O'Bannon slashes another $3.4 million from IU funding

The IU budget was cut by an additional $3.4 million Thursday as Gov. Frank O'Bannon slashed funding to scores of state initiatives in the face of a possible $1.3 million budget shortfall. Yesterday O'Bannon made $64 million in cuts that hit K-12 schools and universities hardest. A total of $12.7 was cut from University operating expenses, statewide.\nIU's reduction represents a slice of the $100 million in cuts and withheld appropriations to the University. Of the $3.4 million subtraction, $2.2. million will come from IU's general operating budget, and a $1.2 million reduction will come in the form of projects, including University technology initiatives.\nThe cuts will likely lead to additional job cuts in University facilities, IU President Myles Brand said. But the academic mission of the University will be wholly preserved, he said in a statement.\n"In an increasingly competitive global economy, we cannot afford to compromise our standard of excellence," Brand said. "I urge the governor and legislature to address these critical budget issues at the earliest possible juncture"