When Kovid-19 arrived, the state system initially estimated it would take a hit of at least $ 52 million, primarily from lost tuition and refunds to students, though a $ 39 million setback from the federal CARES Act softened. Will happen. (Later estimates showed even more financial injury).
“We were financially challenged before the epidemic, severely challenged in the face of the epidemic,” System Chancellor Dan Greenstein said on a zoom call with the System Board of Governors. He said: “We have an obligation to address those challenges immediately – and at a more rapid rate.”
The final cut included one particularly controversial item: the number of teachers.
Faculty Union, which Dr. Powered by Martin, in order to understand the situation, was leery of little advantage. Dr. Martin said, “I would go to the meetings and I felt like they would shut their eyes on me, turn me around and say ‘Put the tail on the donkey, and then spin the donkey.” “We keep asking: what is endgame?”
The budget numbers tell a complex story. By some measures, the system is not particularly unhealthy.
For 2019, available in the last financial year, the entire system lost $ 1 million, out of $ 1.6 billion in expenses. According to a union official, based on the accounting method used, the IUP itself would have made money.
The union official described the strict budget as “a financial crisis.” But the system administration said there was a big issue: disturbing the trend line for the school. It estimated a loss of $ 48 million for the current fiscal year.
David Pidgeon, a spokesperson for the system, wrote in an email, “Declining enrollment for the time being, declining state investment, increased tuition and dependence for cash reserves.” “And we’re looking at just over a year.”