March 17, 2010
BUDGET REDUCTIONS FOR THE 2010-2011 FISCAL YEAR
ROLES, RESPONSIBILITIES, RECOMMENDATIONS AND DECISION MAKING
I have been working with the co-chairs of the Integration Council, Sue Handy and Keith Mikolavich, the co-chairs of the Budget Committee, Ray Goralka and Chris Leivas, and the Accreditation Liaison Officer, Ted Wieden, for the past month to create a document that will explain the budget reduction decision-making process the College will use to address the 2010-2011 budget shortfall. Although I was unable to be present at the group’s final meeting, what follows is the result of everyone’s efforts.
For the 2010-2011 fiscal year, the College will need to reduce its $70 million general operating fund budget by approximately $5.2 million dollars. As noted in the Chancellor’s message on Friday, March 5, 2010, to achieve these reductions we will need to make some very difficult and critical decisions related to the education of our students. As we develop processes that promote the type of dialog we ultimately want to achieve in all our planning and resource allocation processes, we face some unique challenges:
Our goal is to gain as much serious input into budget reductions as is practicable and to make the process as transparent as possible within the parameters set by the above constraints.
The processes we will use to make budget reductions are based on the following:
ROLES AND RESPONSIBILITIES
Using our new committee structure, the College President and the various college committees will have the following roles and responsibilities in the budget reduction processes.
College President – The College President is responsible for finalizing all budget reduction decisions. The President is responsible for reporting out all decisions to the college community with information about how the decisions followed the budget reduction values established by the College and District. The College President is accountable to the Chancellor and the Governing Board for ensuring that the college meets its targeted budget.
College Council – The College Council will review and, if appropriate approve, then forward to the College President recommendations made by the Integration Council and the Budget Committee.
Integration Council – The Integration Council, at its February 19th meeting, recommended that the College use the Statement of Values established in our Strategic Plan to guide budget reduction processes, affirming our commitment to student access and student success. During this year’s inaugural Program Review Prioritization process, dialogue focusing on college needs and program priorities will reveal potential strategies for program and service preservation, including consolidation of services and possible program collaborations. The Integration Council will pass these recommendations on to the College Council by the end of March.
Budget Committee – The Budget Committee will develop a recommendation to the College Council for the reduction in operating funds by April 21. The committee’s recommendations will be guided by the values and ideas developed by the Integration Council, information gathered at the January 20th all-college focus group activity, information from the Faculty Senate, the overarching principles articulated in the College’s statement of values and mission statement in the College strategic plan and the values put forth by the Chancellor. It is anticipated that all of this input will be gathered into one document, since a number of the same values appear in all areas.
Institutional Planning Committee – After the budget reduction process is complete the Institutional Planning Committee will determine what changes (if any) need to be made to the integrated planning model based on the Integration Council’s and Budget Committee’s evaluation of the processes.
DECISION MAKING AND RECOMMENDING PROCESSES
By the end of March, the College will need to submit to the District its proposed staff reduction plan for management, supervisors, confidential and classified staff. The District will then combine these plans for all four locations to determine people’s bumping rights. The District is planning a tentative Governing Board meeting in mid-May to formally approve the district-wide staff reduction. For the full-time faculty, the College President will determine how many of the vacant faculty positions will be eliminated.
As a result of the five percent reduction in FTEF to the course schedule, our deficit should bring us from a $5.2 gap down to a $4 million dollar gap, a $1.2 million reduction drawn primarily from part-time faculty. At their February 26th meeting, the Budget Committee provided the College President with direct input on the tentative allocation of the deficit. Other input into the decision process will come from (not in any priority order):
The following will be the decision making and recommending process, using the input areas as listed above, for the categories below:
Management, Supervisors, and Confidential Employees – Reductions will come from the elimination of management positions. Some reductions may be achieved by funding positions from other revenue sources. Currently, the College has approximately 38 management positions funded out of the General Operating Fund with 8 vacant positions. The College President, with direct input from the President’s senior staff (three vice presidents and two executive deans), will make decisions about reductions in this area.
Full Time Faculty – Reductions will come from vacant full time faculty positions and faculty reassigned time positions which are funded out of the general operating fund. Currently, we have 12 vacant faculty positions and 2.6 FTEF in reassigned time positions funded out of the general operating fund. Once the decision has been made as to the number of faculty positions, if any, which are to be filled, the College’s Box 2a committee, will make the selection decisions according to the contract process. The College President, with direct input from the Faculty Senate and the President’s senior staff, will make decisions regarding faculty reassigned time.
Part time Faculty – All budget reductions will come from the five percent reduction in FTEF in the 2010-2011 course schedule as determined by the District based on the State’s reduction of the funded FTES cap for the district and the shift of FTES to CCC as a part of the implementation of the new SB 361 model. This reduction resulted in approximately $1.2 million in budget savings and is included in our list of cuts for 2010-11. The $4 million deficit is net of the reductions in the part time faculty budget. The Vice President of Instruction, with direct recommendations from individual divisions through the scheduling process, will make decisions on schedule reductions. The Instruction Office developed guidelines and parameters for these reductions.
Classified Staff – Reductions will come from the elimination or reductions of classified positions. Some reductions may be achieved by funding positions from other revenue sources. Currently, we have approximately 202 classified FTE charged to the General Operating fund with approximately 19 vacant positions. The College President, with direct input from the President’s senior staff, will make decisions in this area.
Operating Funds – Reductions will come from across-the-board and/or targeted reductions to operating funds. The Budget Committee will make recommendations concerning the reduction of operating funds as noted in Phase 1 of the resource allocation process in the show cause report.