Universities Prep For Cuts : Planet Money Schools around the country are preparing themselves for smaller pieces of the state budget pie.
NPR logo Universities Prep For Cuts

Universities Prep For Cuts

Universities around the country are bracing for massive cuts as states rethink their shrinking budgets. In preparation for expected budget cuts, many are asking their staffs to look for any way to save money.

School officials say cutting a university budget is complicated by factors like tenure, which make it harder to lay people off.

Seth sends us this letter from the chancellor of University of Illinois at Chicago:

While we still have no official guidance from State government, the president has asked all three campuses, plus the central administration, to prepare for a potential State budget rescission of up to 10 percent during this fiscal year.

The deans and vice chancellors had already been advised of this prospect, and were asked to develop contingency plans to prepare for it. In addition, the deans and vice chancellors were asked to:

--Limit hiring only to those positions where the vacancy would have significant, adverse impact on campus operations.

--Delay all non-essential expenditures, paying special attention to travel and entertainment.

--Increase their financial oversight to avoid any unplanned deficit spending.

The measures outlined above and the contingency plans under development will enable us to mitigate the impact on our academic programs and services.