New revenue figures change budget picture

Dear Colleagues,

As you may have read this weekend, the state's new revenue forecast indicates very challenging times ahead for the Kansas economy. This forecast changes the budget situation faced by state agencies and universities.

It was only a week ago that Governor Sebelius signed the FY 2010 budget bill. That bill cut KU's budget by just over 7 percent for the upcoming year, not counting unfunded mandates that push that figure to more than 8 percent.

But we don't spend percentages, we spend dollars, and under this budget KU and KUMC will have $23 million less to spend in FY 2010 than was originally appropriated in FY 2009.

As I said when this budget was enacted, while it is still a cut, it is within the parameters of our planning and is manageable. If our budget remains at this level it puts certain investments on hold, but largely preserves our ability to carry out our academic and research missions. That is important to all Kansans because both contribute to the overall strength of the Kansas economy.

However, recent news that state revenues continue to drop clouds the budget picture. To try and shed some light on the situation, we will hold our third budget forum of the year this coming Friday, April 24.

Like the previous two brown-bag sessions, the forum will be at noon in Alderson Auditorium in the Kansas Union. Faculty Senate, Unclassified Senate and University Support Staff Senate are co-sponsoring the forum, and I hope you'll be able to attend.

We'll again provide a video feed of the forum online. Details can be found at http://www.chancellor.ku.edu/budgetforum/ and you can submit questions to chancellor@ku.edu.

These are challenging times, yet just as spring has finally pushed away winter's gloom here on Mount Oread, so too will these dark budget times pass. KU is a resilient institution and with our combined efforts it will emerge from these challenges even stronger than before.

Sincerely,
Bob Hemenway
Chancellor