Stimulus Dollars May Help Restore University Cuts
Gov. Ed Rendell also wants to use $42 million in federal economic stimulus dollars to restore cuts to state-related universities (Penn State, University of Pittsburgh, Temple University and Lincoln University) in 2009-10. But Penn State President Graham Spanier told members of the House Appropriations Committee the federal money will provide only a short-term fix to a long-term problem.
The presidents of state-related universities appeared before the Committee on Tuesday as part of its annual state budget hearings.
The universities experienced a 6 percent mid-year budget cut for the current academic year when state revenues took a downturn. Federal funds will allow the Governor to restore state funding in 2009-10 to the level authorized for 2008-09. While leaders of the universities said they appreciate the federal funds, they noted that the stimulus dollars do represent a restoration – not an increase – in funding, and said a plan is needed to address long-term funding issues given that state support has been consistently declining over time.
The state’s research universities also may benefit from $16 billion in competitive grants for medical, scientific and energy-related research included in the federal economic stimulus package. Temple President Ann Weaver Hart said previous state investments in the universities’ infrastructure have put them in a strong position to compete for these funds.
Finally, state-related university officials expressed disappointment that their institutions were left out of the Governor’s proposal to provide tuition relief to students through revenue from legalizing video poker. Under the Governor’s plan, only students at community colleges and state-owned universities would qualify for the tuition relief grants.
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