Bill passed reduces budget gap using SUNY tuition

In order to reduce the $1.6 billion state budget gap, Gov. Paterson and other democratic leaders passed a bill in support of a Deficit Reduction Plan, Tuesday Feb. 3. One part of the plan sends 90 percent of the money from the SUNY tuition increase to alleviate the state budget deficit. This action has raised major concerns among SUNY officials. The newly-implemented tuition increase generates around $76 million from all SUNY schools. Most of this money will go toward paying off the state budget deficit, roughly around $68.4 million.

For students this spring semester, it means their tuition increased by $310. After paying this, $279 will go toward the state, while $31 will go to the SUNY schools.

"Instead of tuition being used for campus-based educational purposes, a nearly equivalent sum would be swept into the state's general fund to reduce the deficit," a SUNY representative said. "This is sleight-of-hand. It violates SUNY's compact with its students and their families."

This decrease in SUNY funding is in addition to the $146 million that was cut from SUNY funding in 2008 alone.

The agreement was between Gov. Paterson, Assembly Speaker Sheldon Silver and Senate Majority Leader Malcolm Smith. No Senate Republicans voted in favor of the plan that passed 32-29 in the Senate. It passed quickly through the Assembly with a Democratic majority.

The decision was one of the first actions by democratic leaders since having control of the state government.

The plan will also transfer other fund balances from agencies and public authorities to the state's budget fund. It does not include, however, cuts to healthcare.

"We will pretty much be throwing everything but the kitchen sink at this budget deficit," Paterson said at a conference that Tuesday.

Paterson deemed the plan to be a "message of necessity" in order to prepare it for legislative action.

Senator Minority Leader Dean Skelos (R-Long Island) denounced the plan, saying it would be like "stealing." He argued the SUNY tuition increase was meant to help get back those funds that were already cut from the SUNY budget.

The SUNY Student Assembly, which represents students of SUNY schools, also disagreed with the decision in a press release on their Web site.

"SUNY students are not ATMs for the state," Jacob Crawford, trustee and president of the Student Assembly, said. "Tuition is not a tax. Yet, lawmakers seem convinced of the opposite. I never could have dreamed of such a gross misuse of my tuition dollars; we have truly seen the ultimate bait and switch in Albany."

The Student Assembly is also forming a petition to "Tell Governor Paterson and the State Legislature to Stop Stealing from SUNY students."

Next year, the plan outlines for SUNY to retain 20 percent of the tuition increase for new investments and 80 percent to the state.