Explosive economic growth has been predicted for Kalamazoo as parents vie for homes in the school district so their children can have a chance for a free post-secondary education.
The "Bay City Promise" Education Endowment;
A Goal to Be Considered
Don Sherman Touts Plan by Kalamazoo Donors Funding Scholarships for All
January 1, 2006
By: Dave Rogers
Don Sherman, former Bay City downtown merchant and promoter, is trying to create interest in an economic development program here like one recently announced in Kalamazoo.
The "Kalamazoo Promise" is an endowment by 11 anonymous donors to pay the college tuition and fees of any student graduating from the Kalamazoo Public Schools.
Explosive economic growth has been predicted for Kalamazoo as parents vie for homes in the school district so their children can have a chance for a free post-secondary education.
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Janice Brown, superintendent of the Kalamazoo schools, estimates that the program will cost about $3million a year for the approximately 400 students who go to college and about $12 million a year when four graduating classes are in school.
The donors reportedly have the financial ability to commit even up to the estimated $24 million a yearthe program would cost if enrollment doubles in the Kalamazoo school district.
At 10,200 students, the Kalamazoo district is only slightly larger than the Bay City schools' enrollment. Kalamazoo graduates about 500 students a year and the superintendent says 75-80 percent go to college.
Kalamazoo leaders expect a influx of population and an increase in property values. A community celebration was held in November. Kalamazoo, at a population of 77,000, is about the same population asthe Bay City School District that encompasses much of the county.
The donors refuse to be identified but Supt. Brown described them as "people who truly understand the formula that education equals economic development and quality of life."
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"Bay City and Bay County desperately needs a program of this type!" exclaims Mr. Sherman, who now lives in Palm Beach, Florida.He wrote to a dozen community leaders urging consideration of such a program and says he received only one response, from Supt. Carolyn Wierda of the Bay City Public Schools.
Mr. Sherman noted in his letter that Palm Beach County, Florida, recently approved a 1/2 cent increase in sales taxes to pay for school improvements.
The estimated revenue from a one percent increase in sales taxes in Bay County, from the present 6 percent to 7 percent, would raise about $9.9 million per year on retail sales of about $9,900 per capita and countywide population of 100,000. In the Bay City School District alone a one percent sales tax increase would raise about $7.7 million. The legality of using such an increase for school improvements or a college endowment program would have to be checked through the attorney general or given special legislative approval.
Financial experts point out that the cost of a full four year tuition and fees for a newborn to pre-school youngster is $35,000 if paid in advance through the Michigan Education Trust (MET). Therefore, a sales tax increase of one percent in Bay County would cover full tuition and fees for a four year education for about 282 students through MET. In the Bay City School District alone the increase would pay for a college education for about 220 students.
Tuition and fees this year are $7,652 per year at Michigan State University and $9,218 at the University of Michigan. Any scholarship program funded countywide would have to be awarded proportionately to graduates from Bay City, Essexville-Hampton, Bangor Township and Pinconning Area Schools.
Many high-achieving graduates would have the financial resources to pay their own college expenses, observers note. Therefore, the available scholarships could provide incentives for bright students who are not in higher income brackets.
Such a program could be the "Bay County Promise." It's a goal worth considering, according to Mr. Sherman and other community supporters.###