Campus Connection.
January 18 , 2002 Volume 17, Number 17


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WIU's Share Of Illinois' Budget Deficit Equals $2.7 Million

Dear Colleague:

In two separate requests for funding cutbacks, $25 million and $45 million, Governor George Ryan imposed a $70 million spending reduction in public higher education Fiscal Year 2002 budgets to help close a deficit in the State's budget. This deficit is a result of a slumping national economy, the terrorist attacks of September 11, and a shortfall in the State employees' health insurance fund. WIU's share of the FY2002 budget call back is $2.7 million.

In November of 2001, higher education was asked to reserve a little over one percent of the total state appropriations. This amounts to $741,100 for WIU. As a result of the budget planning decisions adopted with the FY2002 operating budget, a contingency reserve was established to offset an anticipated decline in available tax revenue from the State of Illinois. Fortunately, it was possible for WIU to utilize this reserve to completely satisfy the first budget call back of $741,100.

Governor Ryan's second request that the State's public higher education institutions cover a portion of the estimated $110 million shortfall in the State of Illinois employees' health insurance fund equates to an additional call back of $1,944,800 for WIU. To address this shortfall in the health insurance fund, the President, Vice Presidents, and Deans are developing plans within their divisions to achieve the necessary level of reductions.

Complying with the second round of budget cutbacks may result in the reduction of travel expenditures, cancellation or delay in the procurement of equipment, supplies, and services, postponement of routine maintenance projects, as well as holding vacant positions open. At this time, layoffs of currently employed full-time staff are not anticipated.

The campus community's cooperation in this challenging budget environment is appreciated.

Sincerely,

David R. Taylor

President

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