On June 1, President John L. Crain relesed an update tentatively pegging a reduction of $9.4 million for the next fiscal year, which begins July 1. Crain pointed out that reduction was significantly higher, but has been mitigated by a tuition increase as a result of meeting the GRAD Act requirements which amounts to around $6 million.
At the end of the 2012 Louisiana Legislative Session’s three months of budget disputes, it was estimated that cuts in the University’s 2012-2013 operating budget could be around $16.4 million.
The session concluded on Monday, June 4, at 6 p.m., and although the $9.4 million in projected cuts were unknown, administrators had already begun working on balancing the budget based on what they knew.
“I anticipate that we will begin to receive information over the course of the next several days, and we will be analyzing this information as it comes in to fully understand the impact to our campus,” said Interim Vice President of Administration and Finance Sam Domiano prior to the release of the numbers. “Dr. Crain has been committed to keeping the University community informed throughout this entire process.”
To date the university has suffered approximately $40 million in cuts since 2008.
“The recently concluded legislative session was one of the most contentious and controversial in recent memory,” said Crain in his most recent update to the campus. “As has been the case in recent years debate over the state budget contributed significantly to the controversy.”
In his statement, Crain listed actions that may be taken in order to balance the budget:
• Additional employment reductions, including elimination of vacant positions, elimination of positions anticipated to be vacated in the upcoming year due to retirements or resignations, transfer of some personnel costs to non-operating funding sources, and, unfortunately, layoffs.
• Additional reductions in the limited remaining operating budget support for supplies, travel, acquisitions, and other operating services.
• Achievement of further efficiencies in instructional costs through additional scrutiny of course scheduling and faculty workload.
• Additional transfer of support service costs, including library acquisitions, to non-operating funding sources.
• Increases in self-generated revenues, where possible.
During the Session, HB 1, the executive budget, underwent a considerable re-write by the State Senate in order to preserve more funding for higher education. The Senate also approved the use of money from the budget stabilization fund or to help balance the over $200 million shortfall in the executive budget.
At the conclusion of his statement, Crain addressed faculty and adminstration, asking them to remember that it is the students who suffer most from these cuts.
“We must always remember that they are the reason the university exists, and we must continue to focus on their success, even with limited resources,” said Crain.