Michigan Tech News

Mroz Tells Campus University Will Stay on Track Despite Proposed Budget Cuts

Last Modified 10:35 AM on Mon Mar 4, 2013

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By Jennifer Donovan

February 21, 2011—

At a crowded campus forum on Monday, Michigan Technological University President Glenn Mroz discussed the implications for Michigan Tech of Governor Rick Snyder’s proposed 22 percent cut in state funds for the University.

Governor Snyder’s budget proposal for the next fiscal year would reduce Michigan Tech’s state allocation 22 percent, from $47.9 million this current fiscal year to $37.4 million in fiscal year 2012. The state’s fiscal year runs from Oct. 1-Sept. 30.  The University’s fiscal year is July 1-June 30.

The proposed budget offers public universities the option to reduce the cut to 15 percent if they agree to limit their tuition increase for next year to 7 percent or less.  Under that option, Michigan Tech would be eligible for $3.32 million in “tuition restraint” dollars, bringing its total state appropriation to $40.8 million. With the proposed 15 percent reduction, state funding would represent 19 percent of Michigan Tech’s total operating budget, having fallen from 35 percent as recently as 1999.

It is important to note that the Governor’s proposal is just that—a proposal, said Mroz. It is now being deliberated in the state legislature, so the final budget for fiscal 2012 is yet to be determined.

Meanwhile, Michigan Tech has developed some guiding principles for budget reductions.

To put these reductions in perspective, Mroz said, they represent only 3 percent of the University’s total revenue. 

Even facing declining state support, Mroz said that Michigan Tech this year has made notable progress on key aspects of its strategic plan and priorities:

Mroz concluded on an encouraging note. “While the proposed budget reductions present challenges, we will respond to them, and they will not deter us from our objective of being a world-class technological research university,” he said.  “Michigan Tech’s greatest asset is its people—the talented and motivated students, faculty and staff.  Each of us needs to forge ahead with our core mission in mind and continue the exceptional work that goes on at Michigan Tech every day.  We embrace our students, encourage intellectual curiosity and achievement, and foster a community that is second to none.  Michigan Tech is special, a great place to work, and it will continue to be so for years to come.”

Michigan Technological University (www.mtu.edu) is a leading public research university developing new technologies and preparing students to create the future for a prosperous and sustainable world. Michigan Tech offers more than 130 undergraduate and graduate degree programs in engineering; forest resources; computing; technology; business; economics; natural, physical and environmental sciences; arts; humanities; and social sciences.

Original URL: http://www.mtu.edu/news/stories/2011/february/mroz-tells-campus-university-will-stay-track-despite-proposed-budget-cuts.html