Dear Ithaca Campus Community,
As we enter the FY23 budgeting cycle, I want to start off by saying thank you. The last two years have been a trying time – and our college is not immune to the challenges. With the widespread and severe impact brought on by the COVID pandemic, significant and immediate operational changes needed to be implemented. The Ithaca College community came together to identify and make the changes necessary to weather the effects of COVID. We acknowledge the demands and pressures on our dedicated and committed faculty and staff. Thank you for your incredible work. We are in a stronger financial position because of your hard work and sacrifices.
As a tuition dependent institution, our student population drives our revenue and, thus, our expense operating budget. In planning for FY23, we will still feel the impact of COVID, particularly around our total enrollment. The Fall 2020 class, the first class following the COVID outbreak (which saw a record number of student deferrals and postponements), was very small, and its size will continue to be felt in our overall enrollment and revenue through FY24.
But we won’t be down for long! We have a plan for the future that will strengthen our position in Higher Ed and improve our long-term sustainable operations. And despite our enrollment challenges, the focus for FY23 is to restore investments in our most valuable resources – our students, employees, technology, and facilities. This includes wage increases and continuing to build back our contributions to employee retirement, in addition to supporting technological advances and increasing our capital maintenance investments. While our FY23 operating budget will still require Board of Trustees approval, we believe strongly in the need to restore these essential investments.
Beyond our focused investments and after accounting for our fixed costs (utilities, debt service, depreciation, leases, insurance, etc.), there will be limited opportunity for non-salary spending increases. However, as we build toward a long-term sustainable operating budget, the ability to restore our non-salary increases will come. Until then, I appreciate everyone’s continued patience as we work together to establish our fiscally responsible budget.
We will continue to track our student enrollment as we move into the spring semester and work to attract our incoming Fall 2022 class. Changes in our enrollment, up or down, will impact our budget. So, in addition to the thoughtful and collaborative behavior we need to continue to manage our non-salary expenses, we can all do our part to build a better future by working to enrich and broaden our students’ experiences here on campus.
Position management will continue to be a top priority in FY23, including the continued implementation of our strategic plan initiatives. With salary and benefits making up roughly two-thirds of our total operating budget, we will work to provide each area, from academic affairs to student affairs and campus life to facilities, the data and tools needed to understand and manage within their approved/funded positions while maintaining the quality educational experience that attracts students. We will need to work together to ensure unfunded positions and essential new positions are funded through attrition, salary savings, or other already budgeted means.
Your work is making a difference. The sacrifices and extraordinary efforts are paying off as we are better prepared to weather the next couple of years and build a stronger future for Ithaca College. I am excited by our opportunities and what we can accomplish together. Our future is bright because of the dedication and passion of our faculty and staff – THANK YOU.
Tim Downs
VPFA/CFO