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Campus Campaign: The impact of our
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State/UW
System budget questions and answers
Gov. Jim Doyle's proposal to cut $250 million
from the UW System's 2003-05 biennium budget has put the System
at the center of a statewide debate about how to best address Wisconsin's
unprecedented $3.2 billion budget deficit.
UW-Eau Claire's share of the proposed
cut is $12.5 million. If the System budget is cut by $250 million —
and tuition increases as proposed by the Governor — the net affect
at UW-Eau Claire would be a 5 percent budget reduction, or about $5
million over the two-year biennium budget.
The following information may be of interest
as you follow or participate in campus and state budget discussions
in the months ahead.
How has state support changed for the
UW System?
- The Governor's proposed cut of $250
million represents 38 percent of the overall budget reductions —
yet the UW System accounts for just 9 percent of state spending.
- In the 2001-03 budget repair bill, the UW
System received nearly 24 percent of the cuts ($44 million).
- The state Legislature has approved another
$8.3 million budget reduction by June 30, 2003.
- Since 1973-74, state funding for the UW
System has shrunk from 51.8 percent of the overall budget to 31.1
percent.
- Approximately $1 billion of the UW System's
total budget of $3.5 billion currently comes from state tax dollars.
Twenty-six campuses and UW Extension share the state money. Student
tuition and fees, grants and private donations fund the remaining
budget.
- The Governor's proposed $250 million
cut is the equivalent of eliminating all state support for UW-Green
Bay, UW-Platteville, UW-River Falls and the 13 UW Colleges in year
one of the biennium, and erasing all state support for UW-Milwaukee
in year two.
- From 1992-2002, overall state spending increased
74 percent. Spending for K-12 schools increased 102 percent, aid to
local governments 84 percent and corrections 207 percent. By comparison,
state spending for the UW System increased 37 percent.
How does UW System tuition compare to
other states?
- Resident undergraduate tuition at UW-Eau
Claire and other four-year campuses is among the lowest in the Midwest
when compared to peer institutions. UW-Madison is second lowest among
the public Big Ten universities (Iowa is lower, but a 20 percent tuition
increase has already been approved).
- Undergraduate tuition at UW-Eau Claire for
the 2002-03 academic year is $3,100. Gov. Doyle is proposing a tuition
increase of no more than $250 per semester for UW-Eau Claire. Even
with the increase, undergraduate tuition and fees at a UW System comprehensive
campus would rank 31st out of 35 comparable Midwest universities.
- Tuition increases are tied directly to state
financial aid. Every 1 percent tuition increase generates $5 million
in revenue for the UW System, but costs the state only $250,000 in
financial aid. A 10 percent tuition increase, for example, would generate
approximately $50 million and cost $2.5 million.
- The Governor has proposed an additional
$23.6 million to increase financial aid, with those dollars coming
from auxiliary funds at UW institutions.
Can we cut administrative costs to make
up for new cuts?
- The UW System already has very low administrative
costs — 5.8 percent of the overall budget compared with the
national average of 10.3 percent.
- Across the UW System, there has been a 5
percent reduction in administrative positions in the last 10 years.
How do budget reductions affect accessibility
and/or quality?
- Currently 33 percent of Wisconsin high school
graduates attend a UW System school — the national average is
22 percent. We have the fourth most accessible university system in
the United States.
- Enrolling the same number of students with
fewer dollars will affect the quality of the student's education.
For example, students won't be able to get the courses they
need in a timely fashion, affecting their ability to graduate on time.
- Demand for UW System services is increasing
at the same time state support is decreasing. Access will be limited
to maintain quality.
How do college graduates help Wisconsin?
- Wisconsin ranks 31st in the nation in the
percentage of adults (23.8) with a four-year college degree. By comparison,
Minnesota ranks 7th (31.2)*. Minnesota's per capita income is
significantly higher than Wisconsin's, as is Minnesota's
Gross State Product.
