Sat, Nov 22, 2008

Tucson Region

UA wary of state's budgetary problems

Tuition increase, deeper cuts could come next year
By Aaron Mackey
Arizona daily Star
Tucson, Arizona | Published: 04.24.2008
While UA officials have softened the impact of budget cuts announced by lawmakers last week, they worry that the state's nearly $2 billion projected deficit next year could force even greater cuts and leave students with a higher bill.
University of Arizona officials put a non-faculty hiring freeze into effect last month and trimmed costs in other areas in anticipation of the Legislature's cutting $14.7 million from the three state universities in order to balance this year's budget.
But budget and Arizona Board of Regents officials worry that the Legislature might ask for more significant cuts — up to $100 million — to help offset next year's projected deficit.
And if there is a significant cut in funding for the state's universities, students probably will have to pay the difference, said Jim Florian, the UA's budget director.
"I would hope they wouldn't cut more," he said. "It affects our ability to retain faculty and puts further pressure on tuition funding."
Tuition and mandatory fees for a resident undergraduate at the University of Arizona total $5,542 yearly.
Regent Fred Boice, the board's president, said he's concerned that legislators will call for steep cuts in funding for the universities, though he's optimistic that Gov. Janet Napolitano will block significant higher-education reductions.
"The governor has held education reasonably harmless, but you can't do that forever," Boice said.
The regents will discuss next year's budget and determine how to split this year's round of cuts among the three universities during a two-day meeting at the UA that begins today.
It's difficult to tell what will happen with next year's budget because negotiations between lawmakers and the governor have been private, Boice said.
There are competing plans being considered, including a proposal to cut funding to all three universities by $100 million, said Christine Thompson, a lobbyist for the Board of Regents.
"The universities are well aware of the financial situation that the state is in," Thompson said. "We're hopeful that the governor will be able to protect us, but we're aware that cuts are a possibility."
During their meeting, the regents will decide how to split the $14.7 million in cuts handed down by the Legislature.
The cuts likely will be split in proportion to the amount of funding each university receives, meaning the UA and Arizona State University will have to cut more than Northern Arizona University, Boice said.
The UA left dozens of state-funded positions unfilled in anticipation of the shortfall.
Officials also cut down on out-of-state recruiting costs and asked departments across campus to scale back their budgets slightly, Florian said.
The steps taken earlier this year mean the UA likely will be able to avoid any more cuts once the regents determine how much of the budget-trimming the UA will foot, Florian said.
● Contact reporter Aaron Mackey at 573-4138 or at amackey@azstarnet.com.