Plans for institutional restructuring to help balance Southern University’s abysmal budget are in the works as of Friday’s SUS Board of Supervisors’ unanimous vote for financial exigency.
With the filing of financial exigency SUBR Chancellor James Llorens can submit a balanced budget without any ”false assumptions” to the Board of Regents.
Ronald Mason Jr., Southern University System president, voted in favor of the financial exigency declaration for the 2011-2012 fiscal year along with 13 other board members present.
“I don’t think it’s a black mark on the university it will get a strong message out. One that’s better prepared to deliver academics to them. We are building a stronger university academically and we believe that will be attractive to students in the state and nationally,” Llorens said.
Llorens explained the authority that the declaration will give him and his administration to build a better future for Southern.
“Exigency allows the administration to implement furloughs, reorganize and restructure the university, implement reorganization and restructuring plans. If we did not declare exigency we would be looking at a more extended period,” Llorens said.
The resolution approved requires Llorens to present restructuring plan at the November board of supervisors meeting.
“We will report in the next 30 days. Faculty, staff, and students will be solicited for input in our plans.What we plan to project is a model institution in the 21st century. With improvement in technology to deliver courses and technology used to support courses,” Llorens said.
The uncertainty communicated in the public comments is where financial exigency and emergency will leave students, faculty, and staff.
“Tenured faculty who did not sign the voluntary furlough will be impacted. They will now have to be furloughed. And hope faculty and staff will work with their deans and chairs to effectively reduce their 40 hour week schedules, that they can identify it minimizing the impact on the students. Staff won’t see a difference. Students will not see an impact. Courses scheduled for the spring will still be offered. We can assure the students of southern that their education will be stronger after this,” Llorens said.
Llorens seemed optimistic in his comments following the declaration.
“It is a dramatic measure it is a drastic measure but I think it’s something that in the end we realize that was necessary for us to move forward, to develop this institution into a model 21st century institution. And that’s what the objective was we look at it as an opportunity. It affords us the opportunity to restructure our academic programs restructure our administrative operations and create a university here at Southern that will be able to respond to the changing financial conditions of the state. Allows us to move forward with our strong alumni base with our students, faculty and staff to develop a university that will generate the type of academic programs that will make this university stronger,” Llorens said.
Mason supported plans for the restructuring and reorganizing of Southern University at the Board of Supervisors meeting.
“You heard the former student body presidents talk about seeing Southern in the way it can be we all have a vision for a great Southern built up on the traditions of the past but achieving that vision is going to be a difficult process. It’s a road that are we are going to have to walk that will not be an easy road and it won’t be a short road but that road has to start with one step. And the one step we have to take is a difficult step but, it’s a necessary step, and that is the step the chancellor has recommended which a declaration of financial exigency. I support his recommendation 100 percent and offer for your consideration the following resolution,” Mason said.
The resolution included the need for a balanced budget for fiscal year 2011-12 and accounted for the deficits faced by the Southern University Baton Rouge campus.
“Whereas Southern University in Baton Rouge has absorbed reductions in direct state support totaling in over 10.6 million between fiscal year 2008-09 through fiscal year 2010-11. Whereas the governor signed house bill one on July 1st 2011 further reducing the southern university baton rouge’s annual direct state support by approximately 9.7 million dollars. Whereas Southern University enrollment has declined from 9478 students in the fall semester of 2004 to 7316 in the fall semester of 2010 a decline of 22.5 percent whereas Southern University baton rouge has experienced other loss of income including revenues associated with intercollegiate athletics and the southern university laboratory school whereas Southern University Baton Rouge has incurred significant increases in expenses including unfunded mandates for employee benefits, risk management insurance, and other state mandated expenses totaling over 6.58 million dollars between fiscal year 2009-10 and fiscal year 2011-12. Whereas the initial total projected budget deficit for fiscal year 11-12 was approximately 10 million dollars,” Mason said reading the resolution.
The resolution also addressed the processes and procedures utilized to correct and address the deficits facing the Southern University Baton Rouge campus.
“Whereas Southern University baton rouge has engaged in reduction measures for several years including furloughs for classified and unclassified employees, employee layoffs, reductions in expenses for travel and other reductions in administrative expenses. Whereas the board of regents has deferred approval of the Southern University Baton Rouge operating budget and requested that additional clarifying information be submitted in November 2011. Whereas the board of supervisors has expressed it’s intent to provide the policy needed to address budget reductions while minimizing impact on the students and restructuring southern university baton rouge to become more efficient and more competitive. Whereas the system and campus has engaged in collaborative processes to address the impact of budget cuts on staff and faculty are encouraged to continue those efforts,” Mason read out loud during the meeting.
The resolution concluded with the terms of financial exigency declaration and how it should be approved by the board.
“Therefore be it resolved that the board of supervisors of the Southern University system declares that a financial emergency exists for the Southern University Baton Rouge campus for the 2011-12 fiscal year beginning Nov. 1 2011 through June 30 2012. Be it further resolved that the board authorizes the president and chancellor to present a retrenchment and academic and administrative reorganization plan no later than the November board meeting. Be it further resolved that the board hereby approves the revised salary formula for faculty. Be it further resolved that the board authorizes the president and chancellor to commence with furloughs of all southern university baton rouge employees as described in their plan. Be it further resolved that the board may take any additional actions during this fiscal year to amend, restate, or remove this declaration between now and June 30th 2012,” said Mason concluding the resolution.
The board will be presented with the Chancellor’s retrenchment and academic and administrative reorganization plan at the November board meeting. The board will vote to accept the plan and give or deny the chancellor authorization to complete the necessary actions.
“We hope by way of restructuring we will put a greater emphasis on academic instruction.” Llorens said.
Categories:
Llorens discusses exigency vote; SUBR’s future
October 30, 2011
0