Repository: UIHistories Project: Board of Trustees Minutes - 1950 [PAGE 204]

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1949]

UNIVERSITY Of ILLINOIS

201

REVISIONS IN BIENNIAL OPERATING BUDGET FOR 1 9 4 9 - 1 9 5 1 (8) The biennial operating budget for 1949-1951, approved by the Board of Trustees on October 21, 1948 (Minutes, page 138), totaling $72,271,742, was submitted to the Department of Finance prior to November 1, 1948, as required by law. At the request of the Illinois Budgetary Commission, University officials appeared before the Commission at a hearing held in Springfield on December 15, 1948, to discuss the budget. The Commission did not consider the building program for 1949-1951 as it was at that time studying only operating budgets. President John R. Fornof, Mrs. Doris S. Holt, Messrs. Park Livingston, Kenney E. Williamson, Walter W. McLaughlin, Frank H . McKelvey, and Vernon L. Nickell of the Board of Trustees also attended the hearing. The budgetary needs of the University were presented by the President of the Board, the President of the University, and the Vice-President in Charge of the Chicago Professional Colleges. On December 31, 1948, the Chairman of the Commission, Senator Everett R. Peters, informed the President of the University that the Commission would recommend to the Governor an appropriation to the University from the General Revenue Fund of $54271,742, instead of $56,271,742 requested, plus an appropriation of $16,000,000 from the University Income Fund, or a total of $70,271,742 instead of $72,271,742 requested by the University. This is a decrease of $2,000,000 in the biennial budget approved by the Board of Trustees on October 21, 1048, but is a net increase of $10,187,924 over the total operating appropriation for 1947-1949. It would be undesirable to make any reduction in the increase requested for salaries and wages. No decrease can be made in the allocation to the University Retirement System or in the item of increase necessary to continue the present internal budget to the next biennium due to the fact that the 1948-1949 budget exceeds one-half of the biennial appropriation for 1947-1949. No decrease should be made in the amount requested for expense and equipment (recurring). This leaves only the increases for staff additions ($2,362,142), and for nonrecurring equipment ($803,572) as feasible areas for adjustments to conform with the recommendation of the Budgetary Commission. I submit two schedules showing how these adjustments ma}' be accomplished: I. Analysis of Increases by Purpose and Location. Original increases requested and proposed revisions. II. Budget Estimate for Operation 1949-1951 Biennium. Comparative budgets for 1947-1949, and for 1949-1951 as revised, classified according to expenditures and sources . of funds in the standard form required by the Department of Finance. I recommend that the item of nonrecurring equipment be omitted and that the increase requested for staff additions be reduced from $2,362,142 to $1,196,428. I further recommend that the Board reconsider its action of October 21, 1948, and approve a total budget of $70,271,742 based on these adjustments.

The Comptroller and the Provost commented on the changes. On motion of Mr. Williamson, the action of October 21, 1948 (Minutes, pages 138-42), was rescinded, and funds were reallocated as shown in schedule II following, by the following vote: Aye, Mr. Davis, Mr. Fornof, Mrs. Holt, Mr. Livingston, Mr. McKelvey, Dr. Meyer, Mr. Nickell, Mr. Williamson; no, none; absent, Dr. Luken, Mr. McLaughlin, Mr. Stevenson.