the College. However, Navajo Community College was once again cut
in the amount of $603,000 from the federal government in fiscal year
1985 based on the expired funding formula contained in Public Law
95-471. The Navajo Tribe also cut $300,000 for a total cut of
$903,000. In response to this Navajo Community College again
tightened its belt and reduced its operating budget by $300,000 for
the current school year. Despite this effort, it is in no position
to cut the remaining deficit of $603,000 to balance its budget.
Further cuts in the current budget will mean program cuts and
personnel cuts to the extent that it will seriously jeopardize the
accreditation status of the College which was only only renewed in
the Spring of 1984. The main criteria for the maintenance of
accreditation are stabilized funding for academic programs and for
qualified instructional personnel.

III. NEEDS

A.

B.

FISCAL YEAR 1985 SUPPLEMENTAL APPROPRIATION

Navajo Community College requests the restoration of $603,000
through the Supplemental Appropriation process. The current
appropriation of $3.8 million will be exhausted in April of
1985. Navajo Community College has been able to stretch the
present level of appropriation through cost saving measures.
However, it will fall short of completing the fiscal and academic
year. The College bi-weekly payroll amounts to $170,000. The
$603,000 will almost be adequate for the four pay periods in May
and June. This will complete the academic year and help toward
the completion of the fiscal year for the College.

FISCAL, 1986 BUDGET

Navajo Community College is requesting $5.8 million for fiscal year 1986. The level of appropriation requested by the President's budget for Navajo Community College for fiscal year 1986 is again at $3.8 million. This again is based on formula funding contained in the expired Public Law 95-471. The Navajo Tribe has not begun its budgetary process for fiscal year 1986, therefore its level of appropriation to the College is not known at this time.

Since the passage of Public Law 96-374, the Bureau of Indian
Affairs has conducted two on-site visits to Navajo Community
College to determine its needs. Once the needs were established,
it was to be used as a base for funding for Navajo Community
College. The first visit in 1981 raised more questions than it
answered so the College funding is still based on formula contained
in Public Law 95-471. As a followup to the first on-site review
of 1981, a recommendation was finally made by the Bureau of
Indian Affairs in 1983 for a funding level of $5.8 million.
This $5.8 million recommendation was based on $5,300 per FTE
and 8% of the total cost for dormitory operation. This
recommendation was never implemented and as such it is useless
to the College.

The College request of $5.8 million is $2 million above the current level. This additional fund will be used to address the following critical needs:

1. Facility

Tsaile is the main campus of Navajo Community College. Facilities at this campus exceeds a value of $50 million, most of which were built with funds from the federal government. The original construction plan for Navajo Community College was a 3-phase plan. The facilities that presently exist on the campus only represent a portion of the first phase development. Second phase and third phase plans never became a reality because of the administration's moritorium on funds for construction for many years. The present state of deterioration of the facilities is attributed mainly to this failure to complete the facility as planned. In 1984, a study by architectural firm of Leon Shirley and Associates, Albuquerque, New Mexico, established renovation and repair cost of some of the main buildings at $2 million. This is a very conservative estimate as there were some buildings not included in the total estimate. One million dollars of this supplemental appropriation request will be used for essential facility repairs.

2. Salary and Benefit Needs

While other government employees and retirees enjoy an annual cost of living plus merit pay increases on an annual basis, Navajo Community College faculty and staff have never received a cost of living increase, much less a merit increase, in the last five years. Further, retirment is a benefit taken for granted as part of employment by employees who work for the state, tribe and federal government agencies surrounding the College. The College has never had a retirement benefit for its employees. Because of the low salary and lack of retirement benefits, it is extremely difficult for the College to recruit top level and highly qualified people. When it does, there is a rapid and mass exit by these people to surrounding colleges or other educational entities that compensate their employees commensurate with their expertise and professional training. Studies have shown that an annual cost of $500,000 will be needed to rectify this dilemma.

Failure to do so will surely jeopardize our academic integrity and our accreditation.

3. Capital Outlay for Vehicles

Navajo Community College has a transportation department where five mechanics work at least twelve hours a day and sometimes on the weekend to keep a fleet of 75 vehicles in

the College. However, Navajo Community College was once again cut
in the amount of $603,000 from the federal government in fiscal year
1985 based on the expired funding formula contained in Public Law
95-471. The Navajo Tribe also cut $300,000 for a total cut of
$903,000. In response to this Navajo Community College again
tightened its belt and reduced its operating budget by $300,000 for
the current school year. Despite this effort, it is in no position
to cut the remaining deficit of $603,000 to balance its budget.
Further cuts in the current budget will mean program cuts and
personnel cuts to the extent that it will seriously jeopardize the
accreditation status of the College which was only only renewed in
the Spring of 1984. The main criteria for the maintenance of
accreditation are stabilized funding for academic programs and for
qualified instructional personnel.

III. NEEDS

A.

B.

