Greetings all,

During our open budget meetings in December, I shared that the College had been asked by the District to begin planning for future budget cuts including a potential 5 percent reduction (an additional $910,783) and a potential 10 percent reduction (an additional $2,125,160). As you already know, the College has reduced our current year and next fiscal year operating budgets by a total of $786,420 in addition to losing our State Aid Capital of $278,000. As previously stated, our budget is being reduced because the state of Arizona has reduced funding to MCCD. Until we know more from the State, the short term hiring freeze will remain in effect.

In order to seek college input, we have held the following sessions related to the budget: College Leadership Council (October meeting), College Strategic Planning Team Meeting (fall meeting), and open college meetings (two in December). In addition, the Budget Development Steering Team has met twice in order to develop the criteria to be used when budget reductions are being considered. BDST’s recommendations have been approved by me and can be found at http://www.pvc.maricopa.edu/budget.html

This past week I also met with the policy group presidents and the past presidents of the Faculty Senate. During these meetings I reviewed the next steps as we continue to prepare for any further state budget reductions. In an upcoming update, I will share these steps.

As directed by the District, the President’s Leadership Team has drafted several budget reduction scenarios . Our guiding principles continue to be: the core function of teaching and learning remains the highest college priority; the process will be transparent with open communications; where possible decisions will be data and information driven; operational efficiencies and cost reductions will be achieved; and short term reductions will not harm the long term strategic goals of the college. In addition, we will continue to focus on growth through increased student enrollment, success, and student persistence in a cost efficient manner.

I also want to let you know that the Chancellor’s Executive Committee has been meeting on budget issues and two additional day long budget planning retreats are scheduled in late January. A number of district wide proposals are being considered that have potential to offset the decline in state aid as well as changing business practices that could positively impact each college.

It is important to begin to understand the ramifications of a worst case budget scenario. If PVCC is required to move to a 10 percent budget reduction, there will be an overall reduction in services and programs. Over the next two weeks, vice presidents and deans will continue discussions with their respective areas so that your concerns and ideas can be heard In addition, a college open meeting on budget has been scheduled for Friday, January 16, 12:00 – 1:00 p.m. in KSC 208.

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

Paul