- Wisconsin residents with a four-year degree
earn significantly more per year ($50,325) than someone with a high
school degree ($26,176)**.
- A college graduate earns an average of $1
million more than a
high
school graduate during the course of a lifetime.
- Eighty-two percent of Wisconsin residents
who graduate from a UW System campus choose to live and work in Wisconsin.
Twenty percent of out-of-state students stay and work in Wisconsin
after graduation. However, Wisconsin ranks last in the nation in attracting
college-educated graduates to its workforce.
- Many UW System graduates — whether
they live in Wisconsin or elsewhere after graduation — donate
significant dollars to their alma maters.
- UW-Eau Claire and campuses throughout the
state are regional centers, delivering high-quality education, along
with world-class cultural activities, arts, athletics, community and
economic development efforts, and community service. Every campus
greatly enhances the quality of life in its region.
How do campuses contribute to the state's
economy?
Ninety-nine cents of every dollar the UW System receives from the
state goes to the campuses and local communities where they are located
— creating a $9.5 billion economic impact annually.
- The economic impact in the three west central
Wisconsin Senate Districts (10th, 23rd, 31st) is $1.25 billion annually.
- UW degrees are awarded to 28,000 people
each year.
- UW supplies high quality, educated graduates
to fill the state's demand for skilled labor.
- Economists view the UW System as the economic
engine that will help drive Wisconsin forward as we continue to move
into the knowledge-based global economy.
*2000
Census. **NorthStar Economics 2001. 
Campus Campaign:
The impact of our gifts

There are many ways in which gifts to the Fulfilling
the Promise of Excellence fund-raising campaign help to support
UW-Eau Claire's people and programs. In this and upcoming issues
of the University Bulletin we'll share with you examples of how
designated campaign gifts are making an impact at UW-Eau Claire.
- The computer science department
has funds to recognize the outstanding work of its faculty, attract
and retain students and purchase equipment.
- The School of Nursing is renovating
its simulation labs and purchasing new equipment, providing nursing
students with real-life learning situations and enhancing their abilities
as they prepare to enter professional practice.
- Several of the excellence awards
presented to faculty and staff in August are being endowed, guaranteeing
a permanent revenue source for this program to recognize faculty and
staff. This endowment will free up unrestricted dollars formerly utilized
to fund these awards.
- The department of social work
and the School of Education will have endowed chairs
through gift commitments to be fulfilled in the future. These endowed
chair funds will be used to recruit and retain faculty.
- Accounting students have
access to a new accounting study center — complete with the
latest accounting software — where they can work on computers
and receive peer tutoring. At night and on weekends the space becomes
the Foundation's communications center, out
of which thousands of alumni and friends are contacted by phone for
their annual gifts. More alumni are giving and increasing their annual
support, thanks to challenge gifts received for the Telefund.

University
Bulletin ... going paperless
Go
Blugolds, Go Packers, Go Paperless!?
No
it's not a new sports team in the Chippewa Valley, but a phrase
that is being heard more and more around university campuses, particularly
when referring to faculty/staff newsletters.
Going
paperless with the University Bulletin is one way that UW-Eau
Claire can cut costs and increase efficiencies of our printed materials,
which, of course, is of vital importance as we address the current and
impending budget reductions. With that in mind, the University Bulletin,
which currently is produced in both print and online versions, will
be published only in an electronic online format and distributed via
e-mail beginning with the March 24 issue.
As
you know, we have redesigned the online version of the University Bulletin
to be more attractive and user friendly — and we appreciate your
comments or suggestions as we continue to make improvement to the Web
site and the distribution process.
Go
Paper! — also can be heard from the stands, as we realize
that some staff do not have frequent computer access. If this is the
case, request that your department print out a copy to distribute or
post.
We
hope that you understand the reason for the change and still appreciate
the news and information that is included in the University Bulletin.
If you have any comments or questions, call the News Bureau at 836-4741.
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