Legislators approve tuition-cap exemption, reject Virginia Labor Studies Center funding

When the state legislators left Richmond last week, VCU officials not only learned they could request an exemption from the governor for the 5 percent cap on increasing tuition, but they also didn’t have general funding for the Virginia Labor Studies Center in the School of Business.

Eugene Trani, VCU’s president, said he wrote the governor supporting the tuition cap exemption, and the university also set aside $750,000 for additional financial aid for the next two semesters.

“That shows that the administration is very concerned about tuition increases,” he said.

This session’s legislature gave the governor the authority to exempt state-supported colleges and universities from the tuition increase limitation in the event that additional appropriations reductions are needed. It did not, however, appropriate $177,154 for the Virginia Labor Studies Center despite the governor’s request.

Kevin Hall, deputy press secretary for Gov. Mark Warner, said the governor considers the tuition cap exemption a necessity in case further budget cuts are needed.

“The budget cuts that we have had to apply to colleges and universities (have) totaled more than $300 million,” he said. “Without this flexibility, more colleges and universities could be forced to implement further reductions that could significantly impact the quality of education.”

John Broadway, VCU’s associate director for government and community relations, said the tuition-cap exemption provides more flexibility for universities should the state’s economic condition worsen.

“It gives (Warner) the ability to lift the 5 percent cap and allows a little more flexibility in setting tuition,” he said.

John Hutton, program manager at the Virginia Labor Studies Center, said the organization will cut two full-time positions because of inadequate funding. It will continue to employ Robert Trumble, former dean of the business school, as director in addition to one part-time graduate assistant. Hutton said the center would continue its work with a grant from the Virginia Employment Commission.

“We’re not closing our doors – we’re just cutting down,” Hutton said. “We will not be able to provide the educational research services that we have provided for the past 9- and-a-half years.”

Broadway said he thought the legislature rejected the amendment appropriating money for the center to remain fair to other university research centers that also lost funding.

“Of all the university centers (that) had funds reduced during the regular session, this was the only one the governor sent back an amendment for,” Broadway added.

Hall said the governor requested funds specifically for the Virginia Labor Studies Center because it is “uniquely positioned to provide training and research not available in the private sector.”

The center began operations in July 1993 and is committed to developing leadership for the improvement of labor-management relationships in the commonwealth, according to its Web site.

Approved

* Governor can exempt state-supported colleges and universities from the 5 percent tuition cap

* Exemptions will be given only if the state further cuts funds for schools

Rejected

* $177,154 appropriated for the Virginia Labor Studies Center in the School of Business

* The center will cut positions to compensate for inadequate funding