Administrators believe a callback of university funds from the state is likely this year.

Jeff Cooley, vice president of business affairs, said there is a 95 percent chance the state will issue another mid-year recision at Friday’s Council on University Planning and Budget meeting.

Last November, Gov. George Ryan called back $624,000 from Eastern to combat the state deficit. In December, the governor asked universities to pick up their own employee health insurance bill, and Eastern’s share of that was $1.7 million.

Cooley broke down the budget for fiscal year 2003, including the $2.2 million deficit in the university’s operating budget.

The shortfall is the result of unavoidable cost increases such as a hike in property insurance premiums. Using the term “unavoidable” in reference to costs, Cooley said, came from the Illinois Board of Higher Education.

“I think ‘unavoidable’ is an unfortunate term,” said Blair Lord, vice president of academic affairs. “It’s a crazy term – they’re all costs at some level.”

Cooley said the base budget was reduced by the General Assembly, or state legislator, and there were a lot of blank lines left on the final budget proposal for this year.

“The university requested a 6 percent salary increase, but those dollars evaporated in the final recommendations from the General Assembly,” Cooley said.

Although the university did get additional revenue from an increase in enrollment and tuition funds this year, Cooley said the bottom line is that this year’s budget is more than $68,000 less than last year’s.

To combat the deficit, he said the university will reduce deferred maintenance spending, and each vice president will come up with a share of the shortfall from his or her area.

As the process for approving next year’s budget begins, Cooley said fiscal year 2004 looks like another gloomy year.

Julia Abell, director of planning and institutional studies, presented an overview of the budget planning cycle to the CUPB.

The entire budget process, including planning and approving, spans 22 months, Abell said. The planning cycle for next year’s budget technically began last year and will end in June when the General Assembly finalizes it.

Abell said January and February are times of increased budget activity, and the administration will make many trips to Springfield to get support for fiscal year 2004.

Interim President Lou Hencken made a presentation of goals for the current year as well as fiscal year 2004.

The top goal, Hencken said, is to achieve equitable faculty and staff compensation, even in difficult financial times.

Hencken also said the university will strive to enhance technology, effectively manage enrollment and increase collegiality and a sense of community.

A report made by William Weber, associate vice president for academic affairs, stated there has been an increase in administrative costs in recent years.

Weber cited salary adjustments from position changes as one reason for the increase.

Weber presented data compiled by the Illinois Board of Higher Education, which showed an increase in the percentage of appropriated staff funding spent on administrative and other professional salaries.

“There has been an upwards trend in the share of funding going to administrators and professionals, which includes everyone in the administration,” Weber said.

However, Weber also said Eastern has the highest percentage of appropriated staff funding spent on faculty salaries in the state. Eastern has a good record, he said, and a large share of funds, compared to other state schools, go to the faculty and staff.

An approval of CUPB subcommittees and a development of a CUPB legislative action team were postponed until the next meeting on Nov. 7.