Province has cut nearly 17 per cent of operational funds for Keyano since 2018
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When the academic year begins this fall, provincial base operating funding will have dropped by nearly 17 per cent since the 2018-19 year. The college is on track to lose more than 20 per cent of that grant funding by the 2022-23 year.
These funding cuts do not include the end of the cost of living allowance, which gave Keyano staff $1,040 monthly and cost the province $3.5 million annually.
Dale Mountain, interim president of the college, said in an interview Keyano is in “a reasonably decent spot” and remains sustainable financially. There are no layoffs planned for next year and eight full-time positions have been added.
“We have a great community and a fantastic college. We’re very optimistic about the future and economic recovery,” he said in an interview. “We’ll certainly work with our community and partners to see the economy turn around.”
But, Mountain acknowledges the college is facing fiscal hurdles. The provincial grant for operational and program supports was nearly $34.4 million at the start of the 2018-19 year. That grant will have dropped to just over $28.6 million this fall and will total nearly $26.7 million for the 2022-23 year.
Keyano’s funding problems began around the time oil prices crashed in late 2014. The college passed a $79-million budget for the 2012-13 academic year, for instance, and began planning for a massive campus expansion. Mountain said the college’s budget for the upcoming year is around $60 million range.
Keyano was in rough financial shape when the COVID-19 pandemic began in March 2020. Keyano already needed to cut $3 million to balance its budget before fall 2021. By the end of summer 2020, 32 full-time staff were laid off.
The college also ended its Environmental Studies Degree with Mount Royal University and cut its carpentry program, with low enrolment cited as factors in both decisions. A proposed $16.8-million art gallery that polarized council and community members was cancelled in October.
“Going into 2021-22, no layoffs. Going into 2022-23, we can’t make any guarantees,” said Mountain. “We need to be sustainable and viable, and cutting that workforce with the reductions that we’ve had probably in the last three to four years doesn’t help.”
The fall will also see the introduction of new programs that Mountain hopes will help with Keyano’s rebound as COVID-19 restrictions ease, including diplomas in business aviation and esports management. There are revitalized health care programs planned for January.
The college has also partnered with Fort McMurray Wood Buffalo Economic Development and Tourism (FMWBEDT) to help recruit international students. Alternative revenue sources, such as the Keyano Land Trust, have helped with college financing.
“We’ll gauge the year as it progresses… but we’re looking at getting out of the gates pretty quick,” said Mountain.
Other post-secondary institutions losing funding
Mountain’s comments come after CBC News reported earlier this week that some of Alberta’s post-secondary institutions have seen massive provincial funding cuts in recent years. The University of Alberta has been the hardest hit, with $113 million cut in the past two years.
Taylor Hides, a spokesperson for Advanced Education Minister Demetrios Nicolaides, said in an email the reductions “better align per-student funding in Alberta with other provinces.”
“Alberta post-secondary institutions have received higher taxpayer funding than comparator institutions across Canada for many years,” she wrote.
A February statement from the Council of Post-Secondary Presidents of Alberta (COPPOA) argued these cuts will transfer costs to communities and students.
“The ongoing reductions in funding and the absence of a sustainable model are having an impact on institutions’ ability to attract and retain faculty, staff and students necessary for Alberta to compete in the global market,” said the statement.
vmcdermott@postmedia.com
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