Mixed bag of money matters

Between taxes and spring break, money is on the student's minds. A college degree from IU can set us up for comfortable living in the future, but the archetypal broke college kid is no myth. However, public scholarship money might dry up soon, and the state seems unwilling to give universities the funding they need. To balance the universities' books, the burden will probably fall on students even more.\nIU President Adam Herbert recently testified in front of the appropriations committee in the state Senate to explain to legislators what the University needs. He didn't ask for luxuries; he asked for sufficient funds to keep IU running at its current capacity. While balancing the state budget in one year is an admirable goal, it might not be worth stagnating progress at our state universities. Universities maintain a unique position in aiding the state economy, and cutting funding when the colleges' budgets are already bareboned is an unwise decision.\nThe picture isn't bleak, but it's worrisome to current and future students. Last year was the first time IU's endowment reached a benchmark of $1 billion, which puts IU among the top 15 public university endowments. That figure will of course provide IU with financial stability in the future, but right now the University faces shortfalls and cuts. \nIU has taken extra measures to supplement stingy state and federal allotments. One such measure is the exclusive contracts with Coca-Cola and Adidas. In these programs, IU gives the companies exclusive on-campus access in exchange for extra cash. That money helps IU to avoid asking us, students, for even more money. \nPresident Bush's budget proposal will undergo many changes before a final version is passed, but the initial budget plans to cut the Perkins Loans, from which IU receives about $10 million annually, and doesn't seem to make up for that loss of education money for needy college students. If IU's new federal lobbyist, Douglas Wasitis, can use his experience in the Capitol Hill budget process to benefit the University, IU will be in a better position to get money for research, but IU and other schools cannot educate students from diverse backgrounds if the government keeps cutting money for loans and grants. \nIU seems to be holding up its end of the bargain with the state: facilities projects that aren't absolutely, immediately essential have been put on hold (although building improvements need to happen soon), the University gets money from contracts with businesses and is building up its endowment for the future. \nIU is holding the line on spending as well as it can, but that resistance can't last indefinitely. When the frontline of defense against red ink fails, it will be up to the students to make up the difference if the state government doesn't value higher education enough to fund it properly. There will never be quite enough money to make everyone happy, but it's insulting for the system of funding to set students up for higher tuition and then reduce the pool of federal grant aid.