Repository: UIHistories Project: Board of Trustees Minutes - 1942 [PAGE 270]

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1941]

UNIVERSITY OF ILLINOIS

267

POSSIBLE REDUCTIONS IN BIENNIAL BUDGET AS ALREADY APPROVED BY BOARD OF TRUSTEES ON OCTOBER 21 , 19 4 0 (2) In accordance with action of the Board on April 17, referring the biennial budget for 1941-1943 to the President of the University for review to see what reductions can be made, and to report to the Board, I submit the following recommendation and accompanying tentative proposals concerning possible reductions in that budget. These proposals are suggestive only and have been prepared by the Advisory Committee to the Bureau of Institutional Research, which also advised the Council of the University in preparing the original budget as submitted by the President of the University and approved by the Board. Should the Board decide to reduce the budget by any amount, it should be with the definite understanding that the Board is not approving, at this time, any of the suggested amounts as here indicated for these items of reduction but rather the total amount to be deducted. This will permit the President to make any reasonable and necessary adjustments of items within the total reduction for later consideration and approval by the Board when the 1941-1943 internal budget of the University is prepared. I recommend that the budget of the University be submitted to the General Assembly as approved by the Board/on October 21, 1940. This budget provides for an increase over the current biennium of $2,113,640 in the operating and maintenance expenditures and a decrease of $790,000 in the capital expenditures, making a net increase of $1,323,640 from state tax funds. In case the Board of Trustees believes some reduction from this net increase of $1,323,640 should be made, I suggest consideration be given in the order shown to the following possibilities, the first three of which will definitely impair the growth and development of the University. First, postpone a sufficient number of items now listed in the approved budget as of October 21, 1940, to total $300,000 in operation and maintenance. (See Table of Possible Reductions dated April 24, 1941.) Second, postpone another $100,000 of items in operation and maintenance, making a total reduction of $400,000. Third, postpone still another $100,000 of items in operation and maintenance, making a total reduction of $500,000. Fourth, make no change in any of the capital items totaling $885,000 as now set forth in the budget as approved on October 21, 1940. In addition to the Table of Possible Reductions, I submit two statements entitled, respectively: (1) List of arguments supporting the approval of the biennial budget as submitted by the President of the University; (2) Educational effects of possible reductions in the budget as approved by the Board on October 21, 1940, and reaffirmed on April 1, 1941. The first statement applies to my recommendation to present the budget as already approved. The second statement discusses under several categories the harmful effects of postponing various items in totals of $300,000, $400,000, or $500,000.

Mr. Adams offered a motion that the biennial budget as submitted to the Department of Finance be maintained without revision as the budget of the University, and that the President of the University be authorized to proceed on this basis. This motion was lost. Mr. Livingston offered a motion that the recommendation of the Budgetary Commission be accepted, and that the biennial budget be reduced by the amount of $987,987, and that the President of the University be authorized to make the necessary changes to effect this reduction, and to secure the introduction into the General Assembly of the necessary bills, and to take charge of the matter from now on. Mr. Karraker offered an amendment to the effect that the biennial