Continuing budget reduction effort




TO: Faculty and Staff
FROM: Provost Mike Sherman and CFO David Cummins
DATE: July 26, 2013
RE: Continuing budget reduction effort


Dear Colleagues,

As has been previously announced, the budget for fiscal 2013-14 that was approved by the Board of Trustees in June was based in part on the elimination of approximately 100 positions across campus. Most of those positions were already vacant or the result of retirements, and we continue to learn about other resignations or retirements. Nonetheless, there are some currently filled positions that are being scheduled for elimination as a result of departmental reorganization and/or realignments of responsibilities.

You may recall that the original budget was based on flat to slightly declining enrollment. More recent projections suggest enrollment could be down 5-7%. As a result, a revised fiscal year 2013-14 budget will be required to reflect reduced revenues. We have asked Deans, Vice Presidents and their leadership to continue to look for efficiencies in their operations, as they undertake another series of budget-reduction exercises to address this potential. This process will likely result in additional restructuring and realignment of responsibilities along with the implementation of hiring constraints limited to strategic needs. While we will continue to rely upon attrition to achieve position reductions, some additional position eliminations may also be necessary.

We realize these exercises generate a sense of uncertainty on campus. As enrollment numbers become clear, we will develop any necessary budget revisions for the Board of Trustees' meeting in October. At that point, we will communicate the full impact of fluctuations in enrollment.

We cannot emphasize enough that student success remains at the core of our mission. Individual student success is in large measure reflected by student persistence from one semester to another, through to graduation. As we assist our students in this process, it is important that we be mindful that increased retention and graduation rates improve the financial outlook for the university.