August 21-26, 2013
Aug 21 10:44 Kelliher: repeal telecommunications tax Aug 22 00:08 Cigarette tax hike hurting Minnesota businesses Aug 22 14:00 Sarah Anderson speaks out against tax increases Aug 23 06:36 Professor exposes grade inflation at SCSU Aug 26 05:21 SCSU, MnSCU procedures meaningless at SCSU Aug 26 06:02 DFL pundit: We screwed up Aug 26 12:34 Higher Ed Excessses Aug 26 22:18 SCSU's shoddy documentation
Prior Months: Jan Feb Mar Apr May Jun Jul
Prior Years: 2006 2007 2008 2009 2010 2011 2012
Kelliher: repeal telecommunications tax
This headline might startle Republicans:
DFLer Kelliher aligns with state Republicans on tax repeal push
While it's nice having another Democrat agree with Republicans that raising taxes is a terrible idea, this isn't that surprising:
Former Speaker of the House Margaret Anderson Kelliher, a Democrat who is one of the state's leading broadband advocates, agrees with Republican leaders that Minnesota should eliminate a new sales tax on telecommunication equipment purchases.
Here's why this isn't surprising:
Margaret Anderson Kelliher speaks at the DFL victory party and shows her support for Mark Dayton on Tuesday, Nov. 2, 2010. A Democrat and former House speaker who now chairs Gov. Mark Dayton's Broadband Task Force, she is aligning with Republican lawmakers in their opposition to a new sales tax on telecommunication equipment purchases.
It isn't a stretch to think Kelliher wouldn't push for this tax increase repeal if a) she didn't think the tax increase was a political loser and b) her ox wasn't getting gored.
Tim Pugmire's report said that Kelliher wrote Gov. Dayton a letter about her opposition to the telecommunications sales tax. In that letter, Kelliher said that imposing a sales tax would raise the cost of installing broadband, causing companies to spend less on that type of infrastructure.
First, it's important to understand that sales taxes are inflation-creating taxes. It's impossible to argue that sales tax increases don't raise the price of something. When we're talking about major investments in broadband, the cost of a project increases significantly.
Second, it's impossible to argue that higher prices won't affect how many projects will be worked on. Expensive project equals fewer projects.
Third, the fact that the DFL didn't think this through is proof that they're the party of raising taxes first, then worrying about the ramifications later. Democrats, from President Obama to Gov. Dayton, have preached about the need to make broadband the standard for the nation and Minnesota. The telecommunications sales tax that Gov. Dayton just signed into law insures fewer broadband projects will get worked on.
It's another case of Democrats saying they're for something, then implementing a law that thwarts that something from becoming reality.
The good news is that there's a short-term solution, a mid-term solution and a long-term solution to this foolishness. The short-term solution is to get into a special session and repeal these taxes. The mid-term solution to this problem is turning Gov. Dayton into former Gov. Dayton and turning Speaker Thissen into Minority Leader Thissen. The long-term solution is by turning Majority Leader Bakk into Minority Leader Bakk.
That's the only way we can repeal the DFL's counterproductive tax increases and reverse the DFL's foolish spending spree. That's the only way Minnesota can legitimately say that we're open for business.
Posted Wednesday, August 21, 2013 10:44 AM
Comment 1 by Chad Q at 21-Aug-13 12:15 PM
Ah but if you read the replies to Rep. Barrets op-ed in the star trib, you'd be lead to believe that everyone is in favor of all the new taxes and that the state was starved to death during the 2 years of GOP rule and that the DFL is only bringing the state back into greatness with high taxes and all those great services the state, counties, and cities deliver.
Response 1.1 by Gary Gross at 21-Aug-13 03:36 PM
Chad, why would I read the comments to a Strib op-ed? I have to read the things DFL legislators say. That's painful enough. I don't need to add insult to injury by reading liberal commenters. LOL
Comment 2 by Chad Q at 21-Aug-13 08:08 PM
The only reason I read them is to try and understand the thought process of the enemy better.
Response 2.1 by Gary Gross at 22-Aug-13 12:06 AM
That's a fair point.
