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Responding to the Financial Environment

COMMUNITY FEEDBACK

The president’s planning committee welcomes your feedback. If you have a comment or suggestion, please send it to planning@smith.edu. You may also submit your feedback by sending your thoughts or suggestions to staffcouncil@smith.edu. Your message will be forwarded anonymously to the planning committee.

Feedback from Early February, 2009

After attending the staff meeting yesterday I felt I must comment on the topic of tuition reimbursement. It was mentioned that removing or reducing it is being considered as a possible way to reduce the cost of operations going forward. I know we must reduce operational costs to remain competitive and I am sure most staff are aware that some sacrifices are needed in order to lower costs. However I would suggest using caution when considering tampering with this benefit. More people spoke to me about this yesterday than anything else. My own story at Smith reflects the value of this benefit in attracting and retaining people. I came here 12 years ago from industry. One of the prime reasons I accepted the job was knowing I would have financial help when our three children came of college age. We have now completed sending two of our children though 4 year colleges and my third is in college now. I have greatly appreciated the help Smith has given us to help us educate our children. I believe the tuition benefit, is an excellent tool to help the college hire qualified staff -- I hope it remains so.

I have an energy saving suggestion for Smith. If faculty could turn off the lights, shut off the equipment and close the windows in the classroom when they finish teaching, it would save a lot of energy. I try to go around at the end of the day (especially on Fridays) and turn things off and close windows (in warmer months!) but there are long periods of time during the day when classroom buildings are bright with lights and no one is using the room(s).

In the spring I come in some mornings and find it very cold and when I check out the classrooms I find one or more windows have been left open all night...and of course the heat is doing its best to warm the building. Same thing with air conditioning in summer: windows wide open and the air conditioning is trying to cool things off. This is but a minor step to curb expenses but it might help.

Concerning Dependent College Tuition Benefits: Many Smith staff members have a child in college right now and are currently taking advantage of the generous tuition exchange benefits and/or 40% tuition benefits. In many cases we have chosen colleges that we would not have been able to afford if not for these benefits. If this is a benefit that you feel must be eliminated, please give us time so that our students can apply and transfer to more affordable colleges. This is a difficult but necessary step many of us would have to make.

In my opinion salary freezes and cuts should only be applied to upper salary ranges of, say, over 50,000.

I don't know how much it would make a difference, but I was abroad in Florence last year and I wanted to remind those making the financial decisions that Smith rents an apartment for the Smith center and another for the director, in the center of Florence. I'm not completely clear on the cost of real estate in Florence, but I can't see why, if rent is more costly in the city center, the school shouldn't be moved elsewhere. There are lots of small towns around Florence with bus access in which the director could live. Most of the students when I was there lived on the north side of the Arno, so moving the school closer to the stadium maybe would reduce the costs a little. In hindsight, I'm sure it would have been better to have bought a building when they still used the lira and rented out the rooms Smith didn't use, but as they're now using the euro, it's probably not a possibility.

Collaborating with Middlebury to combine space and resources could be another option. Smith may be the oldest study abroad program in Florence, and part of the goals of the program are to integrate our students with the Italians, but there is no reason to keep our noses in the air about such things when the world needs to band together to stave off a depression. Middlebury requires, like Smith, that all of their students speak Italian at all times and they all live with host families as well.

Ada Comstock Program
Is it possible to save the Ada program but to cut it down a lot in size? Most Adas major in the social sciences and so they add to the overload that these departments are experiencing. Is it possible to reduce the program size and to require a small, even number of Adas in each division, or some other distribution that would help to balance the division inequalities? We have had three Ada Comstock scholars major in computer science since I came to Smith 9.5 years ago, and several minors. I hired an Ada majoring in engineering as a summer research assistant on my previous NSF grant, and hired an Ada math major as a TA for several semesters, and supervised a special studies on data mining with her. So we know it is possible for Ada students to major in these sciences and to excel.

Raises
I would support a freeze on raises this year for the faculty and see what shape we are in next year. The faculty members have been awarded “catch up” raises the last couple of years and that has been very nice. Thank you. And of course if the faculty pay is frozen, this will help reduce the benefits rate to be closer to the target of 30%.

However, the staff should continue to receive raises, at least those below a certain threshold in pay. Even if it is an only 1 or 2% increase in pay, it helps our community members who will be hit the hardest.

Student faculty ratio
My own bias: Eliminate course buy-out options for faculty before reducing sabbaticals. Those faculty “working in the trenches” actually teaching the courses need the sabbaticals for rejuvenation and for scholarly work, partly for tenure and promotion purposes. During my most recent sabbatical (first one in five years by the way), which was only one semester long, I submitted a grant proposal to NSF; this is extremely difficult to do while teaching. I also just served a year as department chair, and the course release that I was awarded for that service was absolutely necessary.

