Gov. Nixon Proposes Tapping University Reserves
JEFFERSON CITY - Gov. Jay Nixon wants five Missouri universities to consider tapping their reserves to help plug a hole in the state budget and provide funding to the state's higher education system.
Nixon's proposal would call for the universities to provide the state $107 million from their reserves. The state would use that money to help avoid deep funding cuts to Missouri's public colleges and universities. The state would repay the schools over seven years with money from the Missouri Higher Education Loan Authority.
Nixon's budget director calls it only a preliminary proposal. The institutions whose reserves would be tapped are the University of Missouri, Missouri State University, the University of Central Missouri, Southeast Missouri State University and Truman State University.
Some state lawmakers have expressed concerns about the proposal.