Governor Perdue showed significant support for the University System in his revised FY2011 revenue estimate and budget recommendations released on March 11th.  Partially quelling statewide fears, the governor called for a $117 million additional reduction to the USG FY2011 budget, a figure significantly less than the additional $300 million proposed by some lawmakers as a “worst case scenario” figure.

The updated estimate and recommendations came following the February revenue report that showed a nearly 10% decline in state collections over the same month in 2009.  Governor Perdue reduced the overall estimated revenue collections for the coming fiscal year by $443 million.

Despite the degrading revenue situation, the governor showed commitment to lessening the burden on the state’s colleges and universities.  At this new reduction level, Perdue retained the original USG request for an additional $113 million in formula funding but requested that “B units,” including ATDC and GTRI, take an additional reduction of 3% with most other state agencies.  The formula funding is a legislative priority for Georgia Tech and the University System this session.

“We’re pleased that the governor has made his support of the University System well-known and believes in the potential of our colleges and universities to vastly improve our state and its economy,” said Dene Sheheane, Executive Director of Government and Community Relations.

Governor Perdue has not been the only Georgian to make his support of the USG known publicly.  Following the release of the University System’s proposal about how it might cope with an additional $300 million cut, citizens and students from across the state were quick to voice their opposition to dramatic budget cuts.  

Georgia Tech students were among those quick to speak out.  Led by Student Body President Alina Staskevicius, members of the Student Government Association met with the Speaker of the House and Governor Perdue’s senior staff while members of the general student body rallied and contacted their legislators.  

The FY2011 budget continues to rest in the House Appropriations Committee awaiting action.  Appropriations subcommittees are expected to go back to work this week on the FY2011 proposals taking the updated revenue estimate and recommendations into account.

Governor Perdue also released an updated revenue estimate for the remainder of FY2010 on March 11th.  He estimated that collections for the remainder of the year would be down by $343 million, forcing additional reductions in the Amended FY2010 budget that is still in conference committee.  The University System is expected to avoid further cuts from this depressed estimate due to a transfer of federal stimulus funds that were originally earmarked for next year.