January 13, 2010 — Impact of Budget Reduction
Dear Faculty & Staff,
In my message to you on January 7, I indicated that more information on the impact of this latest budget reduction would be provided. While I am confident that we will continue to progress during this time if we remain positive and focused, I believe it is important that you are aware of the very real impact these cuts have on our university and the community we serve.
This latest mid-year reduction of $4,612,290, when added to last December’s mid-year cuts and the budget reduction at the start of the current fiscal year on July 1, totals $16,445,647 in reduced state support. The cumulative percentage cut since January of 2009 is 17.48%. This latest cut will cause a reduction in services and substantially curtail economic and business development in the region and state.
In an attempt to protect the core academic mission of the university, the following areas of funding will be significantly reduced:
Cade Farm – The Cade Farm, a 600-acre complex that is used for research, education, demonstration and outreach in agriculture and environmental sustainability, will be closed until further notice.
Total reductions approximately $90,395
Outsourcing Services
The university continues to seek operational cost reductions through outsourcing. Implementation of the outsourcing of custodial services alone will result in savings of a minimum of $200,000 per year.
Total reductions approximately $200,000
Reduction of Economic and Business Development Centers
Major reductions of these important statewide business and economic development centers will significantly impact services provided to Louisiana businesses. The state can expect significant losses in successful government contracts for Louisiana businesses that are awarded government contracts. Reduced federal funding for the benefit of Louisiana businesses is inevitable with this mid-year reduction. Furthermore, hundreds of Louisiana companies could be denied services that improve their capacity to compete. These centers include:
ICEE (Institute of Coastal Ecology and Engineering)
LITE (Louisiana Immersive Technologies Enterprise)
SBDC (Small Business Development Center)
CBIT (Center for Business and Information Technologies)
MEPoL (Manufacturing Extension Partnership of Louisiana)
PTAC (Procurement Technical Assistance Program)
ITI (Information Technology Initiative)
NIMSAT (National Incident Management Systems & Advanced Technologies Institute)
Total reductions approximately $675,000
Reduction of Research Initiatives and Centers – These centers/initiatives are directly targeted at Louisiana’s economic competitiveness, economic diversification and economic stimulus. This reduction will eliminate key research and development projects directly focused on helping Louisiana’s economy compete in the information technology domain, as well as slow the state’s improvements in education. These centers include:
ICEE (Institute of Coastal Ecology and Engineering)
Picard Child Development Center
Louisiana Accelerator Center
NIRC (New Iberia Research Center)
Total reductions approximately $490,000.
Athletics – Reductions in athletic funding may negatively affect recruiting of student athletes, as well as coaches and staff. This may also have a negative impact in adhering to Title 9 requirements which puts the university’s athletics in jeopardy of losing NCAA certification.
Total reductions approximately $625,000
Instructional & Scientific Equipment – While the library acquisitions budget will remain intact, all other equipment acquisitions which are the tools of higher education will be frozen. Restricting these tools diminishes the quality of the educational experience, as well as the quality of the research.
Total reductions approximately $1,230,000.
Academic Programs / Administrative Units / Travel – Further combining of programs and administrative units will need to occur. Reducing travel could undercut the University’s role in national professional meetings of higher education organizations and accrediting bodies and may diminish efforts to improve through professional development, reduce faculty presentations of research, and diminish faculty competitiveness in obtaining research funding from external sources. Travel reductions will also hamper student recruitment and curtail student travel to competitions and educational field trips.
Total reductions approximately $50,000
Faculty positions – In the previous budget cut, 7 faculty positions were frozen. As a result of this latest cut, 3 additional currently vacant faculty positions will not be filled. This could reduce course offerings, delay student progress to graduation and increase class sizes.
Total reductions approximately $445,000.
Other – Special projects, such as restoration and renovation of campus facilities, will be severely curtailed resulting in further deterioration of buildings in critical need of repair.
Total reductions approximately $806,895
Each employee plays a valuable role in the future of the university and we are committed to doing all we can to protect our people, our students and the core mission of the university. Accomplishing this will require that each of us do our part to eliminate waste, conserve resources and find new and better ways to provide services.
Thank you,
E. Joseph Savoie
President
president@louisiana.edu