Operating Budget
Board of Governors Approves Operating Budget
The University of Guelph's Board of Governors approved the $300-million preliminary 2009/2010 Ministry of Training, Colleges and Universities (MTCU) operating budget at its April 15 meeting.
The major budget assumptions were based on a continuation of the University’s revised multi-year plan, with the 2009/2010 operating budget reflecting the second year of the plan. The objective is to eliminate U of G’s structural deficit by 2012 and to provide for necessary cost increases over that time.
John Miles, assistant vice-president (finance and services) told the board that Guelph is not in a unique position when it comes to the overall budget situation or its pensions. The entire higher education system is struggling to cope with flatlined provincial funding, and rising costs are a constant challenge in operating budgets, he said.
Under the multi-year plan, colleges and divisions need to find $46.2 million in cost savings or net revenues by 2012. To date, about 70 per cent of the target has been identified or committed.
B of G was told that the key 2009/2010 budget resource allocation decisions, including determining college/division targets, were made in the context of the University’s integrated plan. Prof. Maureen Mancuso, provost and vice-president (academic), provided an update on the integrated plan, telling governors that the focus continues to be on making strategic changes and choices that best use available resources.
Specific actions identified include the consolidation of academic departments, concentration of resources in high-demand programs and targeted growth, specifically in undergraduate enrolment in engineering programs.
Members were updated on the Board of Undergraduate Studies action in eliminating low-enrolment programs and majors and plans for the new mechanical engineering undergraduate program. Mancuso was commended for her work and the plan’s effectiveness in providing the decision-making framework critical to making the necessary difficult choices.
B of G also approved the 2009/2010 tuition fees and non-tuition compulsory fees as part of the operating budget. Tuition fees were based on both the provincial tuition framework, which limits increases on certain programs, and the ranking of U of G tuition relative to other comparable Ontario universities. Overall, the changes in tuition fees are expected to generate about $4 million in additional revenue.
The board also approved the 2009/2010 budget for the University of Guelph-Humber, which is anticipating an enrolment of 2,800 in the fall. As a result, there is now capacity within the Guelph-Humber budget to provide resources to continue with quality investments and program development.
In addition, the 2009/2010 budget for the partnership with the Ontario Ministry of Agriculture, Food and Rural Affairs (OMAFRA) was approved. This budget includes estimated revenues of $95 million reflecting the implementation of an enhanced partnership between the ministry and the University.