Comment 3 by walter hanson at 25-Aug-13 12:35 PM
Hey Sarah:
Where were you earlier this year when it was being debated. Didn't you tell Dayton it was a bad idea?
Did you ask to hold a press conference with the Republicans who were opposing the tax.
Oh that's right you wanted this tax. Now that people are giving you grief about it you're trying to pretend that you're outrage.
So I won't let you pretend computer tax increaser Kelliher.
Walter Hanson
Minneapolis, MN
Cigarette tax hike hurting Minnesota businesses
Economists predicted that Minnesota businesses would get hurt if a) the DFL legislature passed the massive cigarette tax increase and b) Gov. Dayton signed that tax increase into law. This article is the first report I've read that verifies these economists' predictions:
If you're a smoker living in Minnesota near the North Dakota border, you've undoubtedly discovered that you can save a lot by driving a little. Since Minnesota's cigarette tax jumped by around $1.50 a pack on July 1st, tobacco wholesalers have noticed a dramatic drop in sales.
Convenience store operators told legislators that their cigarette tax increase would hurt their business. KFGO's report verifies that prediction. This information amplifies that prediction:
"Petro Serve USA' CEO Kent Satrang says the shift to North Dakota was almost immediate. Satrang says the convenience store industry lobbied the legislature for a smaller tax increase.
If the fiscal note said that increasing the cigarette tax would increase the revenues from the cigarette tax, then the fiscal note wasn't honest with legislators. I wrote here about the disastrous effects raising the cigarette tax had on other states:
In 2009, Washington, D.C. raised its cigarette tax from $2.00 to $2.50 per pack. The District projected the new tax would generate $45 million in revenue, about 20 percent above 2009 levels. Instead, revenues came in $12 million below projections and $4.2 million lower than before the tax was imposed. Similarly, New Jersey reported a $52 million shortfall in tobacco tax revenues after it raised its cigarette tax by 17.5 cents in 2007. Due to these declining revenues, states often turn to broad-based tax increases to pay for an overspending problem. A recent NTU study also showed that 41 of 59 state tobacco tax increases from 2001-2006 were followed by more expansive tax increases within two years, as states attempted to make up for tobacco revenue that never appeared.
When cigarette tax rates are increased, the revenues to the state shrinks because buying habits dramatically change. It's virtually guaranteed that cigarette tax increases create underground economies. Either that or smokers will order their cigarettes through the internet. Smokers living near a state border will drive across the border and stock up.
The point is that people change their buying habits when taxes cause prices to spike. There's no question that cigarette tax hikes cause cigarette price spikes. That tax increase causes an immediate price spike because there's no other way for the retailer to make a profit. It's a raise-prices-or-lose-money proposition.
Declining convenience store sales isn't the only negative about the cigarette tax increase:
A 2009 study commissioned by the Minnesota Department of Revenue pointed out significant evidence of tobacco tax evasion after the state's last cigarette tax increases in 2005 and 2006. Should Gov. Mark Dayton's proposed 94 cent per pack cigarette tax increase succeed, it is likely that the state will see a large revenue shortfall due to smokers shifting their consumption across state lines, to the Internet, or to illicit black market tobacco.
Tax avoidance is another problem, as is cigarette smuggling. Prior to the cigarette tax increase of July 1, it's estimated that 19% of cigarettes smoked in Minnesota were smuggled into Minnesota. It's estimated that 30% of all cigarettes smoked in Minnesota will be smuggled into Minnesota.
This is terrible tax policy. There isn't a single benefit gained from raising the tax rate. Fewer revenues will come into the state general fund. Convenience stores are already getting hurt. The increased cigarette prices won't reduce teen smoking rates.
This is just another example of how the DFL's tax policies don't accomplish what the DFL promises they'll accomplish.
Tags: Cigarette Tax , Tax Avoidance , Tax Increase , Underground Economy , Convenience Stores , Black Market , Smuggling , Minnesota , North Dakota , DFL
Posted Thursday, August 22, 2013 12:08 AM
Comment 1 by walter hanson at 25-Aug-13 12:31 PM
Gary:
Lets not forget while this shows what people will do to save money that smoke since there are far more nonsmokers that pay income tax that people will try to avoid paying income tax. And that can happen anywhere in the state.
