|U of S Faces Shortfall|
|Written by Sharon Vanhouwe|
|Tuesday, 03 April 2012 15:18|
The University of Saskatchewan will need to decrease its expenses over the next four years in the face of budget pressures that include lower-than-requested provincial funding.
Pressures also include salary and benefit costs that are rising faster than revenue increases, solvency and going concern pension issues, and the pressing need for capital renewal to support teaching, research and innovation.
At a public town hall meeting Provost and Vice-President Academic Brett Fairbairn and Vice-President Finance and Resources Richard Florizone outlined how the 2 point 1 per cent increase in the institution's operating grant for 2012-13, announced in last month's provincial budget, affects financial projections for the future.
The university had requested a 5 point 8 per cent grant increase.
Fairbairn says prior to knowing what the provincial grant would be, a shortfall of ten million dollars was projected over the next planning cycle, 2012 to 2016 and now that the grant is known, the projected gap is more likely 12 to 15 million dollars in 2012-13, and 20 to 40 million dollars per year until 2016.
So, the challenge for the University is on now to try to close the gap between revenue and expenses.