HSU committee considers scenarios for $5 million budget reduction

Eureka Reporter 2/23/07

By Courtney Hunt-Munther

Humboldt State University President Rollin Richmond commissioned the University Budget Committee to take a cold, hard look at the school’s fiscal realities and that’s what they intend to do — next week.

At a meeting Friday afternoon, the committee agreed to disagree on a number of issues, but ended the meeting with an understanding that a decision on where to make $5 million in reductions will need to be close to completion at the next meeting on March 2.

The committee is faced with a strict time constraint: two weeks to figure out which divisions will have to be reduced, which programs within those divisions will be reduced, by how much they will be reduced and which, if any, programs will have to be cut completely.

The budget situation, which was brought to light just before school resumed in August, stems from the university failing to meet enrollment expectations and the California State chancellor limiting state funding for the school as a result.

Despite a record number of students in the freshman class last fall, the bulk of the school’s difficulties result from serious enrollment issues, including student retainment.

According to a letter sent by Richmond to HSU students and faculty last fall, several factors contributed to the budget situation, including enrollment reductions and a problem with student retainment, a change in the California State University system’s funding formula and mandatory increases in salary and benefits, all of which he said are unlikely to diminish.

“We can no longer approach our budget problems in a piecemeal fashion that assumes reductions will be temporary,” Richmond wrote in his letter. “Together we must make major structural changes in order to achieve fiscal health and position the university for future prosperity.”

On Friday, the committee took a look at a number of different scenarios brought forth by UBC co-chairs Richard Vrem, also the university provost and vice president for academic affairs, and Saeed Mortazavi, president of the Academic Senate. Seven different situations were briefly presented with seven different ways to find $5 million.

Among the possibilities discussed were additional student fees, 7 percent reductions across the board in the school’s different divisions and separate reductions to the Academic Affairs division.

Vrem and Mortazavi both emphasized that the scenarios are only possibilities and were drawn up as an exercise to get the committee to begin thinking about how to distribute the reductions.

Still, discussions on whether or not student fees should be implemented were brought to the table and while some committee members were hesitant, others felt backed into a corner.

“I don’t see how we have a choice without an increase in student fees,” said faculty representative Wayne Perryman. “I think that has to be part of our equation.”

Associate Vice President for Business Services Carol Terry noted that in terms of campus fees in the CSU system, HSU students pay $3,175, just less than the CSU average of $3,199. A hike in student fees would account for about $1.5 million in revenue.