Manitoba post-secondary institutions were dealt a surprise in the province’s April 16 budget announcement that reneged on a promised five per cent increase to base operating grants.

Instead, the schools will get half of the expected amount, just 2.5 per cent, in what would have been the final year of a three-year funding agreement for annual five per cent increases, announced in the NDP government’s 2011 budget.

The smaller-than-expected increase leaves in disarray any financial plans completed by schools based on five per cent, driving staff and students to wonder how the difference will be made up.

“It’s disappointing. I can’t help but feel a little angry,” said University of Manitoba Faculty Association president Sharon Alward. “Everyone was counting on five per cent, and clearly, the university is going to have to make choices.”

University of Manitoba president David Barnard said a “retooling of financial plans” is already underway.

“As part of the university’s strategic resource planning exercise, units were requested to consider budget cuts of three to five per cent. Units made those presentations earlier this year,” according to a university press release.

“Next steps include … possible reductions based on those unit sub­missions. A budget will be put forward for consideration by the board of governors at its May meeting.”

Tuition increases in the province are linked to cost-of-living indicators, but the cap does not apply to international students, colleges, or to “professional programs,” leading students to fear major tuition hikes.

“Universities and colleges will be forced to balance their budgets on the backs of students,” said Bilan Arte, deputy chairperson of the Canadian Federation of Students — Manitoba. “Either through tuition fee increases or program cuts, students, and the quality of the education they receive, will bear the brunt of this budget.”

Arte said the term “professional programs” is loosely defined, and could be taken to mean anything other than arts or science.

“So law, medicine, engineering, nursing, social work, all these programs are not protected by the tuition cap,” she said.

The University of Winnipeg, which had already predicted a $1 million shortfall even with the anticipated five per cent increase to its base grant, now faces an increased budget gap.

The university’s 2013–2014 budget overview, prepared earlier this year with a goal of finding or generating another $1 million in operating revenue says “This scenario puts added pressure on the university to streamline operations. It also puts an increased onus on our institution to … (examine) the way in which we deliver our current undergraduate and graduate programs to see if there are more efficient ways to utilize our existing human resource capa­cities and physical space.”

The document also suggests revenue generating opportunities may be achieved by “contracting university expertise to public and private entities.”