FY'12 Budget/Cash Flow Update [6/2/11]
June 2, 2011
Dear WIU Campus Community:
As I write my final letter regarding budget and cash flow, I want to take this opportunity to thank each of you for your hard work and effort during these most challenging budgetary times. Because of the efforts and commitment of our campus community, Western Illinois University has continued to make progress.
My Fiscal Year 2012 letter is quite similar to the Fiscal Year 2011 letter outlining the upcoming year's budget. As always, our priorities continue to be to provide quality academic programs and to support all current employees. The University is not planning furloughs.
Pending action by Gov. Pat Quinn, Western's appropriated budget for FY'12 will be reduced by approximately 1.15 percent to $55.5 million from last year's $56.2 million appropriation. As of June 1, Western is waiting on FY'11 reimbursements from the State of Illinois of approximately $25.3 million . The University has received approximately $41.5 million (this amount includes Monetary Award Program reimbursements) from the state for Fiscal Year 2011. The legislature has approved the state's ability to pay outstanding FY'11 bills through Dec. 31, 2011. The University will continue to monitor the cash flow and budget situation, and will provide updates as they become available.
In addition, possible revisions to the state employee pension system have been tabled until the Fall 2011 legislative session. The University will continue to provide information related to pension and insurance revisions as it becomes available.
Given the continuing delays in state reimbursements for FY'11 and the reduction in appropriated dollars for FY'12, we must continue to limit all spending to immediate operational needs only and all purchases over $500 must continue to be submitted for vice presidential approval. The vice president and president must also continue to approve all new hiring. It is essential that we remain fiscally conservative so that we preserve personnel funds due to the ongoing delay in state reimbursements and the decreased appropriated budget.
Again, please know that I appreciate your support, hard work and dedication during the past nine years. It has been an honor and a privilege to serve as the president of Western Illinois University. I wish Dr. Thomas great success and happiness as he begins his tenure as Western's 11th president July 1.