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Chancellor's Corner - May 2009

Focusing on the Budget
May 28, 2009

The ongoing investigation into former Governor Mike Easley has sparked new interest in the university’s hiring of former first lady Mary Easley.  This issue has temporarily shifted public focus away from the important work being done on campus.

With summer classes under way and freshman orientation scheduled to begin in a few weeks, it is important that we turn our full attention to our students and the many initiatives and programs at the heart of our mission. So let me clearly say again, NC State followed what we believed was proper procedure and we were not pressured to hire Mary Easley or pay her a certain salary. 

It is clear, however, that we were not sensitive enough to how others would perceive her new contract in 2008.  Especially in these tough economic times, her salary was – and still is – a lightning rod for criticism.  It is an important lesson we will remember in our future decision-making.

There is remarkable work being done at NC State and I look forward to putting the focus back on notable achievements such as these:

  • Todd Klaenhammer won the O. Max Gardner Award, the highest award given a faculty member by the Board of Governors.  He is the ninth NC State faculty member to win this award in the past 13 years.
  • The university has received more Department of Energy nuclear research funding than any university in the nation, thanks to seven new grants.
  • Our research on a new hospital gown made the front page of the Wall Street Journal.

These are the stories that make me proud to be chancellor of NC State; they represent the positive attention we want to bring to the university.

As we look to the future, we begin by focusing on the ongoing budget discussions.  If you have been following the legislative conversation about the budget, you know that the plans for a 5 to 7 percent cut are now a distant memory.  As the state assesses its revenues and surveys the damage of the economic downturn, it appears that we are now on the brink of a 10 to 15 percent cut – even higher by some estimates.  This will not be easy.

Just last week, incoming Faculty Chair Margery Overton and I met to exchange ideas on meeting the budget cuts and ensure continued communication between faculty and the chancellor’s office.  Vice Chancellor Charles Leffler, Interim Provost Warwick Arden and I have met with deans, department heads, the University Budget Advisory Council (UBAC), executive officers and budget officers to discuss our guidelines for such deep reductions.

I greatly appreciate the campuswide participation in the budget conversation to this point.  We will continue to work with the colleges, UBAC and administrative units to strategically position NC State for a quick recovery as better budgetary times return.

UNC President Erskine Bowles continues to remind legislators of the great work done by the state’s universities and the potential harm of drastic budget cuts.  Interim Provost Arden and I, alongside our Board of Trustees, also are working diligently to communicate with legislators about the impact of these proposed cuts.

The faculty and staff of NC State have worked through these unprecedented events and have taken the announcements of furloughs and a half-percent salary cut in stride.  I thank you for your dedication to the university.  The next few weeks leading up to the state’s final budget numbers for the fiscal year beginning July 1 demand our full attention and hard work.  

I will update you on the budget plans throughout the coming weeks.  I hope you will take time to submit your budget suggestions and questions on www.ncsu.edu/budget.