Executive staff of Mesalands Community College on Sunday unanimously passed a vote of no confidence against President Gregg Busch, according to a news release from the college, amid reports of overspending and alleged threats of firing employees if details of the college being placed under state fiscal oversight were revealed.
Josh McVey, Mesalands' chief communications officer, issued a news release Monday morning about the no-confidence vote, along with a copy of a Jan. 18 letter from the New Mexico Higher Education Department that expressed concerns about the college's "significant fiscal issues." An HED public information officer on Monday verified the sending of the letter.
Busch, who was traveling on Monday, said he first heard about the no-confidence vote that morning.
"It came as a surprise to me," he said by phone Monday. "I don't know anything about it."
McVey told the Quay County Sun that eight members of the executive team, including chief of staff Duane Brooks, approved the no-confidence vote against Busch on Sunday afternoon.
Russell Irby, the college's executive human resources director, confirmed details and said he documented the meeting with a recording.
"It is for the benefit of the students, staff and faculty this vote took place," the news release stated.
"Mesalands Community College reported significant financial hardships and is in the process of determining what kinds of emergency measures can be taken to improve solvency and keep the school on a sustainable financial footing."
The release stated the financial solvency plan requires an emergency meeting of the board of trustees, "which has stalled." It stated the Legislative Finance Committee directed Busch to call an emergency board of trustees meeting, which had not been done as of Monday morning.
"The Chief Executive staff were forbidden to communicate with the Board of Trustees under penalty of termination," the release stated.
"Appeals for a 'town hall' meeting or transparent communication with staff and faculty were made but denied by Dr. Busch. He communicated the Board of Trustees would fire any who held such a meeting."
Stephanie Rodriguez, Cabinet Secretary of the HED, on Jan. 18 sent the college a letter, stating it was placing the college under the Enhanced Fiscal Oversight Program due to these factors:
- Inadequate financial control system;
- Weakened unrestricted cash position;
- Outstanding audits in fiscal years 2021 and 2022;
- Failure to comply with law or regulation related to capital projects;
- Request for advanced state funding or emergency loan.
The letter stated the college faced cash flow shortfalls, an inability to make future payroll and capital project funding needs, significant turnover of key fiscal staff, 18 months of backlogged accounting transactions and records and an inadequate system for proper reporting and fiscal oversight of finances.
"We're spending more than we're bringing in, especially on salaries," Irby said Monday. "The community needs to know about this."
The HED is requiring Mesalands to submit financial documents on a monthly basis.
The news release stated Busch forwarded the HED email and letter to the chief executive staff with the instruction "this is to remain confidential."
"Appeals were made to communicate with staff and faculty," the release stated, "all requests were denied."
The release states Mesalands has spent 150% over allotted appropriations "against the requests of multiple Chief Financial Officers."
"It is for these reasons the Chief Executive team held and passed a unanimous vote of 'no confidence' for President, Dr. Gregory T. Busch," the release stated. "It is also for these reasons the Chief Executive team have determined to hold a meeting of staff and faculty at the risk of termination."
An HED spokeswoman issued a statement Monday about Mesalands' financial issues.
"The New Mexico Higher Education Department is highly concerned about the financial situation at Mesalands Community College and its potential impact on students, faculty, staff, and the community," Stephanie Montoya, the HED's public information officer, stated in an email Monday. "Out of immediate concern for students and the college employees who serve them, our agency is committed to working with Mesalands Community College to find solutions that keep the lights on, while also ensuring fiscal oversight and implementation of best practices at the college."
Board of trustees Chairman Jim Streetman, reached by phone Monday, said he would try to convene a meeting later this week to discuss the no-confidence vote. He declined further comment, saying he didn't have enough information.
"I'm kind of in the dark, like a lot of people," he said.
McVey said Monday the college's staff senate and faculty senate were scheduled to hold meetings later that day to discuss the no-confidence vote.
Busch less than a month ago received a four-year extension on his contract that will expire in 2028.
Busch, a West Virginia native who previously lived in Arizona as the founder and executive senior consultant of an education consulting firm, assumed his duties as Mesalands president on May 1, 2021, for $170,000 a year amid a three-year contract.
Busch replaced previous president John Groesbeck, who was placed on indefinite paid administrative leave in March 2020 for undisclosed reasons and fired the next month after less than two years on the job.
Groesbeck filed a whistleblower and retaliation complaint against the college, which later was settled for an undisclosed amount.