Benefits
My husband and I are both in our 50s and we have two daughters. The elder is starting college in the fall and the younger will follow her in three years. Talk of reducing retirement and tuition benefits is pretty stressful to hear, along with the knowledge that our own existing retirement and college funds have lost significant value. We’d like to know about tuition benefit reductions before May 1 if they occur because it may affect where our daughter can go to school. We’re using health benefits from my husband’s employer now, but health benefits are a huge issue, aren’t they. I don’t have a good answer to this one. Just worry.

Reduce facilities space by 10% percent
Sure. This sounds like a money saver. But we do have a classroom space shortage. Where are the proposed decommissioned spaces?

Reduce cost of study abroad
Would restricting study abroad to one semester save money?

Consolidate academic support operations: libraries and info tech
Info tech savings through 5-college opportunities. How?? Perhaps getting a better deal on some software licenses?

Reduce spending on admin, student, and academic support areas
Have to be very careful about this. It could end up costing more money or lead to broken down non-working classrooms. Contracting out these services is never a good idea. This is part of what went wrong with corporations in the 90s.

Focus upcoming campaign on budget support for existing needs
We could ask for more scholarship money to help the financial aid picture.

I am a recently graduated Smith alumni. Although I was a traditional student myself, I found the Ada Comstock program to be an enriching part of my Smith experience. Adas are able to contribute to class and campus life as no traditional student can. Along with their age they not only bring wisdom and experience, but also a different perspective on nearly every social, political and academic issue. Adas are not merely older versions of traditional age students. Adas come from various eclectic backgrounds, enabling them to contribute in immensely valuable and unique ways to the education of the traditional students. Although it is not their job at Smith, Adas often become teachers and mentors to traditional age students. They often live with us and are therefore able to reach out in a way that professors can not.

Cutting the Ada program would be extremely detrimental to the population of older women looking for an ivy league level education; however, it would also be damaging to the traditional students at Smith College. We full tuition paying students benefit from their knowledge and life experiences in intangible ways that can not be represented on paper. The diversity that the Ada Comstock program brings to Smith College is not expendable.

Like many other Smith employees, I'm concerned about the upcoming budget cuts. I understand that they are necessary, and I hope that the leadership groups tasked with the process will be open to as many creative ideas as possible.

Will ideas like four-day work weeks (to save energy and or salary costs for the college) or job sharing, rather than cutting whole positions be explored? Will it be possible for staff to opt to make sacrifices if doing so will mean that a co-worker can keep their job? I think Smith already does a good job in being an environmentally and economically conscientious institution and I, and many co-workers are willing to do more if need be. Good luck to you in your work and thank you again.

Why can't Smith College use the "call around" plan (local 413 calls) so that the college won't be charged for every call made in the 413 area? Most of us live in the 413 area and Verizon offers a "deal" for local calling. I am not suggesting that Smith College pay for any long distance calls but I would think that the college would benefit from this arrangement and save "tons of money" not printing up those reports and having to distribute them to every single office on campus where phones are used.

One area that should not receive budget cuts under any circumstances is the Tuition Discount Rate. I understand that you will be receiving mountains of emails about programs that absolutely cannot suffer a cut in funding, but such a cut will drastically affect the community of the student body. All students, traditional and Ada alike, face a potentially massive shift in the affordability of a degree from Smith College, something that, historically, Smith strove to change. Smith is one of very few private liberal arts colleges which demonstrates that a world-class education needs to be earned, not through money but through a life-long interest in education and self-improvement; a hunger for knowledge. To potentially deny this opportunity to students is to fundamentally change what Smith stands for. Furthermore, a reworking of such a budget could force students in their first, second, or third year to discontinue their education at Smith because it is no longer financially feasible.

Although, as stated in the Budget Reduction Strategies, community colleges are on the rise and helping to fill the gap for non-traditional aged students, a degree from such a prestigious institution as Smith still carries weight in the world. Not to mention, although community college is a start, it is not a four-year degree and it does not provide the sisterhood and worldwide community that comes automatically upon receiving a Smith diploma. I have enjoyed immensely and grown emotionally from my friendships with Ada Comstock Scholars. Theirs is a program which is already unbelievably difficult to enter, let alone the fact that these women have lives full of the difficulties of maintaining a job, taking care of children, managing to afford books and rent all the while, somehow, amazingly contributing to the Smith community in a way that is irreplaceable.

