Hoping to assuage fears about the impact of Virginia's higher education funding cuts, Colette Sheehy, vice president of management and budget, conducted two town hall meetings yesterday, repeatedly stressing officials' "hopes that we would not have to lay people off at the University."
The meetings were held in the Newcomb Hall Ballroom and the Facilities Management Building. Faculty and general staff primarily comprised the ballroom audience while the facilities building held a packed room of maintenance workers.
Sheehy explained that current plans exist to eliminate permanently 79 faculty and administrative positions which "will become vacant through normal turnover and retirement."
"I'm not going to kid you by saying these are not serious budget issues," she said.
As for the differences between the House and Senate budget proposals presented Sunday, Sheehy explained that the House version includes a 2.7 percent raise in Nov. 2003 for both faculty and staff. The Senate's plan does not include a raise, but instead would provide funds for one-time bonuses for faculty retention.
For all other non-teaching staff members, or "classified employees," the Senate's version offers a choice between 10 days paid vacation or bonuses.
Staff members, though not surprised by the gloomy forecast that has made headlines around the state, still expressed frustration, as many find themselves again caught up in a tidal wave of budget cuts not seen since the early 1990s.
"Why is there always money for the retention of faculty and not staff?" asked one employee. "I've been here 23 years and have had pay frozen eight or nine times, and this doesn't help me a bit."
A similar sentiment came from a staff member who wondered why past pay freezes never were compensated for once the state's finances improved.
Sheehy refuted such criticisms, arguing that historically, staff salary increases do reflect good financial times, due largely to the state's periodic checkups designed to realign wages in the wake of downturns.
Other areas in which the University plans to make up for next year's 15 percent and the following year's 20 percent budget reductions include tuition increases, which the Board of Visitors determines. The House would limit these increases to 7 percent, while the Senate caps them at 9 percent. In addition, the Senate also would levy a $1-per-credit-hour fee on students to help pay bond issue debts that have accrued for facility construction.
Sheehy said the University has not yet offered its support to either the House or Senate plans.
"We don't have all the information right now - only reports," she said. But "the House tends to cut more than the Senate if you look at both their reductions."
One provision in the House budget is the elimination of all but $5 million in maintenance reserve funding.
"It will have a very serious impact on our ability to take care of our buildings," Sheehy said.
Retirement plans will remain protected, she said, and a Commission of Health Benefits Reform now is meeting to ensure that needs of University and other state employees are met. It must deliver a report by Oct. 1, 2002.
"These are serious economic times and the budget reductions are significant. Our priority is to protect academic and health care programs," said Leonard W. Sandridge, executive vice president and chief operating officer.
Though the budget process should extend into April, Sheehy petitioned for employees to work with their managers to help the University make it through the next few years of belt-tightening.
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