Aug 28, 2014
Archived: SCSU Announces Flexible Hiring Freeze in Light of $8-10 Million Budget Shortfall
St. Cloud State University’s administration has implemented a flexible hiring freeze in light of a projected budget shortfall of $8-10 million.
University President Earl H. Potter described the budget decisions in an email communication to faculty and staff Thursday. In addition to the flexible hiring freeze, a 5% hold back on non-personnel budgets for all university departments is now place until the spring semester enrollment numbers are known.
Potter says the estimated budget shortfall for the current fiscal year, which continues until next June 30th, has become much clearer in the last several months. Previous estimates of the shortfall ranged between $3-5 million.
He says Vice President for Finance and Administration Tammy McGee will develop a two to three year plan to balance the university’s budget. Potter is seeking input from bargaining units on campus that represent faculty and staff, as well as ideas from students on budget saving measures.
Declining enrollment is cited as the primary reason behind the shortfall. Last fall SCSU’s enrollment was at 16,245—the number is expected to decline an additional 4-5% this fall. In contrast, in 2010 the university’s enrollment was 18,319.
During the flexible hiring freeze, all positions will be affected except those funded entirely by external grants and contracts. The president says they are calling it a “flexible” hiring freeze because they realize some positions must be filled, including those that affect compliance with applicable laws, policies, health and safety of students and staff among many other criteria.
Finally, Potter says the university is not considering layoffs or retrenchment or reduction of current staff and faculty at this time to shore up the $8-10 million shortfall.
