Repository: UIHistories Project: Board of Trustees Minutes - 1968 [PAGE 436]

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384

BOARD OF TRUSTEES

[February 9

Board, the Chairman of the Finance Committee of the Board, and the President of the University to present the budget to the appropriate offices, officials, and agencies. As a part of the budgetary review process, the budget was submitted to the Illinois Board of Higher Education which has taken official action to make certain recommendations concerning the items of increase requested by the University. The differences between the original budget as adopted by the Board of Trustees and the recommendations of the Board of Higher Education are reflected in a table submitted herewith, a copy of which is being filed with the Secretary of the Board. In summary, for operations the Board of Trustees requested an increase of $67,284,774 which amounted to an increase of 31.4 per cent over the amount available for the 1965-67 biennium. The Board of Higher Education approved a request for an increase of $58,373,996, a 27.2 per cent increase. The portion of the total budgeted to be provided from the University Income Fund was increased from $18,100,000 to $21,400,000, the increase to come primarily from additional income of the Research and Educational Hospitals and from fees collected from the larger number of students enrolled. We believe that the budget request as originally presented was valid, conservative in view of the University's responsibility to meet its obligations to the State, and consistent with a realistic appraisal of the needs of the University. However, in recognition of the probable difficulties to be faced by the State in meeting its financial requirements for the coming biennium, the Committee recommends that the University accept the reductions proposed by the Board of Higher Education except in the critical and unique requirements of the University's Research and Educational Hospitals at the Medical Center Campus. On the latter, the University requested an increase of $1,901,000, all of which would be provided by the additional income of the Hospitals. The Board of Higher Education approved $738,800. The Committee will continue to explore how this urgent financial requirement can be met. We further recommend that the representatives of the Board of Trustees and the administration of the University be authorized to present this position to the appropriate State officials and to the General Assembly, hence, modifying the original operating budget request as presented in November, 1966. EARL W. PORTER, Clerk Members, Finance Committee

THEODORE A. JONES TIMOTHY W. SWAIN KENNEY E. WILLAMSON, Chairman

In the course of the discussion, the President of the Board made these following informal comments: In recent weeks, President H e n r y and I have had a number of extended conferences with Mr. Ben W . Heineman, the Chairman of the Illinois Board of Higher Education, and others in an attempt to resolve some of the difficulties in our relationships with the Board of Higher Education referred to last month. I am happy to report that we are making progress in a number of areas, and in particular with regard to procedures and clearer understandings of working relationships. There is no question in our minds — the Board of Higher Education and the Board of Trustees of the University of Illinois — that both boards share a common objective — to work together for the general objective of providing the best possible system of higher education in Illinois. In short, it seems to me that in recent days we have seen a beneficial re-evaluation. Therefore, I strongly endorse the report of the Finance Committee and its spirit and tone of cooperation at this time, including its sensitivity to the total State financial picture, It remains true, however, that the unique and critical needs of the University's Research and Educa-