Dear Colleagues: Welcome to the PFF’s new weekly series: “Fact of the Week: Truth on Thursdays”. This is one of several ways that concerned faculty are working to keep you informed and help you separate fact from misleading narratives. PFF and CCE are working diligently over the winter break to stay on top of the fast moving decisions being made by the District and are committed to helping you stay involved and informed over the break.
Fact of the Week for 12/12: The Power of the Purse
Misleading Narrative: The fiscal problems that Palomar is currently facing have been going on for a long time and are the fault of the previous administration, reluctant and recalcitrant faculty, and bloated salary and benefit packages. Facts:
Ending fund balance 3 years ago= nearly $22 million
Projected ending fund balance now= $8.9 million (not including the borrowed money taken from the retiree benefits account)
This represents a 60% reduction in 3 years.
If you were spending down your savings by 60% in 3 years you would know something was wrong with your financial management plan and processes.
The recent FCMAT report rightfully identifies mismanagement of the District by not keeping the Board appropriately informed and the Board also deserves its share of the blame for not asking the necessary questions to keep us financially solvent.
The Superintendent/President has ultimate fiduciary responsibility for the District and its budget.
The Governing Board has ultimate oversight and responsibility for the Superintendent/President’s decisions.
Faculty and staff do not make institutional financial decisions, including how many faculty to hire or when to open centers.
The contract, which includes salary and benefits, is a jointly negotiated document that is agreed upon by the District and PFF, and is approved by the Governing Board.
Bottom Line: There has been gross financial mismanagement of our college and students, faculty, and staff are paying the price. Watch your email every Thursday for a new Fact of the Week- we will keep them coming. Happy Holidays! In Solidarity, Teresa Laughlin and Barbara Baer, PFF Co-Presidents