An $11.7 million budget deficit will force the Faculty of Arts and Sciences (FAS) to tighten its belt, Dean of the Faculty Jeremy R. Knowles wrote in a recent letter to FAS members.

Today, in its first meeting of the semester, the full faculty is expected to discuss the budget situation and may debate such sweeping measures as the reduction of annual salary increases and a spending cap on funding for the library, the athletic department and other College programs.

Although Harvard's financial problems are grave, administrators say the situation could be worse. While some universities face astronomical maintenance costs in addition to large budget deficits, the Faculty of Arts and Sciences is not burdened with the additional weight of extensive building renovation expenses, they say.

By deciding to invest significant funds in building maintenance in the late 1980s, former Dean of the Faculty A. Michael Spence saved Harvard millions of dollars in deferred maintenance costs, they say.

"FAS has been investing large amounts of money to work off our deferred maintenance liabilities," says Robert A. Rotner, associate dean of the faculty for administration. "We have much less of a deferred maintenance problem than we did seven years ago."

Since 1985, the faculty's deferred maintenance costs have been reduced by $70 to $100 million, Rotner says.

In a detailed "building audit" in the summer of 1986, the Faculty of Arts of Sciences pinpointed the necessary interior and exterior improvements, according to Director of Physical Operations Michael N. Lichten.

Since then, Lichten says, significant renovations have been completed. Close to 70 new roofs have been installed in such buildings as the Science Center, William James Hall and Currier House.

Lichten's office has also upgraded some building interiors and installed fire sprinklers in Mather and Leverett towers and in the Science Center. In addition, the office placed houses on a regular rotation plan which leaves them empty during the summer school sessions to allow for more extensive renovations.

The focus on building maintenance was a shift from the early 1980s, when more faculty resources were put into energy management and conservation, Lichten says.

"Dean Spence had made a commitment to reducing the deferred maintenance," Lichten recalls.

Lichten says former President Derek C. Bok and the Harvard Corporation encouraged the maintance work in the late '80s, and faculty members seemed supportive of the measures.

Yale's Building Woes

In contrast to Harvard, Yale University has not invested sufficient funds in building maintenance since the 1930s, says Yale spokesperson Martha K. Matzke. Now, she says, the New Haven institution is suffering the consequences.

The estimated cost of bringing Yale's neediest buildings into top condition is $1 billion over the next decade, Matzke says.

Matzke says that 65 percent of Yale's buildings were constructed during aten-year period in the 1920s and 1930s. Sincethen, they have not received sufficientmaintenance work, she says.

In the 1960s, 1970s and 1980s, Yale neglectedits buildings, choosing instead to invest facultyfunds in bolstering a need-blind admissionspolicy, making the transition to a coeducationalschool, building an extensive library collectionand buttressing faculty salaries to competitivelevels, Matzke says.

"Maintenance work was not a top priority," shesays, "and the university has acknowledged thatthe problem that has resulted...is significant."

But the Yale administration, struggling with an$8.8 million deficit, will probably not be able toafford all of the work required, Matzke says.

Recently, a Yale budget review committee, inassessing the deficit, suggested that theuniversity reduce the size of its faculty andeliminate several departments and institutes.

The committee recommended that Yale cut itsfaculty by 10.7 percent, losing total of 114positions by attrition. It also advised the Yalefaculty to eliminate its linguistics andoperations research departments, as well as asocial policies research center.

In addition, the budget review committeesuggested sharp cuts for the engineering, physicsand sociology departments