VCU Board of Visitors Approves 2010-2011 Budget

By Pamela DiSalvo Lepley
Division of University Relations

The Virginia Commonwealth University Board of Visitors today approved an $892 million operating budget for the 2010-2011 fiscal year that sets priorities for more faculty, course sections and student financial aid.

The budget includes revenues from a tuition increase that was approved by the board last month and that are designated to support instruction and student financial assistance.

Under the spending plan, 94 professors will be hired to teach oversubscribed courses and to open up more than 300 course sections in the upcoming academic year. Financial aid will be significantly increased to help ease the effect of tuition increases on students.

“These are investments in student success,” said VCU President Michael Rao. “More faculty and class sections mean that students are able to graduate on time with a quality education.” 

Rao said that student financial aid will be increased so that it is more in line with what is offered at other doctoral institutions and that allows VCU to be more competitive with other universities and colleges.

Federal stimulus funding will support a large portion of the additional financial aid budget, which will double the current amount of institutional assistance to students with the greatest need and provide one-time assistance to help retain and graduate current students with high academic achievement.

The operating budget also includes funds to prepare for a $35.5 million budget gap over the next two years caused by the loss of state and federal funding.

“None of the additional revenue will be spent on administrative costs,” said VCU Rector Panny Rhodes. “The focus is on our students and the quality of their education.”

Rhodes noted that while VCU’s tuition has increased, it remains below the average of the state’s 15 four-year public universities and colleges.

Citing a national trend of reduced government support of higher education, Rao emphasized the need for ongoing cost controls and operational efficiencies. A cost containment task force appointed by Rao will aggressively look for continued operational cost savings throughout the university.