Who will make the decisions regarding university budget cuts? President Maidique has given each of his direct-report vice presidents proportional budget cuts. Within each division, however, the cuts will be strategic, not across the board. Recommended cuts will be proposed by the vice presidents in consultation with their division leaders. Final decisions will be made by the president and Board of Trustees.
Why will strategic cuts be made within each division rather than across-the-board cuts? Across-the-board cuts would seem to be more fair. It wouldn’t be fair to the students we commit to educate. Across-the-board cuts to a budget that is already under-funded would have a deleterious effect on the quality of education overall for our students. If we wish to move forward in our goal to become one of the top public research universities in the country, the cuts must be strategic in nature.
What criteria are being used to make these “strategic” cuts that will be coming? Several years ago, the University adopted a set of criteria to establish program priorities. Cuts will conform to these strategic criteria.
There’s a rumor about plans to close the mail room. Has that decision been made? The university has issued a Request for Proposal (RFP) for a vendor willing to perform a series of services for us including mail and duplicating. We believe we may be able to realize significant savings by outsourcing these functions as a bundle. However, the proposals have not been received and evaluated, so we have not made a decision with regard to these areas.
When is the university expecting to receive its final budget for Fiscal Year 2008-’09? It is anticipated that legislators will give final approval to the state’s FY 2008-’09 budget in early May (the session ends May 2). By law, the state must have a balanced budget. It must be noted that once submitted, final budget recommendations are subject to Governors veto through the end of May.
When will we know what specific cuts will be made? The university’s executive team is committed to announcing specifics as soon as possible, and the Board of Trustees has endorsed that plan of action. Realistically speaking, it appears likely that President Maidique will announce final budget decisions by early May, when the full extent of the Legislature’s budget cuts are known. There will be a town hall meeting on April 14 where present recommendations will be discussed.
Is FIU likely to face more budget cuts next year? Yes. Based upon forecasts of a continued economic downturn, we are planning currently to implement our budget cuts over a period of three fiscal years – 2008-’09, 2009-’10 and 2010-‘11.
As of late March, the Legislature is proposing a 6 percent tuition increase for undergraduate education (although that is subject to gubernatorial veto). Graduate education is looking at a 10 percent tuition increase. Won’t that offset the budget shortfall? Hardly. The University would need to increase tuition approximately 50% to recoup a worst case scenario budget cut from Tallahassee.
Will there be layoffs? While protecting jobs is a priority in the budget examination process, layoffs are a possibility. The full extent of cuts to the FIU budget will not be known until the end of the Legislative session, and the Governors veto period. In many cases, departments will likely absorb some of the cuts by not filling vacant positions. If programs are eliminated, however, positions within that program will be eliminated as well.
If layoffs occur, will the individuals being laid off receive advance notice? If layoffs do indeed occur, individuals losing their jobs would receive advance notice. Human Resources personnel will work with impacted employees to help them explore other employment opportunities and to help answer benefit and retirement questions.
What assistance might be available to employees affected by potential layoffs? If we were to get to that point, we are committed to helping those affected find other employment – either internally at FIU or externally with another company – through training and making resources available. We would open a center where laid-off employees would be assisted with resume and cover-letter writing, as well as interview-skills coaching. This center would also offer access to computers, email, phone and fax machines.
Will there be any employee raises this year? Legislators historically provide funding for employee raises in the state budget. The Legislature provided a $1,000 bonus in Fiscal Year 2007-’08. We do not know yet what funds, if any, will be approved for Fiscal Year 2008-’09.
Why is it that FIU is moving ahead on some construction projects if the budget cuts are so severe? Building funds (PECO dollars) are provided by the Legislature from a tax on utilities. This money is available for all public education agencies, including K-12, community colleges and universities. These non-recurring funds, by law, may be used for building construction only. These funds cannot be used to offset cuts to our recurring budget.
The core mission of every university is to educate. Why should any academic area be affected by the cuts? With anticipated cuts being so deep and so severe, all areas of the university will be impacted by the reductions in FIU’s budget.
If FIU faces a budget crisis, why did President Maidique receive a bonus recently? The president’s contract includes several goal-based bonuses to be awarded by the FIU Board of Trustees. The money used to pay the bonus comes from the FIU Foundation, not taxpayer money. The part of President Maidique’s salary which is paid with taxpayers’ dollars has a state-mandated limit of $225,000. Every public university president in Florida is subject to the same limit.
Does FIU plan to hold summer classes? Yes.
Will students be able to take the classes they need to graduate on time? Offering the classes most needed by students is a priority. At this time, FIU’s deans are identifying classes that best address student demand. It’s possible that some classes may become larger. Others may be offered online.
What do the budget problems mean for prospective students? Because of budget cuts, we have had to cap enrollment at last year’s levels. As a result, we will be forced to turn away students who have a solid B + average and who scored well over a 1,000 on the SAT. For students who are accepted at FIU, the budget reductions mean they will be in more crowded classes, will have overworked advisors, and may take longer to obtain a degree because of fewer opportunities to take the classes they need to graduate.
