Marquette, MI – (Great Lakes Radio News) – Northern Michigan University will be operating with a smaller budget over the next fiscal year.
The NMU Board of Trustees has approved a 2014-15 general fund operating budget of nearly $108 million, which marks a a 2.4 percent funding decrease from last year.
Gavin Leach, Vice President for Finance and Administration said the reduction is necessary because of a projected drop in tuition revenue due to an expected enrollment drop as well as increased university operational expenses.
He added that an across-the-board increase in funding to Michigan’s public universities and a successful faculty early retirement incentive program will help the university’s balance sheet, but it isn’t enough to counter the overall loss.
Thirty-six NMU faculty members applied for the ERIP. Some of the savings from that program will be utilized as budget reductions or reinvested in key academic areas.