February 17, 2012. “The almost $1 billion these universities have in reserves is equal to the working capital reserves of the state of Florida,” Budget Chairman J.D. Alexander says.
February 15, 2012
By John Kennedy
TALLAHASSEE — A $400 million cut in university spending included in a $70.8 billion state budget proposal was approved Wednesday by the Senate budget panel, whose chief said schools can plug the gap with reserve funds he accused them of hoarding.
The proposed university cuts roiled the day-long hearing of the Budget Committee. While Florida Atlantic University was hit hard, much of Wednesday’s drama pivoted on the University of South Florida, embroiled in a battle with Budget Chairman J.D. Alexander over spinning off the school’s polytechnic program into Florida’s 12th university.
FAU, which faces a $47 million reduction, would lose about one-third of its state financing. FAU President M.J. Saunders called the cut “devastating,” and warned it would send shudders across South Florida.
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