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NC State Prepares for Drop in Funding

NC State administrators are revising 2011-13 budget plans this month, this time to prepare for a possible 15 percent reduction in state funding.  Vice chancellors and deans, who previously developed budgets reflecting 5 and 10 percent reductions, will submit revised plans by Jan. 31.

UNC System President Tom Ross, who asked universities to plan for deeper cuts, said today that he wants to streamline academics by getting rid of unnecessary duplication. On Wednesday, Ross told the News & Observer that a 5 percent cut in the university system’s budget could mean the loss of 900 jobs; a 10 percent reduction could force elimination of 2,000 university positions.

A 15 percent reduction in state funding would translate into cuts of nearly $79 million for NC State.

A memo this week from Provost Warwick Arden and Vice Chancellor for Finance and Business Charles Leffler, directs administrators to “consider significant organizational changes,” such as phasing out programs and services, combining departments and units, and centralizing support services. The goal is to protect faculty positions, instructional capacity and the ability to generate grants and contracts, earned income and gifts.

Arden and Leffler spell out plans to protect academics by using central reserves that would result in 9 percent budget cuts for the colleges, the Division of Undergraduate Academic Programs and the Graduate School. The library, utilities and advancement budgets would face a 6 percent reduction. All other units would have reductions of 11.25 percent.

For budget updates, follow the continuing coverage in the Bulletin and Budget Central Web sites.