The budget proposal announced by the governor today reflects the magnitude of the fiscal crisis facing our state and nation. WSU will confront an immense challenge in balancing our budget by taking an additional $13.55 million in cuts on top of the $54 million in reductions that we already have had to enact in this biennial budget.
Further, the budget proposed today could severely restrict access to WSU and other higher education institutions. It calls for an additional $146 million reduction, or 60 percent, to the state need grant program. This reduction will exclude 12,300 students at universities statewide from financial aid and will reduce the grants awarded to remaining needy students who still qualify for assistance.
New solutions are required to address this budget challenge. I already have begun discussions with the governor and the legislature in this regard.
Further reductions at the level outlined in this budget proposal will require our university to make fundamental changes in our structure, our programs and our operations. If these new reductions in our budget for the upcoming fiscal year are approved, they will be effective beginning July 1, 2010, so we will need to consider our options and respond quickly.
Provost Warwick Bayly and I will immediately begin discussions with others in the WSU system to consider the restructuring of our university that will be required to move forward under this budget. Once the plan is formulated, it will be shared with the larger university community for discussion and input.
As the budget process continues, I want to assure all our faculty, staff, students and supporters that this administration will continue to be a forceful advocate for adequate higher education funding and for the fundamental role that higher education must play in any economic recovery.
