WILBERFORCE — Facing a $4 million shortfall, Central State University is implementing several cost-saving measures in an effort to balance its budget.
In an email to the CSU community, interim President Dr. Alex Johnson said the need to reconcile the budget earlier than usual has “become an urgent matter” as the $4 million represents about 6 percent of the total operating budget.
“The gap is due in part to overspending in prior years using Higher Education Emergency Relief Funds for recurring expenses,” Johnson wrote. “So, effective immediately I am implementing several actions to balance the budget. These include halting spending in all operating accounts including office supplies, travel, and personnel services such as consultants. Following reconciliation, some of these funds may be released. Externally funded grant funded projects are not impacted by this decision.”
With oversight by Provost Dr. Erik Brooks, and Vice President for Finance and Administration Curtis Pettis, personnel actions and routine activities will be scrutinized to ensure they support priorities such as affordability, technology enhancements, and student outcomes, the email said.
“They will scrutinize all remaining allocations and requests to ensure a balanced budget for FY24 and to create a realistic financial outlook for FY25,” according to Johnson. “More organizational realignments will be implemented to improve efficiencies, eliminate redundancy, and avoid duplication. These measures will have far-reaching impact on creating a sustainable financial climate, including the creation of reserves to fund innovations in teaching and learning.”
Hiring will be suspended with the exception of grant-funded positions and non-redundant, critical positions, the email said. Some temporary employees could be released and discretionary spending is temporarily suspended, with the exception of Title III, Land Grant, Foundation, and other grant-funded activities. The majority of purchase requisitions will be disapproved. However, urgent purchasing requests can be submitted after approval from the area vice president.
“I understand that these measures might cause concern,” Johnson wrote. “However, these are difficult times financially for institutions across the nation from the Ivy League to community colleges. So, self-regarding institutions like Central State University must act now to create a base on which to offer programs and services committed to innovation and excellence and not constrained by convention and the lack of resources.”
Reach Scott Halasz at 937-502-4507.
