Last week Gov. Scott McCallum proposed his Budget Reform Act of 2002. At first glance, students may feel that this proposal, with its $50.5 million cut in UW System funding, demonstrates a lack of commitment to higher education from the governor. Some attack his proposed elimination of shared revenue programs. However, a closer look at the governor's proposal reveals the necessity of these cuts and that it keeps in mind the overall outlook'protecting the economic future of Wisconsin.
McCallum's proposal does not raise taxes in Wisconsin'currently the third-highest-taxed state in the United States. This protection will allow consumers in this state to continue to spend money and self-stimulate the economy.
In addition, Wisconsin loses a large percentage of UW-Madison graduates each year'the brain drain'because it is easier for many companies to entice top graduates to leave the state and avoid Wisconsin's high taxes than to set up business in Wisconsin. If McCallum were to raise taxes further, more companies would most certainly leave this state and more UW-Madison graduates would also be enticed to leave. Not raising taxes will help protect Wisconsin's long-term economic outlook.
Estimates project a $1.1 billion budget shortfall in Wisconsin. A shortfall this large requires cuts almost across the board. The governor is leading by example in these cuts by proposing to cut state government operations by 11.5 percent, his own office budget by an astounding 16.5 percent and the Department of Corrections by 6 percent.
Two of the smallest cuts are the UW System and the Technical College System budgets, which would be cut by 4.5 percent, and local government spending which, under McCallum's proposal, would be reduced by 4 percent and the shared revenue program would be repealed.
McCallum has the foresight in his budget plan to prohibit the Board of Regents to do what they traditionally do in a budget crunch'raise tuition as high as is necessary'without first looking at ways to save money by cutting some of the bureaucratic waste within the UW System. McCallum has instituted a 10 percent increase cap on tuition. Anything higher would need approval from a legislative Joint Finance Committee. This will finally force the Regents to do their job and cut out some of their wasteful spending. McCallum has gone a step further; his proposal also includes an additional $2 million for financial aid to low-income students attending college in Wisconsin. This financial aid will protect students with the greatest need from rising tuition costs.
McCallum's repeal of the revenue sharing plan is being done slowly. The plan will not be repealed under his proposal until 2004. Again, McCallum had the foresight to place limits on counties and municipalities to ensure these cuts do not equal skyrocketing property tax increases'unless citizens vote in favor of raising their own taxes.
While affordable tuition is important to all students, college students are not the only important population in the state. Are we poor? Most college students are poor, even if the state disagrees when disbursing financial aid. Are we receiving an incredible education at one of the lowest tuition levels in the Big Ten? Yes.
Protecting the spending levels in Wisconsin's elementary and secondary schools ensures a bright future for Wisconsin. McCallum is keeping his pledge to fully fund a class-size reduction plan and he is not cutting funding for special education.
McCallum is also protecting Senior Care, which assists senior citizens in covering the rising costs of prescription drugs. Plans such as Badger Care, Family Care and childcare subsidies will not be cut'thus protecting Wisconsin residents in need of assistance and medical care.
The governor's Budget Reform Act of 2002 only allows the Board of Regents to raise UW tuition by an additional 0.9 percent. (The Regents already announced tuition would rise by 9.1 percent.) In the end, not only does it appear that students were protected by Governor McCallum's budget proposal, but Wisconsin's future appears to have also been protected.
