- 6 -
Systems. These positions were deliberately established to emphasize functions
which created the need to employ additional staff. He reminded the Board that
the University had received some special state funding for new programs such
as: the Robotics Center, the rural health initiative, and the energy lab.
These are obviously big programs that have created the need to employ staff.
He then noted that the staff area had been impacted the most in the
elimination of positions.
President Wethington provided a summary of the financial impact of the
budget reduction and restructuring plan and elaborated on the individual items
in the summary.
Position Eliminations $14.6 million
Overtime Work and Part-Time Hiring Reduced .7 million
Travel, Printing and Operating Expenses Reduced 7.1 million
Equipment Purchases and Renovations Reduced .6 million
More Stringent Utility Conservation Programs Implemented .5 million
Contingency Reserves Reduced 1.1 million
General Fund Expenses Moved to Other Fund Sources 2.1 million
Restructuring-Reallocations 2.6 million
TOTAL $29.3 million
He said that the 2.6 million is a conservative figure for the
restructuring moves reflected in the report. Any dollars generated as a
result of the restructuring process will be considered for primary program
priorities when preparing the 1993-94 Operating Budget. He expressed hope
that additional dollars would be available to apply to primary program areas
and/or salary increases.
President Wethington informed the Board that this report would be sent to
all full-time faculty and staff in the University, including the Coimmunity
He reported that the administration is ready to move on the completion of
the Strategic Plan, the preparation of the 1993-94 Operating Budget and the
preparation of the Biennial Budget Request for 1994-96. He stressed the
importance of the 2% that the University has been asked to hold for another
possible budget cut and said that he hoped it would not be cut from the
University's budget. He asked the members of the Board to advocate for the
support of higher education and, in doing so, to indicate that the institution
has managed its two previous budget cuts, has lowered its budget base, has
seriously looked at itself, and does need financial support to accomplish the
objectives that, in his opinion, the Commonwealth wants the University to do.
He said that it is important that the University start showing some increases
in its budget to reflect that the institution is important and to be able to
reward the faculty and staff for a job well done.
In conclusion, he said that this is a report to the Board of actions the
administration has taken in conjunction with faculty and staff in a
participatory process for managing the institution in a fashion that he hopes
the Board feels has lead to a determination of priorities inside the
University. He thanked the Board for their patience in listening to the