UNIVERSITY BUDGET UPDATE –


UNIVERSITY BUDGET UPDATE -
President J. Michael Ortiz

Many of you are aware that the CSU received a $23.7 million mid-year budget cut, affecting all 23 campuses. The governor also issued an executive order calling for an immediate state hiring freeze. Although the CSU is specifically exempt from the governor's mandate, Chancellor Reed has instituted a similar policy in the spirit of cooperation.

This applies to all vacant budgeted positions, newly established positions, temporary positions, student assistants, special consultants and to any change in employee classification, skill level or MPP job code. The freeze is immediate and applies to any employee requisition already in process. Exception to this hiring freeze may be granted on a case-by-case basis by my office.

Faculty searches are not specifically excluded from this freeze. We realize that many of these searches are nearing completion and that they may have significant impact on the delivery of instruction. These factors will be carefully considered when determining whether to grant an exemption. If you have any questions, please consult your HEERA manager.

In addition, the Chancellor has requested that no new contracts be awarded for services or purchases of equipment that are not essential to the educational mission or operational needs of the university. Expenditures for non-essential travel will also be reviewed with the same level of scrutiny and prudence as applied to the hiring restrictions.

This development will certainly create additional challenges for many of you, especially those who were looking to fill needed positions. But the instability of the state budget requires sacrifices from every level. During these economic times, it becomes increasingly necessary for all of us to find innovative ways to reduce our expenses and increase our efficiency. While this is difficult, let's not lose focus on the reason we are here – our students.

J. Michael Ortiz
President