Transcript President’s Update – Board of Overseers

President, Provost and Dean’s meeting
May 27, 2009
A Challenging Year
“It was the best of times, it was the worst of times. “
- Charles Dickens
• CEHD
• Neurosurgery
• Economy/Budget
We know that nationally times have
been unprecedented
GDP Declines During Postwar Recessions
(peak-to-trough percent change; date is year of peak
quarter)
0
-1
-2
-3
-4
-5
48
3
53
57
60
70
73
80
81
90
01
08
US Monthly Job Loss
0
-100
-200
-300
-400
-500
-600
-700
-800
And Kentucky has not been immune
to those impacts
(Nonfarm employment in thousands)
Oct. 2000
1,833.6
Jun. 2007
1,870.8
Jun. 2003
1,777.6
Apr 2009
1,788.4 (p.)
p: preliminary
Update as of Friday
5/22/09
Note: Kentucky employment today is the same as a decade ago
5
Loss of Manufacturing Jobs
in KY Continues to be a Major Concern
308.3
Jan. 1999
212.7 (p)
Apr. 2009
p: preliminary
6
Of course…
Employment Losses
State Individual Income Tax/Sales Tax
Cuts/Cuts/Cuts
9 for 9
Options
• Throw in the towel – give up on mandates
• Limp Along
• Remain focused/committed and passionately
committed to our task
Our 7 Strategies to Achieve Mandates
Given Fiscal Environment
1.
2.
3.
4.
Reengineer
Underperforming strategies
Fundraising
Clinical Income
• PPP
• University of Louisville Hospital
5. Partnerships
6. Contract research/commercializing
7. Being creative (e.g. TIF)
Examples
• $100 million in cuts, savings & efforts to find
money to move forward
• Refinanced debt
• Self-funded health insurance
• Power-down vending machines
To offset cuts…
• Leased internet space
• Dataseam
Dataseam - to offset cuts
$93,000,000
Investing in quality at U of L
Alumni giving fiscal year goal increase 17%
Partnership
Enhanced food service
Student Housing – The Province
Siemens Energy Audit
Building Clinical Income
Outpatient Center
Challenges Remain,
But we’ve made progress…
Our Students
• Freshman class average ACT – 24.4
• State avg. – 20.8
• National avg. – 21.2
U of L Graduates
• 2,396 degrees awarded on May 9th
– Up 38% (662 students) since beginning of
reform
• Graduation rates are up to 45.7%
• 7 Fulbright Scholars in 2009
• First time more students from outside
Jefferson County than inside
Making Kentucky a better place
Research Funding and NIH Funding
Total grants for 2009 - $102 M
Investing in quality at U of L
The Conn Center for Renewable Energy Research and Environmental Stewardship
Economic Development for the Community
New arena and other construction projects
Louisville Arena
ShelbyHurst
Haymarket
Since we last met
• Frankfort
– Budget FY10 - ???
• CFG this week
• Stimulus FY10/FY11
Since we last met
Stimulus FY10/FY11
Competitively
Determined
NIH
DOE
State 3b
NSF
Other
1b
1b
1b
Medicaid
Education
Other
Designated
$350 mm
K-12 Higher
Ed
$550 mm
Thank you for your
leadership!