Offset State Budget Cuts

"Our state allocation represents only 28 percent of our core budget. After all of the budget additions and subtractions over the past few years, we’re at a level that is less than the state appropriation in fiscal year 2002. With continuing pressures on Georgia’s state budget, we will have to continue to aggressively pursue alternative funds to support strategically important initiatives. And that’s just the way it should be. We should maximally leverage the state’s funding of our institution to bring in other funds to support our mission. "

"As an academic health center, we do not exist in isolation from the society we serve. This turbulence affects us. And, we have our own set of challenges...

  • tightening state budgets for both health care and higher education
  • flattening of the federal NIH budget in the face of increasing cost of research infrastructure
  • increasing cost of information technology and clinical technology which are so essential to improve patient safety and support clinical innovation
  • decreasing reimbursement for clinical services
  • increasing numbers of uninsured, a disproportionate number of whom rely on academic health centers for their care
  • sky rocketing professional liability premiums
  • health professional work force shortages

I could go on and on. I believe the issues facing academic health centers today are the most significant since the revolution in medical education in the early 20th century. "

Excepts from the 2004 State of University Address - D.W. Rahn

2004 Strategies for coping with budget cuts:

MCG broke ground on a $54 million Cancer Research Center, a project partially funded by private enterprise to offset taxpayer expense.

MCG recruited Georgia Research Alliance Eminent Scholars Jin-Xiong She in genomic medicine and Guy L. Reed III in cardiology, bringing world-class scientists to campus at limited taxpayer expense.

The university restructured its Central Energy Plant, Division of Continuing Education and Division of Health Communications (now called Video and Instructional Design) to significantly reduce costs.

MCG reduced costs in areas including telecommunications, consulting and research administration by optimizing existing resources and shifting expenses to sponsored programs.

The School of Dentistry received an Area Health Education Centers grant to help offset faculty salaries.