Greetings all,

While little remains changed with the State budget (the last report we have from the legislature is that the FY10 budget still had not been balanced), I wanted to take this opportunity to briefly update you on what we know to date and the potential impact of the State budget on PVCC.

• It is likely the District will experience a midyear budget reduction ranging between $6.7 million and $9.2 million. Chancellor Glasper has suggested that for FY10, the District might meet this reduction with stimulus funding -- thus in this case, there would not be a corresponding reduction for PVCC during this fiscal year. Ultimately this budget cut would need to be made permanent in the following fiscal year -- so it is likely that PVCC would be impacted in 2010 -- 2011.
• Unless things change dramatically, it is safe to say that our percentage of State support will continue to decline over the next three years. Currently MCCD's budget is comprised of 8% support and this number would drop to 6.5% after the anticipated budget reduction in January.
• This fall PVCC will develop a five year financial plan based on a number of revenue and expenditure scenarios and projections. I will share more details on this project within the next week.
• An open College budget session will be held in conjunction with the next College Leadership Council Meeting on Friday, October 16. Watch for more details.

As always if you have any questions, please feel free to contact me directly at 7-6610.

Regards,

Paul