Budget Rumors

July 23, 2009 8:53 AM

The rumor mill is working overtime as we plan for anticipated budget reductions.  While I agree that this is a good time for dialogue, I ask that you keep the following realities in mind:
-    We are working on the FY10 budget now.  It is due in the IHL Board office the first week in August.  Many of the positions frozen mid-year '09 will be used to balance the '10 budget.
-    We have begun discussions for the FY11 budget.  We are looking for reductions of approximately $11 million.  Please note that $7 million of this year's budget includes one-time stimulus money. It is unclear how much, if any, of this amount we will receive in FY 11.  The additional areas reflect built-in cost increases such as utility costs and minimum wage increases that must be addressed.
-    There is no tuition increase to offset these increased expenses.
-    Please note that this is not an exact science.  We do not know what our state appropriations or tuition will be in '11 and are attempting to plan for worst case scenarios.
-    There is a strong likelihood that programs will be cut.  Any academic programs slated for deletion must be decided on first in order to provide proper notification to faculty and students.  Non-academic program will be cut as well but are not subject to the same timelines.
-    As I told you in the town meeting in January, we will not engage in across-the-board cuts.  Instead, we are taking a more surgical approach.
-    We are not helpless in this matter.  Increased enrollment, increased external research funding and increased philanthropic donations will help to bolster our finances.
-    I have advised the Provost and CFO to include me in all future meetings.

We are going to get through this - together.

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