Regents' Recap

November 2010

UA Regents approve FY12 budget requests

UA Foundation Chair Mike Felix, left, UA President Pat Gamble, center, and UA Board of Regents' Chair Cynthia Henry, right, mingle at a reception the night before the November meeting. Photo by Kate Ripley, University of Alaska.

ANCHORAGE--The University of Alaska Board of Regents approved FY12 operating and capital budgets for the 16-campus system Nov. 9, 2010. The investment blueprint now goes to Gov. Sean Parnell for consideration.

The board also approved schematic design for the Life Sciences Classroom and Lab facility in Fairbanks, which voters approved in a statewide general obligation bond Nov. 2.

UA President Pat Gamble’s budget targeted $2.3 million to strategic areas critical to the university’s mission, while holding down fixed costs as much as possible. It emphasizes initiatives that strengthen student retention and graduation; investments in high-demand health, biomedical and teacher education programs; and enhancements to UA’s competitive research opportunities in fisheries, energy and the Arctic.

The budget also includes a 2 percent salary increase for non-unionized staff to take effect July 1, 2011, followed by an additional 1 percent increase January 2012.  In addition, the budget includes a 50-cent hourly increase for student employees.

Not included in the budget at this stage are potential salary adjustments for UA’s five different unions. Those contracts expire at the end of December and the amounts needed to fund them aren’t yet known. Once agreements are reached, the Legislature would have to approve the funding.

The university is continuing to find cost savings and efficiencies in its health-care plan and other fixed costs. The total in state general funds requested is $350.8 million, matched by $534 million in UA-generated revenue for an operating budget total of $884.9 million.  Those numbers are expected to change once union contracts are finalized.

The board agreed to an FY12 capital budget totaling $82.5 million in state general funds, matched by $130 million in university dollars. Most of that money would go toward the university’s long list of maintenance and repairs, which includes roof replacements, HVACs, electrical and other major renewal. The plan includes a $100 million internally funded bond issue proposed by Gamble that would fast-track a good chunk of backlogged maintenance. No new construction projects are proposed.

For more information the FY12 budgets, go to:

http://www.alaska.edu/swbir/budget/budget_planning/documents/fy12/FY12_Approved_Operating_Budget.pdf

http://www.alaska.edu/swbir/budget/budget_planning/documents/fy12/FY12_Approved_Capital_Budget.pdf

In other news, the board heard an update from an advisory task force reviewing a variety of tuition proposals for 2012-2013; action is expected in December.

Board members also enjoyed a working lunch with Anchorage Mayor Dan Sullivan, a UAA alum.

The evening prior to the board meeting, regents attended a reception at UAA with members of the UA Foundation Board of Trustees.

Foundation Trustee Emeritus Arliss Sturgulewski of Anchorage, left, and Trustee Carolyne Wallace of Fairbanks, center, talk with Regent Pat Jacobson of Kodiak, right. Photo by Kate Ripley, University of Alaska.
Anchorage Mayor Dan Sullivan, a proud UAA alum, took time out of his busy schedule to have lunch with regents and discuss issues of mutual concern. Chancellors Brian Rogers, left, and John Pugh, right, are in the background. Photo by Kate Ripley, University of Alaska.