1. Shoreline Community College All-Campus Meeting February 20, 2009

2. General Assumptions  Expected to meet current FTE targets  Anticipate reduction between $2.45 and $3.25 million (10%-15% of 2008-9 base)  Implement layoff / RIF @ $2.45M level  President to speak with Classified and Faculty unions regarding the level at which communication will occur

3. Status of Current-Year Budget Reductions  $1.27 million $707,000 : Vacant positions, not filled $197,000 : Position Savings and Transfers $370,000 : Goods & Services / Travel / Hourly

4. Status of Current-Year Budget Reductions  State of WA Budget Actions First 2009 Supplemental Budget  SCC targeted reduction: $1.01 million ESSB 5460: “Belt-tightening” bill  Hiring freeze  Personal services contracts freeze  Out-of-state Travel and Training freeze  Equipment purchase freeze  Exemptions through OFM via SBCTC

5. Shoreline’s Budgeting Process  SBCTC established FY 2010 budget reduction target: 5%-20%  PSET-Budget Committee jointly established “Points of Consideration” document  SET identified potential reductions, submitted FY 2010 budget draft (Jan. 16, 2009)  Budget draft further modified and adjusted by PSET, emphasized 10%-15% range

6. Shoreline’s Budgeting Process  Methods, Tools, and Consultations: Points of Consideration document Anonymous comments from staff, faculty and students collected from December 2008 – February 2009 Discussions with Faculty and Classified unions Communications with SBCTC Joint meetings with Budget-Strategic Planning Committees 2008 Student Body Survey

7. Revenue for Fiscal Year 2008-2009 in millions State appropriation$ 24.460% Tuition12.631% Local and miscellaneous*3.69% $ 40.6100% *Course fees, indirect cost recovery, interest income, etc.

8. Salaries and Wages: Historic Trends and Projected Impact of Budget Reductions

9. Shoreline Community College Trends in Salaries and Wages, 2005–08 Fiscal Year (July through June), in millions 2005–06 2006–07 2007–08 Administrative exempt$ 4.920%$ 4.117%$ 3.816% Faculty13.956%14.058%13.958% Classified6.024%6.025%6.427% $ 24.9100%$ 24.1100%$ 24.1100%

10. Shoreline Community College Trends in Salaries and Wages, 2005–09 Fiscal Year (July through June), in millions 2005–06 2006–07 2007–08 2008–09 Budget, as Adopted Administrative exempt$ 4.920%$ 4.117%$ 3.816%$ 4.015% Faculty13.956%14.058%13.958%14.957% Classified6.024%6.025%6.427%7.228% $ 24.9100%$ 24.1100%$ 24.1100%$ 26.1100%

11. Shoreline Community College Effect of Budget Reductions Fiscal Year 2008–09 (July through June), in millions Budget, as AdoptedReductions at 10%Reductions at 15% Administrative exempt$ 4.0315%($0.24 ) $ 3.7915%( $0.35) $ 3.6815% Faculty14.8757%( 1.06 ) 13.8156%( 1.34) 13.5357% Classified7.1828%( 0.32 ) 6.8628%( 0.54) 6.6428% $26.08100%($1.62 ) $ 24.46100%( $2.23) $ 23.85100%

12. Impact of Personnel Reductions

13. Personnel Reductions @ 10% and 15% TotalAdmin Exempt FT Faculty Classified @ 10%33*41712 @ 15%42**51918 13 of 33 * @ 10%, 13 of 33 positions are currently vacant 16 of 42 ** @ 15%, 16 of 42 positions are currently vacant

14. Distribution of Personnel Reductions (%) TotalAdmin Exempt FT Faculty Classified @ 10%3341712 % of positions reduced 12%52%36% @ 15%4251918 % of positions reduced 12%45%43%

15. Distribution of Reductions by Total Personnel (%) TotalAdmin Exempt FT FacultyClassified Personnel* 57152171 @ 10%3341712 % of Total Personnel 7%11%7% @ 15%4251918 % of Total Personnel 9%13%11% *Position numbers include all FT and/or permanent appointments, regardless of funding source

16. Where do we go from here?  President continues discussions with Faculty and Classified unions  President to meet with affected personnel first week of March  March 6 th All-Campus Meeting  Budget development process continues (Revenue, Other expenditures, etc.)  Prepare for continued impacts into and throughout next year