City College of San Francisco

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1 An update on City College of San Francisco Presented to the Board of Governors of the California Community Colleges July 8, 2013

2 California Community Colleges Currently or Recently on SHOW CAUSE College of the Redwoods Removed from SHOW CAUSE in January of 2013 Cuesta College Removed from SHOW CAUSE in January of 2013 City College of San Francisco Determination July 2013 College of the Sequoias On SHOW CAUSE determination in January of 2014

from SHOW CAUSE in January of 2013 City College of San Francisco Determination

3 Why is accreditation important to a college or university? Ability to transfer credit. Ability for students to receive federal financial aid. Ability for a California institution to receive state financial support.

4 Accrediting Commission levels of sanction WARNING Institution deviates from the standards. PROBATION Institution deviates significantly from the standards. SHOW CAUSE Institution is in substantial non-compliance with standards and must demonstrate why it should not lose accreditation.

PROBATION Institution deviates significantly SHOW CAUSE Institution is

5 Recent history of City College of San Francisco Accreditation July 2006 Initial Commission report detailing concerns 2012 College placed on SHOW CAUSE. March 2012 College submitted required Show Cause report detailing progress and closure plan. July 2013 Commission ruled to terminate accreditation of the college in July of 2014.

March 2012 College submitted required Show Cause report detailing progress and

6 What are the reasons CCSF is facing accreditation sanction? Finances Governance Planning Student learning outcomes Program evaluation

7 The Commission found the college still out of compliance with 4 of the 21 eligibility requirements, and parts of all 4 of the standards for accreditation.

8 Are there other indicators that the college is experiencing difficulties? Original FCMAT Report September 2012 No plan for fiscal stability Assumes revenue not guaranteed Far too much of total budget in personnel No enrollment management Too much interim management CCSF is facing financial insolvency Operational dysfunction

not guaranteed Far too much of total budget in personnel No enrollment management

9 Are there other indicators that the college is experiencing difficulties? 2nd FCMAT Report Draft June 27, 2013 Lack of skilled staff at all levels Unauthorized wage rate changes Staff payroll overpayments No verification of vacation and sick time No one assigned to position control Employee benefits not re-confirmed Data system overly-customized

wage rate changes Staff payroll overpayments No verification of vacation and sick time

10 Possible Commission Action on CCSF in July Move to more modest sanction giving the college more time to complete their recovery. Scenario A Keep on Show Cause suggesting progress inadequate and termination likely. Scenario B Terminate accreditation effective pending appeal. Scenario C

Scenario A Keep on Show Cause suggesting progress inadequate and

11 What would termination of accreditation mean to CCSF College can no longer accept new students. College must teach out existing students. College will no longer receive state funding. College will be unable to meet its financial obligations. College would no longer be a going concern.

College will no longer receive state funding.

12 What happens before termination of accreditation? College can file a request for a review of Commission action. College can file an appeal of the Commission action. College can continue to admit new students until all review and appeal actions are exhausted. Entire process can take a year or more.

College can file an appeal of the Commission action.

13 What impact does state intervention have on the accreditation of CCSF? Accreditation remains pending the outcome of all appeals. The Chancellor s Office, through its Trustee, and college staff can continue to address accreditation issues. Intervention would begin to address Commission concerns about the college Board. Intervention would immediately improve the college relations with the Commission.

The Chancellor s Office, through its Trustee, and college staff can continue to address

14 What state intervention does NOT mean to CCSF? Does not grant additional time to address concerns of the Commission. Does not lessen the accreditation requirements for the college. Does not void any collective bargaining agreements. Does not ensure successful exit from termination.

Does not lessen the accreditation requirements for the college.

15 Why should the state intervene in CCSF?

16 Why should the state intervene in CCSF? Thousands of students would be without an option for access to higher education. Largest workforce trainer in the Bay area. Critical public institution for prominent California city. Financial default of a large public institution. Thousands of CCSF employees stand to lose their jobs.

Largest workforce trainer in the Bay area.

17 What would be the effect of intervention? Board of Governors approves rescue. Immediately elevate Special Trustee and setaside the existing board. File for Commission review and then for appeal. Work to meet all standards while appeal is underway. Seek reversal of decision to terminate accreditation at the end of the appeal.

File for Commission review and then for appeal.

18 Would special legislation or a financial bail-out be necessary? Not at this time.

19 Enrollment 70,000 City College of San Francisco Fall Enrollment Credit And Noncredit Headcount 68,000 67,092 67,485 66,000 64,000 63,190 64,018 65,103 65,362 63,746 63,179 62,000 61,711 60,000 58,000 58,028 56,000 54,000 52, Terms

64,018 65,103 65,362 63,746 63,179 62,000 61,711 60,000 58,000 58,028

20 Enrollment 35,000 34,000 City College of San Francisco Fall Term Credit Headcount Enrollment 34,644 33,970 33,000 32,000 31,000 30,000 31,871 31,295 31,293 31,134 32,448 33,008 33,050 30,214 29,000 28,000 27, Terms

30,000 31,871 31,295 31,293 31,134 32,448 33,008 33,050 30,214

21 What State help would be needed? Support of the rescue effort. Support of the Chancellor s Office in their efforts to rescue the college. Expression of confidence in the plan to rescue the college. Willingness to revisit the need for special legislation and financial support later if necessary.

22 Concerns about Accreditation and ACCJC vs. City College of San Francisco

23 In Summary Civic leadership in SF support the rescue effort. Mayor Lee and area legislators are supportive. City College does not have the luxury of time. Difficult decision but one that must be made to save education for 85,000 students and the City of San Francisco.

California Community Colleges Chancellor s Office

California Community Colleges Chancellor s Office City College of San Francisco Fiscal Review September 14, 2012 Joel D. Montero Chief Executive Officer Fiscal Crisis & Management Assistance Team September