The MSU Board of Trustees will meet Friday to approve the university’s $682 million budget for the 2002-03 year.
The budget includes an 8.5-percent tuition increase - the second largest hike since 1993. It also provides for a 5-percent faculty salary increase for the fourth year in a row. The guidelines were established by the board in June.
“This is an enormous commitment to our faculty,” MSU President M. Peter McPherson said.
McPherson said health care cost remain one of the institution’s largest expenses- raising at rates of nearly 20 percent annually.
He said this year is difficult on the budget, as the school tries to tighten its belt without receiving an increase in funds from state lawmakers.
State appropriations stayed flat at $326 million, in complying with an agreement made between Gov. John Engler and university presidents in February. University leaders agrees to keep tuition increases at or below 8.5 percent, or $425, whichever amount is greater, as long as the state maintained the appropriations from last year.
David Byelich, director of MSU’s Office of Planning and Budgets, said despite the higher tuition and high health care cost, MSU has been able to move forward financially.
“I don’t know of any school in the Big Ten who will exceed that,” he said of the proposed 5-percent increase in faculty salaries for the fourth consecutive year.
The Board of Trustees have been very supportive of keeping the goal of higher faculty salaries, McPherson said.
During its monthly meeting, the board also will vote on the construction manager for the office expansion of the Cyclotron.
The expansion is estimated at about $4.3 million, for a complete renovation of a wing in the building.
Konrad Gelbke, director of the Cyclotron said the facility will get 37 new offices, in addition to the 140 it already has. He said there are as many as two faculty members occupying each office.
“I think this is a necessity,” Gelbke said. “There are some things that just have to happen.”
Amy Bartner can be reached at bartnera@msu.edu.
