Portland Community College | Portland, Oregon

PCC Bargaining, Budget, and Impact Updates

Understanding the College’s financial position

The college is facing a significant and ongoing budget challenge. Over the past three years, expenses have outpaced revenues:

• FY2022–23: -$11.1 million
• FY2023–24: -$15.2 million
• FY2024–25: -$26.1 million

This year, the college is working to address a projected deficit of approximately $37.7 million. At the start of bargaining, it was shared that the college has a contingency balance of $7.5 million, with about half available to support agreements with both bargaining units.

The current agreement exceeds the amount initially identified for bargaining and will require additional reductions in other areas of the college’s budget.

Movement during bargaining

Throughout bargaining and mediation, the college increased its financial offer and made adjustments based on feedback:

For FCE:

• February 2026 (Last Best Offer): $1.79 million
• At the start of the strike: $4.18 million
• Current tentative agreement: $5.2 million

This represents an increase of more than 190% since February.

For FFAP:

February 2026 (Last Best Offer): $3.9 million

• At the start of the strike: $8.189 million
• Current offer: $14.168 million

This represents an increase of more than 260% since February.

Management counter proposal to FFAP, March 30, 2026

At the onset of bargaining, it was made clear that the college has a contingency balance of $7.5 million, half of which is available for bargaining with both bargaining units. The college is working to offset a biennium budget deficit of roughly $37.7 million. This offer is greater than the stated amount and will result in significant additional cuts for the upcoming biennium.

Failure to accept this offer may result in changes to the upcoming Spring term and would result in reduced financial capacity to fund the offer. Additionally, if employees are not back to work by April 7, 2026 they will no longer be eligible for college provided benefits,
including insurance coverage and leave accrual.

Upon acceptance of this proposal, Faculty and APs shall return to work on Tuesday, March 31, 2026. Faculty shall submit grades no later than 8:00pm on Wednesday April 1, 2026.

Total cost of FFAP package: $14.168 million

The college is proposing three options for consideration:

Salary structure increases

• 2% for 2025/26 (upon ratification)
• 3% for 2026/27

Lump sum payments (paid in the next regular payroll cycle)

• Full-time faculty: $4,475
• Academic Professionals: $4,000
• Part-time Academic Professionals and Faculty (who have taught a course for AY 2025-26): $500

Part-time pay schedule adjustment

Effective September 1, 2026, the College will increase the Part-time Pay Schedule in Appendix C as follows: 75% to 76%.

Payment for doctoral or terminal degrees

Upon ratification, faculty who hold a doctoral or terminal degree, which is not required by the minimum qualifications for their position, as documented with Official Transcripts provided to PSEC, will receive the following one-time stipend. The College will provide FFAP with a copy of data collected on stipend recipients.

• Full-time faculty: $1,000
• Part-time faculty (at 1.5 FTE as calculated for health insurance): $1,000
• Part-time Faculty (under 1.5 FTE as calculated for Health Insurance qualification): $500

Healthcare

Monthly insurance contribution caps (effective first payroll cycle following ratification)

• Single: $835
• Single + spouse: $1,566
• Single + family: $1,415
• Full family: $2,228

Health Savings Account (HSA)

• Beginning October 2026 open enrollment
• Employees selecting an HSA-eligible plan (Moda or Kaiser) will receive the remaining district contribution deposited into their HSA

Part-time faculty insurance contributions

• Prorated based on FTE (compared to 3.0 FTE for full-time faculty)
• Minimum contribution: 65%

Vacation payout

Academic Professionals may cash out up to 40-hours of vacation accrual or the ratio based on less than 1.0 FTE. The employee leave balance must reflect the value in their accrual as of the date of request. The request must be submitted through Workday no later than May 15, 2026.

Additional non-instructional days

Full time faculty will add 4 non-instructional days to be scheduled during the 2025-26 academic year (to be worked no later than August 20, 2026). These days will not increase the annual salary. They are to be coordinated with the administrative supervisor no later than May 1, 2026.

