class sizes and fewer class offerings as well as impact the schools' ability to retain top faculty members.

At UI and ISU, state appropriations account for about 38 percent of the general fund. The University of Northern Iowa relies on state appropriations for 50 percent of its general fund, according to Miles.

This will hurt high level education... which won't be good in the medium/long term...

But thing is, India and China are educating their population more and more. Let's say a PHD at Harvard costs 100k$ (probably more than that) and the guy will work for 250k$ a year to do his job.

Then in India, the same PHD will cost 5-10k$ (probably less) and the guy will work the same job the American do for 250k$ a year, but he will do it for 50k$ a year... it's obvious what the corporation will do... they will move to India.

So high education, as it stands now, still ``works`` because India/China/Brazil is not producing enough high level education graduates... but in a few years, if not tomorrow, the high education system in the US and most of the western world will be worthless... and then big reforms will be needed and it won't be pretty.

posted on Jun, 8 2011 @ 11:59 PM
I guess Monsanto corn does not contribute enough to state coffers.


posted on Jun, 9 2011 @ 02:21 PM
I used to be an employee of ISU, and let me tell you, the budget cutbacks were a real threat to all of us in the system.

Articles neglect to mention that the cuts will come in the form of forced furloughs, layoffs, reduction in services, etc. The cost will be made up in the way of ever-increasing student tuition, housing costs, and meal plans. Faculty and researchers will NOT see any impact, since research Universities have a separate funding stream for research. I believe, IIRC, that 2010's research budget was on the order of $2.5 Billion. So, folks doing research had nothing to worry about, but we poor slobs in service departments had to bear the brunt.

posted on Jun, 9 2011 @ 02:44 PM
Cut Title IX and watch virtually every university in America come a heck of a lot closer to balancing their budgets. The forced spending on athletic programs which are not self supporting is a true black hole of economic failure. I can, to some degree, appreciate Title IX's intent and I believe it is important to retain some measure of Title IX in High Schools which do not operate as businesses but, rather, as stewards of tax payer dollars. Universities are a different beast, however, largely operating as businesses and largely conducting themselves with an eye towards balancing their own books.
Look at the Iowa universities athletic budget reports. Aside from Football, none of the athletic programs are supporting themselves. I find it very offensive that because of a forced equality edict from the Federal government, universities are forced to cannibalize legitimate education programs rather than eliminating the bleeding out economic nightmare of athletic programs that are largely the source of fiscal nightmares.

posted on Jun, 9 2011 @ 02:56 PM
So what if Iowa were not to cut this, what should they cut to balance their budget?

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