The UT Board of Trustees approved a $1.8 billion budget for fiscal year 2010 that includes one-time federal stimulus funding and increases tuition at every campus.
Trustees at the board’s annual meeting in Knoxville also approved Acting UT President Jan Simek’s plans for an initial phase of reorganization of the UT System administrative structure.
The university has been preparing for a $65.6 million cut in state appropriations, and that cut is reflected in the fiscal year 2010 budget, which goes into effect July 1.
However, the federal American Recovery and Reinvestment Act of 2009 provides funding for states to allocate to education. UT is slated to receive $92 million in total federal stimulus and state stabilization funds for fiscal year 2010. Total state appropriations are projected to be $514 million, slightly more than a year ago. Similar funding is planned for next year, but it will not be available for fiscal year 2012.
“At the end of this period, UT will be a different university than it is now. We will be leaner and more efficient,” Simek said.
“We are not saved. We recognize that,” he added. “There are difficult choices in front of us. There are difficult choices we have already made.”
Uses for the one-time stimulus funds include retaining lecturers and adjunct faculty, upgrading technology in classrooms, maintaining facilities and undertaking energy efficiency projects.
About 500 jobs have been targeted to be eliminated systemwide in the next two years. About 300 of those jobs are currently filled. Those positions will be shifted to stimulus funding in order to keep those affected employees at the university for up to two years before their positions are eliminated. Targeted positions at the System level will be moved to other non-state funding sources.
During the next two years, the university will provide assistance to find other employment inside and outside UT, Simek said.
UT Knoxville will receive the largest portion of the stimulus funding at $48.3 million.
The board also approved recommendations to increase tuition. The university is projected to receive $392 million in revenue from tuition and fees, an increase of about $30 million from last year.
The tuition increase for the Knoxville campus will be 9 percent, or $490 for in-state undergraduates and $564 for graduates