University of Vermont

Former President Daniel Mark Fogel

University Budgets August 27, 2008

From: Daniel Mark Fogel

To: Faculty and Staff

Re: University Budgets

As you may know (and as reported in several articles in the Burlington Free Press), the State of Vermont has determined through the revenue-estimation process that tax receipts in the current fiscal year (FY 2009) will fall at least $32 million dollars below the projections on which the State budget was based when it was passed in May.

Although most state-funded entities, including higher education, had been asked to prepare for a 5% reduction in appropriated funds, the final decision, issued today, was to hold the level of rescission for UVM to 2.5%, or approximately $1 million. The forecast of state revenues may worsen when the next formal revenue estimate is delivered in November, in which case further cuts in state appropriations may be required. As a separate matter from the State budget cuts, the budget proposal we will bring to the UVM Board next week to address unbudgeted expenditures over the past several years requires $1.7 million in cuts in addition to the $1 million that has been cut thus far from our appropriation.

Vermont and the nation are facing the probability of a protracted economic downturn, and it is more than ever clear that the economic and demographic storm about which I wrote to you in April in “Continuing UVM’s Advance” (see http://www.uvm.edu/~presdent/?Page=refocusedstrategicplan.html) constitutes a call to all of us to work together with renewed urgency and focus to find the University’s way forward. Discipline, circumspection, and cost-containment with a steady eye on academic quality must now be our bywords.

In the 2008-2009 academic year, we will make every effort to protect the academic core of UVM. That means that cuts this year must be taken primarily in administrative units, with the details of the budget adjustment process to be determined after the Board has acted next week on a revised budget for the current fiscal year. The academic deans will be developing for the 2009-2010 academic year budgets in their units that help to address the cuts in UVM’s base budget that will almost certainly be required next year.

Despite the very real challenges ahead, we stand on the verge of another academic year rich in promise, one that already has recorded historic milestones in the continuing advance in UVM’s quality and reputation. I want to convey, along with my heartfelt appreciation to all members of the UVM family who have helped to make it so, my confidence that we can continue UVM’s forward progress through a disciplined focus on academic excellence. Thank you.


Last modified October 05 2008 07:12 AM

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