FISCAL YEAR 1985 SUPPLEMENTAL APPROPRIATION

Navajo Community College requests the restoration of $603,000
through the Supplemental Appropriation process. The current
appropriation of $3.8 million will be exhausted in April of
1985. Navajo Community College has been able to stretch the
present level of appropriation through cost saving measures.
However, it will fall short of completing the fiscal and academic
year. The College bi-weekly payroll amounts to $170,000. The
$603,000 will almost be adequate for the four pay periods in May
and June. This will complete the academic year and help toward
the completion of the fiscal year for the College.

FISCAL 1986 BUDGET

Navajo Community College is requesting $5.8 million for fiscal year 1986. The level of appropriation requested by the President's budget for Navajo Community College for fiscal year 1986 is again at $3.8 million. This again is based on formula funding contained in the expired Public Law 95-471. The Navajo Tribe has not begun its budgetary process for fiscal year 1986, therefore its level of appropriation to the College is not known at this time.

Since the passage of Public Law 96-374, the Bureau of Indian
Affairs has conducted two on-site visits to Navajo Community
College to determine its needs. Once the needs were established,
it was to be used as a base for funding for Navajo Community
College. The first visit in 1981 raised more questions than it
answered so the College funding is still based on formula contained
in Public Law 95-471. As a followup to the first on-site review
of 1981, a recommendation was finally made by the Bureau of
Indian Affairs in 1983 for a funding level of $5.8 million.
This $5.8 million recommendation was based on $5,300 per FTE
and 8% of the total cost for dormitory operation. This
recommendation was never implemented and as such it is useless
to the College.

The College request of $5.8 million is $2 million above the current level. This additional fund will be used to address the following critical needs:

1. Facility

Tsaile is the main campus of Navajo Community College. Facilities at this campus exceeds a value of $50 million, most of which were built with funds from the federal government. The original construction plan for Navajo Community College was a 3-phase plan. The facilities that presently exist on the campus only represent a portion of the first phase development. Second phase and third phase plans never became a reality because of the administration's moritorium on funds for construction for many years. The present state of deterioration of the facilities is attributed mainly to this failure to complete the facility as planned. In 1984, a study by architectural firm of Leon Shirley and Associates, Albuquerque, New Mexico, established renovation and repair cost of some of the main buildings at $2 million. This is a very conservative estimate as there were some buildings not included in the total estimate. One million dollars of this supplemental appropriation request will be used for essential facility repairs.

2. Salary and Benefit Needs

While other government employees and retirees enjoy an annual cost of living plus merit pay increases on an annual basis, Navajo Community College faculty and staff have never received a cost of living increase, much less a merit increase, in the last five years. Further, retirment is a benefit taken for granted as part of employment by employees who work for the state, tribe and federal government agencies surrounding the College. The College has never had a retirement benefit for its employees. Because of the low salary and lack of retirement benefits, it is extremely difficult for the College to recruit top level and highly qualified people. When it does, there is a rapid and mass exit by these people to surrounding colleges or other educational entities that compensate their employees commensurate with their expertise and professional training. Studies have shown that an annual cost of $500,000 will be needed to rectify this dilemma. Failure to do so will surely jeopardize our academic integrity and our accreditation.

3. Capital Outlay for Vehicles

Navajo Community College has a transportation department where five mechanics work at least twelve hours a day and sometimes on the weekend to keep a fleet of 75 vehicles in

4.

operation. Despite the strong efforts of the
transportation personnel, there is a continuous backlog
of vehicles in need of repairs. This situation exists
because all of the vehicles are worn to the extent they
are all practically beyond repairs. These vehicles are
now actually such safety hazards that the school has had
to discontinue some student programs as well as educational
programs which involve travel for students, faculty and
staff. It is a disgrace and inexcusable to retain these
obsolete and irrepairable vehicles at a higher educational
institution and still profess to provide quality education.
An estimated $300,000 must be obtained to purchase new
vehicles which will serve the faculty, staff and students
in meeting their educational goals.

Health and Safety Items

February 1, 1985, was the coldest day of the year at Navajo Community College with overnight temperatures of 30° below zero. The boiler in one of the main buildings went out that day. Lack of heat in this building caused water pipes to break right in the middle of the day. Today there is still no heat and water in the Hatathli Cultural Center which houses administrative offices, classrooms, computer center, and other vital activities.

The cost of replacing the boiler is estimated at $13,000. This boiler is only one of the several pieces of equipment that were installed when the buildings were constructed ten years ago. The boiler simply was too old and worn to handle the demand for heat in this building. Other equipment is doubtlessly in similar condition and ready to give. The lack of heat and water has caused undetermined amount of lost productivity and manpower for about a month now.

This winter, four dormitories have been without heat on thirteen different occasions. On average, each occurrence took three weeks to correct. One dormitory went without heat for six weeks in December and January. Our students suffer and ask why.

An estimated $200,000 is an absolute necessity to replace this ten year old equipment before they break down at a critical period in the year where it presents health and safety hazards to the lives of students, faculty and staff.

IV. WHY SHOULD NAVAJO COMMUNITY COLLEGE CONTINUE?

Navajo Community College is at a critical junction. Its role in
the education of the Navajo people has been spelled out in the
Education Policy adopted by the Navajo Tribal Council. Its academic
programs and instructional quality have been improved to successfully
meet the rigorous accreditation standards of the North Central
Association.