Some rich people might even move out of the state to one that has cheaper income tax rates.
Walter Hanson
Minneapolis, MN
Sarah Anderson speaks out against tax increases
Rep. Sarah Anderson issued this statement about the DFL's tax increases:
Dear Neighbors,
As a kid, you dreaded hearing the phrase, "other figures sold separately," at the end of a toy commercial. It meant you weren't really getting what you were seeing on the TV. That's kind of how I feel about the upcoming special session in September.
Shortly after session ended in May, I heard some Democrats say they wanted to repeal the business to business taxes included in the final tax bill. However, when the opportunity to stop the bleeding from this tax came upon us with the proposed special session, we only got the "other figures sold separately" line. This refusal to correct a "bad tax policy" means Minnesota will lose businesses and the jobs these businesses provide along with consumers being forced to pay more for products.
The B2B tax on storage and warehouse services alone could cost our state over 7,000 jobs. Four states who tried the warehouse tax repealed it within six months. One state repealed it in two days.
Today, we heard from former Democrat Speaker Margaret Kelliher asking the Legislature to repeal the telecommunication tax. It is estimated this tax will cost our state 3,300 jobs. I agree with the former Speaker that we need to take action now and repeal all of the business to business taxes. See her comments here: http://kstp.com/article/stories/S3134462.shtml?cat=89
It's not just jobs we stand to lose; every Minnesota family will pay more for groceries, medicine, personal care products, and much more. The Department of Revenue study notes that families will pay more when new business tax increases are passed on to consumers. In fact, this same study shows that the people who earn the least amount of money will pay the most for the $2.4 billion in tax and fee increases passed by the Democrat-controlled Legislature and Governor's office.
Though the Democrat leaders announced today that they won't fix this problem in the September special session, my Republican colleagues and I will continue to encourage them to correct this huge mistake. We cannot afford to lose any more jobs and we should not force higher prices on already struggling families.
The DFL imposed huge new tax increases this session, including a telecommunications equipment sales tax, a farm equipment repair sales tax, the warehouse sales tax and a gigantic cigarette tax increase.
I wrote here about Speaker Kelliher's call for repealing the telecommunications equipment sales tax. I wrote here about Gov. Dayton, Speaker Thissen and Sen. Bakk breaking their promise to farmers. I wrote here about how the cigarette tax is hurting convenience stores, especially in the Moorhead area. This morning, Rep. Mary Franson confirms the damage being done to convenience stores in this tweet:
met with a wholesaler in my district this week. C-stores along border struggling.
Gov. Dayton and the DFL have made overtures towards green energy companies in an attempt to lure them here from other states. Unfortunately, they're punishing companies already operating in Minnesota. Playing favorites with the economy is what helped drive the US economy into the Great Stagnation. Apparently, Gov. Dayton and the DFL didn't learn. Apparently, they think that they can follow the same pattern and get better results. That's either foolishness or arrogance. Either way, it's counterproductive, which is what Gov. Dayton's and this DFL legislature's reputation should be.
Posted Thursday, August 22, 2013 2:00 PM
Comment 1 by J. Ewing at 24-Aug-13 02:10 PM
As I understand it, there was "no agreement" as to the content of the special session, so the legislature is free to take up whatever it wants. Furthermore, other than the so-called "gentleman's agreement" that might have or even was a part of getting the Governor to call the session, I think the GOP should introduce the tax repeal bills anyway, and force the DFL to get off the fence.
Professor exposes grade inflation at SCSU
This morning, the St. Cloud Times published Professor Phyllis van Buren's monthly column as part of the Times Writers Group. Prof. van Buren's column this month was an extensive dissertation on the transcript fiasco at St. Cloud State. Readers of this blog know that that's a subject that I've investigated and written about extensively.
I take great pride in the fact that many of the things I've written are things that Dr. van Buren included in her article. Here's an example:
Two years ago, a student in my class completed all requirements but the final, requesting to take the final in early January. She did not then nor in April, when another faculty member contacted me on her behalf for yet another chance. Her grade for the semester was a solid F - even if she would have earned 100 percent on the written final.
