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SIU had its budget bolstered after Gov. Rod Blagojevich approved the largest operating increase for state universities in seven years.
The university will receive a total increase of about $9 million from the total $37 million increase being allocated to public universities for operational costs. The 2.8 percent increase in operating budget is the largest in seven years.
SIU President Glenn Poshard said the increase saved jobs and allowed the university to maintain its staff.
"I told the individual schools to prepare a worst case scenario budget in case the budget remained flat or was cut," Poshard said. "The fact we were able to come up with that amount of money helps us tremendously."
Poshard said a budget cut was expected and would have caused layoffs, but he added he was pleasantly surprised state government officials were persuaded about the importance of funding higher education.
Of the $230.5 million operating budget, $205 million will be used to pay salaries and personal services. The rest of the money will be used for insurance, travel and equipment among other services.
The university also secured $11.6 million for grants, scholarships and other programs.
The university will receive $250,000 for an internship program, $1 million for the James Walker Presidential Scholarship Fund, a $2.4 million grant for the School of Medicine and a $4 million grant for ethanol research at the Edwardsville campus.
SIU will also receive $200,000 to help combat declining enrollment and find retention solutions.
Though the 2.8 percent increase was the largest for SIU in seven years, there is still a potential $320 million hanging in the balance, though it has been frozen for another year.
Poshard worked with former U.S. Speaker of the House Dennis Hastert to create a bill that would use revenue from the gambling industry to help pay for university improvements as well as economic developments.
The capital plan would fund three new buildings, one each for Carbondale, Edwardsville and Springfield. It would also offer $21.8 million for the completion of Morris Library and nearly $71 million for improvements to current SIU buildings.
Interim Chancellor Sam Goldman said he is glad the university received the operating cost increase, but the capital plan is a bill that must be passed.
"Nothing is going to soften the blow of the capital bill not being passed," Goldman said. "There is over $300 million in their for us and we need it. My hope is that it is still alive and breathing."
The operating budget has only increased 6.4 percent since 2005, with 2.8 of that percentage accounted for this fiscal year. Poshard said he was glad the streak of half-percent and one-percent increases ended and hopes to secure at least the 2.8 mark in future years.
David Gross, executive director for the office of the president, said Poshard's work in Springfield would bring help to the students and as well as university staff.
"There has been a growing sense in the legislator that they needed to address the needs of universities," Gross said. "And increasing the operating budget is the single most important thing the government can do for tuition."
Jeff Engelhardt can be reached at 536-3311 ext 268 or jengel@siu.edu.
