Kalamazoo Valley Community College Trustees Approve Fiscal Year 2021 Budget

During its meeting this morning, the Kalamazoo Valley Community College Board of Trustees approved the FY ’21 budget. The budget reflects concerns about the continued economic impact of the COVID-19 (Coronavirus) pandemic on state and local revenues. Gov. Gretchen Whitmer has announced the likelihood of steep budget cuts in state funding for higher education and revenue from property taxes will likely be affected in the coming year. The college’s third major source of revenue comes from tuition and fees.

“The college is obligated to honor agreements made several years ago associated with full-time and adjunct faculty compensation,” said Vice President for Finance and Business Brian Lueth. “Expenses under control now include other personnel compensation and capital projects.”

Trustees approved the following cost-savings measures effective July 1:
• overall 5% decrease in part-time employee hours
• across the college freeze on full-time and part-time staff and
administrator compensation
• President Washington, who by contract was entitled to a salary increase, declined based on the uncertain economic environment
• freeze on all travel
• hiring “frost” for open positions due to retirement, reorganization or separation
• some department budget adjustments
• many capital projects capped or delayed

Lueth indicated that the budget was built using revenue projections available now. “If revenues fall short, additional cost savings measures may need to be implemented in the near future," he said.

“I am well aware that the outcomes resulting from our carefully deliberated budget decisions are not ideal,” said President L. Marshall Washington, Ph.D. said. “I am equally aware that the decisions we make now can help to safeguard the future of the college for generations to come.”

In March, due to concerns about the transmission of disease, the college temporarily closed all buildings and suspended face-to-face instruction and moved coursework online for the duration of winter semester. Summer semester continues online as a phased-in approach to reopening college buildings to faculty, staff and students continues in advance of fall semester which begins on Tuesday, Sept. 8. Fall semester will include a mix of face-to-face and online courses. Additional information is available at https://www.kvcc.edu/register.