Doubts on Engler at MSU, but higher-ed support shouldn’t be one of them

John Engler devoted more dollars and a higher portion of the state budget to Michigan’s public universities than the governors who came after him.

Ten days into his job, former Michigan Governor John Engler remains a target of critics as interim president of Michigan State University. The lines of attack: He lacks college management credentials. He’s from the world of partisan politics. He turned his back on reports of sexual assault against  women prison inmates while in office.

And as governor, progressive critics say, he was no friend to education.

But by one bottomline measure, Engler showed far more love to Michigan’s public universities than either of his successors.

Related: MSU Interim President was dismissive of sexual assault claims as governor
Related: MSU trustee defends John Engler hire, yet disagrees with inmate decision

In his last state budget as governor, Engler and Republican lawmakers spent an inflation-adjusted $2.5 billion on Michigan’s 15 public universities in 2002-2003. By comparison, Democratic Gov. Jennifer Granholm spent just $1.7 billion, adjusted for inflation, in her final budget year. And fellow Republican Rick Snyder and the Republican-led Legislature this year has invested even less, $1.3 billion.  

Funding down for universities 

Funding for Michigan's public colleges and universities is substantially lower now than in 2000 as Michigan was hit by a long economic decline that took a huge bite out of state tax revenues. Republican John Engler was governor for the first three years shown in this chart, followed by Jennifer Granholm, a Democrat, and Rick Snyder, a Republican. Republicans controlled the legislature throughout except from 2007-2010, when Democrats controlled the state House. All figures are in 2017 dollars.


Of course, it can be argued that Engler and the legislature had far more money to spend, with a thriving state and national economy during most of his tenure. And that’s true. But the underlying data show Engler placed a higher priority on higher education compared with other spending, making it a far bigger slice of the budgetary pie than Granholm or Snyder.

Engler’s last budget devoted a whopping 20 percent of the general fund to higher education. Granholm’s last budget spent 18 percent on higher ed. Snyder’s 2017-18 budget invests just under 13 percent.

That’s a 35-percent drop in the share of general fund spending devoted to higher education since Engler left office. In real dollars, Snyder’s current budget invests 48 percent less on universities than Engler’s last budget.

Granholm talked a lot about raising Michigan’s college graduation rate. But adjusted for inflation, she spent just over $2 billion on higher education in the Great Recession budget of 2008-09. That’s 17 percent less than what Engler spent in his last budget.

Engler’s steady support

Former Battle Creek GOP congressman and state legislator Joe Schwarz said the funding numbers speak their own truth and offer insight into what kind of job Engler will do as interim president at MSU.

“There is not a governor in my memory ‒ which is getting pretty long ‒ who was a greater supporter of higher education than John Engler,” said Schwarz, 80.

As a state senator, Schwarz chaired the subcommittee responsible for funding higher education during Engler’s tenure. Long known as a moderate Republican, Schwarz said he disagreed with Engler “on a number of issues,” but not higher education funding.

Former state lawmaker and moderate Republican Joe Schwarz said he sparred with Gov. Engler on a number of issues, but they agreed on the need for robust higher ed funding.

“To accuse John Engler of not being a friend of higher education is a true political absurdity,” said Schwarz, who now teaches at the Gerald R. Ford School of Public Policy at the University of Michigan.

Schwarz also pushed back on the narrative that Engler’s partisan background and lack of academic credentials disqualify him to be interim president at MSU.

“The man was governor for 12 years and he had a very good relationship with universities. I think being president of a major research university is a job as political, or more so, than governor.”

John Truscott, spokesman for Engler, called Schwarz “a tireless and vocal advocate” for higher education. “He had a very good relationship with Governor Engler, so they worked closely together on those budgets.”

Truscott said Engler “put a very high priority on higher ed funding...because he knew it was important for the future of the state.”

Truscott said he expected Engler’s MSU contract to be dealt with at the Feb. 16 board meeting. No formal time frame has been put on how longer will remain on the job, as the board conducts a search for permanent replacement.

An appointment, then an uproar

Engler, a 1971 MSU graduate, was appointed interim MSU president on Jan. 31, with university trustees viewing him as a steadying hand in the wake of the university’s sluggish and, at times, tin-eared response to the Larry Nassar sexual-assault scandal. The former MSU sports doctor was recently sentenced in two Michigan courts for sexual assault, as nearly 200 women came forward to accuse Nassar of abuse. Some women said they reported their concerns about Nassar’s medical treatment to coaches or officials at MSU, but little or nothing was done.

Engler promised that he would be an agent for change at the school and would "move forward as if my own daughter were on this campus."

But his hiring, if anything, only fueled more tumult at MSU.

On the day he was hired, Bridge Magazine reported that as governor Engler was dismissive of sex abuse allegations leveled by female inmates in Michigan’s prisons as “baseless” and “without merit,” and blocked efforts by outside organizations to investigate reports of wholesale abuse.

