"I commend Chancellor Tim Hudson and his leadership team for finding ways to be more efficient while increasing faculty salaries and addressing substantial deferred maintenance needs," Welch said. "With no increase in state operating funds and very little general improvement funding for capital needs, the budget process was quite challenging for all of our chancellors. Higher education continues to be an excellent investment for students and parents, but we're mindful that the financial burden is significant and we will make every effort to keep costs under control."