President Taylor Reveley sent the following financial update to the William & Mary community on July 10, 2009. - Ed.
Dear William & Mary Community,
As we are all quite aware, the world continues to experience the worst economy since the 1930s. The bad economy has taken another toll on the Commonwealth's revenues. They fell some $300 million short of the state's forecast for the fiscal year that ended on June 30, 2009, and there may be an even larger shortfall this fiscal year.
The Governor has told all state entities, including William & Mary, to make plans assuming reductions in state support of 5%, 10%, and 15%. For the College, these hypothetical reductions would range from $2 million to over $6 million, and for VIMS, from just over $900 thousand to $2.7 million.
Over the last three fiscal years, the state has already cut its support for the College by $10.5 million, while providing $3.8 million in federal stimulus funds this year to ease the pain. Federal stimulus funds will last, at best, through fiscal year 2011.
Our plans are due to the Governor by July 22. They will be general. Although there is no way to know what cut the state will ultimately impose on us, the odds are good there will be a cut this year.
Compared to most other colleges and universities in the United States, William & Mary has come through the recession relatively well to date. Our challenge is to keep doing so. The Board of Visitors and senior staff will work hard to this end.