Schmidly to further reduce budget
University President David Schmidly announced guidelines on Tuesday for UNM’s budget reduction.
The reduction in the University’s budget is in response to the New Mexico Legislature reducing state appropriations, including branch campuses, by 7.7 percent, totaling more than $25 million.
Schmidly said at the Board of Regents meeting Monday that last year’s hiring pause and hold for vacant positions will remain.
The University will try to protect programs and initiatives that have a successful track record of harnessing more federal, state and private resources, he said.
Employees will still be able to participate in voluntary furloughs.
Administrative spending will be reduced by 20 percent, which is 5 percent more than was cut last year, Schmidly said. He said spending on UNM’s administration could be supplanted with Instructional and General funds, as well.
“We will minimize administrative spending with I & G funds in all areas, offices and functions,” he said.
According to a press release, main campus Instruction and General funding for fiscal year 2011 is 6.9 percent below the original fiscal year 2010 budget, which includes cuts made by the Legislature from both March and October special sessions.
Schmidly said some of the holes in the 2010 fiscal year budget were “plugged” by one-time money, such as stimulus money.
By the use of cost-reducing strategies, Schmidly said the University will create a three-year cost-containment plan.
“Fiscal restraint is necessary in the next few years to preserve the core mission of the University,” he said. “This can only be achieved through clear-minded analysis and cooperation.”
The “President’s Strategic Advisory Team,” intended to help the administration reduce its budget, is expected to deliver its report to Schmidly this week.
“I see no evidence that the era of reduced budgets will end anytime soon,” Schmidly said.
The University’s annual budget summit is set for March 31. The budget is then submitted and adopted by the Board of Regents before it’s sent to the Higher Education Department and Department of Finance Administration. The budget is due May 1.