SMC aims to stabilize deficit and budget
SMC BUNDY CAMPUS — With nearly seven hours of serious discussion ahead of them, Santa Monica College trustees and staff decided to kick-off Saturday’s annual retreat with a game as an icebreaker.
Each was handed a purple piece of paper. Using a pen, they were instructed to close their eyes and draw an island. With their eyes still closed, they were then asked to draw a boat somewhere off-shore. Next came fish, a sailor, some birds, a palm tree (with coconuts), a hula dancer, and, to top it off, a sun.
Each figure drawn was assessed a point value for its location on the page. If the sailor was aboard his ship, 15 points; sun in the right top corner, 10 points; portholes on the ship, 20 points.
Chair Nancy Greenstein came out on top, with SMC President Chui Tsang, coming in at a close second. Greenstein’s prize, a hat and other SMC gear from the Main Campus’ bookstore.
“Just what I needed,” she said as she held up her new blue baseball cap and banner.
The exercise seemed to fit in perfectly with the themes of the retreat, providing an opportunity to let loose, be creative and have some fun, while also foreshadowing some of the difficult challenges facing the trustees as the college enters its 77th year of existence.
“Since coming here, there has been a lot of talk about land-use issues, parking facilities and how we can better work with the community surrounding the college,” said Tsang, who began in February after serving as president at San Jose City College for nearly nine years.“Today, MOVING FORWARD The discussion began with a review of the college’s nearly 61 acres — valued at $351 million — as well as its 37 buildings, 3,496 parking spaces and 234 classrooms and labs.
The new Theatre Arts Complex and the new Liberal Arts Building (North Wing) open today, the first day of the fall semester. The theatre complex — a $17.2 million investment in the arts — contains 300 seats, a lobby, gift shop, dressing rooms, classrooms and offices. The project was funded under Measure U, passed in 2002 that allows the college to issue up to $160 million in bonds for capital improvement projects.
The Humanities and Social Sciences building, when fully completed in April 2007, will house the history, social science and psychology departments. The $28.6 million project was also funded through Measure U, earthquake redevelopment and FEMA funds, as well as money from the state.
In the near future, improvements will be made to landscaping at the Main Campus’ quad; Drescher Hall; John Adams Middle School to repair and maintain heavily-used grass fields; and the new Bundy Campus to add additional parking, a student services center and a stop light at the north entrance to improve traffic flow. There was some discussion about adding some retail and restaurant space to the front of the Bundy property to offer students and residents more opportunities to shop.
In addition, a feasibility study for Corsair Field renovation will be conducted to see if between 500 and 800 additional, underground parking spaces can be added. The college has an historic parking deficit of more than 1,000 spaces, according to figures provided at the retreat.
Trustees discussed moving forward with a joint SMC-City Hall day care center, career opportunities center and partial completion of a new facility in Malibu, where the district has made an offer to purchase a 6.8-acre site for $8 million.
“So far, initial reports (and soil samples) have found nothing of concern,” said Greg Brown, director of facilities planning. “We are checking for fault lines, but everything looks good. We will be doing further studies in the next 30 days.”
MORE CASH NEEDED With double-digit increases in construction costs, college staff recommended that the SMC board think about another bond measure to complete some of the projects that are deemed necessary, such as the future Malibu campus and additional classrooms in Santa Monica to meet demand.
Currently the college’s five campuses do not offer enough classrooms to handle the nearly 25,000 students enrolled, particularly on the Main Campus during peak periods — 10 a.m. to 11 a.m. — when there are an estimated 4,500 students on campus, college officials said.
Staff is trying to move more general education classes to satellite campuses such as the Bundy and Academy campuses. SMC is offering incentives, such as free parking, for those students who choose to attend those classes and others offered during the evening and on weekends.
There was concern expressed about the signs on campus, with students complaining about the lack of them on Pico Boulevard, the Main Campus’ most visible entrance. There have been complaints about confusion as to parking, shuttles and campus programs/services at remote sites.
Trustees instructed staff to come up with a presentation program to include more visible signage. Trustees also requested a review of the public transportation network and the availability of student housing.
BALANCING THE CHECKBOOK If that wasn’t enough, the college is facing a $2.9 million operating deficit, which will most certainly mean budget cuts when the board adopts a new spending plan in September.
“The district faces a number of issues which warrant careful planning to avoid serious financial hardship,” said Mike Hill, a former community college president and financial advisor for the SMC. “Starting the planning with a structural operating deficit of $2.9 million is in of itself a challenge.”
Trustees also face labor negotiations with two unions at the campus, classified employees and faculty, which may further complicated the budget process, Hill said.
To prepare, there has already been a 3 percent cut in discretionary funding for the coming school year. With increased, onetime funding from the state — a 5 percent cost of living adjustment and $4.8 in stabilization money — “now is a critical time for the district to stabilize its financial situation,” Hill said.
Trustees need to keep on-going expenditures in check, Hill said, as well as develop a long-term strategy for restoring enrollment instead of continually “borrowing” summer enrollment numbers for additional state funding.
“SMC has done a remarkable job in recovering most of its enrollment from the severe cuts of 2003-04, particularly given that in 2005-06, most California two-year colleges experienced flat or declining enrollments,” Tsang said in a yearly report to the trustees. “SMC’s ongoing enrollment recovery plan includes such measures as early registration, aggressive enrollment management, increased online and high school dual-enrollment classes and, for the first time, the “VIP Welcome Day,” held last August that attracted about 800 new students and family members.”
The 2006-07 budget will include a 5 percent contingency reserve, the highest reserve level in recent years, and one that is recommended by the state Chancellor’s Office. With the “rainy-day” fund, Hill said the college can better prepare in case of a drop in enrollment or loss of funding.
“We are all in this together and we must do our best to separate the essential from the non-essential,” Greenstein told her colleagues, college staff and union representatives. “All of us have to see where we can make some sacrifices for the greater good of the college and our students.”
Originally published in the Santa Monica Daily Press print edition on August 28, 2006. Read the original PDF.