Southern Illinois U. – Carbondale could face possible layoffs and furloughs in its future if the state’s financial situation does not improve, administrators said Thursday.
During the SIU Board of Trustees meeting Thursday in Springfield, SIU President Glenn Poshard said the state still owes SIU more than $82 million in appropriations for the Fiscal Year 2010, which ended on June 30. He said via telephone, that it is a possibility the university would not receive all of the $82 million. If that were to happen, both the Carbondale and Edwardsville campuses were to prepare plans for layoffs and furloughs, he said.
“We have told the Chancellors to have a furlough or layoff plan in place to meet with our situation during the fall, if it comes to that,” Poshard said.
SIUC Chancellor Rita Cheng, who has already told all university units to prepare for a 4 percent cut, said it was becoming hard to determine where to make more cuts. However, she said layoffs and furloughs remain the last resort.
“So we are beginning planning for potential for furloughs, but we will only do that if we absolutely have to,” Cheng said.
The board also authorized the university to establish a line of credit in case it needs to borrow money in place of what the state owes SIU.
The state passed a bill last month that allows state universities to borrow money to pay their bills. The bill allows universities up to 75 percent of what it owed to them in state appropriations.
Poshard said the university would decide soon on whether it needs to borrow money to make payroll after mid-October.