Almost one-third of America’s private colleges are gearing up for a drop in tuition and fees revenue this school year, a survey from Moody’s Investor’s Service said.

The findings, reported by The Wall Street Journal, say that apparently a lot of these schools are now facing weaker future operating performances from the significant drop in revenue.

This all also comes on the heels of recent news informing the public of the highest paid college presidents out there. The Wall Street Journal reported that credit raters have been downgrading certain school debt over 2009 but not in municipal or corporate debt.

The cost of many college’s tuition has had many critics. A lot think schools should try to save money, much like the rest of us are doing. Also, don’t forget, private schools’ rates are much higher than public ones since public schools are partially paid for by taxpayers, the article reported.

The author of the Moody’s report said, “The tuition-income drop may be due to colleges needing to have tuition discounts that have been more than usual years. What colleges did was increase tuition but also financial aid and scholarships.”

Also, in the midst of all these financial woes, 23 private college presidents made over one million last year, The New York Times reported. The highest was a female president, Shirley Ann Jackson, from the Rensselaer Polytechnic Institute in New York. Her pay was---are you ready---$1,598,247 in 2008. However, she is a physicist and former chairwoman of the federal Nuclear Regulatory Commission, and she’s also been at the school for 10 years.

Runner-up includes David J. Sargent, the president of Suffolk University in Boston. Last year he was the number one highest paid president, the Times said.  He earned $1,496,593.

Third place was Steadman Upham, president of the University of Tulsa. His earnings were also approximately $1.5 million dollars.

Our take:
What’s your opinion on the financial woes and all these college presidents getting such high salaries? Do you think they deserve it, especially presidents like Jackson, who has 10 years experience and is a physicist?  I think being a college president should have a decent salary, but so many people are hurting financially these days, especially college students. Now with the drop in tuition and fees revenue, things should maybe be reconsidered. Share your thoughts here.