Eastern Michigan University braces for budget cuts
Eastern Michigan University Regent Thomas Sidlik issued a warning Tuesday to “ancillary” groups that rely on EMU for a good chunk of their budgets — that funding isn’t secure.
“How many of these ancillary groups in this university do we have that we’re propping up?” he asked as the Regents' finance committee reviewed WEMU radio's audited financial statement. “We’re here to educate students, not prop up losing ventures.”
The budget was the subtext to much of the four hours the regents spent Tuesday in committee meetings and their monthly regular meeting.
New Eastern Michigan University Regent Beth Fitzsimmons listens during Tuesday's meeting.
EMU officials, like the rest of the state, are awaiting Thursday’s announcement from Gov. Rick Snyder on his budget for the coming year. That budget is expected to contain massive spending cuts.
“The 2011-12 budget promises to be one of the most challenging we have faced,” EMU President Susan Martin said. “Gov. Rick Snyder, while supportive of higher education in general, has made it clear that there will be shared sacrifice as he erases a $1.8 billion state budget deficit.
“We will have to look for greater cost savings measures. As I said in my message to the campus on Jan. 20, difficult discussions and difficult decisions are ahead. We plan to conduct these discussions in an open and transparent manner, seeking input and ideas from all areas of our campus.”
Martin said administrators met privately with Regents on Monday to begin talking about next year’s budget and said the university’s budget council has begun bi-weekly meetings.
“We must maintain the positive momentum and pride in Eastern that we have generated and the growth we have achieved,” Martin said. “Other institutions face the same challenges. Universities that conduct this process with transparency, with civility and with opportunities for input and involvement, will create a framework for long-term success.”
The university gets about $76 million from the state, EMU CFO John Lumm said. That means a rumored 20 percent cut would translate into a loss of $15 million.
Making up a shortfall of that size would be tough. EMU has a $280 million budget this year.
Sidlik’s remarks came as Lumm walked the regents through WEMU’s audit. Lumm noted that EMU subsidized WEMU with more than $1 million of general appropriations and administrative support. Lumm said that’s 60 percent of the budget for WEMU.
Sidlick said he’d have a hard time cutting academics ahead of subsidies for other programs.
New Eastern Michigan University Regent Michael Hawks.
In other action, the Regents:
- Welcomed new Regents Michael Hawks and Beth Fitzsimmons to their first meeting. New Regent Mike Morris was unable to attend Tuesday’s meeting.
- Heard a report on the construction of the new science center, including news that the floors in some of the offices are slanted and need to be either “shaved” down or built up in areas.
David Jesse covers higher education for AnnArbor.com. He can be reached at davidjesse@annarbor.com or at 734-623-2534.
Comments
Ralph
Tue, Feb 22, 2011 : 8:37 p.m.
There's plenty to cut in the area of athletics without cutting football. EMU has 21 varsity sports. More than any other MAC school. The NCAA minimum is 16. EMU also has the smallest athletic budget overall of all MAC schools. When you say to cut football that may mean a cut of $1 million, however it also drops the other sports out of the MAC conference. Anyway the overall condition of the athletic teams is pretty good. Eastern has recently won the Reese Men's Trophy for best athletic programs and a few years ago won 6-8 championships in one year.
monkeysee
Thu, Feb 17, 2011 : 3:35 a.m.
Also consider the enormously massive amount of money the university has forked out to cover new health benefits? Every employee on campus gets money at a huge cost to the university. This is helping the students? They have to pay for that?
monkeysee
Thu, Feb 17, 2011 : 12:32 a.m.
Perhaps the university needs to cut its loses with WEMU and the football program has been and continues to be dismal. One source of continual drain that hasn't been put on the chopping block is Eagle Crest. Has been and continues to lose money. Alot of stuff with that albatrose that is problematic. That place costs the university much more money than the radio station.
Ralph
Tue, Feb 22, 2011 : 8:38 p.m.
Can't put it on the chopping block since the U does not own the land.
Ralph
Tue, Feb 22, 2011 : 8:27 p.m.
The money used by WEMU and football is a drop in the bucket. Are you sure about Eagle Crest - I'm pretty sure that the University has made it a separate entity that must now stand on its own. And it can't really be sold either since the land is technically owned by Ypsilanti Township.
MA
Wed, Feb 16, 2011 : 6:59 p.m.
I disagree with those who suggest that WEMU-FM should be cut!! As long as students are running the station and LEARNING from that experience, it should not be cut. If it is being run by faculty, then some changes need to be made so that the students are getting more experience from running the station.....it can give experience for not only DJ's, but business students, marketing students, music students, and the 'engineers' who 'run' the soundboards, etc. It should be a learning experience for numerous students at EMU, my alma mater!!
Ralph
Tue, Feb 22, 2011 : 8:30 p.m.
There really is no loss of dollars when considering WEMU's budget. Thirty years ago the stations budget was cut by 40% and never restored. It's basically a non-profit. Then again there's the value added since its one of the best Jazz Stations in the U.S. and provides the University with free advertizing.
Ralph
Tue, Feb 22, 2011 : 8:25 p.m.
WEMU is not a student run station. To be a NPR affiliate station there must be at least five full time professional staff. I can't think of one student who's a DJ on the station. But that't the way it is at both WEMU and WUOM. Although the station may have a few interns it's not WEMU's mission to be student run. It's a fully functional professional NPR station with seasoned professionals running it both on the News and Music side.
Cash
Wed, Feb 16, 2011 : 9:37 p.m.
