NMC projects deficit to hit $929K by September

The Northern Marianas College projects to incur an estimated deficit of $929,000 by the end of the fiscal year on Sept. 30 due to the government’s budget woes, according to chief financial and administrative officer Roger Madriaga on Thursday.

Of the total amount, about $847,000 is for personnel’s salaries while $82,000 is the projected deficit for “all others,” mostly for utility payments.

Madriaga recommended that the Board of Regents approve a supplemental budget from tuition revenue to cover the anticipated shortfall.

The board did not immediately decide on the matter during Thursday’s meeting.

In his report to the board, Madriaga said that the college generated a total of $4.227 million from this year’s tuition and fees. For fiscal year 2012, he projects revenue from students’ tuition and other fees to reach only $2.8 million, due to an expected decline in enrollment numbers.

Regent Andrew Orsini expressed hesitation about approving a supplemental budget and asked Madriaga to look into possibly increasing the fees paid by students.

Enrollment specialists at the college earlier disclosed that many students have asked for the release of their transcript to off-island universities and colleges—a sign that these students will not be enrolling at NMC next semester.

Meantime, NMC Faculty Senate president John Griffin said he expects a shortage of instructional faculty when the new semester opens in August. Because of a planned 10-percent salary cut effective this month, he said many instructors may decide not to stay.

He said the college currently has 34 instructional faculty and 49 non-instructional faculty members. He expects the figure to decline in August to just 30 instructional members and 40 non-instructional members. He said the college also anticipates having 40 adjuncts instructors—part-time teachers—in the new semester.

Based on his initial assessment, Griffin said the college will be short of 13 full time instructors when classes start.

In his report to the board, Griffin pointed out that NMC faculty has long been lobbying for long-term contracts. He said the existing two-year nonrenewable contract may probably be why the college can’t get good quality instructors, especially from off-island.

He appealed to the board to implement a promotion policy and salary adjustment for personnel. The college last increased the salaries of faculty in 1994.

Griffin claimed that NMC keeps hiring other personnel but limit hires for faculty where additional people are more needed.

NMC president Sharon Hart assured the board that she will sit down and listen to the Faculty Senate members once they come back from summer to see what the management can do to address their concerns.