COLUMBIA — A $2.7 billion budget was approved by the UM System Board of Curators Tuesday afternoon.
The curators unanimously approved the fiscal 2013 budget, which will go into effect July 1.
Fiscal Year 2013 budget
One component of the UM System's 2013 balanced budget is a 3.6 percent increase in revenue from the 2012 budget. Part of this revenue will come from an increase in tuition fees due to rising enrollment.
*The UM System will experience a 1 percent withholding in state funding. But it based its 2013 budget on a 7.8 percent decrease in state dollars proposed earlier in the year. "We going to take those cost-saving measures we established under that scenario and apply them to our strategic initiative," UM spokeswoman Jennifer Hollingshead explained later.
The system's spending will be reduced by $35.5 million. Cuts are being made in the following places:
- Workforce reductions through eliminating positions and not filling vacant positions.
- Funding reductions in auxiliaries and research.
- Consolidation of academic programs.
- Reduction of general spending, which includes cutting back on supplies and travel.
- Reduction of planned maintenance.
- Reworking of financial aid at the system campuses.
- Revenue enhancements.
Money will also be put toward five strategic initiatives that will cost $30 million. These include:
- The maintenance, repair and renovation of facilities with a focus on Science, Technology, Engineering and Mathematics (STEM) facilities.
- Hiring new and retaining current faculty and staff.
- Continued funding of scholarships.
- Enhancing student experiences by decreasing class sizes and increasing academic advising and student success programs.
- Supporting a fund for student entrepreneurship.
2014 fiscal year preliminary request
The Board of Curator's financial committee also presented the 2014 fiscal year preliminary operating appropriations request to the curators.
The committee's first priority is to obtain enough funding to maintain the system's core operations. This part of the request detailed information about financing the system, stating that the total minimum funding for core operations is $417.9 million.
The committee also discussed increasing Missouri's competitiveness by focusing on two areas. The first is increasing STEM education and research funding to $55.2 million. The second is continuing to support Caring for Missourians, which will increase education for health care professions.
Nikki Krawitz, vice president for finance and administration for the UM System, suggested that the requested $10.3 million fund for Caring for Missourians should be permanent. The program received a one-time appropriation in 2010.
"STEM and Caring for Missourians are incredibly good priorities," board member Don Downing said.
Residence hall and athletic projects
The board also approved the building of a new residence hall on MU's campus and the renovation and expansion of Memorial Stadium, along with six other athletics projects.
The curators will reconvene at 8 a.m. Wednesday at the Reynolds Alumni Center.
Supervising editor is Elizabeth Brixey.