Preliminary budget includes 2-percent salary increase pool, 5-percent increase in financial aid
LOUISVILLE, Ky. (April 21, 2014) — A cut in state funding won’t keep UofL from advancing over the next biennium, President James Ramsey said at a campus-wide budget forum April 17.
More than 100 students, faculty and staff turned out for the forum at the Floyd Theater. Ramsey told the group that state funding for UofL will be cut 1.5 percent in 2014-15 and remain flat the following year.
Still, UofL plans to continue on its upward trajectory, which includes higher graduation rates, better incoming students and significant increases in research funding and philanthropy, Ramsey told the crowd.
Ramsey shared a preliminary budget that includes a 2-percent salary increase pool, an anticipated 10-percent increase in the university’s contribution toward employee health insurance, and a 5-percent increase in student financial aid.
Those increases would be offset by an average 1-percent cut to units across campus, continued savings from the Voluntary Separation Incentive Program, an increase in transfer of funds from the UofL Foundation, an increase of royalty transfers from the UofL Research Foundation and $1 million in one-time interest income.
The budget also includes a proposed 5-percent tuition increase for in-state undergraduate students. The increase must be approved by the Council on Postsecondary Education, which will set rate caps for all Kentucky public universities later this month.
Ramsey noted that the UofL Foundation, which raises and invests money to support the university, will provide $143 million to the university – more than the $142 in state funding. Most of that money is restricted to specific uses in units across campus. The Foundation also funds the university’s advancement efforts. Some Foundation funding also will be used to pay for recommendations expected as part of the 21st Century University Initiative.
Stressing that the budget is preliminary, Ramsey encouraged faculty, staff and students with suggestions or comments to send him email at [email protected] The final budget recommendation will go to the Board of Trustees in May.
For the full budget presentation, click here.