From: DePaolo, Rosemary

Sent: Wednesday, July 01, 2009 5:36 PM

To: FAC&STAFF

Subject: Budget Update

As we learn more about the proposed budget each day, we continue to believe that there will be a significant cut to our state operating appropriation. Nevertheless, I am very pleased to report that the preparation and planning we all have undertaken this past year may be enough to cover the expected cuts. While this is encouraging, we all need to remember that we will not know for certain until the budget actually is signed into law. 

In addition, with today being the first day of the fiscal year, it is also important that you do not think we are operating now on a “business as usual” basis.  Indeed, despite the fact that our legislators just passed a continuing budget authority resolution, which allows the state to continue operating while next year’s budget is finalized, our temporary allocation is only 85% of the level at which our operations were authorized last year.  Therefore, spending restrictions are still in effect. These include: 

· Hiring:

o The hiring freeze on vacant SPA positions will remain in effect until the reassignment process is complete.  Exceptions can be requested of the Chancellor through your Vice Chancellor, but vacant positions cannot be posted until it is determined that the vacant position cannot be utilized for reassignment.  This applies to any funding source.

o Student or non-student temporary worker hiring is authorized.

o Faculty hiring is authorized.

· Salary increases, including promotions, must be authorized by the Chancellor.  Requests should be submitted through your Vice Chancellor to the Budget Office.

· Purchases of supplies and materials are authorized, but should be kept to a minimum.

· Furniture and equipment purchases (including computers) are not authorized, but exceptions can be requested through your Vice Chancellor to the Budget Office.

· Travel restrictions continue.  This includes blanket travel.  However, travel associated with direct classroom instruction is authorized.  In order for the travel to be authorized, the course number must be included as part of the travel purpose when submitting the travel authorization in the travel system.

· Overtime only can be paid out through compensatory time off, unless preapproved by your Vice Chancellor.

Additional, detailed information about spending, which became effective as of July 1, 2009, can be obtained by visiting the Budget Office website at http://www.uncw.edu/ba/finance/Budget/documents/CFOProvostGuidanceMemo_Final.pdf

I am proud of the professionalism exhibited by everyone during these challenging economic times.  Your hard work and dedication have positioned UNCW well for the next fiscal year. Together, we will continue to make UNCW an even better place for our students and our employees.   Thank you again for all you are doing to make UNCW a great university.