UAF sets budget planning target dates

March 2, 2016

By Mike Powers
UAF chancellor

Last week, the House Finance University of Alaska Subcommittee made its recommendations regarding the UA budget: A reduction of nearly $51 million from the current level of state funding. The subcommittee’s proposal represents a much larger cut than the governor’s budget, and would result in cuts much higher than we were anticipating prior to the beginning of the legislative session.

This leaves UAF with the resulting timeline:

• March 5-19 - Cabinet refines two budget scenarios: $26 million gap and $36 million gap

• March 20-April 1 - Planning and Budget Committee reviews and makes recommendations

• March 30 - Initial layoff notices (some may be rescinded)

• June 1 - Final budget, assuming Legislature adjourns on time

While there are still more than six weeks remaining in the session, and a lot can change in that time, it’s prudent for UAF to begin planning for a larger budget gap than the $26 million we estimated in December. To that end, my core cabinet members and I will spend the next two weeks to develop and refine two proposals to share with the Planning and Budget Committee: One that makes $26 million in cuts and another that makes $36 million in cuts.

The Planning and Budget Committee will review those proposals until mid-April and issue its recommendations then. Those recommendations will be available online at bit.ly/uafbudget-plan.

In the meantime, we hope to have initial layoff notices to affected employees by the end of March, with the understanding that some of those notices could be rescinded later after the committee and cabinet make their recommendations. While layoffs are always difficult, I feel very strongly that we need to give employees as much notice as possible.

We won’t have a definite budget number until the Legislature adjourns. If they complete their work during the normal session, units should have their budget allocation numbers by June 1.

Every year, our budget is uncertain, but the gravity of the state’s budget situation makes things even more so this year. I recognize that is incredibly stressful for all of you. While I don’t have all the answers right now, I would encourage you to participate in this process in a variety of ways:

Visit http://alaska.edu/state/report/ to get the latest updates on the Legislature from UA state relations.

Share your concerns and ideas with the Legislature. Make sure you use your personal email or phone and do so during non-work time.

Learn more about the Planning and Budget Committee. The names of members are posted here ly/uafpbc17. Talk to them about your concerns and ask them to share those concerns with the rest of the committee.

Submit your suggestions to the online form ly/ombfeedback. Planning and Budget Committee members will receive all suggestions.

Finally, please watch your emails for a campus forum announcement following the Planning and Budget Committee recommendations in mid-April. It is so valuable to me and for cabinet members to hear your input throughout this process. We have difficult decisions ahead, and need your help as we make them.