Repository: UIHistories Project: Board of Trustees Minutes - 1940 [PAGE 117]

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BOARD OF TRUSTEES

[October 17

BIENNIAL B U D G E T F O R 1 9 3 9 - 1 9 4 1 (19) T h e University Council and the President of the University submit the following recommendations for the biennial budget for 1939-1041. This budget has been under consideration by University officers and department heads since last December. T h e University Council of deans, directors, and representatives of the faculty, which advises the President on budgetary matters, appointed two committees to review various aspects of the biennial budget. Copies of the reports of these two committees, ( a ) Report of the Advisory Committee to the Bureau of Institutional Research on the Operating Budget and (b) Report of a Special Committee on Building Program, were sent to each member of the Board in advance of this meeting. T h e report of the Advisory Committee recommends an addition of $2,000,000 for the biennium for salaries, supplies and other current expense, and equipment. T h e Council reviewed this report on October 5, 1938, and approved the policies represented therein (on which I am commenting briefly herein) and the transmittal of this request to the Board of Trustees. T h e report of the Advisory Committee, however, was based on estimates of Physical Plant expense made before it became clear that several buildings soon to be constructed on the campus would be in operation during the next biennium. It is also based on prevailing prices for bituminous coal which at any time may be increased. It is based on prevailing wage scales, but the problem of wages for janitors is still unsolved, and this problem may necessitate increases in other groups of employees which at the maximum might approach $100,000 a year. While it seems unlikely that all of these additions will have to be met in the aggregate, it is also evident that the estimate of the Advisory Committee for additions to the operating budget for the coming biennium will be insufficient to cover educational needs and at the same time the requirements of Physical Plant operation. It seems essential to add at least $175,000 for this item for the biennium. T h e Building Committee recommended for the next biennium buildings and improvements totaling $2,350,000. Since that report was prepared two items in its list have been provided for by Federal grant, namely, the addition to the Library and the addition to McKinley Hospital, a total of $500,000. On the other hand, the list does not include the amount needed for completion of the equipment of the new unit of the Medical and Dental Building. As indicated later in this summary, the further needs in this respect amount to $150,000. Also, since the committee report was prepared, the report of consulting engineers on the power plant problem has been received and has been reviewed by our faculty committee. It is now felt that the sum of $2,000,000 should be provided for a new plant instead of $1,000,000 for rehabilitation as mentioned in the Building Committee report. On the basis of these various changes, the total for new buildings and improvements for the coming biennium would be $3,100,000 as compared with $1,050,000 (Gregory Hall, $700,000, and Medical-Dental Building Equipment, $350,000) appropriated for the current biennium. This total includes the sum of $250,000 for a fund to serve as a basis for financing men's dormitories. An application has been submitted to the Federal Government for the grant for this item also and if this grant is received the item may be omitted from the State budget. T h e University Council, in considering this budget, recommended its approval but requested that if any adjustments had to be made they be made first, as far as practicable, in the building budget. In addition to the adjustments in the educational and building budgets, some increase appears in our non-educational budget covering the operation of residence halls and other auxiliary activities and the revolving transactions of stores, printing, and the like. T h e total of these items in the budget of the present biennium was $690,864, but the amount needed for the present biennium will be $798,300. T h e appropriation requested for this fund must be sufficient to cover these operations, even though they do not increase the amount available for our educational budget. T h e estimate for the coming biennium is $900,000.