Iowa Board of Regents Budget Woes

To The Editor,

I read with approval Iowa State University President Greg Geoffroy’s idea of charging differential rates for different majors based upon the cost of those majors to the University. Kudos to Dr. Geoffroy for looking at the budget problem through the eyes of a capitalist, rather than the eyes of a socialistic governmental bureaucrat!

It is my understanding that out-of-state demand for matriculation remains strong. At a minimum, Iowa taxpayers should not be subsidizing out-of-state tuition. One would hope the out-of-state students are profitably compensating our State institutions for their educations. If they are not, increasing out-of-state tuition would be my highest priority.

My next recommendation would be to give tuition credit, or rebates, to any and all students who work in Iowa after graduation. I realize that not all students who wish to stay in state are afforded that opportunity. Our regent institutions graduate more qualified students than Iowa’s employers can accommodate. Which means that Iowa’s taxpayers are over-subsidizing the production of college graduates.

Iowans subsidize education because it is good business to ensure an ample supply of qualified and trained employees. When we over produce college graduates, we do so at our own expense. IF creating college graduates were a moneymaking proposition, overproduction for in-state needs would be of no concern. However, as our legislature continues to divert immense sums to our regent institutions, it should be evident that it is most decidedly NOT a profitable undertaking.

The overproduction of college graduates results in the over taxation of Iowans and businesses. Exorbitant tax rates reduce the number of new businesses who might otherwise relocate to Iowa. Those new businesses could have provided both a greater demand for our graduates, and an increased tax base. So, if our regent institutions continue to provide graduates exceeding demand, the legislature will continuously cut budgets.

There is an alternative. If one reviews the number of state universities in surrounding states as a ratio to their population, one will discover that the State of Iowa has AT LEAST one too many public institutions. Perhaps the answer is to sell one of the three institutions to private interests, and INCREASE the budget of the remaining two institutions to accommodate the greater demand.

Ray Holtorf
Iowa's 4th Congressional District