1. Budget Presentation January 20, 2004 A New Framework for Budgeting in Challenging Fiscal Times

2. Budget Challenges
● $4.67 million loss of State revenue over last 19 months (July 2002 – present)
● Increases in salaries, health care, fixed costs
● Increases in instructional resources
● Keeping LCC affordable and accessible
● Pressing needs
● Structural change in funding mix

4. Opportunity Gap

5. A Responsible Approach to Revenue Generation
- Modest tuition increase
- Millage
- New sources of revenue

6. A Holistic Approach to Budgeting
● Managing Expenses
- Early retirement incentive program
- Program consolidation
- Program cuts
- Modest layoffs (no faculty)
- Delayed maintenance
- Staffing plan

7. Effectively Managing a New Budget Environment
● Anticipated and planned for continued budget reductions
● Looked at structural budget solutions,
not one time fixes
● Comprehensive approach, not line
item approach