Stimulus waiver plan opposed

(AP) " Gov. Jim Gibbons' decision to seek a stimulus waiver that would free the state from meeting strict funding requirements for higher education was criticized Thursday by top Nevada's education officials.

Under the federal stimulus legislation, the state must fund higher education at 2006 levels to receive about $314 million in education funding. Gibbons proposed cutting higher education to 2003 levels, which means the state would have to come up with $268 million to meet the 2006 requirement.

Gibbons argues the state doesn't have the money to meet that requirement and has asked the federal government for a waiver.

Higher education officials, as expected, aren't happy with the governor's decision to seek a waiver. They had hoped the stimulus bill would force Gibbons' hand to restore some of what he is proposing to cut from the system.

"That is not a position that is supported by higher education," vice chancellor Dan Klaich said. "It is a reasonable thing to expect the state to meet that (2006) level of support so that the federal stimulus dollars can be used for the purpose for which they were intended."

Beyond that, the waiver also would result in significantly less stimulus money going to public schools.

As the stimulus law is written, the education stimulus money must be allocated according to the relative size of the budget hole. If Gibbons gets the waiver, higher education's budget gap will be significantly greater than that for K-12 education.

"We estimate higher education would get roughly 75 percent to 80 percent (of the education stimulus money) if the waiver is approved," state schools chief Keith Rheault said.

"The net result will be higher education will receive the vast majority of those stimulus dollars and it will pull tens of millions away from public education," Klaich said. "This waiver is very, very bad for public education."