Stimulus Funding Planning

It is time for Presidents (CAOs) to decide what steps to take: the following is a guideline for senior university leadership. This is presented in a sense of priority, but each university must interpret the legislation in light of their circumstances. The final legislation resulted in projects that require one-time funding, limiting federal and state exposure to long-term commitments. Initially, NSF, NIH, and Energy should be busy distributing the additional funds. Student financial aid appears a winner across the nation providing needed tuition for lean budgets. Funding that would stabilize operating budgets and funding to provide deferred maintenance were the losers.

Recommendation:

1. Focus on enrollment management with university staff. Each university should be in the middle of the enrollment cycle and staffed to handle this task. The CAO must decide how the stimulus funding will impact the incoming class—no easy task. It will be tempting to listen to the student’s request for admission and accept the increase in grants and aid to support higher education. The problem is stimulus funding that ensured state support for higher education was the largest single cut in the budget. End result will be pressure from students for admittance without offsetting funding for staff and faculty salaries.
   
   
2. Identify shovel projects that will “green” your campus. I expect every campus has a list of deferred maintenance projects; focus on projects that make your campus energy efficient. You will need projects you can begin immediately so you should have a task force underway to prioritize your spending plans. It is also time to visit the appropriate state offices to ensure your university receives a fair share--lobbying is not a dirty word. It appears the funding will be distributed in block grants to the state.
   
   
3. Research universities with medical centers should evaluate if they are prepared to request funding for electronic medical records. University hospitals and clinics that have only given passing interest will be at a disadvantage in becoming shovel-ready quickly; others who are committed will be ready to request funding, and statewide projects appear to be in the best position to receive funding.