Greetings,

As we approach July 1, the state budget picture has become much clearer. The Legislature is scheduled to approve the Fiscal Year 2010 budget this Thursday in the Senate and the Assembly. The Governor is expected to sign the budget by July 1, 2009.

The effects of this budget on higher education are mixed. The Governor has dedicated over $30 million in additional student aid while at the same time imposing a 3% cap on tuition and fees. By increasing financial aid and controlling the rate of increase on tuition, this budget provides immediate relief to our students and their families. It is a budget that helps to maintain access and affordability in higher education during very difficult times.

Along with access and affordability, we need to speak to the quality of our instruction and the progress of our research and service. Unfortunately, all state colleges and universities in New Jersey are being asked to sacrifice in these difficult economic times. The budget language requires that Rutgers achieve “personnel related cost savings... equivalent to Fiscal Year 2010 savings that the negotiated self-directed furlough program for civilian State employees will achieve.” This refers to that portion of the state union agreement where workers have tentatively agreed to take nine furlough days in FY2010. This would amount to 3.465% in salary savings at Rutgers. Without these personnel related cost savings, the university risks losing 5.25%, or $15.4 million, of its state appropriation.

We have a meeting this Friday with the administration to discuss these budget matters. Our plan is to discuss our role in compliance with the state budget language. We will keep you posted on the progress of these discussions.

Given the state of the economy and the impact of the budget on the state workforce, we have been effective in minimizing the impact on the university, our membership and our students. Without your activism, the circumstances could have been much worse. Despite the budget language on personnel savings mentioned above, we should be able to weather this economic crisis, preserve our core mission and retain our outstanding faculty and staff. In the coming year, we will need to work together to improve how we function and interact as a university community. We expect that any sacrifices now will protect our academic and research programs for the future.

As always, we appreciate your support, your effort, and your advice.

Sincerely,

Lisa C. Klein, President

Adrienne Eaton, President-Elect

Rudy Bell, Past President