University of Missouri looking at ways to cut costs amid COVID-19 pandemic

COLUMBIA, Mo. (KMIZ)

The University of Missouri is looking for ways to cut costs to account for state financial cuts amid the COVID-19 outbreak.

The state will withhold $17.5 million from MU this fiscal year and is looking to make more cuts to next year's budget.

In a Zoom meeting with the faculty council on Thursday, Mun Choi, the UM System president and current MU interim chancellor said not fully opening in the fall would be "devastating," but leaders have to prepare for the possibility of a second wave of COVID-19. As of right now, officials say the university is planning to fully reopen for the fall semester.

The council mentioned the possibility of low enrollment in the fall and the need to reach out to graduating high school seniors.

Christian Basi, a spokesperson for the university says right now they're planning for the worst but hoping for the best.

"So we are keeping all of our options related to cost-cutting on the table," Basi said. "We've already been able to take several actions, and are already seeing good results related to those actions."

Some of those actions include putting significant restrictions on any new hiring, making sure that individuals are not purchasing any large pieces of equipment and eliminating all travel.

Choi said the university is refunding all student housing to students and looking at cutting benefits and building closures to save money. He said they're looking at expense cuts and revenue growth to account for the losses.

"We've been very very good and proud of how we have been managing our fiscal resources over the past several years, but we are having to take another solid look at what we are doing in terms of our fiduciary responsibilities and making sure that there is nothing else there that we can do to mitigate the fiscal challenges that lie ahead," Basi said.