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Another fresh, new fiscal year is fast approaching and the country gears up to face another spate of potential budget cuts. During his State of the State address, Jay Nixon, the Gov of Missouri, delivered his budget plans for the state. He addressed the issue of higher education funding in his speech. 

Zachary Wyatt, House Rep of Missouri optimistically welcomed decisions taken by the Governor. He said that higher education may not actually face any large cuts. Wyatt said that you certainly do not revisit the same place you hit hard the previous year and this is what he learnt from his leaders and colleagues. He expressed his hope that level funding from last year will be maintained this year too to ensure that there is no cut.

Troy Paino, university president talked about the horror stories he heard about higher education institutions facing up to 18.9 percent cuts. In a span of three years, if the cut touches 25 percent, state schools may face a huge challenge though it all seems to be a speculation at this juncture.
He also said that we will just be fooling ourselves if we hope for the same support level like we enjoyed twenty years back. He was fairly certain that those golden days are gone forever.

Administrators must look for ways to save on their own budget as this is the only way to ensure that the university builds a “war chest”. This will in turn absorb the imminent cuts next year.
He talked about the freezes placed on various positions. According to Paino, larger cuts would just tip the balance and universities will then be forced to change their way of operation. He highlighted many different things that can be done to ensure sustained progress.

Paino said that changes have to be made in such a manner that student experience is preserved and is distinctive. This, he said, is possible only with a high level of optimism and a lot of trust but expressed his conviction that they can do it.

Wyatt expressed his opinion that cuts are inevitable even as higher education continues to be safe. He said that federal economic stimulus of $450 is not available this year. This year’s expanded Medicare is absorbing all the revenue generated from our 2.9 to 3.2 percent growth this year, he said.

Wyatt said that larger cuts will have to be faced next by the judiciary. This in turn will lead to a situation where their upcoming pay raise may not be funded. The way in which non-violent criminals are dealt with by the state may also have to be re-evaluated, he said. The only thing we can do at present is to hope for the best even as we expect the worse.

Budget will move on to the general assembly for approval after the State of the State address by Nixon. According to Paino, enough time will be given to the administration to analyze Nixon’s presentation before the address on Jan 31st.