Southeast faces cuts as budget is debated

JEFFERSON CITY, Mo. -- Southeast Missouri State University's state appropriation would be cut by either 10.6 percent or 6.7 percent under a higher education spending plan the Senate is expected to debate today.

The differing percentages stem from the Senate Appropriations Committee's budget-writing approach that calls for $18.8 billion in total state spending with existing revenue or $19 billion if lawmakers can come up with another $200 million.

Without new money, Southeast's state appropriation would be $40.5 million for the fiscal year that begins July 1. That would be $4.8 million less than what was budgeted for the university for the current fiscal year. Gov. Bob Holden had recommended the funding levels for Southeast and other public universities remain unchanged.

Under the Senate committee plan, however, $1.8 million in cuts to Southeast would be restored. As a result, the school's appropriation would instead drop to $42.3 million.

The full Senate began work Tuesday on the 13 bills that make up the state's operating budget.

In January, the Democratic governor proposed a nearly $19.3 billion operating budget that he said already assumed about $280 million in cuts but which depended on $730 million in new revenue -- mainly higher taxes -- to balance.

The Republican-led legislature has ignored most of Holden's tax and revenue proposals. The House passed an almost $18.6 billion budget last month balanced entirely with cuts.

The Senate version softens some of those cuts, but not as much as desired by Holden, who has said he would veto the budget in its current form.

Finding $200 million

Once the Senate returns the appropriations measures to the House of Representatives, the upper chamber will consider the revenue package. The details of that proposal are still being finalized, but it is expected to include higher taxes on casino operators and an elimination of the $500 individual loss limit per gambling session. These items are what lawmakers expect to make up the bulk of the $200 million in additional revenue that is being sought.

"This seems to be a good option to keeping the budget process moving forward," said state Sen. John Russell, R-Lebanon.

However, Senate Minority Floor Leader Ken Jacob, D-Columbia, expressed concerns with the dual approach and said it would put little pressure on the House to drop its opposition to a tax increase.

"We have built a phantom budget," Jacob said.

As the legislature's regular session ends May 16, lawmakers would likely be forced into a special session if Holden followed through on his threat.

Senate President Pro Tem Peter Kinder, R-Cape Girardeau, said that wouldn't be productive.

"We don't need a special session," Kinder said. "We need an on-time budget."

Kinder passed out stickers to fellow Republicans bearing an image of a $1 bill and reading: "OTB, On-Time Budget." The Missouri Constitution requires legislators to give final approval to a budget by May 9.

The Associated Press contributed to this report.

mpowers@semissourian.com

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