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Regents' budget role raises questions about UNM's balance of power

The Board of Regents will play a more active role in approving the University's budget this year, causing community members to question the balance of power at UNM.

In the past five years, the budget process required a summit meeting of University officials and a Finance and Facilities Committee meeting before the final budget got the stamp of approval from the Board of Regents.

President David Schmidly said the process is being revised and that he will provide new guidelines next week.

"After five years of budget summits, this is the next evolution in the University's very open budget process, and I think it's a good one," Schmidly said in an e-mail to the Daily Lobo. "The regents are asking for more spending detail, given the current budget crunch, and we're happy to provide that."

This year, the Board of Regents will scrutinize 11 key aspects of UNM's budget, including administrative salaries and tuition, after Schmidly makes his recommendations.

The regents reserve the right to revise any of the budget's terms before they approve spending.

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"(Schmidly) knows that we have to approve the budget," said Jamie Koch, president of the Board of Regents. "We're going to look at his recommendations by far more than anything, but we are going to have an opportunity to adjust them if we need to."

Koch said that in the past, economic comfort afforded the board a more "hands-off" approach to budget approval but that the financial crisis and proposed budget cuts at the legislative session have prompted a more careful examination of the University's finances.

"All the regents say that if we're going to have to approve this budget, and if we're going to have to tighten it, we want to know everything when we vote for it," he said.

Koch said he sent a letter to Schmidly about the new budget approval format on Jan. 28, two days before the "no confidence" faculty petition naming Koch, Schmidly, and Executive Vice President David Harris.

Koch said the petition had nothing to do with the regents' decision to be more involved with the budget.

Bob Gallagher, chairman of NMSU's Board of Regents, said he is concerned the UNM Board of Regents is micromanaging.

"In these tough economic times, who I believe you need to rely on is the professional administrative staff that you've hired," Gallagher said. "They are seeing the items that need to be done every day, and, as a regent, if you're there every day and seeing those items every day, then that's somewhat micromanagement."

Koch rejected the notion that the Board is overstepping its bounds by more carefully examining the budget.

"We are approving a budget, and us approving a budget is not micromanagement," he said. "We're not telling them how to spend it. We're not telling them who to hire, but we tell them the kind of programs we want to have."

Gallagher said that the balance of power between the Board of Regents and Schmidly might be upset by a more proactive board.

"Shared governance in a university is (when) the Board of Regents will set the policies and the parameters, and then it's up to the administrative staff to set procedures to make sure those policies are carried out," he said.

Rep. Eleanor Chavez said the regents' new approach prevents arbitrary budget approval and could be a step in the right direction.

"If they're asking the right questions, then that's probably a good idea as opposed to just approving everything without actually asking some very detailed questions about what's going on," she said.

Chavez said the Board of Regents is ultimately to blame for budget shortfalls, so the regents should be more conscientious about budgetary decisions.

"I'm not saying that (the budget) should be micromanaged . but I think (the regents) should ask some questions about what's going on there. They are ultimately responsible," she said.

The Special Faculty Meeting will be held

Feb. 18

3-5 p.m.

Woodward Hall, Room 101

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