The UW System used $26 million in auxiliary funds to pay for in-state financial aid, contributing to the financial \crisis"" that marks this biennium, the UW System Board of Regents were told Thursday.
Though the demand for such aid is projected to remain, the system cannot afford to dip into reserve funds again, according to a report on the regents' meeting.
""Campuses are deep into determining where to cut to generate the $26 million,"" Deborah Durcan, UW System vice president for finance, said at the meeting.
UW-Madison in particular is taking a $8.6 million hit, which will affect the School of Nursing and the Veterinary Medicine teaching hospital among other programs. Now, both schools will be unable to fund new, essential equipment, the report said.
Additionally, UW-Madison will suffer a $172,000 loss in scholarship money and also have less reserve money for students intending to study abroad.
On another topic, the Business and Finance Committee voted to pull out $200,000 the system invested in trust funds for Tyson Foods, the report said.
The regents will vote on this issue at today's meeting. If the proposal passes, regents will not pay for trust funds until the Tyson workers strike in Jefferson, Wis., is over.
Also, the UW System Office of Policy Analysis and Research brought to regents' attention that last year there were 3 percent fewer students from families making $30,000 annually attending a system school than a decade before.
By contrast, students from families making over $83,000 annually jumped from 18.1 percent in 1992 to 23.8 percent in 2002, OPAR Director Sharon Wilhelm reported at the meeting.
""Low-income people are losing access to the one thing in the state that can really help them,"" Regent Vice President David Walsh said at the meeting.
UW-Eau Claire Chancellor Don Mash suggested regents host a campaign to help middle and low income families understand the cost of higher education may be cheaper than they think, the report said.