That said, I think that the campaign for building the endowment is absolutely crucial. I do not believe that freezing the pay of faculty or cutting their insurance/health benefits in this economic climate is fair to the hard work and personal time that these professors give willingly. Consolidating and reducing spending in the academic support operations, from the information I could gather, seems another way in which Smith can cut spending without detrimentally affecting the student body or faculty. Although I don't think reducing the cost of study abroad is a palatable idea, especially as Smith touts the fact that the greater majority of the third year student body studies abroad, it is a slightly more acceptable area to cut funding then that of faculty health benefits. However, Smith would also have to consider the increased cost of keeping those students that could, possibly, no longer afford to study abroad. There would be definite shifts in areas ranging from housing availability to food costs. One way in which this could possibly be solved is to allow those students that desire and can afford it, to live off campus. Reducing spending on facility space is another area that is acceptable. By better using existing space, such as making sure that all class rooms are used in Seeley et cetera, Smith is provided with the opportunity of saving money in other areas, like electricity and heating. The college could also save more money by setting heaters and lights on timers, not leaving every single light on in the building at night, and retro-fitting buildings to generally make them more energy efficient. Increasing the student/faculty ratio may sound like a painless operation, but already since my first year, I have seen class sizes increase. The beauty of Smith, in part, is that actual professors teach classes, grade assignments, and exams rather than, like at most state schools, TAs. Furthermore, increasing the student/faculty ratio would also detract from the individual time students are able to spend with their professors, advisers, and other faculty members to discuss research, projects, and papers.

Based on the information provided, I think that through the campaign, consolidating and reducing spending in academic support areas, reducing the cost of Study Abroad for the college, reducing spending on facility space, and increasing the student/faculty ratio, (in addition to the ideas I mentioned) is the most acceptable course of action. Lastly, I think you will find Smith students are more willing to tighten their own belts and lend a creative helping hand to solving the college's financial issues in this economically difficult time then is, perhaps, recognized.

Regarding your plans for cuts, I would like to make a comment about the theater department. The college has been cutting that department for years already. No administration other than the former one has made an attempt to understand that department fully. Theatre is different from all other departments in that it is a production organization from which the college and whole area benefits - but all that work of production is extra work for Theater professors. Yes they have some staff but it is not, and never has been sufficient. Positions have been eliminated or demoted. The department is still short of class space after all these years, and a feeling of real demoralization has been created there. You have lifetime professors who have given their entire careers to that department and who are now watching it being slashed and dismantled. I think it would be nothing short of a disaster to cut it further. To assume, as Smith has, that theatre is somehow less important than other fields is a great disservice to students whose learning in that department enriches their learning in every other field they undertake. Your professors and staff in that department carry a massive load of work and live in real stress. This is an unhealthy and sad atmosphere to live in. Please refrain from continuing to destroy the theatre department. It is a department that is always looked to for cuts in every downturn and it has been cut too much already. There is NO fat left there. And you are hurting the major, as well as the lives of those who have fought for their department for their whole careers. Consider that with the arts, students learn everything else that they do better. It is a fact. I repeat, Theater has already been cut.

This e-mail is in regards to the Potential Budget Reduction Strategies for Discussion memo we received from Carol Christ on January 28. My concern is specifically "The most expensive benefits areas are health insurance, retirement and tuition benefits, so our review should focus there."

A bit of history: I started working at Smith College in 1987. In 1991, my daughter was born. Back in 1991, Smith College support staff did not receive paid maternity leave. In order to take time off for the birth of my daughter, I had to use all sick, vacation and personal time I had built up. At that time, only faculty and administrative staff were given paid maternity leave.

17 years later my daughter is nearly ready to enter college. She plans to attend HCC next September. After 22 years of employment at Smith, I look forward to the tuition assistance benefit to help with the cost.

I would like to suggest that should you look at reducing or eliminating the tuition benefits, you please consider "grandfathering" in those of us who have been employed here for many years. Another suggestion would be to cap the tuition assistance at a certain dollar amount. 40% or 60% of HCC is very different than that of Harvard or Yale.

Another suggestion for potential budget reduction would be to offer reduced hours to staff with administrator's approval. In 2000, I changed from a full time, 35-hour position in one office to a 3/4 time position in another. While I lost 1/4 of my pay, I found the hours allowed me to drop off my daughter at school, come to work, then pick her up after school. Some working parents at Smith may welcome reduced hours and Smith could save on salaries.

The benefits at Smith are exceptional. Sadly, this may be the place to look first for savings.

1) While my family gratefully benefitted from tuition reimbursement, Smith's is a very generous policy and could be limited. Would it be beneficial to limit tuition reimbursement to the average amount awarded for everyone who qualifies...what do others within the Five Colleges do? Doesn't Amherst have a set amount?

2) Smith generously puts aside $$ in our 401K for retirement...at a certain level the % increases from 10% to 13%. What would it save us to cap the percentage at 10% for everyone? Or lower it to 8% and ask the employees to match 2%?

3) Would there be sufficient cost savings to consider postponing faculty sabbaticals for the next several years? If minimizing faculty release time is a priority so that the number of adjunct professors can be decreased, this might help.

4) Is Smith's 2-2+ teaching load consistent with our peers? Would a 3-2 (or 2-3) course load offer significant savings in any way?

