President Elson S. Floyd announced Nov. 21 that he will voluntarily take a $100,000 pay cut starting Jan. 1. The pay cut is in response to the financial hardships at the university and state levels.

Floyd told the Board of Regents he took the pay cut to lead by example, because of the tough times for the university community.

Floyd's salary will be reduced from $725,000 to $625,000. It is unclear how the $100,000 will affect the university's budget.

The regents thanked Floyd for his sacrifice and generosity.

"I'd like to go on the record thanking Elson for his sensitivity during these tough times," Regent Kenneth Alhadeff said. "This is truly an act of selflessness."

Board Chairman Francois Forgette said the announcement bolstered WSU's decision to hire Floyd two years ago.

"He and his wife Carmento thought about it overnight and thought it was the right thing to do," Forgette said. "He obviously is aware of the financial challenges the state has. These are hard times for students and faculty. He's committed to lead by example."

Floyd thanked the board for its support.

"Thank you all very much. I'm just privileged to serve as president," he said.

Forgette said the pay cut will have some impact on the budget, but will not reverse the downturn.

Tim Pavish, vice president of university relations, said the president wanted to personally make a difference in the budget.

"He didn't have to do this, but he saw something had to be done," Pavish said. "We're faced with these financial challenges – this was something he could do personally."

ASWSU President Brandon Scheller said the pay cut sends a message from Floyd to students.

"I think it's a genuine and selfless act by a guy that truly in is touch with the students and reality," he said.

The pay cut comes after the Board of Regents increased Floyd's salary from $600,000 to $725,000 in August, retroactive to May, citing the university's progress in a number of areas.

IN OTHER NEWS Though Floyd's cut was widely received as good news, WSU Foundation Chairman Bob Felton said the university portfolio is still in bad shape, though donations and gifts keep coming in.

Felton said WSU must hope its hedge funds don't crack, because international stocks have been doing poorly.

"International has been very good to us in past years," he said. "Now it might be punishing us."

Felton said the university must be careful to keep the integrity of the gifts it receives. About 90 of these gifts have "gone underwater" in recent months, he said.