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Eastern Michigan

$6-million university house project a bad move during tight budgetary times

July 25, 2004

At a time when state universities have been pulling their belts painfully tight and pleading with the state to be spared more drastic cuts in aid, Eastern Michigan University spent $6 million on a palatial home and fund-raising venue for its president, who is leaving the school at the end of this month.

No matter how EMU spins this, it looks terrible. A state audit of the project has shredded the credibility of EMU's leadership to a point where Philip Incarnati, chairman of the EMU Regents, ought to resign or at least surrender his leadership post.

The Ypsilanti school, which gets more than a third of its $250-million annual budget from the state, will be an easy punching bag for the Legislature in the next round of budgeting for higher education. Eastern's poor judgment and worse timing on this project could even have an unfair broad-brush effect on the state's 14 other autonomous universities.

It would also be unfair for legislators to take this debacle out of EMU's hide in the appropriations process. Such a move would inevitably add to the tuition burden of EMU students, who had no part in the decisions of the Regents. One legislator has called for the entire board, all holdover appointees of former governor John Engler, to resign. That's not such a bad idea in this situation, but with the school's president leaving, a mass Regents' departure would create a void for too long atop EMU.

The extraordinarily critical 36-page state audit of the University House project disputed EMU's claim that it was only a $3.5-million undertaking, putting the cost at $6 million, including land acquisition, construction of the 10,200-square-foot house and attendant landscaping. The state audit also chastised the university for using more than $3 million from its operating funds to pay for the project during a time when student tuition was increased. The Ann Arbor News had to file a request under the Freedom of Information Act to learn that departing President Samuel Kirkpatrick will receive a farewell package worth about $514,000, including two years' pay and health care through 2008.

Incarnati, a Regent since 1992 and chairman of the board since '95, told the Free Press that "if we knew 3 1/2 years ago that the state was going to be in the shape that it's in, we probably would not have gone forward with the project, we probably would have postponed it."

But he also said that cash gifts to EMU have been up 30 percent to 40 percent since the University House, with its facilities for entertaining prospective donors, opened last year.

EMU issued strong exceptions to some parts of the state audit, although Incarnati insisted "we didn't take this lightly."

Incarnati said he would not consider quitting the board "as long as I think I can provide some benefit to the university."

"But we need to move on," he said, "and do what's important for the education of our students."

That should have been the Regents' guiding philosophy all along.


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