Communication with Faculty

Last week I sent out an e-mail which contained my synopsis of the Budget
meeting that the Executive Committee attended with the University Administration. I
have enclosed this report below as a part of the Chairs Report.

The Faculty Senate Executive Committee attended a meeting hosted by President
Moulton on January 26th, 2009. A majority of the Deans and top Administration were
also in attendance. The purpose of the meeting was to review the current financial
situation of the USA. President Moulton provided his interpretation of the impact of
the previous cuts in state funding and the recently announced proration, which
resulted in the University receiving approximately $ 29 Million less than the previous
fiscal year. As you are aware the University has responded to this deficit by freezing
salaries, hiring, travel, and large equipment purchases, as well as eliminating
university cell phones. In addition, the University has dipped into the University’s
financial reserves to cover some of the current deficits. Unfortunately, the cost saving
measures utilized this year would not be able to absorb another year of extreme
underfunding by the state. Consequently, the University is trying to identify
additional cost saving measures. The administration has researched what other
universities are doing. In addition to the measures mentioned above, some of the
other Universities are utilizing one or more of the following procedures e.g., freezing
salaries of faculty, administration and staff, mandating furloughs for faculty,
administration, and staff, raising tuition, increasing class size, or consolidating
programs.

Enclosed you will find the Power Point Presentation that President Moulton,
utilized during his presentation. I strongly suggest that you refer to slides 21 and 22.
The senate Executive Committee is working with the University Administration to try
to address our financial situation. At this time the Administration has not made any
decision regarding the various possible cost saving measures nor has the Senate
Executive Committee specified or endorsed any specific cost saving measure that
have been utilized by other Universities. That being said, the reality is that USA
essentially had a shortfall of $ 29 Million Dollars, and there is a strong possibility that
USA may have another significant financial shortfall next year. If this is the case,
then it is imperative that USA develop additional revenues and implements cost
saving measures that ensure that we protect our academic programs and the security
of faculty, staff, and administration.

Meeting with President Moulton, February 11th 2009

1. President Moulton indicated that he believed that the information contained in the
   e-mail letter to the Faculty was an accurate portrayal of the Budget Meeting. He
   indicated that we will have another meeting as soon as there more information
   available from the Federal Government and more importantly from the State
   legislature.
2. The Executive Committee suggested some revenues enhancement schemes and cost
   saving measures to avoid the reduction of faculty and staff salaries e.g. dual
   enrollment; consolidation of certain colleges; increase in certain fees; energy
   conservation measures; and wider distribution of apparel with USA Logo. President
   Moulton indicated that he appreciated our suggestions, many of which have been
   looked at in the past. Unfortunately, he believes that the suggestions would have a
   minimal impact on the USA budget situation.
3. The Executive Committee indicated that it is not excited about the prospect that
   TIAA/CREF benefit maybe suspended or possibly eliminated. President Moulton
   indicated that if the benefit would be modified it would only be modified for new
   faculty. We also discussed a suggestion from the Chair that USA work with RSA to
   make it easier for Faculty to purchase years toward their retirement with RSA. Wayne
   Davis, VP of Financial Affairs and the Chair of the Senate are currently looking into
   this concept.
4. The Executive Committee inquired as to how much money is there in the University 3
   Accounts which have been utilized to offset some of the budget shortfall this year.
   President Moulton indicated that the 3 Accounts are almost exhausted because these
   funds are basically University/College saving accounts and once those funds are used
   they will not be available during the next academic/fiscal year.
5. Campus Walkthrough: Doug Haywick, Susan McCready, and John Sachs participated
   in a walkthrough of the University Main Campus to identify areas of the campus that
   needed additional or modified lighting to enhance the safety of students, staff, and
   faculty who walk on campus. In addition, suggestions were made to facilitate the
   accessibility of certain buildings for individuals in wheelchairs.
   

Note: Phil Carr has agreed to serve on a committee that is looking into adding a Fall
break to the school calendar.

Note: A Bus will depart University Commons at 8 AM March 5th, 2009, and
passengers will be dropped off at State House steps for rally. Lunch will be provided.
After lunch, we all go to the State House and visit legislators. Bus will depart from
State House steps for return trip to Mobile at 2 pm and should arrive back by 5 pm.

University of South Alabama  -  Faculty Senate -  Mobile, AL 36688-0002
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Last date changed: March 4, 2009
URL: http://www.usouthal.edu/usa/fsenate/records/reports/ChairReport_011809.html