Even if what Gov. Rod Blagojevich calls "taxes on people" - the personal income tax rate and statewide sales tax - haven't been raised, people are paying more in other ways.
They are paying higher prices for goods and services from businesses passing along the cost of doing business in Illinois.
They are paying higher local sales or property taxes as schools and municipalities attempt to fill the gap when money expected from the state doesn't materialize - not to mention higher taxes paid as the price of gasoline soars.
Higher tuition rates at colleges and universities are another way people are paying to fill the gap left by the state.
State Comptroller Dan Hynes notes that higher education is getting less state funding now than it did in 2003. That's in real dollars - not inflation adjusted.
In 2002-03, public four-year universities received just under $2.6 billion in General Revenue Fund appropriations. That has fallen to $2.2 billion in the current fiscal year.
A large portion of that drop can be attributed to a change in how pensions are funded - $251 million now comes from sources other than the General Revenue Fund. However, state funding in actual dollars is still down $75 million over that period.
Meanwhile, average tuition and fees at public universities statewide have increased more than 50 percent, from a little over $5,000 a year in 2002-03 to nearly $9,000 in the current year.
The governor's budget has essentially no increase for higher education funding and state Rep. Dan Brady, R-Bloomington, said that is "very concerning for me." We are concerned, too.
Illinois State University, which is part of Brady's district, would receive $82.9 million in state funding under the governor's budget, the same as this year. In 2002-03, 31 percent of the university's funding came from the state. That percentage has dropped to 26 percent.
ISU President Al Bowman said the level funding from the state will likely mean a tuition increase for incoming freshmen.
Incoming freshmen in 2002-03 paid tuition of $121 per credit hour and fees of $40.57. This academic year's freshmen are paying $233 per credit hour and $56.91 per credit hour.
That means for ISU students taking 15 credit hours in the fall and spring semesters, tuition and fees have risen from just $4,847 a year to nearly $8,700 in just five years. That equates to a 79 percent increase.
The University of Illinois Board of Trustees on Wednesday increased its tuition and fees for this fall's incoming freshmen to $12,230 for students attending fall and spring semesters. Southern Illinois University's Board of Trustees is expected to vote on a tuition increase in April.
Community colleges are facing similar problems.
Five years ago, state funding accounted for 19.8 percent of Heartland Community College's revenue. This academic year, the state's share represents only 13.8 percent, with General Revenue funding down from $2.6 million in 2002-03 to $2.2 million in 2007-08.
Tuition and fees per credit hour have increased from $50 in 2002-03 to $77 in 2007-08.
While individuals benefit from a college education, the state also benefits from a well-educated citizenry. The caliber of higher education plays a role in attracting businesses to a state - especially high-tech businesses with good-paying jobs.
Short-changing higher education will short-change the state in the long run.
Posted in Editorial on Monday, March 31, 2008 12:00 am Updated: 12:15 pm.
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