Paying for higher ed

Sunday, April 8, 2012 | 2 a.m.

Nevada has relied on a complicated formula to fund higher education for years. The result has been disparities in the system, particularly between the north and south.

No doubt there are equity problems — college presidents have complained about them for a long time — but now it appears things are going to change.

Dan Klaich, the chancellor of the Nevada System of Higher Education, said the current funding formula no longer serves the state and should be fixed.

“I think the pressure on the system and the old formula has built to a point that it won’t last another two years,” Klaich said in a meeting with the Sun’s editorial board.

Klaich said this will be the biggest issue for higher education in the Legislature next year.

Indeed. A legislative committee is studying the issue and recently hired consultant SRI of Menlo Park to help. The committee will make recommendations for the 2013 Legislature.

Klaich proposes to change the funding formula, which he said would provide greater equity. He said he wants the formula to be simpler than the current version, which would be welcome, and he is trying to tie funding into performance rather than enrollment. His plan will be reviewed by the legislative committee.

The question of how to change the funding formula is complex, and lawmakers should take a hard look at every proposal offered. At the very least, they should seek a greater sense of equity, which has been elusive for Southern Nevada’s schools.

The current funding formula was created by the Legislature under the leadership of the late Sen. Bill Raggio, R-Reno, who was masterful at shuttling resources to Northern Nevada. And, as a result, Southern Nevada schools have been short-changed by a formula weighted to the north.

That can’t continue. UNLV has grown significantly, yet the state funding hasn’t kept pace because of the formula. The state has to address the needs of Southern Nevada’s schools, especially considering their vital role in educating the state’s workforce. The bulk of the students in Nevada’s colleges and universities resides in Clark County, so under-funding the schools here is unfair and makes no sense. That’s especially true considering the role higher education can play in the economy.

A study of the Intermountain West has shown that regions with higher education levels have fared better than others during the nation’s economic doldrums. As we have said before, colleges and universities can help drive an economy, but they have to be given the chance.

The funding formula by itself isn’t the answer. Lawmakers should consider the overall funding of higher education. Klaich has made a point of keeping the discussion about the funding formula separate from that discussion. He told the Sun that he didn’t want it to look like he was using the funding formula to try to get more money out of the state. That’s fair, and lawmakers shouldn’t confuse the two. Nor should they think that by fixing the funding formula, the problem will be solved. No matter how perfect the funding formula is, it won’t matter if the Legislature doesn’t fund it sufficiently.

Of course, this isn’t a matter of simply throwing money at the problem. Any spending has to be strategic and directed toward meeting the state’s goals, and there has to be results. However, at the same point, the state’s spending on education simply hasn’t been adequate.

The bottom line is that lawmakers need to make sure they take a serious look at the issue. Given the economic implications of higher education, it’s important that they get this right.

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