President’s letter to campus

Dear colleagues:

As of this afternoon, Arizona still does not have a state budget. However, there is substantial activity in the Legislature, and we remain hopeful that a budget agreement will be reached by the end of today—the last day of the 2009 fiscal year.

Even if a final budget is not adopted today, the Legislature has mentioned the possibility of a continuing resolution to fund various government operations on a provisional basis.

It is important that all employees continue to work diligently and plan on a normal work schedule. Paychecks will be disbursed on Thursday in advance of the Fourth of July holiday.

Read more.

Budget stalemate continues

The Arizona Supreme Court ruled on Tuesday that while the Legislature failed to send the budget bills for fiscal year 2010 to Gov. Jan Brewer “within the time mandated by the Arizona Constitution,” the court would not compel the Legislature to transmit the bills.

“The Legislature should adhere to its clear constitutional and legal duties, and present me with the budget bills, passed 18 days ago, without further delay,” Brewer said in a statement. “Anything less than an expedient presentment of the bills to my office is clearly a violation of the Arizona Constitution as found today by the Supreme Court. The Legislature should not continue to hold these bills hostage, and should instead transmit the bills immediately.”

Northern Arizona University President John Haeger said the university remains hopeful that the impasse will be resolved and a state budget will be approved by July 1.

Employees advised to minimize use of furloughs until budget is decided

Human Resources has received several inquiries about the status of furloughs for fiscal year 2010. The furlough program will begin as planned on July 1, however, until the state budget is finalized, the number of days remains uncertain. There is still some hope that the number of days could be reduced. 

While some employees desire to start taking furloughs in July, Human Resources cautions employees to minimize the number of furlough days taken until the budget situation is more certain. Read more.

Letter from the president

Dear colleagues:

I am very appreciative of the support I have received from the Arizona Board of Regents and my colleagues over the last several years of my tenure as president of Northern Arizona University. Read more.

Northern Arizona University statement on budget passed by Arizona Legislature

Northern Arizona University has grave concerns that the budget passed by the Arizona Legislature on Thursday (June 4) would disqualify the state from receiving the desperately needed $1 billion federal education stimulus money.
We support Gov. Jan Brewer's budget because, unlike the legislative budget, it does not include the seizure of $50 million in fund balances that are from non-state sources or the delay of $100 million in payments from the state to the universities from FY09 to FY 11.

These budget-reduction maneuvers would be in addition to a $40 million cut in state funding to the universities for next year. Arizona cannot afford to violate the federal stimulus funding requirement that state support not drop below FY2006 funding levels.

NAU president praises governor’s budgetary approach

Northern Arizona University President John Haeger describes the state budget released Monday by Gov. Jan Brewer as a “responsible, thoughtful and workable solution” to Arizona’s budget crisis that takes a forward-thinking approach to economic recovery.

While the state Legislature must still approve a final budget bill and disagreement persists over such issues as the governor’s proposed temporary tax increase, Haeger said, “The governor’s budget positions Arizona to rebound as quickly as possible without long-term devastating effects.” The NAU president also has written a letter of support to Brewer praising her efforts to protect the universities and other critical state services. Read more.

NAU president praises governor’s budgetary approach

Northern Arizona University President John Haeger describes the state budget released Monday by Gov. Jan Brewer as a “responsible, thoughtful and workable solution” to Arizona’s budget crisis that takes a forward-thinking approach to economic recovery.

While the state Legislature must still approve a final budget bill and disagreement persists over such issues as the governor’s proposed temporary tax increase, Haeger said, “The governor’s budget positions Arizona to rebound as quickly as possible without long-term devastating effects.” The NAU president also has written a letter of support to Brewer praising her efforts to protect the universities and other critical state services. Read more.

BCBS premiums to remain the same;
look for contracts after June 12

NAU employees’ share of Blue Cross Blue Shield premiums will remain the same during in the next benefits year beginning in October, Human Resources has announced.

It is the second year in a row without a premium increase. Read more.

Furlough policy modified

The university has modified its original FY10 furlough policy to exempt those faculty and staff whose compensation is 90 percent or greater from sponsored project funds (other than TRIF).

Details of decision are outlined in a letter from President John Haeger, Provost Liz Grobsmith and Vice President for Research Laura Huenneke.

The university is awaiting further information about its FY10 budget and the availability of federal stimulus funds prior to deciding on the precise number of furlough days for NAU faculty and staff for the new fiscal year starting July 1.

Regents approve tuition surcharge

The Arizona Board of Regents today approved a tuition surcharge of $350 for resident students and $450 for nonresident students at Northern Arizona University that will take effect in fall 2009.

The more than 5,200 NAU students currently participating in the guaranteed tuition plan, known as the Pledge program, will see no tuition increase next year. Their tuition is guaranteed for four years.

All three state universities requested tuition surcharges to cope with a $141.5 million cut to the university system budget this year. NAU’s share of that cut is $21.3 million.

Read more.

