State Budget Outlook Worsens

On February 19 the State Board of Equalization met to certify the preliminary state revenues for the upcoming legislative session and reported that legislators will have less money to appropriate this year. While the preliminary numbers from December indicated that there would be only $32 million of new money available for state appropriations, the budget picture has worsened significantly since then. Now, the State Board of Equalization is reporting that there is actually $114 million less this year than last year. This represents a decline of 1.6 over last year.

Since the cost of providing government services continues to rise even when tax revenues do not, legislators will need to make significant cuts in the level of government services unless new funding sources are found. It is now more likely that the Legislature will decide to tap into the state's Rainy Day Fund to limit the size of any budget cuts. However, it is now less likely than in December that Higher Education will receive a significant increase in state appropriations.

This threatens the continued progress UCO has made in recent years in regards to faculty issues. Unlike the last few years, it will be tougher this year to find the funds needed to increase faculty salaries, OTRS contributions, professional development funds, and to hire new faculty. Any such improvements will likely have to come from finding additional cost savings on campus.

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