With all that Oregon's public universities do to educate students, secure competitive grants for research projects and create spin-off companies that provide jobs for Oregonians, higher education is a wise place for the state to invest, Oregon State University leaders say.

To be able to accommodate growing student enrollment, offer faculty members competitive salaries, reduce student-teacher ratios and begin to chip away at $640 million in deferred maintenance projects, the State Board of Higher Education asked the Legislature for $995 million for the 2007-09 biennium, an increase of $258 million more than the current biennium.

Gov. Ted Kulongoski responded by recommending $875 million. And the co-chairs of the state Joint Committee on Ways and Means have proposed a budget that allocates $840 million for Oregon's seven public universities.

"We're really scrambling to figure out how we'll adjust if the co-chairs' budget goes through, or even if the governor's budget goes through," said Hal Salwasser, dean of the College of Forestry at OSU.

Salwasser was among the OSU officials who spoke to the Gazette-Times' editorial board on Monday, one day before the joint committee holds a special hearing in Corvallis.

Of the $34.6 million the co-chairs cut from the governor's recommended budget, between $12 million and $15 million would come from OSU.

Salwasser said the co-chairs' budget model would affect faculty research and student course offerings, as well as the state's 4-H program, Forest Research Laboratory, Extension Service and Agricultural Experiment Stations.

The co-chairs' budget puts 27 percent of his college's existing capacity at risk, according to Salwasser.

Salwasser isn't the only one concerned with the lack of support for higher education.

"There's something really precious and special here to be built on and preserved, and people are just walking past it," said OSU President Ed Ray.

Oregon currently ranks 46th in the nation in terms of state support per student for post-secondary education. The Board of Higher Education came up with a 10-year plan to bring Oregon to the middle of the pack. To launch that effort, the board wanted nearly a billion dollars for the next biennium from the state to fund the Oregon University System.

The board's request included $34 million for the Engineering and Industry Technology Council, a partnership between OUS institutions and private industry, and $39 million for Oregon Innovation Council, a cross-sector leadership team whose mission includes identifying Oregon's top innovation-driven growth opportunities, maximizing the state's competitive advantages and establishing Oregon's niche in the global economy.

The board also asked for $385 million in capital construction funds.

OSU has $185 million in deferred maintenance projects, campus leaders said, and it isn't alone.

"Everyone (in OUS) has got a poster child they could show you, a building that's literally falling down," Ray said.

The governor's recommended budget pegged $17 million for the Engineering and Industry Technology Council, the full $39 million for Oregon Innovation Council and $325 million in capital construction dollars.

In their budget, the co-chairs slashed the capital pool to about $50 million. OSU leaders estimate the reduction would hit OSU to the tune of about $60 million.

This would make it impossible to complete major projects, and could leave between $100,000 and $150,000 that OUS institutions have raised from private donors useless because the state isn't providing money for matching bonds, Ray said.

On OSU's campus, one project in limbo is the proposed Linus Pauling Building and chemistry center, which would house the Linus Pauling Institute.

Ron Adams, dean of engineering, is concerned with how the co-chairs' budget will affect his college's goal of becoming one of the top 25 engineering schools in the country.

The ranking is based on the number of degrees awarded and research dollars attracted. Adams estimates OSU is currently ranked 41st, out of about 400 schools.

Most schools in the top 25 have about 220 faculty members, Adams said. OSU has 110.

Part of the Engineering and Industry Technology Counsel funding request included money to double OSU's engineering faculty during the next five years.

The co-chairs funded the program at $7 million, less than one quarter of what the board wanted. At that level, the college's progress toward infiltrating the top 25 will have to be more modest and incremental, according to Adams.

The Joint Committee on Ways and Means' meeting in Corvallis is one of several it's holding around the state to get feedback on its proposed budget. Eventually the budget will have to be passed by both the House and the Senate.

Mary Ann Albright covers higher education. She can be reached at maryann.albright@lee.net or 758-9518.

At a Glance

Today, members of the Joint Committee on Ways and Means will come to Corvallis to discuss the co-chairs' proposed budget. This is part of a series of community meetings the committee is holding across the state.

The public meeting will take place at 6:30 p.m. in the cafeteria at Cheldelin Middle School, 987 N.E. Conifer Blvd.

The proposed budget allocates $840 million for the Oregon University System. That's $34.6 million less than Gov. Ted Kulongoski recommended and $155 million less than the State Board of Higher Education requested.

Representatives of Linn-Benton Community College and Oregon State University will be present, and public testimony will be heard. Senate President Peter Courtney and House Speaker Jeff Merkley are expected to attend.