KCTCS president briefs budget subcommittee on flood response, workforce role and $90 million HB 6 capital plan

Dr. Ryan Quarles, president of the Kentucky Community and Technical College System (KCTCS), told the House Budget Review Subcommittee on Postsecondary Education that KCTCS is assisting campuses and students affected by recent flooding, continuing statewide workforce training, and is ready to move forward on three capital projects funded by last year's budget.

Quarles briefed the committee on systemwide flood impacts, immediate student aid and sheltering. "We're going to do everything possible to make sure that this disaster does not get in the way between you and stepping across stage on graduation day," Quarles said, describing emergency funds and local fundraising efforts for Big Sandy, Hazard and Southeast campuses. He said some faculty and staff have been displaced and that the Lee's College campus in Breathitt County with HCTC is being used as a shelter while the Mayo campus in Johnson County is working with the Red Cross; a 100-bed shelter was operating as of Wednesday.

The update included systemwide statistics and workforce activity. Quarles said KCTCS educates roughly 45% of Kentucky undergraduates, has about 7,000 students enrolled in credit-bearing programs at the moment and has seen enrollment rise more than 7% year over year. He told the panel KCTCS comprises 16 colleges and about 70 campuses, provides about 68% of dual-credit instruction in the state and is the largest GED provider, accounting for roughly 54% of GEDs; he noted KCTCS awarded more than 4,500 GEDs to incarcerated Kentuckians over the past five years. "I like to say that we are the workforce juggernaut of Kentucky," Quarles said, adding the system partners with more than 5,000 employers annually and serves about 88,000 Kentuckians through workforce training who are not currently pursuing credentials.

Quarles reviewed internal reforms and audits. He said KCTCS has addressed observations from a 2023 state audit and is working through additional internal and forensic audit recommendations. He said systemwide personnel reclassification was the first in 20 years and that KCTCS has removed 400 underused credentials to focus on higher-demand programs.

On capital spending, Quarles described the use of $90 million appropriated in House Bill 6 for an "efficient operations and innovation" plan tied to the system review. He said the funding has already been appropriated and that KCTCS has identified three priority capital projects: (1) a workforce-focused facility at Somerset Community College to house diesel and automotive technology, welding, HVAC, computer-aided design and additive manufacturing (3-D printing), electrical and other flexible lab space; (2) replacement of an aging 12-story building in Louisville whose interior fails to meet current building codes and ADA standards; and (3) a relocated and expanded Allied Health facility at the Glasgow campus of Southcentral Kentucky Community and Technical College to expand nursing and allied health programs for rural hospital needs.

Quarles told the committee delays would raise costs and said the system plans to proceed with construction promptly. He also said operational costs for a recently opened BlueOval SK training facility in Glendale have been covered for the first year with assistance from the Cabinet for Economic Development but that KCTCS may request additional operational funding in the next budget cycle. Representative David Tipton asked, "Could you give us an update on how that's going? And are there enough workers from from Blue Oval coming through there, and you're getting enough fees to cover your cost?" Quarles replied that the building is open and operational, that trainees from the joint venture are being trained there, and that state assistance helped cover initial operating costs.

Other details Quarles shared included property sales and space evaluations: KCTCS sold eight buildings in the past year and is working to dispose of four more, and the system is assessing space utility to right-size facilities. He also said roughly 80% of system policies are out of date and that KCTCS has a staff member devoted to policy updates. Quarles closed by describing four reform "buckets" under review (KRS changes, regulatory reform, policy reform and broader higher-education issues such as the future of dual credit and scholarship programs).

The presentation was informational; the committee did not take formal action on the items discussed. Representatives present offered praise and support: Representative Bobby McCool, a former member of the system's Board of Regents, thanked Quarles for leadership and emphasized the system's importance to statewide workforce development.

Quarles and his staff said they would answer any follow-up questions and offered committee members copies of the system review report and related materials.