Georgia's university system responds to $66 million budget cut from General Assembly
The University System of Georgia got hit with more than $60 million in cuts in the final version of the state Fiscal Year 2024 budget, which passed the state House and Senate late Wednesday, the last day of the 2023 legislative session.
The state Senate Appropriations Committee last week issued a version of the budget to include a $105 million cut to USG. The total cuts in the final version of the budget, approved by a joint House and Senate committee, reduced that number to $66 million.
Though millions less than previously proposed, USG said in a statement that the cuts still will significantly impact teaching, staff and students.
Previously: Georgia General Assembly passes budget with smaller cuts to USG, Cyber Center
Related: Georgia Senate approves budget with $105 million cut to university system
“This is an incredibly disappointing outcome, given the work done over the years by our state leaders to elevate higher education and send Georgia on a path to ascension,” USG Chancellor Sonny Perdue was quoted as saying in the statement. “It will have a significant impact on institutions and the services that students and families depend on to advance their prosperity and help Georgia succeed.”
The money cut from the teaching line of the budget will be pulled replaced from carryover funds, which are attached to each institution. According to a report on carry over funds published in October, these total $504 million across the 26 institutions that make up the university system.
Institution | Reduction under USG | Carry-Forward funds, Oct. 2022 | Total budget, 2023 | Percentage of budget cut |
University of Georgia | $11,935,000 | $139,441,796 | $1,675,396,256 | 0.71% |
Georgia Institute of Technology | $11,287,000 | $73,722,494 | $1,817,666,464 | 0.62% |
Augusta University | $6,845,000 | $75,569,596 | $899,626,564 | 0.76% |
Georgia State University | $8,333,000 | $81,022,032 | $1,206,125,069 | 0.69% |
Savannah State University | $564,000 | $4,130,802 | $89,872,211 | 0.63% |
Georgia Southern University | $3,879,000 | $18,535,961 | $477,913,382 | 0.81% |
USG says that the cuts to state funding come along with a loss of funding for 20 of the institutions where enrollment has declined, due to a funding formula based on students. It also follows a 10% cut to state funding at the start of the COVID pandemic that was never restored.
The release outlines how much each institution will have to make up. While the amount is small compared to the overall budget for each institution — from about half a percent to about 1.2% — for smaller schools the cuts would absorb much of their carry-forward funds. Four institutions are set to lose more than half their carry forward funds.
The statement from USG says that 82% of the carry forward funds across the system are at six schools, including the four USG research institutions ‒. University of Georgia, Georgia Institute of Technology, Augusta University and Georgia State University.
The October carry-forward report from USG, which outlines the revenue sources of the funds, says that the ability to carry money forward is important for long-term investment and to cover everything from fluctuations in enrollment to research equipment, emergencies, infrastructure and other costs. While most state institutions must return unspent revenue to the treasury, USG schools can keep excess money from continuing educations, sales services such as co-operative extensions, grants and contracts, technology fees from students and up to 3% of total student tuition.
This article originally appeared on Augusta Chronicle: The USG budget cut of $66 million will be spread across all 26 schools
