On Friday, March 31st, I provided an update on the budget realignment process to the chairs of Administrative, Classified, Faculty, and Student senates, the Chairs and Directors Council, and AFSCME. Provost Kathy Krendl, Vice President for Finance and Administration Bill Decatur, and Linda Lonsinger, director of employee and labor relations, also attended this meeting.

I am working closely with Provost Krendl and Vice President Decatur to make decisions concerning the budget realignment plan that will provide the greatest benefit to both students and employees. As a result, we are carefully moving forward with our plans for the budget realignment and will implement our plan over the next two years. This timetable for the implementation of the budget realignment plan allows for a thoughtful approach to decision making regarding reductions of programs and services. We remain focused on moving away from the trend of annual budget cuts through the budget realignment plan.

We also are carefully monitoring the effect of the one-year Ohio Public Employees Retirement System (OPERS) Early Retirement Incentive Plan (ERIP) available to eligible administrative and classified staff. As of Thursday, March 30th, 37 employees have signed a “Retirement Statement of Intent.” Of those who have signed the statement, 36 people have signed agreements to avail themselves of the ERIP and accept the $10,000 bonus and one person has signed up for a retirement date following July 1, 2006. After the early incentive for ERIP passes on April 28th, decisions will be made to determine the budget impacts for FY07.  

To coordinate and monitor the progress of the OPERS ERIP plan and its effect on the budget realignment process, a cross-functional coordination group has been formed. Jim Kemper, assistant vice president for finance and administration for human resources, will lead the group that includes Dawn Copeland, assistant vice president for budget planning; John Day, associate dean of academic affairs; and Nikki Dioguardi, associate director of legal affairs.  

As we move forward with the budget realignment process, I will continue to provide an update to the University community.

Cordially,
Roderick J. McDavis
President