North Dakota’s oil boom is over, and North Dakota State will be feeling the burn.

In an email to campus Monday, Provost Beth Ingram said NDSU will “use one-time savings to the greatest extent possible” to approach the $6.4 million in spending cuts ordered by North Dakota University System chancellor Mark Hagerott. A 4.05 percent budget reduction, or allotment, will affect all state agencies, Ingram said, a move that will save the state $245 million through the 2015-17 biennium, Gov. Jack Dalrymple ordered Monday.

“In broad strokes, the Chancellor has directed us to scrutinize spending in particular categories, including hiring, travel, and equipment purchases; to consider shared services that yield efficiencies; to evaluate efficiencies in course delivery, specifically annual faculty course loads; and to prioritize building repairs and maintenance based on safety and well-being,” Ingram wrote. “We cannot consider increasing tuition or fees to offset the budget allotment.”

Dropping oil prices over the last year are largely to blame for the $1 billion-plus shortfall, along with declining farm commodity prices. In late January, North Dakota sweet crude hit $17.25 a barrel, as Flint Hills Resources found. The state’s oil hit a high in July 2008 with $136.29 a barrel.

To manage its allotment, NDSU will delay and evaluate funding in a number of ways, Ingram said.

The university will delay funding for its Grand Challenge Initiative, a research program, until fall 2017.

“We will continue to evaluate the final proposals and to plan the activities associated with those proposals, but no money will be allocated to permanent expenses such as hiring faculty until (fall 2017),” Ingram wrote.

NDSU will also intensify its review process in hiring requests for faculty and staff, as well as evaluate “shared service” across campus.

The university will also reduce spending on some centrally funded professional development activities and follow all forthcoming “directives and stipulations” from Hagerott and the State Board of Higher Education.

“We will also be creating a study group comprised of faculty, staff and students to provide guidance in the event of more permanent budget adjustments,” Ingram wrote.

Ingram added she will work with campus vice presidents to review a budget plan to be submitted by Feb. 11 to NDUS.

“We plan to communicate regularly with campus about this evolving situation, and ask for both your patience and guidance as we move forward,” Ingram wrote.

Student body president Eric McDaniel declined to comment on the budget shortfall but said in email, “As Provost Ingram said in her email, all ND universities have until Feb. 11 to submit their new budget plan including the increase. Until then no one really knows how it will effect (sic) NDSU for the rest of this biennium.”