UM budget next fall could become tighter

A 3 to 5 percent tuition increase is one ace in the University of Montana hand dealt by an economic recession complicating a balanced budget.

"Between the cut from the governor's office, the withdrawal of stimulus funds and the declining state revenues, we could be down 10-15 percent," said Vice President of Administration and Finance Bob Duringer. "But as we always do, we have tricks in our sleeves."

UM's Strategic Budget and Planning Committee began planning for the pending withdrawal of $3.6 million in one-time federal stimulus funding in July 2011 last summer. Then Gov. Brian Schweitzer asked UM to cut its budget 3 percent as part of statewide reductions. And now dismal state revenue projections worry UM officials already weary from a two-year pay freeze and selective belt-tightening.

Duringer said UM will take three main points with them to the legislative workshops this fall, the session debates this spring and throughout all other upcoming budgeting.

First, he said UM hopes the state will honor its traditional role of increasing allocations for inflation associated with utility costs, health care benefits and other necessary expenses.

"So far we've not had any ruitful discussion on that," Duringer said.

Second, UM will seek funds for pay raises.

"It's pretty difficult to expect the faculty and staff to go four years without a pay increase," Duringer said.

Third, he said UM will push for the state to no longer delay much-needed construction at the College of Technology in Missoula.

The legislature funded UM to study the COT's needs and design the new building, but the $44 million construction project, which could be completed in segments, was deferred last session.

The current facilities were originally designed to accommodate 700 students, but enrollment at the COT has skyrocketed to more than 2,000. Modular buildings were bought and converted into classrooms and offices as a temporary, but insufficient, fix.

Duringer said UM will continue to avoid cuts of an academic nature, but much about the coming legislative season remains uncertain.

"The tone of the session is going to be dependent on the state revenue situation," Duringer said.

jayme.fraser@umontana.edu