considered for a longer period of time and with great care.  I believe
it is also quite evident that it is not the work of one or even of several
persons, but is rather the product of a tremendous number of individ-
uals representing every phase of the University' s complex program.

         The 1960-61 budget for the University is not only the largest
in terms of dollars but it also represents the largest increase percentage-
wise of any budget previously presented.  There are several reasons
for the large increase.  The Medical Center is nearing activation and,
therefore, requires a considerably increased budget. Geological
Surveys are undertaking a large and expensive program of geological
mapping of the state.  Through a generous increase by the state admin-
istration, additional money has been made available for salaries. The
actual staff of the total Universityhas been increased only very slightlyfor the
coming year; the major portion of the funds available has gone for salary

         It will be quite evident that the increases made possible through
the increased appropriations will place the University of Kentucky in a
more competitive position with other institutions of our type.  It should
also be pointed out, however, that the following comparisons are based
on information from the other institutions for the current year and
these institutions also will make increases just as the University of
Kentucky has for 1960-61, but these figures will not be available for
some time. Therefore, the notion that we are practically on a par with
these institutions from other states would be true only if they gave no
raises whatsoever.


        The 1960-61 proposed University of Kentucky Budget is being
presented to the members of the Board of Trustees for their considera-
tion and approval.

         Upon approval, the budget document will be recorded as an
integral part of the University' s financial system.  The necessary fis-
cal control will be exercised for the collection and appropriations of
income and the expending of departmental appropriations in accordance
with existing fiscal policies and procedures as approved by the Board of

1. General Fund Budget

        For simplicity of presentation and ease of financial interpreta-
tion of the various programs in each major budget unit, a complete
analysis of income by source and expenditures by function and object
is shown in Exhibit A for the fiscal years 1959-60 and 1960-61.

        The estimated income for 1960-61 is $17,486, 173.  This is an
increase of $3,27Z,560 over the estimated income for the fiscal year
ending June 30, 1960. An analysis of the increase in income by source
for each major budget unit is as follows: