No increase for 2008-09 budget

By Liz O'Brien

Funds for the university's operating budget, which usually increases annually by 3 percent, have been frozen for the 2008-2009 academic year. Though the operating budget applies to all departments, as well as the eight chartered student organizations, most groups say they will be able to accommodate the stagnant budgets without significant difficulty.

The lack of operating increase this year is intended in part to curb rising tuition costs, as well as help the university function more efficiently, said Jeanne Rosenberger, vice provost for student life.

"We don't want tuition to have to keep going up, so in order to do that, we have to figure out how to run the university with less money," Rosenberger said. Even with the zero percent increase, tuition will still rise by about 5 percent, from $33,000 last year to $34,950 for the 2008-2009 school year.

The university runs on a $3 million revenue budget that draws over three-fourths of its funds from tuition, and the rest from auxiliaries, endowments and private gifts. That pool is then dispersed to areas such as salaries and benefits, financial aid and debt repayment. Making up about a quarter of expenditures is the university's operating budget, which includes departmental costs, electricity and maintenance, and the eight chartered student organizations, according to information from the Office of Administration and Finance.

Though no departments or student organizations will be receiving less money than this year, they will have to accommodate the increasing costs of travel, printing or outside resources into the same funds as were available this year.

"One of two things has to happen," said Rosenberger. "Some groups have to request less money than this year, in order to have a balanced budget, or groups that have the ability to raise money could come back and say they think they could balance their budget by increasing their revenue."

The eight student groups that the budget applies to -- The Redwood, The Santa Clara, Santa Clara Review, Associated Students, Santa Clara Community Action Program, Activities Programming Board, KSCU and the Multicultural Center -- turned in a budget plan to the student activity fund committee last Friday. After the fund committee reviews the budgets, they are sent to the student senate, and then to Rosenberger for final approval at the end of May.

Most student groups will be making minor accommodations, such as spending less on office supplies. Senior Katy Erker, director of SCCAP, said that the only major area of impact for her organization will be gas for community service events.

"We're going to have to focus on being simple in our spending," Erker said.

Sophomore Libby Dunn, editor of The Redwood, said the yearbook will be cutting some of their retreat expenses to make room in the budget. However, she emphasized The Redwood has a steady source of income, so the freeze will not present any major hardships.

"Our AS general budget is right on track for this year, and we feel that this amount will be adequate for next year as well," stated AS president Austin Woody in an e-mail. "Our current budgets force us to be more fiscally responsible and efficient with how money is spent."

Departments will need to manage their funds in a similarly responsible manner by not overproducing printing materials and buying less office supplies, Rosenberger said. Rosenberger said she does not think the budget freeze will have a major impact on the departments.

"Three percent, in the big picture, isn't a significant amount for many of the departments because they have pretty robust operating budgets," Rosenberger said. Chairs from 20 departments did not respond to a request to comment.

Faculty and staff salaries and benefits are not included in the operating budget, said Rosenberger, and will not be affected. Student wages, which made up about 2 percent of expenditures last year, will also not be increased, as has been the case for several years.

Rosenberger said that no student organizations have yet expressed that they cannot meet the demands of next year's budget, but that it is encouraged that all groups try to increase their revenue through whatever means possible.

"We want to pass along or encourage the student organizations to tighten their belt, if that's what they need to do," said Rosenberger. "Or be more creative about raising more money."

Contact Liz O'Brien at (408) 554-4546 or eobrien@scu.edu.