However, a year later, she requested a withdrawal for all her courses. I provided detailed evidence that she had completed the semester and reasons for denying the appeal. I later received an email that her request had been granted despite my recommendation. I contacted the registrar's office to learn that two professors had denied her request and two had complied. Yet a W was awarded for all four classes. My prompt reaction re-instated the earned grade for my class.
I've talked with a handful of SCSU professors about this type of situation. Each has told me that a student that requests extra time to complete the work for their course, then doesn't complete the work for the class, will get an F as their final grade barring something extraordinary happening.
It's obvious that there weren't any extenuating or mitigating circumstances involved in Prof. van Buren's decision. If mitigating circumstances existed, the administration's decision would've been upheld. It wasn't.
I also have read recent Meet & Confer notes between university administration and faculty. I have searched the university's Web page for policies and procedures. I have spoken with people who attended the M&C meetings, and I have listened to a recorded conversation about the ways to amend records to improve students' GPA for admission to programs.
The University's Meet & Confer minutes helped me piece the puzzle together. Dr. van Buren was exactly right in going through those minutes for information about the Potter administration's stonewalling. I wrote here about how the Potter administration didn't think this was worthy of an investigation:
Admin: Sure so then we have as to what kind of data is relevant and we go there and we can collect the information so that it makes sense for you. The other thing is I won't call it an investigation I would call analysis.
When students' participation in a class disappears, that's justification to investigate. As for the "recorded conversation about ways to amend records to improve students' GPA for admission to programs", I've had a tip about who they're talking about. Without independent verification, though, I won't speculate.
Meet & Confer sessions are held regularly between the Faculty Association and St. Cloud State's administration. On every agenda of M&C minutes from October 2012 through this May, the topic of grades changes appeared.
The minutes show there is a lot of finger-pointing and the need for data sharing and adherence to policies and practices by students, faculty and administration. There are two main issues. One involves changing grades, usually to a W. The other involves the possibility of dropping classes from transcripts without informing faculty.
University spokesman Adam Hammer tried explaining the fiasco this way :
In addressing this concern at a meet and confirm meeting conducted amongst university professors and administration, Hammer said the cause for concern primarily dealt with late drops and withdrawals.
According to Dr. van Buren and Dr. Leenay, late drops and withdrawals are only part of the problem. Dr. van Buren's and Dr. Leenay's biggest concern is with students' participation in classes getting whitewashed. That's a way to inflate students' grade and it isn't acceptable.
Thanks to Dr. van Buren's article, people are finally getting a picture of what's actually happening at SCSU instead of getting the Potter administration's spin of what's happening on campus.
If the Potter administration won't admit that grades are disappearing, then the legislature will have to intervene. The House and Senate Higher Education committees will have to intervene because, if they don't, they'll send the signal that administrations can do whatever they want. That isn't acceptable.
Posted Friday, August 23, 2013 6:36 AM
Comment 1 by Chad Q at 23-Aug-13 10:18 AM
Maybe they are just trying to show compassion to get on Obama's list of affordable college's and universities that will receive more student aid money.
Comment 2 by Gary Gross at 23-Aug-13 10:52 AM
Nope. It's just that they're old-fashioned & corrupt.
Comment 3 by frank at 23-Aug-13 12:35 PM
Sadly, it appears that King Potter is ruling over his peasants in his kingdom. He appears to partner with the Kingdom of St Cloud IE: pix in newspaper ads touting his commitment to St Cloud and its' Economic Development and then making decisions that impact the tax-paying citizens of the City.
The changing/disappearing grades issue, is but one of his problems. There is also the investigation and lawsuit re: harassment of female students on a field trip w/ a male professor. Again, SCSU king, King Potter, for the most part has kept this problem under the radar, as well.
Finally, King Potter single-handedly chose to close down the Aviation program in his Kingdom. Losing that program will have a significant impact on OUR Kingdom. It has been clearly documented with specific statistics of how that one decision will cost taxpayers thousands of dollars in continuing to provide enough funding to keep our airport operating.
