Repository: UIHistories Project: Board of Trustees Minutes - 1976 [PAGE 650]

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1976]

UNIVERSITY OF ILLINOIS

639

four hours in total. This time was devoted to the University of Illinois, and other systems have had shorter, but equally intensive, hearings. The members of the General Assembly seem to recognize both our quality and the importance of our quality to Illinois, but the fiscal pressures which they face seem to loom larger in their minds than do our financial needs. In spite of a new willingness to discuss and even to propose tuition increases and to discuss new tax programs, this willingness has not yet led to action to meet our needs and the needs of other public agencies in IllinoisIt seems clear that the appropriations bill which will emerge from the General Assembly will provide at best the minimum maintenance continuation elements I described to you in March, augmented by sufficient funds to permit us to provide average salary increases of about 4.5 percent instead of 2.5 percent and with a very small amount of "new program" money which can be devoted to some deficiencies in library and equipment funding. In other words, allocation options are minimal because the amounts available provide simply for salary increases, general price increases, utility price increases, and the opening of new buildings. It would be premature to predict the fate of our appropriations bills once they reach Governor Walker's desk for his action upon them. We are hard at work studying a variety of options for FY 1977, and I must stress again our view of the importance of doing everything we can to provide salary increases averaging 4.5 percent. This goal may be impossible to achieve, but it must remain as our minimum goal. The "tuition question" remains crucial, and we shall provide you with further data related to that question as we move toward the completion of the legislative process. I remain convinced that the failure of tuition charges to keep pace with inflation is a major component in our inability to keep up with comparable universities in salaries and in support services.

The President indicated that the administration was proceeding to prepare budgets in accord with the Governor's budget recommendations. He asked Vice President Brady to present background information concerning recent work of the planning committee, especially with regard to the gap between present and projected income and needs. Mr. Brady presented a number of tables and schematic materials. The presentation dealt with various assumptions with regard to funding requirements, enrollment, income from general revenue and from tuition, and the projections of such assumptions to 1982. (Copies of the materials are filed with the Secretary of the Board.)

REGULAR AGENDA

The Board considered the following reports and recommendations from the President of the University.

Interim Operating Budget for FY 1977

(1) In recent years the Board of Trustees has approved the continuation of the previous year's budget into the next fiscal year because legislative action upon University appropriations was not completed in time to be translated into detailed budget recommendations. Inasmuch as the same situation is expected to occur this year, the President of the University requests authorization to continue in effect, commencing July 1, 1976, and continuing thereafter until further action of the Board in September 1976, the internal budget for FY 1976 as it exists on June 30, 1976. Authorization