NIU might cut their budget by 1 percent in the coming fiscal year because of a projected loss in state revenues.

Gov. Jim Edgar’s office is projecting a $400 million to $500 million shortfall in state revenues in FY 1992. The forecast is determined from revenues against projected expenditures.

The 1 percent cut would come to about $900,000 for NIU. “(The budget cuts) wouldn’t disrupt normal routines of the university,” La Tourette said.

“Next year we could change our hiring (practices),” he said.

Illinois residents pay a tax surcharge, half of which goes to higher education. NIU’s share of that surcharge is $6.3 million.

If the surcharge is no longer continued when it expires at the end of the fiscal year this June, NIU will face even more budget problems.

“It would be horrendous if the $6.3 million is cut. It could only be made up by severe cuts or a large increase in tuition,” La Tourette said.

NIU is only looking at their $900,000 portion of the projected lost revenues at this point in time, he said.

The problem is really out of NIU’s hands and is a political problem, because the Illinois legislature has to decide whether to extend the tax surcharge or not, La Tourette said.

“If the surcharge is not extended or state revenues fall more, we’ll have more pressure to drop programs or raise tuition,” he said.

Provost Kendall Baker said he has appraised the deans in the various academic divisions of the situation to look at possible scenarios.

“The academic areas will have to be much more cautious in expenditures for next year,” Baker said.

Baker added that if the college knows ahead of time there needs to be a 1 percent cut, the school can plan ahead to reduce the impact of the cut.

“During the year you have to find money more in non-personnel (areas). For (FY 1992) we can look ahead of personnel expenditures,” he said.

Barbara Henley, vice president for student affairs, said the students could be seriously impacted by cutbacks.

“It means students may not be served as well. When you cut budgets, there’s usually some negative impact, but we’ll try to minimize that,” she said.