5) Would offering undergraduate summer courses generate enough revenue to warrant the additional administrative load?

6) Realizing that salary freezes or reducing near-term increases is a likely option, I would encourage that whatever measures are taken, be consistent and equitable. The last time this measure was considered, staff received an across-the-board award of $500, while faculty received a percentage increase. Unfortunately, the staff interpret that to mean their contributions to Smith are not as worthy.

It makes sense to increase faculty-to-student ratio to a 10-to-one. But what does your faculty think about that? Does student body have an opinion on this; if so, what is it?

Space reduction also makes sense in terms of maintenance & utility savings, etc. But can you sell any of the existing spaces to yield revenues? If yes, which ones can you sell without additional expenses (e.g. renovations & convertions)?

A reduction in study abroad expenses without reduction in academic strengths/benefits should be seriously considered. Perhaps the countries that cost the most should either be eliminated or considerably reduced, unless the students interested in these expensive countries are willing & can afford to pay most of the expenses involved. I believe this will be fair; yet (as a parent) I cannot dictate to Smith how to best spread its programs around to benefit all its student body. As a parent, whose child(ren) get/s some financial aid from Smith, I suggest that we all think reasonably and responsibly in the face of the present economic difficulties. And hope that it's temporary.

In the face of current economic difficulties, I oppose a reduction in benefits to current faculty and students. But how does your staff feel about temporary salary freeze while all other benefits remain the same; otherwise, a modest reduction in other benefits with a modest salary increase? Given them a choice would yield best results.

Whatever has to happen to faculty, staff, (at all levels), and students, their honest & strong opinions at ALL levels must be solicitated and seriously/strongly considered, without retaliations. And these opinions are not best rendered in writing. They are most often rendered in staff meetings and student body government or dorm meetings. People are often not willing to give their honest opinions in writing for fear of retaliations and/or repercussions that may follow.

This is at least the third financial crisis I have been through since I joined the Smith staff. In two of these crises the decision was made to reduce the salary burden to the college by laying off staff. I do understand that you are trying to avoid cutting personnel at this time. I fear that unless the crisis ends soon that this option will be used again. Although this tactic has had some ameliorating benefits to the college’s budget, I feel that it is a counter-productive strategy for several reasons.

First of all it is demoralizing to the staff. My observation is that the people who laid off are almost exclusively lower level members of the staff who have no control over the budget. When the budget is strained only those who bear no fault in the budget imbalances are considered for layoffs. This gives the staff the sense that through no fault of their own they are subject to being cut, often without recourse. Even for staff members who are spared from the layoffs this is a cause for concern since we lose staff members with whom we have worked for many years and upon whom we depend for their skills and talents and we can only presume that in the next crisis we could be next. In an informal and ongoing poll I often ask students why they decided to come to Smith. I never hear that they came to study under a specific faculty member, or much about the faculty at all. Most of the time they cite the beauty of the campus, the uniqueness of the housing system, the quality of the food they had on their visit, that the art library was so impressive, etc. When we cut from the bottom ranks of the staff we put these “tipping” factors at risk.

Every time we have been through a crisis and reduced staff numbers we have been told that we will be “expected to do less with less.” This never really happens. Although there are minor changes in programming, in reality we do at least as much as we did before, just with fewer people to bear the burden. Now that we are embarking on the new strategic initiatives, this is a particularly bad time to reduce the staff. One of the clear initiatives is to have staff members take on more career counseling and training. We can’t do this additional work effectively with fewer staff members.

Each time that staff cuts are announced the question is raised, “why don’t we reduce salaries and keep more staff members.” The answer is always and you repeated it in your report, “It is important that the college maintain competitive compensation to assure our success in recruitment as well as retention.” I feel that this is not a sound argument. Given that virtually every college and university in the country has a hiring freeze in effect now the chances of a staff or faculty member leaving Smith to get a better pay rate at another institution is just about nil. Furthermore, if you really intend to keep the comprehensive fees from spiraling out of control the only way that we can stem that rise is to actually reduce salaries during this period of economic turmoil. Most of us work here not just because of the salary but because we believe very deeply in the mission of the college and the benefits it bestows on the community. There is a strong emotional commitment from the staff to the college, which is abused when the college jettisons staff members in order to keep the salaries “competitive.”

I propose that the college look at a progressive salary reduction scheme. For example:

Up to 40,000 no reduce
40,000-50,000 1% reduction
50,000-60,000 2% reduction
60,000-70,000 3% reduction
Etc.

The actual percentage of the cuts is not important, but the progressive nature of the cuts is. This plan would put the burden of the reductions on those best able to bear the cost. It also puts more of the burden on those most in control of the budget. It reduces the costs to the college in such a way that we can keep our commitment to the staffing necessary to carry out the programs and teaching that are the core of Smith’s mission.

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