The Center for Budget and Policy Priorities is out with a new report showing that Arizona leads the nation when it comes to the biggest cuts to higher ed on a per-pupil basis and has enacted the biggest percentage increase in tuition since 2008.
And, as the Children’s Action Alliance pointed out in a bulletin earlier today, the report doesn’t take into account the $99 million in cuts to universities that was approved by the Arizona Legislature and Gov. Doug Ducey earlier this year.
CAA notes:
The report cites research showing that higher education attainment is associated with civic engagement, home ownership, business start-ups, and lower crime rates. But Arizona’s investment was already low in 2008 before the recession. By 2015 Arizona state higher education funding per student had dropped to 49th in the country – this low ranking doesn’t even count the large additional budget cuts that will go into effect July 1.
One of the trends linked to shrinking investments in higher education in Arizona and other states has been shrinking the tax base with tax cuts and tax credits – and no replacement revenue. Arizona lawmakers have enacted 25 years of consistent tax cuts; these cuts to the revenue side of the ledge have led to cuts on the spending side in all aspects of education – K-12, community colleges, and universities. Arizonans can expect higher education to remain on the chopping block in future years as Governor Ducey has signed into law several additional tax cuts that shrink revenue beginning this year.
You can read the whole report here, but the Arizona highlights show that since 2008, the state has cut higher-ed per-pupil spending by 47 percent and increased tuition by nearly 84 percent.
This article appears in May 7-13, 2015.
Could it be that wage stagnation, based on illegal immigration, property tax reductions, because of sinking home values and no economic growth, left AZ in the “perfect storm?”
Todays youth may see college necessary if they plan to own a home, and many do not. Ultimately that may drive universities to cut overhead and lower tuition.
Pima County in particular needs to attract jobs. Not destroy them.
And the legislators think that low taxes will attract more businesses. Right.
We need more Arizona business people to get vocal about these cuts.
Lower taxes and less regulation. many development rules and procedures are punitive and ineffective.
It’s worked every time it’s been tried.
I work in CA for a company that makes things (not just software) and my mother-in-law works at the UofA. She was pressing for what it would take for my company to put a factory in Tucson. She was horribly disappointed when I told her that the costs (even in 2000) were not the problem. The problem is that my company needed skilled, educated people and we couldn’t find a large enough pool in AZ. The problem isn’t finding the few exceptional people that wanted to work in Tucson, the problem is getting enough of the right people that can fill a factory.
Oh, and did anyone notice that CA has a budget surplus this year? Somehow we do it with higher taxes and more regulation than AZ. And the property values are insane because more, high skill folks keep moving here.
Tucson has a shortage of educated workers because they educate at our expense and move to California. This erodes the tax pool and makes it impossible for small business to become big businesses.
The City and County maintain a vicious cycle. Bring employers of 200 or less and let that percolate. We will not attract well paying jobs by offering citizenship to illegals fleeing a failing country.
mwd3’s comment highlights an interesting phenomenon.
“The University of Arizona employs more than 12,000 people in positions ranging from Dean to accountant, from secretary to professor. Employees are designated as either Classified Staff or Appointed Personnel that includes a number of employment categories and designations that determine the conditions of employment for each position.”
12,000 quasi government workers were found to be qualified to run the U of A.
Or are they?
California?
What prompted the turnaround?
Three things: Major spending cuts over the last few years, big tax increases approved by voters in November and general improvement in the economy.
When Brown took office in 2011, the state faced a $26.6 billion budget gap. To close it, the state slashed spending for schools, the correctional system, health and human services and higher education.
California’s general fund spending dropped to $93 billion this fiscal year, down from a peak of $103 billion in 2007-08. The state workforce contracted by more than 30,000 positions. Spending on schools plummeted to $47.3 billion last year, down from $56.6 billion four years earlier. The state limited the time adults could receive welfare cash assistance to as little as 24 months, down from 60 months.
So spending cuts are three years old, and tax increases are 6 months old???
Perfect time to report progress don’t you think?
Leading the race to the bottom — Arizona…
Don’t worry though, Wyoming and North Dakota will rejoin the USAmerican race to the bottom as soon as their losses from the Saudi’s putting their fracker out of business accrue…
How many illegals have come in to the state to pull down the $$ per student? Pretty high number. Spending /Illegals = less per student. Eliminate the Administrator to teacher ratio and the spending effectiveness will increase. Go Ducey!!!
If we as taxpayers increase spending, what assures us that it will lead to increased performance of students/ or that they will remain in AZ? Nothing on either front.
Oh, let’s become another Baltimore, increase spending by hundreds of millions on education to the second highest in the nation and then have riots and magnet school students whose reading and math scores are in the 25-28% range, beating up good Samaritans.
Great point Joe. What has spending done for Maryland? Given them high expectations for handouts, high unemployment and high crime. Their income inequality may be the biggest in the nation.
Spend your way out of this? Nyet!
It’s going to take a change of heart and morality, combined with personal responsibility.
What do we know about California?
Here are this year’s 10 worst cities in which to start a business, and their rankings for access to resources and business environment:
Newark, New Jersey. Resources: 111; Environment: 150
Jersey City, New Jersey. Resources: 147; Environment: 138
Garden Grove, California. Resources: 139; Environment: 133
Yonkers, New York. Resources: 144; Environment: 106
Fremont, California. Resources: 149; Environment: 91
Ontario, California. Resources: 136; Environment: 123
Oakland, California. Resources: 134; Environment: 114
Santa Ana, California. Resources: 118; Environment: 146
San Jose, California. Resources: 140; Environment: 103
Anaheim, California. Resources: 131; Environment: 118
This article makes a great case for taking TUSD away from current management and trying to fix it. A competent work force is crucial. What has happened to CA with all the money they spend?
http://www.businessnewsdaily.com/7940-best-cities-for-businesses.html
You can’t throw money at a problem. I hate to see the tuition at community colleges increase a they have done recently and will continue to do in the future.