UK Trustees approve 2010-11 budget - Melissa Vessels, Kentucky Kernel

With the university unable to provide any increase in pay for most of its employees, the UK Board of Trustees approved a $2.5 billion budget Tuesday that will provide one-time payments of up to $1,000 to eligible faculty and staff earning less than $70,000. In addition to this payment, UK is covering the cost of increases in health care for most faculty and staff members, despite a projected $7 million shortfall. The 2010-11 budget reflects a 1.4 percent reduction in state support during the fiscal year. State support for UK is down $28.6 million since December 2007, according to a UK news release. With certain costs constantly increasing — utilities, employee benefits, student financial aid — UK is covering the shortfall by reducing budgets for operating expenses like supplies and travel and eliminating vacant positions.