The University of Waterloo Student Newsp
MPRI CDN. Pub. Mail Products Agreement no. 554677
Friday, April 3,1998 - Volume 20, Number 33
Budget cuts?
Happy Birthday! ~
Tuition hike not enough by Owen Imprint
Gregory st&
D
espite repeatedly hitting students with tuition hikes, the University of Waterloo will require a budget cut of 2.1 per cent to balance next year’s budget. The 10 per cent tuition hike next year will increase the amount of money the University receives in tuition fees to $59.3 million, bring its total income to an estimated $183 million. The IJniversity’s estimated expenditures are $185.8 million, resulting in a $2.8 million shortfall. Though the Ontario government has committed to freezing its expenditure on posc-secondary education next year, the University’s expenditures are csrimated to increase. Salaries, the university’s largest expense, are expected to increase to $128.6 million, up from the $124.5 million spent this year. In addition to this, benefit costs will increase due to higher rates for health insurance, dental insurance and the Canada Pension Plan. The university is required to allocate a share of tuition fee revenues into bursary funds. For this reason, scholarships andother student assistance funds will rise to $5.3 million from this year’s $3.9 million expense. Budgets for nonsalary expenses are being frozen at the current levels. One exception is the library materials fund, which will increase by six per cent. The simplest solution to the budget shortfall, a general budget cut, is an option that the University wants to avoid. At a meeting of the Finance Committee, University President James Downey said that, “Whatever combination of factors it takes” should be tried instead of a general budget cut. Concern was expressed by John Thompson, the Dean of Science, who said, “We’re getting, frankly, to the point where we don’t have a quality institution in many areas.” Thompson
Free across campus
cautioned that the situation would get worse if budgets were cut further. Jim Kalbfleisch, the Vice President Academic and Provost, outlined some the scenarios the university is considering in order to make up the budget shortfall. If more first year students were accepted, extra revenue could be generated: 300additional first year students would provide the university with an extra $1 million in tuition. Another option is to “stretch out the amortization period on the debt.” The early retirement package offered to professors in 1996 resulted in a $6 million debt, currently budgeted to be paid off at $3 million a year. Kalbfleisch said that the University is not interested in an arrangement with a soft drink company similar to the much publicized deal that McMaster University signed with Coca Cola. The deal gives the giant corporation a monopoly on campus in exchange for a cash payment. Kalbfleisch said, “It is really a way to raise money from students.” The alternative committee members responded most positively to was the possibility of reducing the amount the University puts into the pension fund. By law, a pension fund cannot have a surplus of more than 10 per cent of its total value. Despite a SO per cent reduction in premiums introduced last year, the University’s pension fund will almost certainly generate a surplus greater than 10 per cent next time it files a financial report. The growth of the pension plan could be checked by reducing premiums, and have the fortuitous effect of saving the university money+ The university is currently budgeted to contribute $3.9 million co the fund in 199899. If the university could reduce it’s contribution to the pension plan by$2.8 million, the projected budget shortfall could be accounted for.
Imprint celebrates ~ 20th anniversary ’
P
And the students said, “Let there be Imprint,” and they saw that it was good.
ublication of this issue marks Imprint’s twentieth year on campus. Imprint was born on March 31, 1978, and has been the voice of the University of Waterloo student community ever since. Imprint’s unusual beginings are rooted in &e cdmron’s tumultuous end. The campus newspaper from 1966 to 1976, t&&evron was eventually closed by the Federation of Students, who feared that communists had taken over the newspaper. During a heated, months long battle between the Feds and t,!& c&wron staff, several referrenda were held to determine tlrecdewron’s fate. Two years after the debacle began, students voted ro withdraw financial support from the chevron. Imprint was recognized as UW’s official student newspaper shortly thereafter.
UW salaries increase Recordnumber of pro& getting six figures by Tara Markides special to Imprint
0
ff‘icial disclosure of University of Waterloo salary information for 1997 was made earlier this week. Under the Public Service SaIary Disclosure Act, all universities, hospitals and government agencies across the province are obligated to issue an annual list of those employees earning more than $100,000 per year. UW has 22,220 full a;d parttime students, as well as 2,250 full-time employees, making it the fourth largest university in Ontario and the biggest source of jobs in the Waterloo Region. It has a total annual operating ex-
penditure of approximately $20 million. In 1995, the total number of staff and faculty earning over $100,000 per year was 54; it dropped to 49 in 1996. This number has almost doubled since that time. This year, an all-time high of 90 UW staff and faculty have hit the $100,000 mark. This includes rhe University President, two Associate Provosts, 83 professors, the University Librarian, one director, St. Jerome’s University President, and one researcher. When asked, Vice-President Jim Kalbfleisch stated that the increase was not actually a big jump. He attributed the almost doubling of the numbers to the
positioning in the range of salaries. Those salaries which were situated at just under $100,000 in 1996 may have gone up slightly over the last year, which would account for their being over $100,000 this year. Given the 10 per cent increase in tuition last year as well as the ones planned for both this year and next year, the money paid in salaries by the University is confusing to students, many ofwhom are faced with growing debt loads and are being forced to find part time jobs. More information on salaries at ‘IJW, including list of the highest paid employees, is available at www.adm.uwaterloo.ca/bulletin/ 1998/mar/31 tuhtml.
In Print Tuition
hikes
The return
demystified.
. . . .3
of socialism+ . + + . . . . .4
It was fun while
it lasted . + . . . .
l
6
Coming
Misprint. And
I
out of Lef l
.
l
the Totzke
l
field.
. c . . .8
The
year in review.
. . . . . . . .ll
. . . . . . . . *. Ml
no music festival,
.
goes to. + q . + JO
American
on the skids. . .I 9
culture
l
. + . + . . + + + .18