Congratulations to SOU! Yes, You’ve Got This! $15M Approval from Legislature

Holly Dillemuth of Ashland.news recently reported on the memo sent to faculty, staff and students by SOU President Dr. Rick Bailey.

“I am pleased to report that the budget reconciliation bill — which includes a funding package for SOU through June 2027 — was approved (Friday, March 6) by both chambers of the Oregon Legislature and is awaiting the governor’s signature,” Bailey said in the memo. “Gov. Kotek, legislative leaders, the Higher Education Coordinating Commission and our local legislators — Rep. Pam Marsh and Sen. Jeff Golden — have provided significant support for our university throughout this process and deserve our sincere thanks.”

On February 2, following the meeting with trustees regarding the budget shortfall, Bailey and cabinet members went to Salem to meet with lawmakers throughout that week. As part of the deal, SOU must now submit a detailed, long-term operational plan to the HECC by April 30. Though this funding helps with short-term cash flow, the long-term solution is the next step. According to Bailey, “…our long-term path to fiscal sustainability requires an open-minded evaluation of our programmatic capabilities followed by strict adherence to fiscal guidelines.”

Bailey provided a brief summary of the new legislation and how it will affect the university:

1. House Bill 5024 is a wide-ranging appropriations bill that includes an investment of $15 million in one-time funding to assist SOU with cash flow through the biennium that ends June 30, 2027. The bill includes an additional $500,000 appropriation to the Higher Education Coordinating Commission (HECC) to contract with a consultant to help SOU develop a plan for long-term stability.
2. The legislature also passed House Bill 4124, sponsored by Marsh, which requires the HECC to work with a private consultant to conduct an additional study on the future of higher education in the state. The study will look at all of Oregon’s seven public universities and 17 community colleges to determine potential long-term fiscal sustainability options for the state.

“While the one-time appropriation for SOU is a very encouraging starting point, you can see that we still have hard work and difficult decision-making ahead of us,” Bailey said. “We will be working for the next several weeks with the outside consultant, and with input from our shared governance partners and other groups on campus, to identify programs and services that are both regionally responsive and financially sustainable. Our hope is to maintain SOU’s status as an independent university, but the study will also evaluate options that may include some shared services with other institutions.”

Read the entire article here, including insights by Rep. Pam Marsh