"We were told to prepare for a 4 percent reduction [in state appropriations]," said Neil Vickers, the executive vice president of finance and administration, during a presentation on the budget.
ACC state appropriations, which makes up about 17 percent of ACC's budget, remained "basically flat" at around $43 million, Vickers said.
"Coming out with no decrease actually is good news," he said.
ACC's finance team also conservatively budgeted for property tax revenue. Returns are expected to increase by about 9 percent, compared with the 7 percent increase that Vickers originally predicted.
Higher property values caused the revenue surplus, said Vickers, adding that more than half of the district's value is currently being protested.
The official property tax revenue numbers will not be certified until July, Vickers said.
He said higher property values would result in about $10 million in additional revenue for the community college district, which would—if approved by the ACC board of trustees later this summer—be used for a 3 percent faculty and staff salary increase.
The topic of discussion at the board's June 19 work session will be faculty and staff compensation and benefits, which makes up almost 65 percent of the budget.
Right now, the draft budget assumes the board will approve a 3 percent salary increase costing about $5.3 million.
This chart shows the cost of increasing salaries for Austin Community College faculty and staff by 1, 2, 3 or 4 percent for the next fiscal year.[/caption]David Albert, an ACC adjunct professor, said he hopes the board will consider increasing salaries by more than 3 percent. He asked trustees to consider inflation and the rising cost of living in Austin and to contemplate a 5 percent increase.
Vickers is also predicting a loss of about $2.4 million in tuition revenue due to lower enrollment numbers. Tuition makes up about 16 percent of ACC's budget, according to the draft budget.
Last month, ACC voted to keep tuition rates the same.
Trustees will meet at 5 p.m. June 19 in room 201 of the Highland Business Center at 5390 Middle Fiskville Road to discuss faculty and staff compensation for the next fiscal year.