President hosted campuswide budget forum

President John Haeger invited faculty, staff and students to a campuswide forum to discuss the university’s comprehensive strategies for the FY09 budget reduction and the FY10 outlook. View the forum here. View President Haeger's PowerPoint presentation here.

NAU to ask for $175-per-semester tuition surcharge

Northern Arizona University has proposed a tuition surcharge of $175 a semester—$350 a year—beginning in the fall, a mid-cycle adjustment necessitated by the university's budget situation, NAU President John Haeger announced today.

Students who joined NAU's four-year guaranteed tuition program in fall '08 will not be affected by the surcharge.

"We moderated the request to maintain the quality of our programs while keeping our students' financial situations in mind," Haeger said. The president met with NAU student leaders prior to submitting the request and will continue to meet with students as the process continues.

Read more.

NAU’s Academic Affairs plan minimizes layoffs
(April 10, 2009) Increasing faculty workloads, deactivating low-enrollment programs and delaying the start of other programs will keep layoffs to a minimum in Northern Arizona University’s Academic Affairs division, President John Haeger announced today.

In an effort to meet a $6.3 million reduction to the Academic Affairs budget, about four staff and about five non-tenure-track faculty will be laid off or non-renewed for the next fiscal year.

Read more.

Task force releases state budget report

A task force charged with developing ideas to navigate through Arizona’s budget crisis has released a report that introduces short-term options to eliminate the state’s $3 billion deficit and longer-term options to strengthen government finances.

The task force, known as the Fiscal Alternative Choices Team—or FACT—includes university, legislative and private-sector economists and business leaders and was formed in January by the Arizona Board of Regents and the state’s university presidents at the request of Senate President Bob Burns and Speaker of the House Kirk Adams.

The membership includes economist Marc Chopin, dean of The W.A. Franke College of Business, and economics professor Ron Gunderson.

Read the executive summary or the full report.

Letter to Campus

Dear Colleagues,

As everyone is well aware, the campus has been working diligently over the past several months to develop solutions to Northern Arizona University’s budget situation.

The effort identifies nearly $13.5 million in budget reductions in all the vice presidential areas and the Office of the President for fiscal year 2009, which will carry forward into permanent base cuts for fiscal year 2010.

We are now moving forward with many of the strategies identified to meet the $13.5 million reduction. The budget reduction strategies of the Academic Affairs division will be announced separately, around mid-April, as it is working with a different timeframe related to developing the fall 2009 schedule of classes.

Read more.

NAU passes on non-renewal policy change;
contracts should arrive in June

Northern Arizona University will not be using a policy exception that allows Arizona universities to non-renew contracts for administrators and service professionals with a 90-day notice no matter when their contracts end.

The Arizona Board of Regents on Friday approved the policy exception, but NAU President John Haeger said the university does not intend to use the new procedure, which will be effective through FY2011.

“While we appreciate the board’s action to give the universities greater flexibility during severe budget constraints, it’s too soon in our budget process to adopt this new practice,” Haeger said. “We believe we have other options that are more suitable for NAU at this time.”

Read more.

President Haeger talks budget with Theresa Bierer

The president addresses some key concerns of faculty and staff in this
interview with Theresa Bierer.

President finalizes FY09 budget reduction plan

Northern Arizona University will implement furloughs this fiscal year only for the president, vice presidents and academic deans while deferring campuswide furloughs until fiscal year 2010, according to the final FY09 budget plan announced today by NAU President John Haeger.

Haeger said that he and the university's vice presidents and academic deans will take three furlough days between now and June 30. In FY10, which begins July 1, university employees making $40,000 per year and higher will take up to seven furlough days during the year. Employees earning less than $40,000 per year will take up to two furlough days. The FY10 furlough program is expected to save the overall university budget about $3 million. Read more.

NAU President Haeger's statement to campus on FY'09
budget reduction proposal:

Dear colleagues,

I have put together a draft plan for Northern Arizona University to respond to the $21 million to $22 million reduction to our FY 09 budget. This reduction is based upon the $141.5 million cut to the Arizona University System that was authorized by the Legislature and signed by the governor over the weekend.

I am taking this plan out to campus for input this week, and after meeting with various groups, I will submit my final budget reduction plan to the Arizona Board of Regents on Monday, Feb. 9.

Read more.

President John Haeger is introducing this web site to keep campus apprised of the budget situation at Northern Arizona University. Your feedback and ideas are encouraged and welcome.

On Nov. 15 the president assembled the university’s academic and administrative leadership to discuss how NAU might best cope with what are expected to be additional significant cuts to its budget.

The president outlined essential guiding principles for upcoming difficult financial decisions:

• protecting employees and their families
• maintaining budget flexibility
• taking a university-wide approach to budget reductions
• continuing investment in those areas that are essential to maintaining the momentum of the university

During his university-wide address on Dec. 1, the president will inform campus of decisions he is prepared to make, issues that are still under study and updates on the status of the budget. Read more.