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The university administration is aware of Thursday’s reduction in services for the student population, but has not yet made a statement on the SFUO financial situation.

The SFUO will temporarily lay off 24 staff, while leaving 16 positions vacant and reducing the working hours in three paid positions.

In another cost-cutting measure, reception hours will be reduced over the summer months.

“The executive committee has determined that this is the only option as we will not, over the summer, have enough money to pay for all the staff we would normally have over the summer,” the SFUO stated. “We deeply regret placing members of our staff in a precarious situation in which a number of staff will be temporarily facing layoffs. We understand the significant impact this has on their daily lives.”

The SFUO said the student group finds itself in financial difficulties due in part to its practice of subsidizing a health and dental insurance plan through “dedicated health plan reserves.”

Students held a referendum earlier this year, allowing the SFUO to eliminate the subsidy, while offsetting costs through increasing fees collected from students. Fees have not increased in over a decade, the SFUO claimed, while health care costs continue to rise.

The SFUO also blamed its financial woes on a “significant shortfall” in the 2015-16 budget, adopted in August.

According to an audit prepared by Deloitte at the end of the 2015 fiscal year, the SFUO found itself operating with a half-million dollar deficit ($514,461).