Columbia Gorge Community College is closing its Hood River campus to stave off an anticipated $1.6 million budget deficit that, if immediate steps aren’t taken, could grow to more than $2 million by the next fiscal year.
"At CGCC we have always been about our students – they are at the heart of all we do,” said Dr. Frank Toda after sending out a summary about the situation Wednesday, Nov. 19, to faculty and staff.
“We will not forget this as we engage with this major budget challenge. By doing so, we are choosing hope over fear -- fear being the thief of opportunity and enterprise. We will come out of this challenge as a stronger more relevant college focused on student access and success."
Toda’s summary explained that expenses have steadily grown during the past three years, while revenues have declined.
He said the college has managed the ongoing deficit in the past by drawing on reserves built during years of enrollment growth and higher state funding.
In August, Lisa Deswert, who was then the college’s financial officer, reported that state funding remained set at 2007 levels and not caught up with present needs following the Great Recession years.
She said CGCC was allotted a 1.7 percent share of the $465 million in state funding for the current biennium, which is down from $500 million in 2007.
Toda stated in his summary that operating reserves had fallen from $3.1 million to an expected $500,000 by the end of fiscal year 2014-15.
“The college is no longer in a financial position to wait for revenues to return to pre-recession levels,” he wrote.
Toda said immediate plans were being made to close the Hood River campus.
“It is a reduction which can be quickly reversed when the financial position of the college improves,” he stated in the summary. “Make no mistake, the college is firmly dedicated to growing its physical presence in Hood River over the long-term.”
CGCC officials say that all options are on the table to close the budget gap, including pursuing new revenue. Talks are being initiated with various community partners to begin new customized training programs, lease college property and partner to offer existing programs at reduce financial burden to the college’s general fund.
“You can help the college during this difficult financial time by communicating to elected state leaders that community college support is a priority of yours,” he said of ways that local residents could help.
Toda said it is important not to lose sight of CGCC’s mission and purpose during tough economic times.
“The college has the second highest graduation rate in Oregon, pioneered the first wind tech program on the west coast and developed a national model for rural health-care education,” he wrote in the summary.
“Protecting the college’s financial stability now will allow it to continue this tradition of leadership, serving our region long into the future.”
Editor’s Note: More information about the closure of the Hood River campus and CGCC’s financial challenges were not available as of press time but are expected to be released Nov. 20.
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