It is ironic, remember his ads mentioned above, that he publicly supports and serves on the Board of the St Cloud Kingdom's Econ. Development Corp. Did I mention their NUMBER ONE PRIORITY? The Dev Corp believes that increasing usage and attracting another commercial air carrier will be a major contributor in making the Kingdom of St Cloud even more economically healthy.
Hmmmmmm ......
Comment 4 by Jethro at 23-Aug-13 03:47 PM
Ethics courses have become increasingly popular in most university departments. Perhaps a great ethics case study is the PRESIDENT POTTER SMOKING GUN video where he got taped changing his story about the aviation closure. Perhaps it should be a required ethics case study for everyone on campus about what "not to do" as a president. I guess integrity (grade fraud, lying about aviation, etc.) is not a core value for Potter. Frank is on to something...Dev Corp really wants air service but Potter shut down only 1 department on campus which was aviation. Let the clown show begin.
And now it's time for an oldy, but goody...
PRESIDENT POTTER SMOKING GUN
http://www.youtube.com/watch?v=jahbg9HH17A
SCSU, MnSCU procedures meaningless at SCSU
It's abundantly clear that procedures don't mean much to MnSCU or SCSU. When President Potter announced the cancellation of the Aviation Program at St. Cloud State, he ignored MnSCU procedure 3.36.1, which requires the following things be documented:
The academic program closure application must be documented by information, as applicable, regarding:
- academic program need.
- student enrollment trends.
- employment of graduates.
- the financial circumstances affecting the academic program, system college or university.
- the plan to accommodate students currently enrolled in the academic program.
- impact on faculty and support staff.
- consultation with appropriate constituent groups including students, faculty and community.
- alternatives considered, and
- other factors affecting academic program operation.
I wrote this article about how President Potter ignored MnSCU policy and how MnSCU let him get away with it . When a grievance was filed, MnSCU assigned Larry Litecky to investigate. Here's the key part of his response:
As one whose staff is charged with the responsibility to review college and university closure requests, I disagree. My staff and I remain persuaded that the university conducted required and appropriate consultations and assessments that informed its decisions.
It wasn't Dr. Litecky's responsibility to be persuaded. His responsibility was to verify whether SCSU provided the documentation required or whether they hadn't. In this case, they hadn't provide documentation of the first 2 points.
There's no documentation proving the Aviation Program wasn't needed because there's a worldwide pilot shortage. Boeing thinks that shortage will las the better part of 30 years. Likewise, there wasn't documentation that enrollment was still in decline when President Potter made his announcement. Enrollment decreases had ended and started climbing again.
That's before talking about "consultation with ... students. Aviation students weren't consulted prior to President Potter's on-campus announcement. In fact, when aviation students voiced their opinions, President Potter yelled at them :
Furthermore, later, as the meeting progressed, President Potter yelled at myself, as well as another student. He raised his voice at me and mentioned, 'do not take that tone with me' while he leaned over the table with both hands on the table. At this point, I literally shut down as the other 4 individuals resumed the meeting. He also yelled at another student with the same tone and words.
Fast forward to last Thursday's column by Phyllis vanBuren, which I wrote about here . In her colummn that the St. Cloud Times published, Dr. vanBuren wrote about a new procedure being put in place about changing grades post-term. Here's what Dr. vanBuren wrote:
Administration also acknowledged in October the two ways that grades may be altered 'post term.' One is to change the grade, and the other is to remove the course from the transcript. The association requested written documentation of the reasons for granting such a request. Administration replied that such policies and procedures exist and that faculty are notified.
According to the M& C minutes from October, the FA disagreed with that contention.
Three months later, on Jan. 7, a policies and procedures document was uploaded to the university's Web page. It specifies that faculty will be involved. It also states that administration will provide annual reports to the association about grade changes by administration.
Since then, Provost Maholtra has declared the problem solved :
The Provost office research found that from July 2011 to June 2012, approximately 1,200 requests were made by students to drop or withdraw from classes post deadline. Of those, 237 requests were surveyed. The Provost office found that faculty members were contacted in all of those cases and 69 percent of them signed off they had received and evaluated the request. The remaining 31 percent was found to be unclear of their response.