<a href="http://www.emich.edu/regents/meetings/meeting021511/021511Section18.pdf" rel='nofollow'>http://www.emich.edu/regents/meetings/meeting021511/021511Section18.pdf</a> That's the audit. <a href="http://www.easternecho.com/index.php/article/2011/02/susan_martin_discusses_potential_financial_problems_at_board_of_regents_meeting" rel='nofollow'>http://www.easternecho.com/index.php/article/2011/02/susan_martin_discusses_potential_financial_problems_at_board_of_regents_meeting</a> The Echo article I love WEMU but something's gotta give. We can't have student tuition subsidizing a radio station to that degree. It's not fair to the kids.
Olive
Wed, Feb 16, 2011 : 9:13 p.m.
Where do you get your numbers, Cash? I'm interested in learning more.
Cash
Wed, Feb 16, 2011 : 8:58 p.m.
It's at an amazing cost to taxpayers and students to carry the tuition burden to operate at this kind of loss. According to a recent audit of WEMU, the radio station had an operating loss of $1.81 million last year. In 2009, it had a loss of $1.871 million, and in 2010, $1.935 million. By the way they may have student help but the station is run by EMU employees.
EMUinsider
Wed, Feb 16, 2011 : 6:54 p.m.
EMU will never cut football no matter how bad they are. It just won't. We've been dealing with a losing football program for years and continue to dole out money, It won't cut athletics. So please, stop suggesting it. I hate that we spend so much on a losing football team but football here at EMU is here and in it for the long term.
Olive
Wed, Feb 16, 2011 : 6:54 p.m.
I agree with Alan about WEMU - it's a gem and we can't lose it.
K32
Wed, Feb 16, 2011 : 4:31 p.m.
Dump the football program, dump the radio station. Leave the academic departments alone.
catfishrisin
Wed, Feb 16, 2011 : 3:17 p.m.
"We're here to educate students, not prop up losing ventures." EMU athletics is one of those losing ventures. Thank you Sidlik for acknowledging the elephant in the room.
Ralph
Tue, Feb 22, 2011 : 8:39 p.m.
How about those eight championships the teams won a couple of years ago.
toofmullets
Wed, Feb 16, 2011 : 2:59 p.m.
I largely agree w/ Cash. I would also be saddened to see WEMU go away, but alas, I do think the education spending is a better use of $ than the radio station.
Awakened
Wed, Feb 16, 2011 : 1:24 p.m.
EMU football is a $1 million + item that is rarely attended and, unlike U of M, not a reason to draw students other thathose who play.
Ralph
Tue, Feb 22, 2011 : 8:43 p.m.
Rarely attended? Not true. And it does draw students. Also football is probably the only entity on campus that can pay for itself in one day.
Ralph
Tue, Feb 22, 2011 : 8:41 p.m.
EMU football does not support any other sports. The game money from games played with the big teams goes into a separate account for maintenance items to the athletic physical plant and provides a few extras.
monkeysee
Thu, Feb 17, 2011 : 2:11 a.m.
Right on spot. I think I heard something at some point that attendance numbers weren't always what they were said to be a while ago.
Cash
Wed, Feb 16, 2011 : 2:09 p.m.
Sadly because EMU football plays large profitable programs it actually makes money and supports all of the other sports at EMU. While I DETEST the concept of EMU playing UM and OSU etc....that's what makes money. Hate it. But its' true.
Cash
Wed, Feb 16, 2011 : 11:07 a.m.
I support the choice of academics over ancillaries. I hope that all of our taxpayer subsidized schools (and other governmental agencies as well) think in those terms. It is time to look at the CORE mission of our public institutions. EDUCATION. Yes, basic education costs should be reviewed as well. But it is refreshing to have a public entity looking at providing their core service FIRST, instead of hacking away at the services that will hurt students and parents (taxpayers, tuition payers) first. Thanks EMU for living up to your slogan "Education First".
monkeysee
Thu, Feb 17, 2011 : 2:10 a.m.
Absolutely Cash! Education is first. Eagle Crest is also a huge drain on the university. It loses money hand over fist. Pull the audited financials as far back as they exist. It drains a significant amount of money and has zero to do with providing the education end of the university.
Roadman
Wed, Feb 16, 2011 : 5:16 a.m.
I cannot believe Beth Fitzsimmons made it to a regents' meeting on such short notice. Wow! Certainly an improvement over the Invisible Man, Mr. Okdie.
snoopdog
Wed, Feb 16, 2011 : 2:15 a.m.
" 2011-12 budget promises to be one of the most challenging we have faced,We will have to look for greater cost savings measures. As I said in my message to the campus on Jan. 20, difficult discussions and difficult decisions are ahead EMU President Susan Martin said". How about "rescinding" the big fat contract you just gave to your teachers union. Not real good thinking here folks. Smart in a textbook sense perhaps, but not when it comes to spending money. Try spending it as if it was your own income, like every one of us that runs a household ! Good Day
Ralph
Tue, Feb 22, 2011 : 8:44 p.m.
Could you be more specific about the big fat contract $$$.
toofmullets
Wed, Feb 16, 2011 : 3:47 p.m.
I don't think its a good idea to put EMU in a situation where they're paying less than the going rate for professors - that strikes me as having a pretty direct impact on the quality of professors the university will be able to recruit.
catfishrisin
Wed, Feb 16, 2011 : 3:21 p.m.
You mean the 1% raise...is that the big fat contract you are referring to? Why not look at administration and coaches salaries and the significant increases given over the last 5 years?
catfishrisin
Wed, Feb 16, 2011 : 3:20 p.m.
You mean the 1% raise...is that the big fat contract you are referring to? Why not look at administration and coaches salaries and the significant increases given over the last 5 years?
Cash
Wed, Feb 16, 2011 : 2:15 p.m.
<a href="http://www.annarbor.com/news/neither-side-clear-winner-in-emu-faculty-contract/">http://www.annarbor.com/news/neither-side-clear-winner-in-emu-faculty-contract/</a>