USM’s budget shortfall in Fiscal Year 2011 is expected to be $4.8 million and by FY 2013, the total deficit could reach $13.9 million, according to a Tuesday evening blog post from President Selma Botman.
“We continue to operate in a fluid fiscal environment that is subject to change,” Botman wrote. “I will always update the community as new information becomes available. In the meantime, we will continue to work hard and make the most prudent decisions we can to move USM toward fiscal sustainability.”
The University of Maine System Board of Trustees on Monday announced they intend to release $1.5 million in stimulus funds in 2011 to USM and “phase in the system-wide strategic investment fund.” Botman said USM will receive an additional $400,000 in appropriations from the state. These disbursements are included in the current budget estimates.
The news came after the state asked UMS last month to cut more than $15 million from their budget over the next two years to offset lower than expected tax revenues. USM’s share was expected to be $1.75 million a year.
USM spokesman Bob Caswell said the school is pursuing a “multi-pronged approach” to balancing the deficit. Administrators are looking at ways to reorganize the University into a more sustainable business model, but cuts and reductions are anticipated. The school is also looking at ways to increase retention and recruit more students.
“The whole plan will come together over the semester break,” Caswell said. Botman will hold a series of public forums over several weeks early in the spring semester. “The final decision is going to be hers with input from the campus community,” he said.