Billionaire Warren Buffet calledWall Street’s market turmoil an eco-nomic Pearl Harbor. With twenty per-cent of New York State’s budgetcemented on the rollercoaster ups anddowns of Wall Street, Dan Melucci,Stony Brook University Associate VicePresidentforStrategy andAnalysis, hascalled the SUNY budget cuts “lunacy.”Due to the Wall Street economicdisaster, New York Governor David Pa-terson has called uponstatewide agency cuts toremedy the projected lossof revenue. In early April,SUNY was cut a total of $50 million, or roughly 3%.Takingitsshare,Stony Brook was to cut $7.4 mil-lion from its operatingbudget of the fiscal 2008-2009 year. Following theApril decision, a secondround of cuts will be un-derway, of which SUNYwill suffer a total of $96.3million. At that point,SUNY would have a netcut of 146.3 million. Stony Brook University, alongwith the other sixty-threeSUNYinstitutions,arestillwaiting for their share inthe$96.3cut.Meluccipre-dicts that Stony Brook maybelookingatabudgetcut in the ballpark of $9.5million.About a week ago,Carl McCall, Chair of thefinance and administra-tion committee of SUNYtrustees, said that SUNY will absorbanywherefrom$20to$50millionofthe$96.3 million cut leaving the rest to bedispersed among campuses. However,MeluccisaidthathebelievesSUNYwilltake a $20 million cut leaving $70-plusmillion to be distributed among thecampuses.Now with both the national andglobal economy taking a turn for theworst, GovernorPatersonhascalledforthe NYS legislature to convene after theupcomingelectionsonNovember18todiscussthefinancialcrisisloomingoverthe NYS’ budget and economy. It ishighly anticipated that this specialmeeting will result in further cuts. Ac-cording to Melucci, the Governor isfacedwitha$1.2billionshortfallinrev-enue. In order to assess this financialdilemma, the Governor is looking topropose another state-agency cut to thetune of $2 billion.In this proposed $2 billion cut,SUNY anticipates a third round of cutsas well as a possible tuition hike. Stony Brook has had only one tuition hike inthe past thirteen years, which was fiveyears ago. The latest tuition hike spikedto28%,anumberthatmayseemalarm-ing to current Stony Brook students. A28% increase of today’s tuition wouldresult in an in-state student paying$5,568 from the original $4,350, and$13,580 from the original $10,610 forout of state.A proposed alternative to a dra-matic hike in tuition, supported by Melucci and Stony Brook distinguishedSociology professor Norman Good-man, is a rationalized tuition that in-creases steadily and allows students topredict how much they would have topay for their education. Goodman, alsothe Vice President Secretary of theSUNY-wide Faculty Senate, is a sup-porter of free tuition, but deems it as“politicallyinfeasible.”Accordingtothe45-year Stony Brook Sociology profes-sor, “the most intelligent and politically wise thing to do is raise tuition to a rea-sonable level and tie that to a commit-ment to a rational policy in the future.”Itseemsthatthequestionregardingthe tuition hike is no longer “if” butrather “when?” “It would be crazy if itdoesn’t happen,” said Goodman.Melucci,whowouldalsobesurprisedif a tuition hike did not occur, is worriedabout students who rely on the TuitionAssistance Program (TAP). This pro-gram funds up to $5,000 for studentswho are the most financially needy.Melucciisworriedthatanunreasonabletuition hike may force students to chipin the amount of tuition not covered by TAP.In terms of total cuts, SUNY proj-ects to subtract a total of $210 millionby the end of the year, according toSUNY spokesperson David Henehan.Underthisprojection, SUNYislookingto receive a $64 million cut in the No- vemberemergencymeeting.AccordingtoHenehan,SUNYislookingintolong-term solutions to the chronic problemofunder-funding.Solutionsmentionedby Henehan include the proposition of a rational tuition plan and the revisionof personnel classification allowingSUNY to hire with flexibility. Thiswould permit SUNY to lease or sellpropertytogeneraterevenue,andallowSUNY to relieve its regulatory restric-tions,suchaspre-auditapprovalofcon-tracts.Currentlyadvocatingforadditionalflexibility and a tuition plan, HenehansaidaboutSUNY,“[it]providestremen-dous benefits to New York in the formof an educated citizenry, economic de- velopment,culturalenrichmentandso-cial mobility and therefore meritsinvestmentbythestate.”NewYorkStateSenator Michael J. Fitzpatrick (R) of Smithtown stressed the severity of thecurrent economic crisis. “The dust hasyet to settle,” Fitzpatrick said, “[this is]the end of a consumption culture andliving beyond our means.” When dis-cussing the SUNY cuts, Fitzpatrick saidthat higher education was of top prior-ity, but sees the “state has been spend-ing beyond its means for so long.” As aresult,cutsacrosstheboardaregoingtobe seen, includingSUNY.The Bundy Aid, untouched by any of the cuts, aids inde-pendentandprivatizeduniversities in NewYork and financially supports 105 privateinstitutions. Whenasked, Fitzpatrick saidthat the mere pointingof fingers and ques-tioning why one groupreceives more than an-other is expected, alsostatingthat“privatein-stitutions are equally importantasstate.”Yet,Fitzpatrick mentionednumerous times, “acrisis is a terrible thingto waste.” Fitzpatrick believesthatsuchacri-sis can result in legiti-mate oversight andreduce unnecessary expenditureandcreatea successful economy in the long-term pic-ture.Intermsofinvestinginhigheredu-cation, the majority of State Assembly-man and Senators interviewed relayedthe message that, due to troublingtimes, SUNY, along with all other StateAgencies, are to feel some pain. StateAssemblyman John McEneny (D) of Albany said that neither SUNY nor any other agency is “a sacred cow” that canbe protected from cuts. When it comesto tuition, “judgment comes in a vac-uum,” meaning that it would be hard to vote against a tuition hike if, alongsidethe bill, there is a proposition ensuringheat to a New York town over the win-ter, as McEneny put it.OneofthefewStatepoliticiansthatwas clear in voicing his oppositionagainst a proposed hike in tuition wasAssemblyman Steve Englebright (D) of
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Vol. XXX, Issue 3 | Wednesday, October 15, 2008
TuitionHikes,CutsandtheBudgetFiasco
By Najib Aminy
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