Return to work

No employee who participated in the strike shall lose benefits for any period of the strike. This includes but is not limited to health insurance, and paid time off (vacation/sick leave). Any employees who have a required number of contract days shall not be required to add any contract days in order to have fulfilled their contract obligations.

• March 30-April 3, 2026:
  • Part time faculty will complete Winter term work and conduct any necessary Spring preparation during the week of March 30. They will receive the BW 8 pay in full on April 10.
  • Full time faculty will not be required to teach classes during the week of March 30 in order to complete Winter term work and submit grades, and conduct any necessary Spring preparation.
  • Academic Professionals will conduct any necessary Spring preparation to include supporting students who need to complete Winter term and/or register for Spring term.
• Spring Term (April 6-June14):
  • Spring term is structured as a shortened 10 week term (9 weeks of instruction and finals week). Part time faculty will receive the 12 week payment and Full time Faculty and Academic Professionals will resume regular pay cycles beginning March 30, 2026.

Additional Return to Work Agreements:

• Any employee who had paid leave approved prior to the strike and subsequently had it canceled by management during the strike, will have their leave restored.
• All employees returning to work shall be restored to their pre-strike positions, pay rates, and classifications without loss of seniority, service credit, or status.
• All health insurance and paid time off (vacation/sick leave) accruals shall be treated as if the employee had been actively working throughout the strike period.
• The College shall return equipment, keys, and credentials to employees prior to returning to work.
• No Retaliation/Discipline: Employees shall not be subject to any adverse action, disciplinary measures, or performance reviews based on their participation in, or support of, the strike.
• Any and all strike-related activity or “job abandonment” notations shall be expunged from personnel files.
• Upon return, faculty and APs, as salaried employees, shall make up work that they were unable to do during the strike. They shall work with their supervisors to make a plan to complete outstanding work resulting from strike activity in a reasonable timeline.
• Faculty and APs shall return to work on Tuesday, March 31, 2026.
• Faculty shall submit grades no later than 8:00pm on Wednesday April 1, 2026
  • Any instructor who cannot meet this deadline will work with their supervisor to establish a new deadline.
  • This deadline does not mean instructors will not be completing further Winter term work during this week.
• Students will return to instruction and Spring term on Monday, April 6.
• The College agrees that the Federation can use PCC email for the tentative agreement ratification vote.

FCE Tentative Agreement, March 25, 2026

At the onset of bargaining, it was made clear that the college has a contingency balance of $7.5 million, half of which is available for bargaining with both bargaining units. The college is working to offset a biennium budget deficit of roughly $37.7 million. This offer is greater than the stated amount and will result in significant additional cuts for the upcoming biennium.

The college proposes the following:

Total cost of FCE package: $5.2 million

Salary structure

• • 0% for 2025/26
  • 5% for 2026/27
  • One-time lump sum payment of $1,350 to each bargaining unit member employed at the time of payment

Healthcare (effective first payroll after ratification)

• • Single: $835
  • Single + spouse: $1,566
  • Single + family: $1,415
  • Full family: $2,228

Beginning October 2026 open enrollment

• Employees selecting an HSA-eligible plan will receive the remaining district contributions into an HSA
• The college will provide training and resources to support informed healthcare decisions

Additional support

• Information sessions on Oregon Family Paid Leave
• One-time option to cash out up to 40 hours of vacation (deadline: May 15, 2026)

Layoff notice

• 90-day severance pay, including continued insurance benefits

Additional agreements and commitments

• Opt-out incentive of $200/month (prorated by FTE) for eligible employees
• Paid participation in the TRUPP Taskforce
• Acceptance of the FCE proposal on sick leave bank contributions
• MOU on Career Development (March 20, 2026 proposal)

Resumption workgroup

A Resumption Workgroup has been established to support the college’s return to full operations:

• Phase 1: Immediate operational restart
• Phase 2: Support student progress and academic continuity
• Phases 3 & 4: Longer-term recovery, communication, and policy improvements

Future work will include cross-functional participation, including represented employees.

Return to work

The agreement includes a return-to-work provision ensuring:

• No retaliation for employees who participated in the strike
• Employees return the next business day following acceptance (with at least 10 hours’ notice)