ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Friday, June 28, 1996 TAG: 9606280062
SECTION: VIRGINIA PAGE: A-1 EDITION: METRO
SOURCE: ALLISON BLAKE STAFF WRITER
NOTE: Lede
Can Virginia Military Institute go private?
That was the question on people's minds Thursday, one day after the Supreme Court declared that "women seeking and fit for a VMI-quality education cannot be offered anything less, under the state's obligation to afford them genuinely equal protection." Voting 7-1, the court ruled the school could not accept public funds and remain all-male.
An eight-member committee from VMI's alumni organizations has worked since spring to explore going private, said Edwin "Pete" Cox, outgoing president of the VMI Alumni Association.
If the school decides to go ahead with that plan, which could to cost millions, the General Assembly and the governor ultimately would have to approve it, lawyers said Thursday. And if it makes it that far, VMI's privatization is sure to spark fierce political debate.
"From my understanding, it would have to pass the General Assembly to sell [the campus]," said state Senate Democratic Leader Richard Saslaw, D-Fairfax County. "I would not vote for that. Why should we sell off VMI? Why not UVa and William & Mary?"
The value of the VMI post, or campus, has been estimated near $150 million. The current endowment of $180 million would need to be doubled to generate enough money each year to replace the $10.3 million in state operating funds. Next year, VMI's operating budget is $33 million.
"It's got to end," Saslaw said. "That's the law of the land. ... When are we handing off state assets because alumni don't like a Supreme Court decision? I don't see it happening."
On the other side of the aisle - and a chamber over - House Minority Leader Vance Wilkins, R-Amherst County, called the court's decision a "whim."
"VMI has been a good school and done a good job. ... I don't want to see it destroyed by a whim of a court - a strong whim of a court," he added.
Legally, the question of whether the court decision lets VMI go private remained up for debate.
University of Virginia law professor A.E. "Dick" Howard said he thinks there's nothing in the court's opinion that stands in VMI's way. "The issue simply was not before the court," he said.
"If VMI chooses to go private, one objection I'm sure would be made is that it is an effort to evade the Supreme Court," he said, adding that opponents probably would compare such a plan to efforts 32 years ago to avoid integration by privatizing schools.
"I think the main barrier to privatization is likely not so much to be federal constitutional law as the practical realities," he said.
But one of Howard's colleagues at UVa said the school runs a "real risk" of further legal action if it were seen as trying to do an end-run around the Constitution.
"The court has ruled, and unequivocally. It's time for them to accept this," said UVa law professor Mary Ann Case.
As for the U.S. Justice Department, which brought suit against VMI in 1990: "We would have to consider what, if anything, we would do" if the school went private, said spokesman Myron Marlin.
But Bill Berry, the rector of VMI's Board of Visitors, said this: "The threshold issue is whether a single-sex VMI would be constitutional if it were privately operated. I think we all hoped this order would clarify that issue.
"It's still a murky issue, as far as I can tell."
The VMI committee studying privatization may have a recommendation in time for the July 11-13 Board of Visitors meeting, when the governing board will decide what to do.
Among the hurdles may be the fact that going private could prompt tuition to skyrocket.
"VMI has always prided itself that the student body comes from a wide range of socioeconomic backgrounds. If you had to go private and had to double the tuition, you could lose that," Berry said.
Next year, in-state students will pay $8,790 in tuition and fees; out-of-state students will pay $15,255.
Aside from the $10 million in operating funds VMI needs, there remains the unique, state-owned campus. With its parade ground and hulking barracks, this is hardly your typical piece of commercial real estate.
Also, Berry said, the campus is a National Historic Landmark, which could further complicate a sale.
"You can't say, 'I'll tear everything down and build a Holiday Inn," Berry said. "That's why, to me, an appraiser would have an extremely difficult time determining market value."
Others interviewed Thursday suggested the property could be sold by the state, or perhaps leased to VMI.
The "contingency planning committee," whose meeting this week was canceled, has considered details such as how to convert the faculty from state to private employees, Cox said. The committee includes two members of the college's Board of Visitors. If more than two were members, the committee's meetings would have to be open to the public, according to state law.
Cox said he still hasn't made up his mind what to do. Of great concern is going private and not being able to succeed over time.
"I want to be sure we will have an institution that would be worth having," said Cox, noting the school always has been characterized by a "respect of constituted authority."
The weight of the court's decision could influence further action, said Tom Morris, president of Emory & Henry University and a VMI alumnus.
"In decisions like this, that involve emotional issues, there are advantages in the vote being one-sided. It's likely to discourage those who would be inclined to resist the decision," he said.
As the questions fly, one thing becomes clear: Deciding to go private won't be easy.
"That is an immensely complicated decision. We as a board are not the only ones involved in it. The alumni, the state, the taxpayers, the employees are, also. My personal test is: 'Will what we do enhance excellence in education in Virginia?'" said VMI board member Anita Blair.
Not all alumni support going private.
"The court has ruled ... it's time for them to accept that. I'm glad it's over. If we've learned anything, we've learned to take orders. We've got to accept the decision now and go on. ... I think it's ridiculous to talk about going private. It's not an option," said Cabell Brand of Salem, who graduated in 1944.
Dan Casey and Michael Croan contributed information to this story
LENGTH: Long : 118 lines ILLUSTRATION: PHOTO: AP FILE/199). VMI cadets six years ago approach the mainby CNBentrance to the military school - and a slogan that seems to be
relevant today. color.