On the table for 2009 budget cuts: Everything
Published February 8, 2009
Everyone at the University of Minnesota will feel the estimated $151 million budget cut, Chief Finance Officer Richard Pfutzenreuter said, but itâÄôs too early to tell exactly how they will be affected.
2003 Budget cut
Cut: More than $195 million Tuition:Tuition increased more than 14 percent each of the two subsequent school years. Students took on the largest share of the financial challenge at 46 percent. Financial aid and scholarships: They were not cut, Pfutzenreuter said. Freezes: The University froze faculty salaries for a year. There was also a hiring freeze, but it was not instated as early in the legislative session as this yearâÄôs freeze was, Pfutzenreuter said Faculty jobs:More than 500 jobs were either cut or not filled after faculty left the University, Pfutzenreuter said. Faculty and staff assumed only 15 percent of the financial responsibility, according to University documents. Operating cost: There were significant cuts from departmentsâÄô operating budgets throughout the University. Administrative, operating and program reductions made up 31 percent of the solution in 2003, according to University documents. Program cuts: Programs were cut and other programsâÄô budgets were reduced throughout the University, Pfutzenreuter said. In 2005, the UniversityâÄôs General College was eliminated, but Pfutzenreuter said it wasnâÄôt directly related to the previous yearâÄôs budget cut. Part of the solution was to offer fewer course sections in smaller programs, Pfutzenreuter said.
2009 Budget Cut
Cut: Estimated at $151 million Tuition: If University President Bob Bruininks has his way, students wonâÄôt face large tuition increases. He has proposed two back-to-back raises of 4.5 percent beginning in 2010 as part of a biennial budget request to the state legislature. At a Feb. 5 Senate higher education committee meeting, however, Bruininks said that request is now âÄúdead on arrival,âÄù and that any possible increase in tuition would stay below 10 percent. Even if students took on 100 percent of the financial challenge, which is not an option, tuition would only raise about 12 percent, Pfutzenreuter said. Finacial aid and scholarships: TheyâÄôre the only things not on the table for cuts this year, and they wonâÄôt be in the future, Pfutzenreuter said. Freezes: Executive salaries and hiring are already frozen. However, the halt on hiring is probably only temporary, according to Pfutzenreuter. If there was a yearlong hiring freeze it could save $25 million to $30 million. Faculty jobs: There will be cuts, or at least positions left unfilled. Faculty and staff will probably take on a much larger responsibility than they did in 2003, Pfutzenreuter said, but the number of jobs eliminated could be anywhere between zero and 900. Operating cost: The majority of operating costs, like electric and heating bills, are unavoidable, Pfutzenreuter said. Every year, however, the University cuts cost and sets priorities regarding where to invest and where to cut. For 2009, the cuts will likely be higher than usual and could end up being a major part of the solution. Program cuts: ItâÄôs unclear what could happen to programs throughout the University. Non-major-related programs, like research centers or daycare facilities, could be completely cut, but this option is ranked very low on the list of options, Pfutzenreuter said. Only some specific programs, like the University and Mayo Clinic Partnership and ongoing mesothelioma research, will not be considered for cuts. College of Liberal Arts Dean Jim Parente said in an e-mail that the college is working in collaboration with the Provost’s office and the CLA community to plan and prepare for the fiscal challenges ahead. A likely scenario would be cutting the number of class sections available for small departments, Pfuzenreuter said. The music department, for instance, was urging students via e-mail to fill course spots early so sections wouldnâÄôt be cut this spring, the UniversityâÄôs only first-year viola major Benjamin Davis said.
Devin Henry contributed to this report.