Years later, after Engler left office, the state agreed to pay $100 million to  settle a class-action lawsuit that had grown to 500 female prisoners, a vindication of their claims of harassment and rape by male prison guards.

MSU faculty members faulted his hiring for other reasons. An academic steering committee issued a statement  that “appointing a former governor with no academic-leadership experience as interim president would not be the best way to heal the wounds of our community in this politically polarized climate.”

And Tuesday, over 200 faculty members, staff and students marched on campus, calling for Engler to step down. Students have faulted the board’s lack of transparency in hiring Engler, the fact that he has no academic management experience as well as Engler’s record in the prison lawsuit.

The narrative vs the numbers  

Given the emerging narrative of Engler as an anti-education governor, his past support for higher education might surprise his current critics.

Under Granholm, higher-ed funding dropped by an inflation-adjusted $500 million over seven years, from its peak of $2.2 billion in 2004 to $1.7 billion in her last budget.

Granholm was followed by Snyder, who ran as “one tough nerd” with promises to “reverse recent trends of under-investing” in higher education.

In a 2010 campaign document, candidate Snyder noted that “(l)ip service has been paid to creating a knowledge-based economy, but that transition has been delayed by cuts in funding for higher education ‒ arguably one of the few institutions that attract talent and investment to Michigan.”

But Snyder’s first budget, for 2011-2012, slashed more than $400 million in higher education funding, even as he signed a $1.65 billion business tax cut in May 2011.

Snyder has since restored some funds to higher education even though he resorted to an accounting trick do it – by siphoning $400 million a year from K-12 education funds to pay for community colleges and higher education.

By 2015, the state was sending nearly $300 million less a year to state universities than it did a decade before ‒ or nearly $640 million when adjusted for inflation, according to the Michigan Senate Fiscal Agency.

All these cuts have helped make college more expensive for Michigan students and their families. Tuition climbed by 100 percent to 150 percent, adjusted for inflation, at the state’s public colleges and universities from 2003 to 2016, according to a report by the Michigan League for Public Policy.

Daniel Hurley, CEO of the Michigan Association of State Universities, which represents the state’s 15 public universities, said schools are “pleased” with Snyder’s proposed budget increase of $29.8 million for higher education next year.

But he added: “Recent years of reinvestment must not mask the dramatic harm done by the state’s cutting of support to college students over the long term. In 2000, Michigan ranked 20th in the nation in state support for higher education. Today, we rank 43rd.”

To be sure, Engler has been a lightning rod in education at the K-12 level, as he was a driving force as governor for opening Michigan to charter schools. Progressive critics also cite his ties to U.S. Secretary of Education Betsy DeVos, who served as state party chairwoman during part of Engler's tenure. DeVos, a champion of private school vouchers, in September named Engler chairman of a national education assessment board.

But at MSU, officials might look back fondly at how they were treated under Engler.

MSU got $326 million in Engler’s last budget. Adjusted for inflation, that’s about $420 million today. It got $281 million in 2017-2018 – a drop of 33 percent in real dollars.

Hurley declined to weigh in on the controversy over whether Engler is qualified for the job.

But he acknowledged that the budget figures “speak for themselves. While John Engler has a reputation as a fiscal conservative, the numbers bear out that he did promote support for higher education.”

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Fri, 02/09/2018 - 8:24am

Sooo while Engler was shoveling money to the big U's, they were not raising their tuition at an x times inflation rate. ??? And non of the huge tuition jumps started until the
Granholm and Snyder administrations?

Mary Fox
Fri, 02/09/2018 - 9:32am

Engler destroyed public education by gutting the teacher pension program. His anti-teacher legacy shows in the republican party's continuing attack on unions, teachers, and teacher rights. The continuing focus on freebies for business at the expense of teachers, students, and colleges is his legacy. His response to sexual harassment was disgusting then and shows his lack of moral character. Hideous choice. Most disgusting governor in the history of Michigan. Bar none.

Fri, 02/09/2018 - 9:45am

Engler's most important task is to navigate through the sex abuse scandal and not to raise money. His dealings with sex abuse in Michigan's prison system during his tenure as Governor does not bode well for his handling of the current scandal. He is a bad fit.

Mike Taylor
Fri, 02/09/2018 - 10:57am

Using percentages of the total budgets would be a better comparison of Engler’s years to subsequent state budgets.

John M Hoffmann
Fri, 02/09/2018 - 11:22am

Actually a lack of academic experience may be a plus for Engler. What MSU needs is a good fiscal manager not mother mothering Deans and academicians who have little experience and/or knowledge about running a business. And that is what MSU is, a big business with a huge budget. Whether you like or want to acknowledge it a skilled poltician is what MSU needs now. Simon clearly didn't follow up when she had an opportunity to explore incidents reported on in 2014 not to mention the bloated MSU budgets and salaries. Does she really deserve or did she earn (even before this untoward event) the huge and unprecedented retirement benefits she will receive from us, THE TAXPAYERS?