In their words, the problem is solved. Never admitted to is more like it.
The reality is that poofs, the thing President Potter hasn't admitted to, still continue to this day. First, it's time President Potter admitted that they've happened. Second, it's time President Potter admitted that they're still happening. Anyone that's worked with President Potter knows there's a better chance of seeing unicorns than seeing him admit that poofs are still happening.
Posted Monday, August 26, 2013 5:21 AM
No comments.
DFL pundit: We screwed up
During the Political Analysis segment of At Issue With Tom Hauser, former DFL State Senator Don Betzold admitted that some tax hikes were put into the bill late in the session that Gov. Dayton didn't know were in the bill he signed. He then talked about how hectic the last weekend of the session is.
What he didn't admit is that past end-of-session weekends have involved a governor of one party and the legislature of the other party. That wasn't the case this time. The DFL owned it all from opening gavel to closing bell.
Not only that but the DFL leadership announced that they'd reached a Tax Bill agreement a week before end of session :
Thissen, Gov. Mark Dayton and Senate Majority Leader Tom Bakk of Cook said they agreed on spending targets and will give conference committees a few other guidelines, such as:
- The sales tax would not rise on consumer goods, including clothing, but businesses could pay sales tax on goods sold to other businesses.
- taxes would go up on people in the top 2 percent of Minnesota earners, couples with $250,000 or more taxable income.
- An income tax surcharge would be added for Minnesota's richest of the rich, with proceeds going to help repay money the state has borrowed from school districts.
- Cigarette taxes would rise.
- Some business tax breaks would disappear.
- All-day kindergarten would be funded.
- The state would spend $400 million in property tax relief, such as by increasing aid sent to local governments.
In short, Gov. Dayton, Speaker Thissen and Senate Majority Leader Bakk knew that the warehouse tax, the telcommunications tax and the farm equipment tax would be in the final tax bill because that's what they negotiated.
The DFL owns the tax hikes because they passed them without GOP support. The DFL owns them because they were their idea. The DFL owns them because their leadership in St. Paul negotiated them into the final Tax Bill.
This wasn't a high speed train crash. It was a slow-motion train wreck. Businesses lobbied against these taxes. The DFL ignored their lobbying efforts and passed them anyway. Eventually, they realized they'd made a political mistake. (I'm not certain they understand they made a policy mistake.)
Later, Gov. Dayton promised f.armers at FarmFest that he'd repeal the farm equipment repair sales tax during the special session. In the end, he broke that promise , too.
Posted Monday, August 26, 2013 6:02 AM
Comment 1 by kb at 26-Aug-13 02:45 PM
Gary, didn't even that weekend-before agreement get sidetracked by other DFLers who didn't like the deal?
The tax bill also proved a source of headaches in the 11th hour, particularly a provision that would apply the sales tax to farm machinery repairs, which would raise $28 million in the next biennium. On Monday, senators told House Taxes Chairwoman Ann Lenczewski the provision was a mistake, while she remained adamant that members of the conference committee insisted on its inclusion. Lenczewski seemed uninterested in reopening the tax bill to eliminate the controversial tax. 'The Senate insisted on it and now they're saying it was an error,' Lenczewski said in an interview about five hours before adjournment. 'They'd like us to open the tax bill to fix their problems.'
Read more: http://politicsinminnesota.com/2013/05/lawmakers-adjourn-on-time-after-last-minute-machinations-on-bonding-taxes/#ixzz2d6dtGkcc
Note the conference committee had 5 DFL Representatives, 4 DFL Senators, and one GOP senator (Senjem). https://www.revisor.mn.gov/bills/text.php?number=HF677&type=CCR&version=0&session=ls88&session_year=2013&session_number=0
Response 1.1 by Gary Gross at 26-Aug-13 05:18 PM
That's a great point, KB. It sounds like Lenczewski was being herself.
FYI- The only reason why Senjem was on the conference committee was because DMC was included in the Tax Bill. He voted for the Tax Bill because he would've gotten clobbered if he didn't vote for the Mayo Clinic project.
