Rep. Icet, TRCC administrators share budget woes

The coordinator of Missouri's budget gave administrators at Three Rivers Community College an opportunity to explain why they believe they deserve every dollar of the $4.5 million the state allocates the institution annually.

Allen Icet, House Budget Committee chairman, was told how Three Rivers is doing its part to bring the economy around by attempting to educate more students through partnerships and grants, even though physical capacity is maxing out on campus.

"Build your reserves as high as you can get them," warned Icet, R-Wildwood, during his visit to Three Rivers Friday. "Work night and day."

The $500 million shortfall in the 2011 budget Gov. Jay Nixon predicted Thursday is "unfortunately not even close," according to Icet. "He will have to eliminate programs," he said.

Higher education is "pretty safe" compared to other departments experiencing cuts, Icet said, but colleges need to operate modestly as the state's general revenue for fiscal year 2012 may be short upward of 15 percent, which is more than $1 billion.

Noting that three-fourths of his executive cabinet is new to the state, Dr. Devin Stephenson, Three Rivers president, commended Missouri for its fiscally conservative leadership in balancing its budget, as compared to other states.

However, Stephenson said: "I think there is a gross inequity among Missouri's community colleges, and between our community colleges and universities."

Three Rivers receives about $2,200 in state appropriations per full-time student, $700 less than St. Louis Community College gets, according to 2009 figures from the Department of Higher Education.

"Our local tax base is low," said Stephenson, comparing Three Rivers' $1.7 million from its four-county taxing district to St. Louis' $50 million. "It's a great struggle for us."

Furthermore, Stephenson explained, community colleges enroll 41 percent of Missouri's college students yet receive only 14 percent of the state's higher education funds, while four-year universities get $862 million, which is nearly all the rest.

Salaries at Three Rivers are the lowest of the dozen community colleges in the state, Stephenson continued. Personnel makes up 75 percent of Three Rivers' $18 million budget, said Dr. Wes Payne, vice president for learning.

"We're getting to be one of the most efficient community colleges that I've dealt with," Payne said. "But when our fixed costs are entered, you're taking flesh and blood voters out of jobs."

Three Rivers is experiencing a 14 percent increase in students this spring semester over the same time last year, according to literature provided to Icet.

"What that really means is we're attracting a more diverse population" that might require more advising contacts, said Jason Hoseney, vice president for student success. "Oftentimes, budget cuts zero in on student services, and to a lot of these students, we're hope."

Categorized as related essentials to Three Rivers' core functions, student services include academic services, activities and equipment, according to Charlotte Eubank, interim chief financial officer.

"We need to avoid having to cut into the soul of the institution," said Eubank, "which is, in many ways, integrated into the success of our local economy."

Three Rivers is largely dependent on tuition and fees, as the sum makes up 46 percent of the community college's revenue, Eubank noted.

Along with the rest of the state's higher education institutions, Three Rivers made a pact with the governor to freeze tuition rates for fiscal year 2011. In return, the governor vowed to reduce allocations by 5.2 percent, which translates to about $250,000 for Three Rivers.

During a meet and greet following his dialogue with Three Rivers officials, Icet delivered a brief speech and answered questions from an estimated crowd of 60 at the Tinnin Fine Arts Center.

When Icet was asked if the overseeing college boards could consider tuition increases next year if Nixon cuts allocations by more than he promised, Rep. Gayle Kingery of Poplar Bluff, House Higher Education Committee chairman, chimed in to say: "Absolutely."

"The governor would like to adhere [to the pact] if at all possible," Icet said, "but again, I think the challenges are bigger than anticipated."

Earlier this month, Icet proposed a budget for next year that would fully finance the Department of Elementary and Secondary Education's $106 million increase in its basic formula, while Nixon's spending plan calls for an $18 million raise.

Icet's version, about $53 million smaller than the one Nixon outlined in January, would keep the governor's college-tuition agreement in place, the Associated Press reported.