A Brief History of the Sky Falling at PCC
2013
Our deficit spending of about $5 million per year for each of the past two years and an $8 million increase in PCC’s annual PERS costs will result in a deficit of about $10 million each year…To address such deficits we face the possibility of reduced access and reductions in staffing and services.
-Budget Update from President Preston Pulliams
2017
“As we all know, Oregon is confronting challenging economic times. …At PCC, we’ll face a budget deficit of nearly $12 million from funding levels that haven’t increased in a decade. As a result, we will have to make tough choices that will affect everyone. These will likely include program cuts, expense reductions, staff changes and tuition increases.”
-Budget Message from VP Jim Langstraat
March 3, 2017
2019
We have indicators that suggest we will be funded at a level that has and will continue to require budget cuts…Such reductions, and any that we will continue to make, mean that some positions, programs, and services are being or will be eliminated, phased-out, or reassigned…We regret the need to make these reductions in staffing and services—for the impact it will have on our students and employees. However, the realities of our budget challenges leave us with difficult choices and even more difficult decisions.
-March 18 message from PCC President Mark Mitsui
**Note that in 2019 we went on to negotiate a COLAs of 10-18% (depending on employee class). And admin went on a manager hiring bonanza, increasing Management FTE by 29% bet 2019-2025.
2022
We’re projecting tuition revenues and fees for the current FY21-23 biennium to be $20-30 million short of what we had originally budgeted. Given this, management across the College has been asked to identify and evaluate $20 million potential savings from current vacancies and unused personnel dollars, as well as permanent cuts of personnel, services, programs, and materials and supplies.
The fiscal reality we’re facing has serious potential impacts for the entire institution, now and in the future. With so many variables and unknowns impacting our budget (pandemic, enrollment, state funding, economic environment, etc.), it is difficult to know exactly how this will affect the long-term future of the College.
-President Bennings College Budget Update (Aug. 15, 2022)
2026
Our finance team and leaders from across the college have been working together on a plan that identifies $23.7-$33.7 million in potential one-time revenues and savings, including the sale of unused licenses and pooled operating and vacancy savings….We anticipate ending the fiscal year with a fund balance at or slightly above the Board’s required minimum, without making any staffing or major operational changes.
But next fiscal year, the problem will repeat itself again: PCC would still be spending ~$30 million more than it brings in – and because most of this year’s plan is made up of one-time solutions, we won’t be able to count on finding comparable fixes again next year.
-Interim President Katy Ho (August 14 email)