91ÖÆƬ³§

The following is a message from 91ÖÆƬ³§ President Neil Fassina sent to all 91ÖÆƬ³§ employees:

To the 91ÖÆƬ³§ community:
 
91ÖÆƬ³§ is in the final few weeks of the fiscal year, which ends on Mar. 31, 2025. This means that as an institution, we are preparing to submit both final financial numbers to the provincial government for the 2024/25 fiscal year, as well as projections for the year ahead. 
 
On Tuesday, the 91ÖÆƬ³§ Board of Governors approved our 2025-26 budget, which lays out the College’s anticipated revenues and expenses. 
 
This update is to support you, our students, employees and the 91ÖÆƬ³§ community, in understanding our financial context. At the same time, we recognize the many evolving factors and influences in the broader environment in which we operate – this is an unusual year and there are unexpected, significant challenges.  
 
2024/25 Operational Budget – current fiscal year 
 
As you will be aware, federal policy changes introduced last year continue to have a significant impact on international student enrolment at post-secondary institutions across the country.  
 
While 91ÖÆƬ³§ has experienced a drop in new international student enrolments in both Fall 2024 and Winter 2025, the decline has less impact in the 2024/25 fiscal year than it will have in the next few years. 
 
Still, in several areas College departments and programs made in-year adjustments to reflect lower enrolment. These actions helped manage our expenses responsibly, despite the challenging environment created by the policy changes.  
 
91ÖÆƬ³§ is projecting a balanced budget position at year end for 2024/25.   
 
Enrolment look ahead - 2025/26 
 
Domestic enrolment is, overall, relatively stable. From a College budgeting perspective, this means we use last year's enrolment data as a guide to building the 2025/26 budget.
 
We expect international student enrolment to continue to decline over the next year, creating increased pressure on the College's budget. 
 
As of today, it is still too early to know exactly what the decline will be, and what our overall international student enrolment will be for the 2025/26 fiscal year. 
 
For that reason, to establish our budget, we set a planning parameter that anticipates approximately half as many international students will be at 91ÖÆƬ³§ next year. 
 
This would represent a $13.4 million reduction in international tuition revenues. Closer to the Fall 2025 semester, we will have a better understanding of how accurate this planning parameter is and will be able to provide an update on the financial impacts. 
 
It continues to be a priority across the College to review our operations from an enrolment lens, and this work will be ongoing in all programs and departments in the months ahead. 

2025/26 Operational Budget – next fiscal year 
 
While we started managing the impacts of declining international student enrolment within our 2024/25 budget, it will be more challenging next year.  
 
In 2025/26, we have identified opportunities that will offset revenue loss and we are moving forward with workforce adjustment processes outlined in our collective agreements.  
 
Regrettably, this work needs to continue. The College is currently facing a deficit of approximately $8.3 million dollars in 2025/26.   
 
We know that even as we implement changes, savings will not be realized immediately. In some cases, there are one-time costs associated with actions that we are taking. This is complex work – and the perspectives and inputs from students and employees are appreciated – thank you. 
 
The College is also working closely with the Ministry of Post-Secondary Education and Future Skills and we appreciate their support, as well as the support of local MLAs and other elected officials.  
 
91ÖÆƬ³§â€™s commitment to students, communities 
 
While this is a time of uncertainty in many ways, it is important we remember what is not changing: 91ÖÆƬ³§ plays a critical role across our region, and we are committed to continuing to serve students and communities by providing access to post-secondary education and training programs.  
 
Included below are some top Q&As about the budget process to help support understanding across our community. As new information is available, please know we will share it in as timely a way as possible. 
 
Thank you, 
 
Neil Fassina
 
 
Questions and Answers:
 
What are the impacts of declining international student enrolment on 91ÖÆƬ³§â€™s 2025/26 budget? 
 
91ÖÆƬ³§ is currently projecting a $13.4 million decline in revenue, related to a decline in international student tuition.  
 
Working together with teams across the College, 91ÖÆƬ³§ has developed strategies to begin to offset this shortfall; however, at this time there is a projected deficit of $8.3 million in 2025/26. 
 
Can the College run a deficit budget? 
 
Colleges are required by legislation to balance their budgets. Running a deficit budget requires government approval.  
 
We are working together with the Ministry of Post-Secondary Education and Future Skills to determine our next steps and if we run a deficit in 2025/26 it will be within the context of a multi-year plan to return to a balanced financial position as soon as possible.  
 
What is the College doing to address the operational budget shortfall? 
 
It is in the College’s best interests to continue to work to get as close to balanced as possible. We are working with the Ministry of Post-Secondary Education and Future Skills and at the same time we have also taken several steps in this direction already, including:  

• Reviewing all portfolio and departmental budgets as part of the annual Integrated Resource Planning process;
• Reviewing all programs from an enrolment perspective, ensuring offerings reflect student demand and industry needs;
• Reducing non-essential spending in areas where there is limited impact on students and employees (e.g. reduced travel where virtual meetings are possible, reduced print materials, eliminating duplication of work between departments;
• Vacancy management oversight – all new employee recruitment requires executive approval prior to posting;
• Launching an early retirement incentive program to mitigate future layoffs, and continuing to work with our unions to identify additional mitigation strategies;
• Targeted, realigned approach to International student recruitment activities;
• Streamlined procurement practices within 91ÖÆƬ³§ and in partnership with other post-secondary institutions, where possible.

Why is the College moving forward with major capital projects, even as we are reducing operations?  
 
Publicly funded institutions have two distinct budgets: Capital and operational and there are clear restrictions against moving money from capital to balance operational expenses. 
 
The investment into new facilities at the College represents long-term commitment to 91ÖÆƬ³§, and the government’s expectations that we continue to offer students across the region high-quality programming.  
 
New facilities, including student housing and our Centre for Food, Wine and Tourism, will help attract students to the College for years to come and support 91ÖÆƬ³§ in developing and expanding programming that is relevant to our regional labour market.  
 
In addition, we are fortunate that in the case of the new Recreation and Wellness Centre in Kelowna, the local community is firmly behind 91ÖÆƬ³§ and has supported the entire capital cost of the building through donations. The College is not directing any capital funds toward this project.
 
While we must be diligent in reviewing our operational spending and making adjustments that reflect current enrolment, we also need to invest in strategies that will benefit future students and growth.  
 
This is a difficult balance, and part of what makes the budget process challenging. However, by continuing to follow the goals and objectives laid out in our Inspire strategic plan, we will have an impact in the lives of learners for years to come.   
 
Have there been any updates from the federal government to the new policies that impact international students applying to study in Canada? 
 
Yes. In the past few months, Immigration, Refugees and Citizenship Canada (IRCC) has expanded the list of programs that will allow international students studying at Canadian colleges to apply for post-graduate work permits. The full list of eligible programs at 91ÖÆƬ³§ is available on our website.  
 
Additionally, this week IRCC announced that four-year degree programs at colleges will be exempt from the field of study requirement. This means that international students who complete a four-year degree at 91ÖÆƬ³§ will be eligible to apply for post-graduate work permits, consistent with the policy for students who complete four-year degree programs at Canadian universities.  
 
While these changes will not reverse the impacts of the policy changes overall to international student enrolment at post-secondary institutions across the country, they are positive steps and reflect the ongoing engagement between our sector and government.