Provost Carl Amrhein and vice-president (finance) Phyllis Clark have provided an update on expected 2011–12 budget cuts.
The provost and vice-president (finance) confirmed that, based on current assumptions, all faculties and administrative units across the University “should expect an average of two percent budget cuts for the 2011–12 year.” This follows the recent Alberta budget which verified that the university will receive a zero percent provincial operating grant increase for 2011–12.
“The bottom line is that while the university’s budget will not decrease, it will also not increase fast enough to keep pace with the cost of doing business,” Amrhein said. “What it means will be different for each dean.”
In a letter to deans, chairs and directors, Amrhein and Clark indicated that all units have been asked to begin developing budget scenarios based on the two percent cut assumption. As is normal, deans, chairs and directors will be responsible for how cuts are made in their own areas.
Amrhein and Clark urged faculties and units to consider position reductions as the last resort. They went on to say that “talented people are without question the university’s greatest asset,” pointing out that it is difficult to rebuild following reductions in positions.
Each vice president will also be expected to make a two percent cut overall in their areas of responsibility.
“Please be reminded that budget reductions are by no means the only solution being pursued by the university in the face of resource pressures,” Amrhein and Clark concluded in their letter to the deans. Further, citing significant “success with finding new administrative efficiencies over the past several years,” they said the university “will continue to seek additional ways to achieve further efficiencies.”