State behind in spending on public colleges

Leaders say more is needed to compete

Massachusetts ranks near the bottom nationally in state spending on public colleges and universities, new statistics show, a shortfall blamed in part for tuition increases and deteriorating campuses and for undercutting the system's quest to achieve greater national prominence.

At $1.1 billion, the state's recently approved annual budget for higher education pales in comparison with that of many other states. North Carolina, for example, spent more than three times that amount last year, and Pennsylvania allocated about twice as much. Alabama, Kentucky, and Louisiana all invested substantially more.

By two widely used measures - higher education spending as a percentage of personal income and by population - Massachusetts ranks 49th and 46th, respectively, according to the Center for the Study of Education Policy at Illinois State University.

State funding is the subject of growing debate as Governor Deval Patrick pursues sweeping changes in the Commonwealth's education system. It also carries broad consequences for the University of Massachusetts at Amherst as Robert Holub, its new chancellor, seeks to raise the school's standing among leading research universities.

Many education and business leaders say that such funding is critical to the state's economic competitiveness, amid wrenching socioeconomic shifts, including an exodus of young workers and an aging population.

"If there's a state that should be obsessed with higher education, it's Massachusetts, but we're not," said Paul Grogan, president of the Boston Foundation, which has called for funding increases.

"The demographic problems make this imperative," Grogan said. "We're just not going to have the skilled talent we need."

Frederick Clark, chairman of the state Board of Higher Education, said boosts in spending are crucial for the state's economy to remain competitive.

"I don't think the state can really afford to be sluggish in addressing the need for greater investment," he said. "For too long, public higher education in Massachusetts has been the poor stepchild. We need to identify this as an economic priority."

State budget cuts have drawn the ire of federal lawmakers, who agreed last week to penalize states that do not meet certain budget benchmarks. Under the measure - sponsored by US Representative John Tierney, a Salem Democrat - states that do not maintain funding forfeit eligibility for some federal assistance.

Tierney, a member of the House subcommittee that oversees higher education, said inadequate state funding has caused college costs to surge, offsetting increased federal financial aid.

"There's an incredible correlation between increased tuition and fees and declines in state investment in higher education," he said. "It's the consistency in funding that's needed."

The fiscal gap between Massachusetts and other states has deepened in recent years. Nationwide, funding for higher education has surged 56 percent over the past decade, but in Massachusetts it has climbed just 14 percent.

In response, public colleges have been consistently raising their charges. This year, a slumping economy and a challenging loan market have made college costs even more daunting for families.

"It hits students hard," said Patricia Meservey, president of Salem State College. "They increasingly bear the burden."

Education officials say the preponderance of private colleges, including some of the nation's most prestigious institutions, is a major reason for low state funding.

As universities such as Harvard, MIT, and Boston College command the limelight, state schools are relegated to secondary status, lawmakers and administrators say. Compared with public universities in states such as Virginia and Indiana, those in Massachusetts have a lower profile and less political clout.

Massachusetts is among the states with the highest percentage of students attending private colleges and universities, said Max Page, a UMass-Amherst professor and president of the faculty union.

As a result, he said, low public funding for state colleges "becomes self-perpetuating, and there's no doubt that both quality and access suffer."

Advocates for increased spending were hopeful for a breakthrough under Patrick. But while he has called for a range of ambitious changes, including making two years of community college free, budget increases for higher education have remained modest.

"I think it's an embarrassment for Massachusetts that we are so far down the charts," said Richard Doherty, president of the Association of Independent Colleges and Universities in Massachusetts, which is calling for an sharp increase in need-based financial aid to help students from poorer families attend college. "It's absolutely something that warrants attention."

Holub, who began as chancellor Friday, said consistent funding is crucial to improving the flagship campus in Amherst, which has more than 25,000 students. Holub said he will lobby legislators for funding increases, in addition to bolstering private fund-raising, and said he is encouraged by Patrick's vocal support for higher education.

Holub and others point out that Massachusetts fares substantially better in comparison to other states when judged by spending per student, at about $7,350. But that figure has dropped 8 percent in the past five years.

Some observers question whether increased spending is necessary, given the proliferation of private alternatives. "We have to be careful not to assume that money is the answer," said Steve Poftak, research director of the Pioneer Institute, a public policy think tank. Poftak acknowledged that many public colleges have serious infrastructure needs, but said there are "many inefficiencies that can be wrung out of the system."

College officials praise the $2.2 billion in new spending over the next decade for campus improvements, but noted it represents the first major capital outlay since 1995. That has left many buildings outdated and badly in need of repair.

"The bottom line is that the lack of funding compounds the problem," said Robert Antonucci, president of Fitchburg State College. "Every year you neglect institutions, costs of repairing them increase."