Murray State University will see a $4.5 million dollar increase in pension obligations if state legislators can’t come up with a plan in a special session expected this fall. That’s according to President Bob Davies in a letter to faculty and staff today on Monday.
Davies said the university is planning and making adjustments for the next several fiscal years as higher education in Kentucky and nationwide “are facing a sea change of forces.” He said factors involve the new Murray payroll tax, federal Title IX changes, performance funding metrics, campus free speech, and state pension and budget issues.
Davies said “we know that next year our pension costs for employees in the KERS system will increase by $4.5 million if no changes are made.” He said Murray State is also expecting a decrease in state appropriation funding.
“ I do understand why there is a sense of anxiety, concern and trepidation among the University community.” Davies said.
According to Davies, Murray State finding efficiencies, exploring new sources of revenue and reducing expenditures and placing focus on recruitment, retention and graduation.