Deaton: 'A critical time for defining what MU means'
Mizzou's status as an AAU university sets it apart
“This is a critical time for defining what MU means to the state and the nation as an AAU university,” Chancellor Brady Deaton told faculty at the April 19 spring general faculty meeting. His remarks were part of a presentation that covered a wide range of topics, from administrative streamlining and the impacts of pending state legislation, to athletics, research support and the Campus Writing Program.
Administrative streamlining
Deaton outlined some steps the campus has taken in recent years to operate more efficiently, and he updated faculty on some proposals to reallocate even more administrative expenses in the future. This past January, UM System President Elson Floyd asked chancellors at the four campuses to identify 10 percent in administrative costs that could be redirected to academic programs.
Administrative cost cutting was a priority and a necessity at MU even before Floyd's directive, Deaton said, and he pointed to efforts over the past five years. For instance, the provost's and chancellor's budget offices at MU were consolidated, as were campus and UM System institutional research offices. Positions have been reduced in Administrative Services and Campus Facilities, and energy conservation efforts have been stepped up.
Over the past four years, MU's academic budgets have grown by 22 percent, while administrative budgets have gone up 6 percent, Deaton said. “We're trying to do more with less, and you'll see more of that.”
As MU identifies 10 percent in administrative costs to shift to academic areas, budget planners are looking at future options that include further administrative consolidations, efficiencies in the campus computing operations and freezing any new funding for administrative units in fiscal year 2007.
The University's proposed state appropriation for 2007 currently includes a 2 percent increase. “What we're saying at this point is that we will ask MU administrative units to totally provide raises (for their staff) through their own efficiencies and reorganization,” Deaton said. Affected units would include primarily Administrative Services, Student Services and University Affairs divisions, but each academic unit will have to address this issue because of limited budgets, he said. Some units already have undertaken some reorganization, such as the College of Agriculture, Food and Natural Resources, and the schools of Medicine and Engineering.
But Deaton cautioned that only so much can be cut without damaging the University's programs. “We're down to bare bone,” he said. “Frankly, it's puzzling to see public statements made about the lack of efficiency in higher education; I would argue that the data defy that.”
Research support
The impact that tight budgets can have on University operations was brought home by a report that Jim Coleman, vice provost for research, gave at the general faculty meeting. Coleman updated faculty on efforts by his office to speed up the time it takes to process grant submissions and grants accounting.
MU has seen an explosive growth in external research funding over recent years — to more than $179 million in fiscal year 2005. Because of budget limitations, the Office of Sponsored Programs Administration has struggled to handle that growth in grants with a staff that has remained relatively the same size.
Mike Warnock, the sponsored program's office director, told faculty about a study that compared his office's workload to similar offices at other research universities. Each MU grant accountant handled more than twice as many projects as the average workload at other research universities.
That gap has narrowed slightly in recent years, but the workload is still nearly twice that at other institutions, Warnock said. Even with the staffing issues, Warnock said his office has established service standards. “We do have goals for serving the faculty and the campus at large,” he said.
For example, grant proposals should be processed in two days and awards processed within 10 days. Researchers should be notified of awards within one day and phone messages and e-mails to his office should be returned within one day, Warnock said. “What do you do if those goals aren't met? First, go to the supervisors, then I'm the next step. If you're not getting the response that you expect, elevate it up and don't let it go too long.”
One faculty member asked why budget support for sponsored programs hasn't grown along with the increase in grant funding. As the amount of grants increase, so does the amount of indirect costs that granting agencies pay to MU. The faculty member asked why more of that money isn't used to hire additional accountants to speed grant processing.
Coleman explained that indirect cost monies — also called facilities and administration costs or “F&A” — are payments by granting agencies for costs MU already has incurred. Those costs are determined by a complicated formula that includes everything from utilities and building depreciation to debt service, administration, custodial services and even library services.
The F&A payments are placed in MU's general operating fund, Coleman said. “There isn't one pot of money that's painted blue and used only for research.”
