Simon's salary in middle of Big Ten

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MSU President Lou Anna K. Simon’s two-year track record of declining salary increases is part of an emerging trend at public universities, according to a survey released Monday by The Chronicle of Higher Education.

The report, which surveyed the salaries and other compensation of 185 chief executives at public universities in the U.S., found more than one-third of its respondents did not see an increase in their base salary for 2008-09.

The survey found many of the presidents whose salaries did not change, including Simon’s stagnant salary, were linked to their universities’ financial climate.

Last month, Simon requested the MSU Board of Trustees keep her salary and compensation at $572,000, citing future budget uncertainties on university and state levels.

It was the second time in two years she requested no salary increase.

“Part of the decline is a recognition of the severe financial circumstances of the university,” Simon said.

Simon’s total yearly compensation is comprised of a $520,000 salary and $52,000 in retirement pay. She also is provided a car by the state, the survey said.

Simon’s salary ranked seventh-highest for the second straight year among presidents of the 11 Big Ten universities.

It also was the only Big Ten salary that stayed the same.

E. Gordon Gee, president of The Ohio State University, was No. 1 in the Big Ten with $1,576,825 in total compensation. University of Michigan President Mary Sue Coleman came in second with $783,850 among the Big Ten’s public universities.

Simon said the board’s general practice is to keep compensation on both faculty and administrative levels within the middle range in the Big Ten.

Upon Simon declining a pay raise, the board unanimously passed a resolution recognizing her decision, but said her work merited a salary increase.

The resolution also removed the Sept. 30, 2011 end date of Simon’s employment contract. With the termination date removed, the resolution stipulates the board and Simon are required to give 60 days notice before Simon leaves office.

“She cares deeply about Michigan State University and she wants to do what is best for the university,” MSU Trustee Melanie Foster said. “By declining compensation, it’s a step that perpetuates the economic well-being of Michigan State.”

Trustee Joel Ferguson said Simon’s decision to decline a pay increase for the past two years reflects her commitment to the university.

“She (won’t) take a raise when she’s cutting back on the campus. She just is leading by example,” Ferguson said. “She does not want to take a raise right now because she feels that’s better for everyone.”

Additionally, university officials said Simon and her husband, Roy, have given more than $600,000 of their own money back to the university since 2005, when Lou Anna assumed office.

“Their philanthropic generosity, I’m certain, is unparalleled,” Foster said.

Simon said she will reserve judgment on whether she will decline a third salary increase until a later date.

“We’ll have to see what happens in the future,” Simon said.

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