According to an email sent by UNB president Eddy Campbell to faculty Thursday evening, the university has accrued a $4.2 million surplus for the 2013-2014 fiscal year.
“We have, in recent years, put ourselves on a sound financial footing. It has not been easy. Moving from deficits to surpluses in our operating budgets has clearly come with pain and with sacrifice,” said Campbell in his email.
The $4.2 million makes up about two per cent of the university’s total operating budget of last year.
The surplus was achieved through “better-than-anticipated revenues from both international student enrolment and short-term investment returns.”
Other savings included $1.3 million in contingency money that wasn’t needed and $1.1 million in unbudgeted salary savings.
The email also divulged some information regarding UNB’s risk funds and other one-time money which adds up to $8.2 million.
This extra money places UNB on stable ground financially, especially in consideration of the 12.5 per cent faculty salary increase over the next three years, which Campbell said in his letter could add up to an additional cost of between $4.5 million and $5.7 million.
“The good news is that UNB’s finances are strong enough at the moment to cover the immediate costs,” Campbell said. But he added that “while we can employ these funds as needed, their ‘one-time’ status does not help us cover additional, ongoing costs.”
In the meantime, the Board of Governors has set aside the surplus and reserve funds until a better plan for covering the extra costs is developed.
“As we move forward with this, information will be shared with you,” Campbell said.