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Provost Michael Aiken said yesterday that by "the middle of next week" he will publicly discuss plans on how the University will deal with Gov. Robert Casey's proposed elimination of all state funding to the University. Earlier this month, Casey's proposed executive budget ignored the University's request for $41.2 million and instead cut all state funding beginning in July -- a proposal that leaves the University with a $37 million shortfall. The state legislature will debate and revise the budget before returning it to Casey for his signature later this spring. University lobbyist James Shada said last night that the University is currently discussing the budget situation with state legislators. "We have gotten some encouragement from leaders," Shada said. "But no one at this time knows where the money is going to come from." Shada and Executive Vice President Marna Whittington said last night that the budget is very tight and that it is too early to predict exactly how much, if any, of the funding legislators will appropriate to the University. "We're still digesting the budget," Shada said. "It takes a long time to swallow the thing." "These are difficult times financially," Whittington added. "There are a lot of demands on the budget." President Sheldon Hackney has received a letter from 20 local state representatives who say they will not help the University secure state funding unless administrators agree to settle a controversial lawsuit demanding more scholarships be given to needy Philadelphia high school students. "We are addressing that issue," Shada said. "We will be talking to [state legislators] about this as the case develops." Shada said that state legislators have been most receptive to the Veterinary School's fiscal crisis. The Vet School receives 40 percent of its budget from the state. "I guess we've had the most positive response on the Vet School," Shada said. "[The state legislators] like to be helpful, but they are just not sure where the money is coming from." Last year, the governor proposed halving the University's appropriation, a loss of $18.6 million. The University proposed cutting at least 300 faculty and staff positions and postponing almost all building projects not yet underway to cushion the fiscal blow. The University also proposed running a multi-million dollar deficit.

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