Actions taken by two Yavapai County administrative entities demonstrate the impact the COVID-19 pandemic is having on the economy.
Yavapai College Board Approves Reduced Budget
During its May 12 meeting, the Yavapai College District Governing Board approved an $82.6 million budget for the 2020-2021 fiscal year. That is a reduction of more than $3.7 million from last year’s budget.
In exclusive comments to the QCBN, Dr. Lisa Rhine, college president, said, “At Yavapai College, we celebrate being able to help make the economy of Yavapai County more prosperous. We provide residents with an opportunity to improve their quality of life and standard of living. We stand ready to help our region’s economy recover from this pandemic.”
Rhine was named president in February 2019. With more than 30 years of higher education administrative experience, Rhine initiated several studies to see how the college impacts the economy of Yavapai County.
YC Vice President for Finance and Administration Clint Ewell explained that the significant reduction in budget is a consequence of having lower capital expenditures and lower debt payment. He noted that no property tax increase has been requested other than for new construction.
Ewell suggested the college enrollment might increase in 2021, perhaps as much as 10%. “College enrollments tend to increase in step with unemployment,” he explained.
Fiscal year 2019 enrollments amounted to roughly 3,475 full-time student equivalents (FTE). These numbers are for enrollments at the Prescott and Prescott Valley campuses and for those in the Verde Valley and Sedona. The exact number will not be known until summer session enrollments are complete. Ewell noted summer enrollments were up 30% from last year.
During this past year, YC employed 212 faculty members, 163 exempt staff and 217 non-exempt staff – a total of 592 people.
YC Governing Board Chair Deb McCasland says she is pleased with the budget deliberation and recommendation process. “I speak only as a board member and not for the entire board, but our budget is reasonable. It was unanimously approved. We have the lowest tuition in Arizona for community colleges, and the lowest taxpayer cost per student.”
Board of Supervisors Defer Budget Decisions
The Yavapai County Board of Supervisors has made the decision to hold off on finalizing next year’s budget until more complete sales tax and state-shared revenue details are announced.
In recent meetings, supervisors acknowledged that lower tax revenue estimates prompted several decisions, including putting a freeze on hiring. Other actions include: delaying non-essential expenditures; postponing cost of living and merit raises for county employees; postponing payment of $4.5 million to the Public Safety Personnel Retirement System (PSPRS); delaying the purchase of new county vehicles until next year; and, transferring $1.25 million from the County Flood Control budget to the general fund.
County Administrator Phil Bourdon told supervisors that sales tax revenues and state-shared revenues could be down as much as $4 million because of the pandemic’s impact on the county’s economy.
Board Chair Craig Brown said he and other supervisors agreed that holding off on final deliberations for the next fiscal budget will provide for more flexibility in making future decisions.
Both the county supervisors and the YC District Governing Board are expected to continue meeting virtually until further notice. QCBN
By Ray Newton, QCBN