Ron Nakasone, the college controller and vice president of administrative services, said it was too soon to tell how much reserves the college could spend this year. The college has historically preserved a 5% minimum reserve.
“When we close the year out, we’ll see where we’re at over 5%, but I’m not anticipating much,” he said.
That could likely determine whether administrators ask employee groups for more concessions.
Faculty members recently agreed to a 1% pay cut after more than 600 of the college’s 800 instructors took pay cuts of more than 3.5% last year. Support staff members agreed to take two unpaid work furlough days.
Many faculty members are away for winter vacation and have not formally discussed the prospect of another round of cuts, said guild President Ramona Barrio-Sotillo.
Whatever reserves exist above 5% could chip away at the deficit, but Nakasone said it seemed likely the college would have to negotiate with employees.
“The level we’re talking about, we’re going to have to get some kind of agreement with the unions to take some type of concession with compensation,” he said. “We went in with the understanding this would be a bad year, so I think most of the employees on campus understand this is going to be another tough budget year.”
Board of Trustees President Vahe Peroomian said dipping below 5% reserves could affect the college’s accreditation.
“Spending reserves on ongoing costs is something that saves you for a year, or half a year, and next year you’re in twice as much trouble,” he said. “That’s something for some sort of emergency on campus or a natural disaster.”