Higher Ed Excessses
This article highlights Richard Vedder's thoughts on why college isn't getting more affordable:
Some college officials are also compensated more handsomely than CEOs. Since 2000, New York University has provided $90 million in loans, many of them zero-interest and forgivable, to administrators and faculty to buy houses and summer homes on Fire Island and the Hamptons.
Former Ohio State President Gordon Gee (who resigned in June after making defamatory remarks about Catholics) earned nearly $2 million in compensation last year while living in a 9,630 square-foot Tudor mansion on a 1.3-acre estate. The Columbus Camelot includes $673,000 in art decor and a $532 shower curtain in a guest bathroom. Ohio State also paid roughly $23,000 per month for Mr. Gee's soirees and half a million for him to travel the country on a private jet. Such taxpayer-funded extravagance has not made its way into Mr. Obama's speeches.
Colleges have also used the gusher of taxpayer dollars to hire more administrators to manage their bloated bureaucracies and proliferating multicultural programs. The University of California system employs 2,358 administrative staff in just its president's office.
The thought that a university president would get $2,000,000 in compensation is awful enough. The fact that he got that in addition to living in a 10,000 sq.ft. home while travelling the country in a private jet is infuriating. Add to that the fact that he made "defamatory remarks about Catholics" and you've got the profile of an over-compensated spoiled brat.
That 2,358 administrative staff work in the Univerity of California's president's office speaks to how out of touch universities have gotten. It gets worse:
Many colleges, he notes, are using federal largess to finance Hilton-like dorms and Club Med amenities. Stanford offers more classes in yoga than Shakespeare. A warning to parents whose kids sign up for "Core Training": The course isn't a rigorous study of the classics, but rather involves rigorous exercise to strengthen the glutes and abs.
St. Cloud State is a blue collar university. This isn't disrespectful. It's a characterization of the backgrounds students come from. Their version of the "Hilton-like dorms" is the Coborns Plaza. Silence Dogood wrote about that in this post :
Coborn's Plaza apartments have been a well-kept secret since they opened in the fall of 2010. Even getting accurate occupancy numbers during the first two years was difficult and only given in whispers with those hearing the secrets being sworn to secrecy. Some of that secrecy ended November 13, 2012 when Len Sippel, Interim Vice President for Finance and Administration, released the list of approved funding for permanent investments that included $2,250,000 for the 'Coborn's Welcome Center.'
This eye-popping number actually covers the deficit for Coborn's Plaza for the last two years so the loss only averages $1,125,000 per year. The amount of the loss for the first year for Coborn's Plaza has never been shared with the Faculty Association or made public.
Based on Vedder's interview and local reporting, fiscal mismanagement isn't just the norm at high profile universities. Everyone's gotten on the gravy train. (Is this what President Obama meant when he talked about spreading the wealth around?)
Then there's this:
Or consider Princeton, which recently built a resplendent $136 million student residence with leaded glass windows and a cavernous oak dining hall (paid for in part with a $30 million tax-deductible donation by Hewlett-Packard CEO Meg Whitman). The dorm's cost approached $300,000 per bed.
Many of these presidents think that cavernous, gleaming monstrosities are part of their legacies. They aren't. University presidents aren't high profile enough to have legacies like presidents and senators have. Furthermore, they're supposed to be good stewards of the taxpayers' money. Clearly, that isn't happening.
Originally posted Monday, August 26, 2013, revised 18-Oct 6:52 PM
No comments.
SCSU's shoddy documentation
I wrote here about how President Potter is equally adept at ignoring MnSCU procedures as he is in ignoring SCSU procedures. This post dovetails with that post because it highlights with documentation that President Potter ignored MnSCU procedure in closing the Aviation program. In this morning's post, I higlighted MnSCU's procedure for closing programs:
The academic program closure application must be documented by information, as applicable, regarding:
- academic program need .
- student enrollment trends .
- employment of graduates.
- the financial circumstances affecting the academic program, system college or university.
- the plan to accommodate students currently enrolled in the academic program.
- impact on faculty and support staff.
- consultation with appropriate constituent groups including students, faculty and community .
- alternatives considered, and
- other factors affecting academic program operation.