Campus Writing Program
Deaton also commented on faculty concerns that surfaced recently about MU's Campus Writing Program. The program administers Mizzou's “writing across the curriculum” initiative, which has been cited as a national model.
Two longtime writing program administrators are leaving this summer for new jobs, and some faculty have been concerned that those departures signaled waning campus support for the award-winning program. Deaton assured faculty that isn't the case.
“There is unequivocal support for the writing program at all levels of the University,” he said. “That program has been a real pioneer in creative work on the campus. In fact, we look to build even a greater, higher-quality writing program in the future.”
Legislative action
Deaton updated faculty on pending legislation that could have a profound impact on MU and higher education. In January, Governor Matt Blunt proposed his Lewis and Clark Discovery Initiative. That initiative would raise money by selling assets of the Missouri Higher Education Loan Authority.
The money would be used for building projects at public universities around the state, including $87.5 million toward a proposed $175 health-science research center at MU. As competing versions of the governor's proposal surface and are debated in the General Assembly, the MU research center remains on the list of projects.
Another important bill this session, sponsored by Rep. Carl Bearden, R-St. Charles County, would establish a new scholarship program for freshmen and would reorganize the appropriation process for higher education. The proposed legislation, HB 1865, would set the state higher education appropriation for 2002 — the highest ever at $976 million — as a benchmark.
In future years, after that benchmark in state funding is reached, any additional appropriations for higher education would be channeled to the Access Missouri Scholarship Program. The program would provide $1,000 scholarships for eligible freshmen from Missouri high schools to attend either public or private colleges.
Legislative analysts estimate that more than 13,000 students would be eligible each year and that 10,000 would take part in the new scholarship program.
Until the scholarships are fully funded, increased appropriations to public colleges and universities would be capped at 2.5 percent, and tuition could increase at no more than the rate of inflation.
“Needless to say, that legislation is of some concern to us,” Deaton said. “We need flexibility to address the changing educational needs of our students, to invest in learning technology and address unanticipated budget shortfalls. The Bearden bill would totally shift the kind of support base we now have.”
“Things are rather hectic in the legislature as we speak,” he cautioned, “so anything I say can change.” Earlier this week, changing versions of the bill were still being debated by the General Assembly.
Mizzou Athletics
Deaton also commented on MU's intercollegiate athletic program. The controversy over basketball Coach Quin Snyder's resignation generated headlines and filled editorial columns, he noted, but the academic achievements of Mizzou's student-athletes went unreported.
For example, 54 percent of MU student athletes have a 3.0 GPA, he said. Five of Mizzou's 20 intercollegiate sports teams are in the top 10 percent in the nation academically, and MU is tied with Oklahoma State for first place academically in the Big 12.
“That's nothing but a good news story,” Deaton said, and he congratulated Athletic Director Mike Alden for the program's success.
Faculty salaries
One faculty member asked the chancellor about prospects for improved faculty salaries in coming years. “It really has been one of my top priorities and will continue to be,” Deaton replied, although he acknowledged that the University has not been able to convince state legislators of the need to shore up sagging salaries.
MU plays a unique role as the state's only public member of the Association of American Universities, he said, and the campus should stress that special status to lawmakers.
“I will continue to stress this point. We're continuing to decline among AAU universities on our average salaries,” he said. “I would hope in the next year or two that we will be able to see a major catch-up in rate funding from the state. I think we have to look there; the state needs to step forward.”
One bright spot has been the For All We Call Mizzou campaign, which has raised $637 toward a goal of $1 billion, Deaton said. So far the campaign has funded 400 new scholarships and 61 endowed faculty positions, and its focus now is on student scholarships and faculty support.
Deaton said that he, working with Provost Brian Foster, “will be encouraging deans across the campus to use every source possible, not just state funding, to provide appropriate salary adjustments.”
This story was published originally in the May 4, 2006 issue of Mizzou Weekly.