SUFFERN, NY – Rockland Community College (RCC, SUNY Rockland) is bracing for more substantial budget cuts as it continues to face a severe financial crisis. The RCC Board of Trustees has outlined their “Phase 3” budget plan aimed at addressing a near-still-$5 million deficit, which includes significant layoffs and the elimination of vacancies.
Notably, up to $1.6 million in current positions, jobs and roles may be eliminated in the near future, with additional existing vacancies of up to $1 million to remain unfilled, such as those in underperforming programs. This likely outcome was originally reported by Rockland News on October 5th, 2023.
Key Potential Budget Cuts and Layoffs
The “Phase 3” plan – which was set to be ratified tonight 6/26/24 (once a quorum was achieved) includes a variety of major cuts and eliminations:
- Vacancies: Eliminating funding for unfilled positions, saving $1 million.
- Adjunct Professors & Hourly Workers: Cutting $1.6 million from the part-time budget, affecting adjunct professors and hourly staff.
- President’s Salary Increase: Scrapping the proposed $167,000 salary increase for the college president.
- Rent Reduction: Reducing rent expenses for the RCC Haverstraw campus by $130,000, retaining $50,000 for moving costs.
At one point in the open meeting before the Board paused to enter Executive session, voiced concern was raised over being able to make payroll over the next several months. Officer in Charge Dr. Beth Coyle encouraged the Board to review the budget “every two weeks” – instead of the suggested rate of one month – and maintained that short-term cash flow will rise and fall in the near future.
The budget for the planned inauguration ceremony of the College President role – presumably Dr. Lester Rapalo, who was excused from his position several weeks ago – was also scrapped. As the role of the President has not been filled since that time, it was not clear at the time of this writing whether this line item was from this year’s, or next year’s budget.
In an interview by Rockland News with Dr. Rapalo before his dismissal from the College, Rapalo suggested a reduction from the then-$67 million budget, to a more realistic figure between $58 and $60 million would be necessary.
Several estimates were publicly discussed of the size of the deficit. Dr. Victor Anaya, Vice President of Finance & Administration had originally confirmed a $4 million dollar deficit on Jan 29, 2024. Dr. Rapalo indicated at that same meeting that up to 20% of the staff could be laid off or fired.
The aforementioned rent reduction for the RCC Haverstraw campus is part of a broader plan to shutter RCC’s satellite campus courses that were provided in Haverstraw for many years, to local residents, thereby reducing commuting and time costs.
Concerns Over Payroll, Financial Stability and Cash Flow
A critical part of the meeting focused on the college’s ability to meet payroll in the coming months – namely, this summer. Board members voiced concerns over” a $5 million “nut,” a term used by the Finance Director to describe the financial gap needed to maintain payroll and other essential expenses. (Note: “nut” is a colloquial term, widely used in business to indicate large amounts of money rolled into one large sum.)
Throughout the meeting, there were discussions about seeking additional aid from the county and the state. The consensus was that while external financial assistance would be beneficial, the college is striving to manage its budget independently. However, the looming threat of current payroll issues caused several Trustees at the meeting to stress that external help may be necessary to stabilize the college’s finances. One member asked if it was time to revisit asking the County, or New York State, for funding to address this shortfall.
In response, the Finance Director at the meeting said “We can get a $5 million dollar loan, pay it off $100k at a time, and still make payroll.” Dr. Coyle also refocused the conversation on current cash flow, stating, “money that comes in now, will be used to pay for expenses now.”
Impact on the RCC Community
Several employees and/or professors that were not in attendance at the meeting spoke with Rockland News on condition of anonymity. “The college has been mismanaged for years.” One source told us during an extended interview. “It’s not just one President, or one year. This has been going on for a few years. A new guy comes in, stacks the decks with positions that cost 6 figures each, and then is gone. And then who ends up paying for it? The people that have been doing the actual work at the college for all these years.”
The college’s enrollment is nearly half of its peak from recent years – a decline from 9000 students to the current estimates of approximately 4800 students.