Adjustments to the Current Year's Operating Budget
Dear Members of the Saint Mary's College Community,
I am pleased to report that the College's Board of Trustees, at their fall meeting Friday, Oct. 15, accepted my recommendation formulated by the Budget Committee to make the following adjustments to the current year's operating budget:
â€¢ Return the College's employer pension contribution to 8.25% effective January 1, 2011.
â€¢ Increase the College's employer health insurance contribution to 10% effective January 1, 2011. This will insure that health insurance cost increases are shared equally between the College and its faculty and staff members.
â€¢ Provide a $1,680 one-time salary payment (not added to base pay) to all FTE staff members prior to December 31, 2010. This will yield a net salary payment of $1,000 for most staff members.
â€¢ Retain $2.9 million of net income unallocated and available for investment in facilities and strategic initiatives.
In supporting these recommendations the Board:
â€¢ Thanked all of the members of the Saint Mary's community whose hard work contributed to making these adjustments possible.
â€¢ Recognized the continued volatility of the global economic environment and the difficulty that creates in making enrollment and related revenue projections.
â€¢ Reiterated their commitment to needed investment in the College's facilities and strategic priorities.
As noted in previous messages from me and from Vice Presidents Michael Beseda and Pete Michell, these adjustments are possible due to an increase of approximately $5 million in net income for the current budget year. A dramatic increase in the number of new undergraduate students, an increase in the retention of continuing undergraduate students and a significant increase in net tuition revenue per student (and a related decrease in the new student discount rate) created this increase in revenue.
I'd like to add my thanks to the many members of our College community whose sacrifices and hard work during these challenging times contributed to these results.
In the weeks ahead Pete Michell and members of the College Budget Committee will be sharing more detailed reports on plans for this year's budget and planning for future years. In the meantime, please feel free to contact Pete or members of the committee with your questions, comments or suggestions.
Brother Ronald Gallagher, FSC