ISU officials said while it’s too early to know exactly how a state shortfall in revenue will affect Iowa State, they are beginning to look into making significant cuts for the next fiscal year.

During the Dec. 16 Board of Regents meeting at Iowa State, regents advised the presidents of the regent universities to begin preparing for the possibility of significant budget cuts in fiscal year 2005, which begins July 1.

The recommendation comes on the heels of an $8.3 million cut in Iowa State’s spending this year, following Gov. Tom Vilsack’s 2.5 percent across-the-board cut in funding, which was announced in October.

The state’s revenue estimating conference, a group used to make budget projections, met in December and projected a gap of about $300 million between fiscal year 2005 revenue and expenditures.

“Given that $300 million gap, we anticipate that there may be some additional budget cuts in fiscal year 2005,” said Barbara Boose, communications specialist for the Board of Regents. “We’re as hopeful as everyone that the economy will turn around … [but] given this possibility of further budget reductions, the board expressed its commitment to education as the top priority for the regent enterprise.”

Boose said a cut could be in the range of 6 to 8 percent for the regent universities.

She said the amount the universities will have to cut will depend both on the revenues the Iowa Legislature ends up with and how cuts are allocated across state agencies.

“That’s the unknown, and that’s why we don’t really know,” Boose said. “It’s a planning process in anticipation of this state revenue gap.”

Mark Chidister, assistant to the president for budget planning and analysis, is coordinating how the university will respond to the board’s recommendation.

Chidister said planning for another budget cut would be difficult.

“In the back of everyone’s mind is, ‘If we have to cut more, where are we going to do it?'” Chidister said.

Chidister said the most significant money-saving action the university is taking is having Provost Ben Allen work with deans and vice provosts to change the academic structure of the university.

ISU President Gregory Geoffroy said in an e-mail to students and faculty that Allen will submit recommendations to him within a few months on possible academic reconfigurations, which will help with both the 2.5 percent cut for fiscal year 2004 and the possibility of further cuts.

He said task forces are also examining cutting low-enrollment courses and programs to save costs.

Chidister said the idea of differential tuition, or requiring students to pay a different tuition based on program or major, is also being examined by the university.

He said he hopes a plan will be submitted to the Board of Regents on that issue in the next few weeks.

Boose said the regents advised universities to look first at making cuts to areas outside of the educational core, such outreach programs or extension.

“By looking at those types of [programs], it’s not to say that they might be eliminated, it might be that they’re restructured in some way,” she said.

She also said programs outside the educational core could be asked to look into other ways to generate money, such as private fundraising.

An 8.3 percent increase in tuition was approved in November by the regents, and Chidister said it would not be changed.

Chidister also said it was too early to predict if anything else would be immune from future cuts.

“One of the areas that was hands-off when we were dealing with the fall budget cuts was student financial aid,” he said. “I think as we look at the next round, presuming there are going to be more cuts, I don’t know that we’re in a position to say what’s on or off the table until we see what the size of that cut might be.”

Boose said the universities typically propose budgets to the Board of Regents in June for approval.

The 2004 Session of the Iowa General Assembly is scheduled to convene at the capitol Monday, and Gov. Tom Vilsack’s Condition of the State address is planned for Tuesday.

An oral report will be provided to the board during a teleconference Wednesday on the governor’s address.