The University of Kentucky is tightening its belt in response to orders from new Gov. Steve Beshear, who is expecting a $289 million budget shortfall this year.

University President Lee Todd says in a campus-wide e-mail that he is implementing a hiring freeze and ordering about $10 million in budget cuts.

Beshear asked state universities to cut more than $34 million from their current budgets to try to close the shortfall.

Todd says he'll come up with half of the $10 million reduction from reserve funds and the other half across campus based on each area's share of state appropriations.

No classes are expected to be canceled, but Todd says the university will have to postpone the next phases of renovation on two campus buildings.