By Tom Latek
Kentucky Today
Higher education officials are still assessing the ramifications in program cuts announced Tuesday by Gov. Matt Bevin during his State of the Commonwealth and Budget address.
Some two dozen programs for higher education are among 70 the governor said would be unfunded in the appending plan submitted to lawmakers.
Robert L. King, president of the Kentucky Council on Postsecondary Education, said there are a number of programs run through his office that have been zeroed out.
King speaks at committee hearing. (Kentucky Today photo)
“There are others I know our campuses are going to want the General Assembly to reconsider,” he said. “The lung cancer research programs at the University of Kentucky and University of Louisville, the study of folk art at Morehead, that is very important to them. We’ll be having those discussions with the campuses, getting their input and coming back to the General Assembly to see if they are interested in reinstating them.”
Another adjustment will deal with the $300 million appropriation for deferred maintenance, which requires matching funds from the school.
“Will the campuses be able to issue their own bonds for the match? The current Governor’s budget doesn’t provide that authority, but I understand the administration is probably willing to have that included,” King said. “Members of the General Assembly indicate they are interested in giving the campuses that authority.”
Increased pension costs to the regional universities is also a concern, according to King.
“At Northern Kentucky University, for example, the impact for them is extraordinary. The total impact to the six comprehensive universities and KCTCS, in the upcoming year is $47 million of additional costs, on top of what they’re already spending. If that’s not funded, it’s equivalent to a cut. For Northern, our estimate is this would have the impact of a 25 percent cut in their operating funds.”
On the topic of the unfunded programs, King says some are large, some are not.
“The lung cancer research, for example, is funded through tobacco settlement money, so we’re hoping we can get that restored. Some of the others come directly out of the General Fund, and we’ll have to negotiate. That’s part of the process.”
King says he appreciates and understands the financial mess the state is facing. “But we also know that to get out of the mess, we’re going to have to make some investments. You’re not going to be able to cut your way to prosperity.”
He says to attract new businesses to Kentucky, or encourage employers to expand, they need a trained, educated workforce.
“The only way that’s coming, is through our public universities and KCTCS. To continue this erosion of funding for the single most powerful tool the state has, to create the workforce we need. We have to re-think this.”
King said tax reform is the solution.
“State leaders and the General Assembly need to understand that eventually it’s going to require not just cuts, but more revenue,” he said. “And that gets to tax reform. We hope the governor will take the lead, since he’s talked about it, and that the General Assembly will follow that lead. An approach to our tax system that both modernizes it and makes it more efficient, to meet the needs of the state, long-term.”
