The University and other Virginia institutions of higher education may face new funding problems after the General Assembly passes the 2001 budget.
Budget proposals from Gov. James S. Gilmore III (R) now before the House of Delegates and the Senate would give colleges and universities less funding than the Virginia Business Higher Education Council recommends.
Virginia's schools need $200 million more a year to be funded adequately, VBHEC Chairman Til Hazel said at a press conference Wednesday.
The VBHEC report released Wednesday said there was a lack of funds for Virginia's colleges and universities. It also said Virginia's public and private institutions will need to serve 43,000 more students by 2010 which will make them need more funding.
"The General Assembly's calculation is that the deficiency [in higher education funding] system-wide is $200 million this year, and that our share is above $17 million," University President John T. Casteen III said.
Funding has been inadequate for higher education since Gov. Douglas Wilder (D) cut the budget in 1990, Casteen said.
The VBHEC's report also compared Virginia institutions with their North Carolina peers. The comparison showed the University lagged behind the University of North Carolina-Chapel Hill by approximately $491.8 million in state building and renovation commitments.
The report also said the Commonwealth allocates $7,000 per student while UNC receives $17,879 per student in state funding.
North Carolina has devoted $3 billion, but Virginia cannot afford $2 billion for education, VBHEC Executive Director Don J. Finley said.
Out of the its 15 peer institutions, which includes schools such as UNC, the University ranks next to last in general fund appropriation per student.
"We're not keeping up with our peer institutions," Del. Mitch Van Yahres (D-Charlottesville) said.
Virginia does not have the revenue base to spend on education, Finley said.
"I recognize the need for more revenue," Van Yahres said. "I've always said that the state is not carrying its weight with education," he said.
But Gilmore's Asst. Press Secretary Yooree Oh said Gilmore has increased higher education funding every year.
Gilmore put 40 percent of a federal tobacco settlement into a higher education trust fund, Oh said.
"Higher education has been the governor's top priority," Oh said.
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