Malaspina receives 1997/98 funding from Ministry of Education, Skills & Training

Malaspina University-College has received a $31,026,624 operating grant from the Ministry of Education, Skills and Training for the 1997/98 fiscal year. The same amount of funding as last year.

Malaspina's overall budget of $53.5-million, however, will be short $1.6-million in 1997/98.

"The Ministry funding is approximately what we had anticipated," said Edwin Deas, Malaspina's vice-president of administration and bursar. "It's good news in that we don't have to re-open the planning process."

Malaspina administrators have been involved in a budget planning process for the past four months to deal with the budget shortfall for the 1997/98 fiscal year.

The funding contains a $100,000 "envelope for alternative delivery." Ministry guidelines for this new initiative are expected within the next three weeks.

Malaspina will also be required to provide 32 extra training spaces for full-time students as part of the Ministry's "Guarantee for Youth" program to create new spaces for students in the B.C. post-secondary system without additional funding.

The Ministry of Education, Skills and Training has shifted responsibility for funding of apprenticeship programs to the Ministry of Labour. Last year, Malaspina received $390,906; however, it is not clear how much funding Malaspina will receive for apprenticeship training, this year.

The operating grant from the Ministry makes up 58% of Malaspina's total $53.5-million budget. Revenues from student tuition and lab fees make up 12%; international education and contract training contribute 15%; cafeteria and bookstore operations provide 6%; revenues from programs and services such as the hairdressing salon, trades program shops, rental of facilities and application fees make up 2%; while funding for capital debt (20-year mortgage on the campus buildings) is 7%.

Malaspina is facing a $1.6-million shortfall as a result of increased costs due to provincially-negotiated faculty and staff contract settlements; expenditures for new functions of health & safety and institutional research & planning; and wage scale increments. No funding was provided for these increased costs.

In addition, the government's freeze on students tuition fees represents a loss of potential revenue of $500,000.

Unlike school districts, the College and Institute Act prohibits colleges to plan for an operating budget deficit. Instead, cuts have to made to meet budget expenditures.

Two programs will be cancelled: Appliance Repair and Log Scaling. The Log Scaling program may be offered on a self-funded basis by charging students tuition fees of $3,000.

The Accounting Clerk Technician program will only be offered once a year, instead of twice. Only one Apprenticeship Carpentry class will be offered, instead of two (the 10-month Carpentry and Residential Construction program will still be offered).

The Office Administration training program budget will be reduced by not replacing a retiring instructor; present instructors will absorb the extra workload.

In addition, 65 academic classes will be cut, out of 900 academic classes offered each semester. The revenue generated by charging international students higher tuition fees will allowed restoration of 21 of the 65 classes.

Two regular instructors will be facing lay-offs; 12 regular instructors face a reduction in hours; and three regular support staff will have reduced hours. Two administrative positions will be reduced to half-time positions, three administrators will have reduced working hours; while one retiring administrator will not be replaced.

Budgets for individual departments will not be known for some weeks until the "line-by-line" assembly of the total budget has been completed.

The final 1997/98 operating budget will be taken to the Malaspina Board for approval at the May 29 meeting.