2003-2004 Budget Approved

From: Sanford Shugart
To: All Faculty and Staff
Date: 6/17/03 3:06 PM
Subject: 2003-2004 Budget Approved

Today we presented and the Board approved our budget for the coming year. I am pleased to share an overview with you. Last fall I fully expected to be announcing serious reductions in our budgets this year. Thankfully, this is not necessary and we are able, due to good stewardship at every level of the college, to present a budget to support forward momentum in our mission.

Revenue: The state actually reduced our budget in two ways: first they actually cut the college by $228,000; second, they failed to fund our required increases in Florida Retirement System contributions at the cost of another $738,000. Meanwhile, they did authorize a 7.5% increase in tuition that will produce just over $1 million in new revenue. Taken together, these are offsetting, leaving us essentially with no new funds for the coming year. Nevertheless, good planning in last year's budget and stewardship through the year make it possible for us to build a budget to include many of our priorities.

The approved budget accomplishes the following:

1. Funds the new faculty positions and replacements, including about 20 conversions of positions from four-month to tenure track.

2. Provides a 3.02% across the board raise for all full-time employees (employed at least 6 months at VCC) and adjunct faculty, and 1.5% for part-time hourly. (More on this below.)

3. Continues to provide ample funds to equipment and technology budgets so the colleges efforts in these areas can move forward.

4. Funds twelve of the twenty one proposed Strategic Budget Initiatives following their ranked order from the CPC.

5. Set aside some funding for efforts yet to be defined in Enhancement of Learning through Assessment and for improvements to the Winter Pak campus library resources.

6. Set aside enough funds to absorb the expected increase (up to 5%) in spouse/family health insurance premiums.

7. Continued support to the redeployment of the new student services model, mostly in staffing.

This is a healthy budget. It required discipline especially regarding new non-faculty positions. It also required a very measured approach to salaries. In a year so tight that state employees are receiving just a 2% increase, and that delayed until December 1, and in which the college essentially received no net new revenue, it was difficult to envision how we could provide for any raises. However, our principles were first to avoid any loss in take home pay and second to stretch ourselves to do the best we could for all of our employees. I am not satisfied with a 3% raise, but with a CPI of 2.7% and the current financial conditions, 3% seems like a real achievement. I did alert the Board that significant salary improvements were needed as soon as our finances made it possible, reminding them also that the Faculty Compensation Task Force would be making recommendations next December.

My thanks to the College Planning Council for their good work, and Dennis Micare, Pedro Rivera, and the other staff who put the budget details together.

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