April 16, 2008 :: State Colleges and Universities May Receive Reduced Allocations
Higher education officials announced today that, unless legislative action is taken, Oklahoma colleges and universities will receive a reduction in budget allocations, for the second consecutive year, due to a shortfall in revenue appropriated to pay the debt for the 2005 campus capital improvement bonds.
In May 2007, anticipating a possible shortfall in revenue this year, the Oklahoma State Regents for Higher Education allocated an additional $6 million for debt payments. It is now expected that the total revenue shortfall will be $8.8 million, resulting in a deficit of approximately $2.8 million for the remainder of this fiscal year. If a supplemental funding request is not acted upon, institutions across the state will see their budget allocations reduced in May and June.
“Unless action is taken on our supplemental request, our institutions will once again have to make cuts in their operational budgets,” Chancellor Glen D. Johnson said. “We anticipate that this $2.8 million cut will affect the number of summer courses offered on many of our campuses and will have adverse effects on campus operations. The State Regents remain committed to securing supplemental funding this year so that our campuses and students are not negatively impacted by this budget reduction.”
Budget reductions will be prorated based on the amount institutions received for capital improvement bonds. For example, Oklahoma State University and the University of Oklahoma will see reductions of $607,000 and $599,000, respectively. Reductions at regional universities will range from $34,000 to $131,000 and at community colleges from $34,000 to $99,000.
Editor’s note: Download a list of institutions and projected reductions here.