Texas A&M may have to cut $28 million out of its budget over two years.
University officials had expected budget instructions from state officials for several weeks. They came Friday, as state leaders directed all agencies and higher-education institutions to plan for a 5 percent reduction in spending.
The reduction averages $14 million a year over the two years -- or biennium -- that began Sept. 1. The university has flexibility in deciding how much to reduce each year. Since more than four months have passed in fiscal year 2010, one option would be a smaller cut this year and having fiscal year 2011 shoulder the rest.
"The total amount that will be reduced from the Texas A&M budget is not finalized, but this is the best estimate that we have at this time," said university spokesman Jason Cook in an e-mail.
State officials cited the uncertainty of Texas' short-term economic future as well as "potentially substantial long-term costs associated with the passage of federal legislation currently being debated in Washington, D.C."
"Texas has a balanced budget and comparatively sound economic conditions," stated the letter, signed by Gov. Rick Perry, Lt. Gov. David Dewhurst and Speaker of the House Joe Straus. "However, we owe it to the taxpayers to be especially prudent with their hard-earned dollars during these difficult times."
The squeeze could be even harder on Texas A&M University, as Chancellor Mike McKinney, head of the 11-university A&M System, has directed the university presidents to make plans for a zero to 4 percent increase in tuition.
That's lower than it's been the past few years, aside from last year when the Board of Regents capped tuition at 4 percent despite pleas from former A&M President Elsa Murano and other chiefs from A&M System institutions for more flexibility in setting tuition.
The tuition impact, however, is limited compared to the state reduction, as a 1 percent increase in tuition equals about $1.3 million over a year.
Texas A&M Interim President R. Bowen Loftin said he planned to meet with his vice presidents and deans Tuesday and Wednesday to give them instructions about how to proceed. In an interview Friday afternoon, shortly after he had received the letter, Loftin said he had believed the reduction would be between 2.5 and 8 percent.
"Now we know," he said. "We were expecting something like this to happen. I wasn't certain of the number, but we've been preparing for this."
Robert Bednarz, speaker of the Faculty Senate, said faculty members are disappointed about cuts but pleased they aren't as deep as other states have had to make.
"It's a 'you're sorry you have no shoes until you saw a man with no feet' kind of thing," he said. "This is not good news, but I think people are somewhat grateful that things aren't worse."
RSS
Mobile
Daily Emails
Twitter
Facebook
