Illinois Public Media News
Eastern Illinois University now has a furlough policy to deal with the financial crunch facing higher education. But unlike the University of Illinois, there are no current plans to implement furloughs at EIU.
And if administrators make that decision, President Bill Perry says most collective bargaining agreements on the campus at Charleston currently don't include furlough language, including those for faculty. As things stand, he says about a fourth of employees at Eastern would be impacted. Some contracts call for layoffs instead of furloughs. Perry says there are those who feel that's the best option since layoffs been part of those contracts for a long time. "Other people are of the opinion with furloughs no one loses their job entirely," says Perry. "Everyone in the group shares a little bit of the pain. So you can see the arguments on both sides as to the right way to proceed. Rarely in a university do you have unanimty on any issue, right?"
The furlough policy released by Perry Thursday afternoon calls for an employee to take up to 24 furlough days over a 12-month span. He says EIU would try to provide 30 days notice before the implantation of furloughs. Eastern raised its housing costs last week, and implemented a hiring freeze. EIU is still owed about $33 million from the state. Perry says a tuition hike could happen, but no figure has been discussed.
The University of Illinois will unveil incentive programs next week for faculty and staff on the Urbana campus considering resignation or retirement.
The programs have been in the works for several weeks. Deans, directors and department heads on the Urbana campus were given advance notice of the incentive programs Thursday in an email from Associate Provost for Human Resources Elyne Cole.
The programs offer a lump sum cash incentive for voluntary retirements and resignations --- equal to 50 percent of current annual salary, or 75-thousand dollars, whichever is less.
Civil service and academic professional employees working on the Urbana campus for at least four years in a row may apply for incentives covering resignations and retirements. Another incentive program covering retirements only is open to faculty and academic staff who are already eligible for retirement under SURS, the State University Retirement System. A two-month window for applications begins Wednesday.
In her email, Cole stresses that the incentive programs are voluntary, and that no one should be encouraged to participate, or discouraged from doing so. She describes the incentives as one way to address "challenging financial times" at the U of I.
A Springfield family has donated a rare bronze cast of Abraham Lincoln to the University of Illinois-Springfield.
The family of Rick and Dona McGraw donated one of only 15 bronze casts of an original Abraham Lincoln life mask to the University of Illinois Springfield. The original plaster mold was taken of Lincoln's face by sculptor Clark Mills in 1865... just two months before Lincoln's assassination. The mask shows Lincoln's tired eyes and face full of wrinkles from the toll of the Civil War.
The McGraw family got the mask when they bought the McDonald's restaurant in downtown Springfield. It was the only item the family saved from the restaurant when they remodeled the building.
The university plans to display the mask at Brookens Library.
University of Illinois Interim President Stanley Ikenberry says administrators and faculty should be more aggressive to communicate to the public what's at stake if state funding remains at a standstill. Speaking to the Urbana Campus Academic Senate Monday, Ikenberry said he and all other public university presidents in Illinois will soon be sending a letter to Governor Pat Quinn and legislative leaders.
He says it will contain two messages. The first is to urge all involved to quickly find a solution towards fixing Illinois' fundamental financial problems. Ikenberry says the second is that public institutions like the U of I have a reliable schedule of state payments. "It is possible for us to imagine drifiting on now for several months with no material change in the rate of reimbursement from the state," says Ikenberry. "That just begins to create a nightmare of a situation that I don't think we can tolerate without a much more aggressive public position to alert the public of what the dangers really are." The Academic Senate passed a resolution yesterday urging its members to address these problems before state officials and the public. It was written in response to the U of I furlough policy impacting 11,000 employees. Some are considering taking common furlough days as a means for educating their students on Illinois' financial crisis through campus rallies or even trips to Springfield to address the legislature.
A proposal to cut $2.2 million from next year's Champaign School District budget would eliminate jobs and reduce programs. But Unit Four officials say the cuts are necessary to keep the district's finances healthy.
The proposed spending reductions include the elimination of some teachers and teachers' aide positions, cuts in athletics, and the end of summertime Drivers Ed. The reductions would only cover part of a Unit Four budget deficit that has grown over the past three years to $3.9 million. But Chief Financial Officer Gene Logas told the Unit 4 School Board Monday night that there's just not much more they can cut.
"If there's anyone sitting there thinking tonight that there ought to be three or four million dollars of fat (in the budget), and it ought to be easy to present the Board of Education with that kind of a list, you're deceiving yourself", said Logas.
Logas says the rest of the funding gap would be covered by working cash bonds, a reduction in the district's fund balance, and a new fee for extra-curricular activities.
School Board President Dave Tomlinson says he was particularly concerned by a proposal to save $300,000 at the high school level by cutting six full-time positions.
"We all are concerned that we set our high schools up for success", says Tomlinson. "So, generally speaking, we're going to look at every cut in detail, and make sure we're doing it appropriately and with the least possible interruptions in the classroom."
Unit 4 School board members will review the cuts over the next six weeks before taking a final vote in March. They voiced misgivings about some of the proposals last night, but did not question the need to cut spending.
Several school districts in Champaign County now have a chance to save more money when issuing bonds for school construction projects. AM 580's Jim Meadows reports.
The chance came last week when the Champaign County Board formally designated the county as a "Recovery Zone", ---- an area experiencing economic distress under terms set by the federal Recovery Act. That clears the way for eligible school districts to issue some of their school construction bonds as Recovery Zone bonds --- with the federal government picking up 45 percent of the interest charge.
