| For Release: IMMEDIATE | |
| Date: July 18, 2003 |
Celebrating 40 years of "College That Really Works" for North Carolina
STATE BOARD OF COMMUNITY COLLEGES APPROVES SYSTEM BUDGET
RALEIGH: The State Board of Community Colleges adopted an $802.8 million System budget for Fiscal Year 2003-04 at its meeting today (July 18, 2003). The total amount is an increase over the 2002-03 budget, but when the 6.2% enrollment growth experienced by the North Carolina Community College System this year is factored in, the budget represents a permanent net reduction of $10.58 million or a 1.57% cut.
"The college that really works will soon become the college that does not work if we cannot obtain adequate funding," said Chairman James Woody. "I am pleased that we were not cut to the degree of some other agencies in the state, but the fact of the matter is that we’ve been operating for years with the very minimum of funding." He recognized that the intent of the General Assembly is that the cuts not affect the classroom, but noting that two-thirds of the budget is instruction, he added, "It is obvious the classroom has to be affected, it can’t be avoided."
The budget approved by the Board includes a $9.7 million reduction in the administrative formula and an additional $11.2 million cut in the Instructional Formula funding. That includes a cut in the base allotment, the identical amount each community college receives from the state for operating expenses, resulting in the loss of one student services support position at each college. It also includes a cut in the enrollment allotment, the additional support amount colleges receive that is based on enrollment. The average reduction is 4.24%. Colleges with the largest enrollment growth will lose more money.
The budget also includes a 34% reduction in the Academic Support Supplement and a 50% reduction in Summer Term Instruction funding. The New and Expanding Industry program takes a non-recurring reduction of nearly $4.1 million.
The budget includes a tuition increase of 3.2% for students to $35.50 per credit hour in-state and $197.00 per credit hour out-of-state. However, the budget also includes a $3.2 million increase in the NC Community College Grant, Loan, and Target Assistance Program to $10,260,000.
There is additional good news for needy students. Colleges will also be eligible to receive up to $25,000 from the state to provide financial aid. Sen. Steve Metcalf (D-Buncombe) introduced the legislation included in the budget bill creating the NC Community Colleges Instructional Trust Fund. The fund will supplement money raised by local community college foundations from private sources, one dollar from the state for every two raised by the college, up to $25,000.
Kennon Briggs, NCCCS Vice President for Business and Finance, told the Board that the colleges would be asked to hold back 4.5% of their budgets for possible reversion requests. Governor Easley has already requested a 2% reversion.
In other action:
-NCCCS-
This page maintained by Public Affairs.