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Energy Costs Crimp UGA Budget

Posted on: Thursday, 20 October 2005, 18:00 CDT

By Kelly Simmons, The Atlanta Journal-Constitution

Oct. 20--ATHENS, Ga. -- Libraries may close earlier, buses may run fewer routes and students may pay higher fees in the coming year at the University of Georgia to cover increases in energy costs.

UGA President Michael Adams said Wednesday the university already expects to pay $3.5 million to $4 million more this year because of increased prices of fuel and electricity and increased usage on campus. The projected increase will be even higher once UGA officials determine how much energy costs will increase because of Hurricanes Katrina and Rita.

UGA spent $17.8 million in the last fiscal year for energy, which included electricity, natural gas, fuel oil and coal.

Adams has appointed committees to review options to reduce costs and offset the higher expenses. Among the possibilities are closing facilities earlier in the evenings, eliminating some bus routes and lowering the heat in buildings and residence halls. Students also could see an increase in the $77 per semester transportation fee.

"I don't want to send any shock waves, but this is something that will probably affect everybody," Adams said.

Adams said he had sent the projected costs, which do not include the anticipated increases because of the hurricanes, to the governor to consider as he drafts his budget proposal to present to the state Legislature in January.

"We won't be the only entity in the state facing this, so there will have to be some kind of government response," Adams said.

Heather Hedrick, a spokeswoman for Gov. Sonny Perdue, said the governor was aware of the increased energy costs, not just for colleges and universities but for all state agencies that operate facilities.

"Certainly that is something the governor's office will take into consideration [when compiling the budget]," she said.

Also Wednesday, Adams said he does not know yet whether state or federal officials would reimburse UGA for the money spent accommodating residents displaced by the hurricanes. More than 600 people were housed for more than two weeks at the UGA-owned Rock Eagle 4-H Center in Putnam County at a cost of $652,000. The university also spent $32,000 preparing the Ramsey Center on campus for evacuees. That center was not used.

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Copyright (c) 2005, The Atlanta Journal-Constitution

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Source: The Atlanta Journal and Constitution

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