It's clear that MnSCU procedure 3.36.1 requires that the university document 9 specific things.
In the program closeout document used by SCSU officials under "Evidence Required" it clearly states that "Consortial programs require verification (below) by all member institutions" above the signature lines. The aviation program had a consortial agreement with Metro State among others. From the form itself, it is a stretch to believe that Lisa Foss, Devinder Malhotra, and Earl Potter simply forgot to obtain the required verification by all member institutions.
Failure to complete required documentation is foolish. What's far worse is for a MnSCU administrator to whitewash the matter. A faithful reader provided further evidence the procedures were ignored specifically #7 which addresses the consultation with appropriate constituent groups. In the fall of 2010 after Dean David DeGroote announced the aviation program would close during the university's reorganizational process, there was an open session on campus run by Provost Devinder Malhotra for university employees to ask questions and provide feedback. Reports indicated there were at least 200 employees present. At the open forum, Aviation Professor Jeff Johnson publicly asked Malhotra in an open mic session if there were any plans for the university to have public hearings beyond the university walls. He gave specific examples of public hearings in the community with business leaders, chamber of commerce members, and the public at large. Johnson explained that closing academic programs can have an impact on the community. Malhotra said no to Johnson's question. Almost a year later, when MnSCU was pressed for information regarding SCSU's public hearings by the Dayton Administration, this October 2011 letter from Governor Dayton's office actually lists the names of the community constituent groups who were "consulted" by Potter's administration.
The faithful reader noted that all of the external constituents named in this letter (minus Mayor Dave Kleis and administrator Michael Williams) were industry friends of the aviation program who were asked by the aviation department chair to meet with university officials in order to convince them of the importance of the aviation program. Two of the five members were also on the SCSU aviation advisory board. A year earlier, Malhotra said there was not going to be any external public hearings. Governor Dayton's letter stated this:
"The Minnesota State Colleges and Universities system works to provide its students with the programs that are in the highest demand. In conjunction with deepening budget constraints, the elimination of programs that may not have high employment demand is an unfortunate cost of the current budget situation."
Last March, Rep. Paul Marquart (Chair of the House Education Finance Committee), along with Rep. Zach Dorholt, had a town hall meeting with St. Cloud area citizens. The presentation was titled, "Putting our Kids on the Path to the World's Best Workforce." One handout quoted MnSCU Chancellor Steven Rosenstone. Here's what Rosenstone said:
Can Minnesota produce the world's best workforce? Not only can we do it Minnesota absolutely must do it. Producing the world's best workforce is a state imperative. What's at stake is nothing less than economic vitality of our state and the quality of life of all Minnesotans.
Gov. Dayton and Chancellor Rosenstone, when was there a high employment demand for graduates requiring a SCSU professor to be paid to run a weed infested community garden ? When was there a demand for high end off campus student housing that loses over $1 million dollars per year ? How do you justify killing a viable accredited aviation program with a strong industry demand that had over 170 students when SCSU's enrollments are plummeting ?
According to this article , Dayton was specifically mentioned as a player for successfully getting Pinnacle Airlines to move their headquarters to Minnesota. Pinnacle airlines is still doing quite a bit of hiring. Apparently, President Potter's agenda is clearly not in alignment with the Governor's and Chancellor's workforce initiatives.
There are 3 things to keep in mind. First, Provost Malhotra announced that the University wouldn't consult with transportation experts, business leaders or industry experts. That's important because MnSCU requires it. Not only does MnSCU require it but it requires these consultations be documented.
Second, 4 of the 5 people listed in Gov. Dayton's letter as having been consulted by President Potter, Provost Malhotra and Dean DeGroote vehemently opposed closing the Aviation program. Mike Landy passionately opposed closing the program.
Third, when President Potter decided to close the Aviation program, he ignored the opinions of aviation industry experts, instead choosing to close a program he once called one of the best in the nation.
In short, this administration was secretive, unwilling to listen to industry experts, then packaged a bunch of things together to make it look like they followed MnSCU procedures. What could possibly go wrong?
Posted Monday, August 26, 2013 10:19 PM
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