Describes New Jersey's budget difficulties, caused essentially by the reluctance of the state legislature to enact tax reforms. Severe cutbacks in state university funds were partially averted due to revenue increases, including a two percent increase in the corporation business tax and a boost in motor vehicle registration fees. (MLH)

Describes the current dissention between the New Jersey Department of Higher Education (DHE), and the faculty and administration of the state's colleges and universities. The DHE contends that university research should be carefully scrutinized. Rutgers University administrators argue that the DHE is intruding on academic decision making and does…