Fri, 02/09/2018 - 12:59pm

And that idea--that education is a BUSINESS is what is destroying it. It is not. It should not serve business as its guiding force AT ALL. Business has a narrow focus of what matters. EDUCATION should not be constrained by someone's BUSINESS INTERESTS. It is exactly the wrong direction.

Sat, 02/10/2018 - 11:28am

Ahhhh so education is exempt from the limitations and management of budgets, controlling costs, employee expenses and providing value for its customers , excuse me students and dare I mention taxpayers! This thinking explains why higher education cost outstrip their customers and inflation. Also why the US is at the top when spending on k-12 spending but bringing up the rear in student performance.

Sun, 02/11/2018 - 11:14am

Clearly you don't understand about running a business. Universities can maintain all the academic freedom necessary to educate (and in many cases train) students while the budget and spending process is managed by folks who understand how a business such as a university can live within its means. Research institutions such as MSU are big business whether yiu understand that or not.

Fri, 02/09/2018 - 2:42pm

Oh yes, that is what MSU needs is a good politician!! Wow are you out of touch. Anyone who has ever led a "business" through a crisis should know, stabilizing the current state is the first step.

Appointing a lightning rod like Engler is only destabilizing it more. The BOT needs to admit it made a HUGE mistake and go back to the drawing board.

Fri, 02/09/2018 - 11:30am

Supporting funding for higher education does not equate with job experience and academic qualifications. This is a university position. Engler's lack of education, lack of training, and lack of experience should have disqualified him. Funding support has nothing to do with the ability to understand and deal with the issues facing a university community especially ones of sexual harassment and sexual assault. Engler's handling of sexual assault claims in the prison system while he was governor and the resulting $100 million settlement paid by taxpayers should have eliminated him as a candidate.The board's selection of Engler appears to be out of touch with the university community and with the state at large. In my opinion, this was a political appointment; nothing more, nothing less. Shame on this board of directors.

Barbara Jeanne
Fri, 02/09/2018 - 11:47am

I remain unconvinced that Engler was a friend to public universities during his tenure as governor as state budgets were generally stronger in decades past. Further, comparing Grandholm's final higher-ed budget to Engler's is laughable as Michigan and the nation as a whole was at the start of economic crisis when she left. The criticisms stand.

Fri, 02/09/2018 - 11:57am

All this back and forth on Engler can be summarized in one sentence. Past history is significant when forecasting future performance.
So while its nice for the money his administration spent on education when the economy was high - his lack of moral compass cost the state 100 million when the courts reversed his bad decision making. A question - Has he admitted to his poor moral judgments in his past?

Lets ask him ASAP!!!

Tony Ettwein
Fri, 02/09/2018 - 12:25pm

I'm not sure that it's fair to say that Jennifer Granholm is responsible for decreased spending for higher education. It's hard to compare apples to apples here. During Granholm's last term, she had to deal with the greatest U.S. financial collapse since the Great Depression (with Michigan being one of the top manufacturing states), and our country had still not completely come out of the Great Recession when she left office. Also, she had to deal with some contrary people in the legislature who didn't want to give her credit for what she'd done.

Christine Temple
Fri, 02/09/2018 - 12:31pm

Horse Puckey. Engler was no friend to any of the institutions in Michigan. He decimated Mental Health to the point that care and treatment is a revolving door and long term care has fallen to our jails and prisons. I wonder who was 'paid' to make this appointment. Were the DeVos or the Kochs involved? His former tenure as governor does not qualify him to run an institution of higher learning.

David W
Fri, 02/09/2018 - 12:39pm

Reading this article has not changed my mind about John Engler. He is no friend of education, K-12 or higher education. I continue to be amazed that the MSU Board of Trustees appointed him interim president. This shows just how out of touch the board members are and remain.

It is a very sad day for MSU!

Fri, 02/09/2018 - 2:37pm

The good old boys really don't get it as is shown by the BOT hiring a man well known for his lack of moral authority. This is NOT about the fiscal health of MSU.

Women are just not going to take it anymore. This is not 1971 when "boys could be boys" . The lack of insight and maturity of the MSU BOT is disheartening. I don't envy the MSU BOT on the one hand, but on the other hand, I am not sure how MSU will survive under this regime.

The scandal of this situation and so many more under the MI republican administrations is unthinkable, but has become the norm. I am doing all in my power to be sure gerrymandering ends in this state and we go back to a representative government.

Gregg Smith
Fri, 02/09/2018 - 3:29pm

The root of the problem:
Daniel Howes: Time is now for state university trustee reform
4 days ago - Thanks to Michigan State University's botched handling of the Larry Nassar sexual-abuse scandal, a push to change the way trustees are selected to govern Michigan's Big Three universities is gathering momentum. It should. The state's only-in-the-nation system of electing trustees for MSU, the University ...

Mon, 02/12/2018 - 12:40pm

Howes is 100% right! but you can make the exact same argument for every single elected position on the ballot! Judges, Drain commissioners Boards of Education. WE have way too many elected positions.