To All Members of the CFR Community
As reported to you on April 29, our College must absorb an 11% reduction in our permanent state budgets as of July 1, 2009. Via this memo, I wish to update you on the final budget cuts for each unit in our College that manages a permanent state budget.
You will recall that on March 11, I presented a proposal for reducing CFR's permanent state budgets. At that time we anticipated a 12% budget reduction. In late April we learned that our final budget reduction would be 11%. In addition, we learned that we would receive a budget credit for any staff benefits associated with reductions in staffing that result from these budget reductions. We also learned that we would receive $143,000 in temporary funds to be used to support our academic programs over both FY 10 and FY 11. Lastly, the College's budget base, upon which the reductions will be taken, was updated to reflect budget status as of 3/31/09.
These adjustments aside, we are proceeding to implement the budget reduction plan as described on March 11. Adjustments reflecting the 11% budget cut scenario are shown on the attachment to this memo. Please note that the final % reductions in the various budget categories as shown in column h are very close to those of column d which reflect the preliminary 12% budget reduction plan. Overall, we 'saved' $80,449 in budget cuts as reflected in the final FY 10 plan versus the original plan of March 11.
When we factor in credits associated with staff benefits, we estimate that the reduction in all of the College's permanent state budgets will be close to $550,000. Although this is a smaller reduction than we initially expected, it still represents a major reduction in available permanent state funds that will change the way we operate going forward.
I greatly appreciate the assistance of the leaders of the various CFR units who manage our state budgets, the EFC and the CFR Budget Analysis Committee who provided invaluable advice as we worked through these difficult decisions.