CU med school crisis

Increase in state funding is critical, university says

Sara Burnett, Rocky Mountain News

Published June 24, 2006 at midnight

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The University of Colorado is launching an aggressive campaign to convince lawmakers, taxpayers and state higher education officials that the School of Medicine is grossly underfunded, leaving Colorado facing a statewide medical emergency.

"The future health care of our citizens in Colorado depends in large measure on how well we train the physicians for the future of this state," said Dr. Richard Krugman, dean of the medical school.

"We're skating on thin ice, and it's real warm out there."

Although the state money makes up less than 2 percent of the medical school's budget, it is vital because it goes directly to educating students.

The CU School of Medicine - the only med school in a 500-mile radius and which educates about 70 percent of Colorado's doctors - received fewer state dollars per student last year than all but four of the 79 public medical schools nationwide, according to the American Association of Medical Colleges.

At roughly $24,000 per student, its state support is about one-fourth the national average.

And of the new state funds available because voters approved Referendum C, the medical school received $337,000 - an amount that doesn't come close to restoring the $8 million cut over the past four years.

If the situation doesn't improve, CU leaders say Colorado could lose nationally recognized faculty, have trouble recruiting top students and be unable to meet a growing demand for doctors, particularly in rural areas and lower-paying specialties such as family medicine.

Tom Clark, executive vice president of the Denver Metro Chamber of Commerce, said the lack of funds also could affect economic development.

CU's Health Sciences Center, which includes the medical school, is the anchor of the Fitzsimons redevelopment in Aurora - the project expected to be "the lead dog" in Colorado's economic development over the next few decades.

"The way you excel is to bring in great docs," Clark said. "To have a medical school that's struggling financially isn't the best way to bring in the brightest minds."

Jenna Langer, executive director of the Colorado Commission on Higher Education, said the medical school, along with the Health Sciences Center, probably is underfunded.

In 2005-2006, the med school got $11.4 million in state funds, down from $19.6 million four years ago.

But Langer also said CCHE, which determines how much money each public institution receives, is conducting a study of higher education costs statewide, and that those findings - not peer comparisons - should determine how much money the medical school and other institutions need.

"We need to look at what the number should be based on a cost study, not just compared to the best-funded schools in the country," Langer said.

The med school certainly isn't alone in its funding woes. All of Colorado's public colleges and universities took a hit over the past four years, as the state's economy sank.

Restoring those funds will take time, Langer added.

For 2006-2007, CCHE focused on increasing the College Opportunity Fund, a stipend for undergraduate students. Next year, Langer said, more new funds could go to programs such as the School of Medicine.

For now, however, the medical school is hanging on, thanks to other sources that make up more than 98 percent of the school's revenue, and double-digit tuition increases.

Medical school faculty are physicians at five hospitals: University of Colorado Hospital, Children's Hospital, National Jewish Medical and Research Center, Denver Health and Veteran's Administration Medical Center.

In addition to teaching, faculty have clinical practices that generate revenue for the school. Last year, for example, University Physicians Inc. generated about $225 million - almost 40 percent of the school's revenue.

The school also has been successful in winning federal research dollars, bringing in about $213 million in grants and contracts last year.

Nationwide, only three public medical schools and 11 private schools brought in more.

But grant dollars are decreasing, due largely to cuts at the National Institutes of Health and the National Science Foundation. And with medical insurance reimbursements also decreasing, physicians are having to put in more clinical hours to bring in enough revenue for the school, said Lilly Marks, senior associate dean for administration and finance.

That takes time away from teaching and in many cases, adds to faculty frustration.

The fear, Krugman said, is that some of those faculty will be wooed away by other schools that can back up research grants, require fewer clinical hours and pay higher salaries.

"It's like football free agency," he added. "Other schools are luring marquee faculty."

And because of the small size of the med school classes - this fall's incoming class will have 156 students - not even the annual double-digit tuition increases have been able to make much of a difference.

Next week, Krugman will sit down with CU President Hank Brown and other university leaders to discuss how to turn the tide.

In other states, residents pay a special tax to fund public medical schools.

Some states also match donations to key projects, such as biomedical research.

Brown said CU has no plans to ask for a special tax.

For now, he said, the campaign will focus largely on educating lawmakers and the CCHE that the medical school is not only deserving of more state funds, but a good investment.

"I think if people see the facts, it's very compelling," Brown said.

burnetts@RockyMountainNews.com or 303-892-5343

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