The university senate met Monday to discuss a resolution that would prevent further accumulation of debt, hindering efforts toward a proposed student center and residence hall renovations.
The "Sense of Senate Resolution Regarding Budget Priorities" addressed the resolution of debt and fiscal responsibility at Miami University, and as Rick Momeyer, professor of philosophy said, no new debt obligations should be taken on until the university reaches a more comfortable level of fiscal stability.
"The resolution urges that the university direct its financial priorities and fund raising ... to supporting the central academic mission of Miami," Momeyer said. "It does this by making a Miami education more affordable to a greater number of students by raising monies to support student scholarships."
While Momeyer explained that the resolution does not prohibit the construction of the Bicentennial Student Center (BSC), he did point out the resolution would halt such construction in favor of student scholarships until financial stability is reached. Scholarships, which are also funded by private donations, are a source of concern for supporters of the resolution according to Rebecca Luzadis, chair of the fiscal priories committee.
Luzadis, who supported the resolution, said some faculty members are worried private donations or gifts will take away from student scholarships.
"If they did not give a lot of money for new buildings, they would maybe give the money for scholarships instead, and while that is projecting into the future, it is not unreasonable to say," Luzadis said.
Currently, Miami has a composite score of 2.9 with respect to its finances, according to the Ohio Board of Regents, down from 4.7 in 2007.
The rating, which serves as a financial mechanism used by the Ohio Board of Education, could spell out financial disaster if it drops below 1.75, according to Steven DeLue, professor of political science.
"Another year like last year and we will move closer to the 1.75 number which would cause us to lose our institutional autonomy," DeLue said. "No doubt this could still further our ability to meet our enrollment expectations."
DeLue was not alone in his fear of Miami's dipping Board of Regents fiscal scores. Luzadis expressed concern about the university's low score, further stressing if Miami drops below the 1.75 mark for two consecutive years, the Ohio Board of Regents will gain control of the university's finances.
Financial struggles aside, a new student center remained a viable possibility.
Enjoy what you're reading?
Signup for our newsletter
"We should have a good debate before any project goes forward," said David Creamer, vice president of finance and business services.
While Creamer said there are no plans to incur any debt, he added that projects on the board include a new student center costing about $50 million and residence hall renovations in the area of $250 million for a period of five to 10 years. No final plans are currently being implemented, and the senate is slated to vote on a revised resolution at a later date, yet concerns still prevail.
"If we continue to take on debt in a circumstance where our revenue stream is barely growing, I fear we will not be in a position to provide our students with the academic culture they deserve," DeLue said.
Read More
How one professor and her classes are preserving Oxford’s Black history
By Sean Scott | March 20, 2024Jazma Sutton, an assistant professor of history, teaches The Black Midwest (HST 350Q) and Black Women in America (HST 450D) classes. In both courses, she has students working with the Smith Library of Regional History and Miami’s archives to document and preserve Black history in Oxford.
Miami faculty members recount Freedom Summer in new documentary
By Luke Macy | February 25, 2022After seven years of work, “Training for Freedom,” a documentary highlighting Oxford’s involvement in the Freedom Summer of 1964, premiered on PBS Western Reserve on Valentine’s Day.
“Documenting the COVID-19 Pandemic”: History in the making
By Alice Momany | August 29, 2021In March 2020, Miami University’s archives launched “Documenting the COVID-19 Pandemic,” a collection focused on life during the COVID-19 pandemic.