Colleges and Universities Reap an Earmark Bonanza, Thanks to Congress
Some of the largest beneficiaries of federal "earmarks" are colleges and universities. They can receive money to do research for the government, and some schools even have whole centers and institutes funded through this practice. Over the last few years these schools, both state and private, have invested in lobbyists to help them get those earmarks. A recent analysis showed that in 2010 these earmarks totaled about $2 billion.
While $2 billion doesn't seem like much in an almost $3 trillion budget, it illustrates the magnitude of the earmark issue. The House leadership moved last year to ban earmarks that would benefit for-profit companies or organizations. If that plan goes through -- and it won't have any effect for a while, at least -- educational earmarks will only grow more popular. Such money still flows to home states and districts to hire people at the schools. This may not be as efficient as giving the funds to a company, but it's still pork.
Earmarks are a bane because they're so often used to sidestep the federal budget process. Many people justify the practice as a way to create jobs in a district with federal money, and who can be against that? The problem is that the money should be going to something the government needs or wants rather then what individual politicians think best.
The Democratic ban on for-profit earmarks is just window dressing for now, as it would only apply once a budget is drawn up, and it currently looks like there won't be a budget this year. The Republicans did not agree to the plan, ostensibly preferring a ban on all earmarks. (In reality, Republican lawmakers use earmarks pretty much as often as their Democratic counterparts do.)
At a time when the federal government is running deficits of more than $1 trillion, this kind of spending needs to be limited. It won't be, of course, so if you happen to be running a university, you're probably best off putting some funds into lobbying, as it will most likely be returned to you with interest courtesy of the U.S. taxpayer.