Malaspina University-College board adopts balanced budget for 2000/2001

The Malaspina University-College Board has adopted a balanced operating budget of $60,015,767 for the 2000/2001 fiscal year, $2,406,512 higher than last year.

The budget consists of the following:

• $36,914,839 from the Ministry of Advanced Education, Training and Technology for general operations and capital equipment - 61.5 % of the total budget;
  




• $7,546,711 expected from student tuition and lab fees - 12.6 % of the
  total budget;
  




• $10,080,000 estimated gross revenues from international education, business and industrial training contracts, temporarily-funded courses, and special grants - 16.8% of the total budget;
  




• $3,705,187 expected gross revenue from ancillary operations (cafeteria and bookstore) - 6.2% of the total budget;
  




• $1,769,030 projected revenue from programs and services such as the hairdressing salon, trades programs' shops, rental of facilities, and application fees - 2.9% of the total budget.

"We're pleased to have achieved another balanced budget," said Malaspina president Rich Johnston.

"A lot of hard work has gone into preparing next year's operating budget. We're particularly thankful that, despite the economic constraints facing the Province, the Ministry is continuing to support post-secondary education. We know that the provincial government has been under a lot of pressure since the federal government cut transfer payments to the provinces in 1996, and we commend the provincial government for not passing along these cuts to post-secondary educational institutions. It shows the government's commitment to post-secondary education," Johnston said.

Edwin Deas, vice-president of administration and bursar, said that "eight months of process has gone into producing a balanced budget for the 2000/2001 fiscal year.

"We're facing increases on the one hand and decreases on the other, but, all in all, it's a good budget," said Deas.

Under the B.C. College and Institute Act, post-secondary institutions like Malaspina University-College must start the fiscal year with a plan for a balanced operating budget.

"The government has not only increased our level of funding compared to previous years, but has given us more than most institutions," said Deas. This year's Ministry grant was $2,481,705 higher than last year and included funding to deliver 236 new student spaces, of which 43 are earmarked for expanding nursing courses, and 26 for high-tech training.

"The government has also given us ongoing funding of $560,456 for Institutional Based Training (programs for people on social assistance), and $305,267 for the Library," said Deas. Until now, Malaspina has received temporary funding of these budget items.

While the value of the overall operating budget is higher, estimated expenditures for the coming year are also higher. In the fall, Malaspina administrators predicted a potential budget shortfall of $1.3-million, as a result of "fixed expenditures" such as salaries, benefits, security, janitorial services, utilities, and longer hours of operation on weekends
and during the summer months. They devised a strategic action plan to cut expenditures in service departments by $362,536, in instructional departments by $661,357 and, at the same time, increase general revenues by $360,100.

The savings have been achieved by not offering some classes, teaching some programs in revised formats, not replacing two retiring employees, slightly reducing the workload of nine employees, and eliminating one position. Library fines for overdue books will be increased from 25 cents a day to 50 cents a day for two-week loans, and from 40 cents to 50 cents for one-week loans; janitorial services will be reduced by $13,700, and supply and travel budgets will be trimmed.

"We'll be cutting some courses with low enrolment, but we will also be adding 34 courses to meet high student demand for courses in some of our university and career and academic preparation program areas," said Deas. "We've worked hard to minimize the impact of the reductions on students, faculty and staff. The revenues made by our entrepreneurial activities in international education and business and industry training are also very important to our ability to balance the operating budget," Deas said.

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Malaspina University-College Background Information

Operating since 1969, Malaspina University-College's main campus is in Nanaimo, and regional campuses are located in Duncan, Powell River, and Parksville.

Malaspina offers bachelor's degrees, and diploma and certificate programs in arts, science and technology, health and human services, education, business, and trades, as well as college preparation and non-credit community education courses.

The University-College has 1,984 full-time, part-time and temporary employees on the payroll.

Some 9,000 students are enrolled in credit programs, and an additional 20,000 people take non-credit community education courses. Malaspina also has 600 International students, representing 25 countries.

Malaspina offers training programs for business and industry, and has developed international ties with post-secondary institutions, government, trade and industry in the Asia Pacific region, Mexico, South America and the United States.