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Exorbitant Salary for New University President

May 12, 2010

U. of I.’s new president to earn at least $620,000 a year

Base pay is $170,000 more than what his predecessor made

From: http://www.suntimes.com/news/metro/2266008,uofi-president-new-salary-051210.article#
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May 12, 2010

BY KARA SPAK Staff Reporter

The University of Illinois is owed $380 million from the cash-strapped state, incoming freshman are looking at a likely 9.5 percent tuition hike and 11,000 university employees were required to take furlough days this year.

Stepping onto this troubled stage is Michael Hogan, who was introduced as the 18th University of Illinois president on Wednesday.

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“I feel I’m ready for this and I’m looking forward to it,” Hogan, 66, said on the University of Illinois at Chicago campus. “It wouldn’t be any fun if we didn’t have any challenges.”

Hogan, who is leaving the top spot at the University of Connecticut, will be paid a $620,000 base salary. If he stays for five years, he will be paid an additional $225,000, said Tom Hardy, university spokesman.

That’s less than the estimated $745,000 annual compensation he was eligible to receive for the 2009-2010 school year at the University of Connecticut, where he has served as president for three years.

Michael Kirk, University of Connecticut spokesman, was unsure if Hogan actually accepted the entire amount. Hogan twice turned down $100,000 performance bonuses because of Connecticut state and university budget issues, Kirk said.

Hogan’s predecessor at the U of I, B. Joseph White, received a $450,000 base salary before retiring in December 2009 in the wake of a controversy over some admissions procedures.

Hogan’s contract, which needs Board of Trustees approval, comes six months after the university asked 11,000 employees to take unpaid days off to save $17 million for the cash-strapped school.

Despite the six-figure salary, “I’m not here for the money,” Hogan said, calling the school “one of the world’s jewels.”

He said his first challenge was assessing the state’s finances and the university’s role in them.

Born and raised in Iowa, Hogan’s academic career has been rooted in the Big Ten, where he served as dean of the arts and sciences at The Ohio State University and executive vice president and provost at the University of Iowa.

At Connecticut, one of his major initiatives was to craft a plan to expand the university’s hospital. Plans to expand the University of Illinois Medical Center are on hold because of budget issues.

Though a version of his hospital plan was approved last week, Hogan faced considerable blowback on the proposal, said Mary Ann Handley, a Connecticut state senator who is co-chair of the legislature’s higher education committee.

Hogan worked with hospital and medical administrators but “forgot it was a public affair and there were bills to be paid and legislators to talk to,” Handley said.

“I think he was surprised by considerable resistance to what he thought was a wonderful idea,” she said.

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