North Iowa Area Community College officials announced a plan to address predicted significant budget cuts for the 2009-2010 year.
"As we work to strategically move NIACC forward, we must prepare for the financial challenges that lie ahead in the form of less state general aid," Dr. Debra Derr, NIACC president, said. "We strive to enhance the quality of life for people in North Iowa through comprehensive educational opportunities, progressive partnerships, exemplary service, and responsive leadership. In order to continue this mission, we're forced to make some extremely difficult decisions."
Governor Culver's budget recommendation for FY2010 calls for a 6.5 percent cut in funding for community colleges. That cut, on top of the 1.5 percent cut community college experienced from FY2009 funding, would translate to a cut of over $800,000 to NIACC's general fund. Plus, more recent budget targets fall below even what the Governor has recommended.
While hopes of some relief from federal dollars in the stimulus package for infrastructure and workforce training remain, most projections still call for a significant statewide cut in funding.
"NIACC has a long history of fiscal responsibility, and in order to maintain such a position, the College has taken needed steps to begin planning strategically for the expected decrease in funding," Kathy Grove, NIACC vice president for administrative services, said.
All avenues were explored, and NIACC's strategic planning for implementing anticipated budget cuts means 7 full-time employees will be laid off, 6 positions will go unfilled, 3 strategic personnel restructuring assignments will be implemented, program offerings will be re-evaluated in comparison to area needs, NIACC's general catalog of offerings will no longer be printed and will be available in electronic format only, travel has been reduced, equipment purchases have been reduced, energy savings have been implemented and NIACC's longstanding football program will be eliminated. The College continues to consider the need to increase tuition and assess employee wage and benefit options.
Due to the significance of the forecasted budget cuts and the fact that personnel accounts for 75 percent of the NIACC budget, unfortunately employee layoffs are needed. However, the layoffs in NIACC's plan equal only four percent of all full-time employees. Per NIACC Board Policy, persons in lay off status shall be placed on an unpaid leave of absence, subject to recall on the basis of seniority and the institution's needs for specific skills and knowledge. Laid off employees have recall rights for two years from the initial date of leave.
"We realize that everyone is facing extremely difficult budget decisions. We are up to the challenge of sharing the burden of weathering this financial storm; but, we hope that community colleges will be treated equitably as it is determined how best to fund community college education. We are confident NIACC will emerge from this economic crisis stronger than before and even more focused on our critical mission," Derr said.
As a community college, NIACC reacts quickly to short-term training and workforce needs. The College also works to provide a cost-effective option for the first two years of a baccalaureate degree. NIACC understands that the State of Iowa faces extremely difficult FY10 budget decisions, and the College will meet the challenge of the predicted budget decrease by looking toward the future to maintain and build upon an organization dedicated to serving North Iowa.
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