Cameron Moore of the Champaign County Regional Planning Commission says he's gotten "strong Indications" from the Champaign, Urbana and Rantoul City school districts that they would probably use the Recovery Zone bonds, as they prepare to issue bonds for construction projects in the next couple of months.
Assistant Superintendent Beth Shepperd of the Champaign Unit Four school district says they plan to use about about $1,300,000 in Recovery Zone Bonds as part of their bond issue next month. She calls the opportunity an exciting one, "because it certainly lessens the amount of money that the taxpayers pay for interest, gives us the lowest interest rate available to governmental entitites right now, and gives us more money to good things for our students in the schools." Shepperd says the rest of Unit Four's bond issue will be issued as Build America bonds. She says they are also subsidized under the federal Recovery Act, but at 35%.
The RPC's Moore says the Fisher and Rantoul Township districts could also use the special bonds. But the bonds can only be issued during 2010. The federal government is making $2,349,000 in Recovery Zone bonds available in Champaign County.
With still no clear picture on funds coming from the state, University of Illinois Interim President Stanley Ikenberry suggests it will be at least June before officials know what tuition rates will be for next academic year. But Ikenberry told U of I Trustees in Chicago Thursday that it's hard to imagine even a best-case scenario where officials aren't looking at a high single-digit increase of around 9-percent - or about 3 to 3-point-5 percent hikes in each year over a four-year period:
"That would be a best-case scenario. We may not be dealing with a best-case environment," says Ikenberry. "So we may be faced to look at a number that will be considerably in excess of that. But it's premature, I think to walk into those waters now. But we will start that journey in March." The U of I is still owed more than 400-million dollars by the state. While tuition won't be known for a while, trustees yesterday raised the price of student housing by 4-point-6 percent on the Urbana campus. It will cost just over 9-thousand dollars starting this summer. Trustees also voted to increase undergraduate fees in Urbana by 2.8 percent to 28-hundred 42 dollars. The annual fees pay for student health services, career counseling facilities repair and other services.
Meanwhile, the co-chair of a budget task force assisting the U of I is recommending 10-percent cuts in three areas, including information technology. U of I foundation executive Craig Bazzani told U of I Trustees that information technology alone has five chief information officers. He's challenging them to find ways to streamline operations among the U of I's three campuses, and trim about 30-million dollars over the next year or two. Bazzani says information technology can't afford the 'army' of people it has, but he says the cuts will impact both people and equipment. "And so we've grown fairly significantly for good reason undoubtedly and we want to embrace the idea that more automation is good," says Bazzani. "The curves will continue to go up. There isn't any way that we're going to be able to shut off the faucet on the use of IT. We want to encourage it, but we have to have a better delivery mechanism in the future than what we have today."
The other areas Bazzani is targeting for 10% cuts are strategic procurement and energy task force recommendations. He says budget cutting moves like furlough days and hiring freezes are merely temporary ways of saving at the U of I.
Bazzazi expects to have his report before Interim President Ikenberry by May.
Officials at the University of Illinois say they're creating a Web site that will allow people to review the school's budget and give feedback.
University spokeswoman Robin Kaler says the idea is to make one place for students, staff and faculty to learn as much as they want about how financial decisions are made. It also allows people to get involved.
The site is called "Stewarding Excellence at Illinois'' and will launch later this month. The site will be linked to the university's home page. It includes an organizational chart of committees making budget decisions.
The new site comes as the university could face possible furloughs or other budget cuts.
A University of Illinois soybean research program may take a new turn after this week's Haitian earthquake.
The National Soybean Research Laboratory based at the U of I has been working with a school nutrition program at a girls' school near the Presidential Palace in Port-au-Prince. But the lab's associate director, Bridget Owen, says they've not been able to make phone or email contact with the school or its leaders since the quake on Tuesday.
Owen says he project's consultant, a native of Haiti, has also been hit by the tragedy - at least two of his family members have died.
"He lives in Chicago and also lives in Haiti, so he splits his time. He's a person we have worked with in Haiti for a number of years and is someone we consider a part of our family as well," Owen said.
Owen says the lab is working with its partners in the project to put together a response to the disaster.
It's still unclear whether coaches like Bruce Weber, Ron Zook and other athletic staff would have to take mandated furlough days announced by the University of Illinois last week.
Intercollegiate Athletics spokesman Kent Brown says Athletic Director Ron Guenther is working with the department's legal counsel to quickly find an answer. Coaches may be exempt since their contracted salaries aren't paid with state funds, relying instead on ticket sales, corporate sponsors, donations, and media rights. But Brown says Guenther and the coaches under him are ready to honor whatever's decided.
"Ron's understanding is we would follow along with the furlough program as it's stated," says Brown. "The only question so far has been how does that affect some of the guaranteed contracts that are a little differently written than the normal academic professional contract." Brown says time is of the essence for basketball coach Bruce Weber, who's either coaching or recruiting seven days a week right now. But Weber said after a recent game that he would participate in the furloughs. Football Coach Ron Zook has been out of town and hasn't commented on the policy.
If the coaches did have to take furlough days, Brown says the amount of money given back to the U of I would be based on their base salaries of around $400,000, not the promotional appearances and other events that allow them to earn around $1.5 million a year.
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