Are layoffs coming? Fresno-area community colleges face massive budget shortfalls
The State Center Community College District is preparing for a potential $36 million budget loss as it grapples with the fallout of the coronavirus pandemic.
The projected loss is an estimate based on information from the Legislative Analyst’s Office, according to Cheryl Sullivan, the district’s vice chancellor of finance and administration.
State Center, which is the parent district of Fresno City College, Clovis Community College, Reedley College and the Madera and Oakhurst centers, gets a majority of its funding from the state.
Sullivan shared the grim estimate with the board of trustees at Tuesday’s board meeting and said the pandemic has not made it easy to predict what will happen.
She said the California Department of Finance advised institutions to work with bare bones budgets for the next few years as the economy recovers. Estimated recovery periods range anywhere between two years to a decade.
“This is a guess,” she said. “It could be better, or it could be worse.”
Gov. Gavin Newsom is expected to revise the state budget later this month, which would give the district a better look at funding. But the district will have to create a tentative budget by June 2. Because the tax date was pushed until July 15, they won’t know what the final revenue numbers are until August, Sullivan said.
The college can expect some emergency federal funds to offset costs from FEMA and the CARES Act, but it will still not be enough to cover the deficit.
Trustee Annalisa Perea said, based on the presentation, “even after year three, we’d still be in a deep hole,” she said. “We’ll need to find ways to close that gap.”
Any new programs will not be funded, Sullivan said, although the district is setting aside some funds to cover the student bus pass program.
The proposed budget also adds in funding for positions in Reedley, Clovis, Madera and Oakhurst, but freezes over $900,000 in positions at Fresno City College and nearly $400,000 for the district office.
Perea said it’s challenging to figure out what lies ahead, but the goal would be to hold off as long as possible on making any employee cuts.
“We’re looking vigilantly at trying to keep everyone employed,” said Chancellor Paul Parnell. “We’re looking to keep the budget as stable as possible, as predictable in this uncertain time, and as flexible as possible.”
California Community Colleges are already anticipating their need for more funding. State community college leaders sent a letter to legislators on April 23, asking for millions in support for online instruction infrastructure, staff support and training.
“As a system of 2.1 million students, the largest in the nation, we still face many challenges in adapting to multiple technologies and strategies to serve the state’s most vulnerable and deeply affected populations,” the letter read.
California State University and the University of California systems are facing their own coronavirus-related losses, according to EdSource. The CSU system alone stands to lose $300 million.
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