SGA considers proposal to amend budget practices

A resolution has been introduced in the SGA that would limit the growth of the SGA budget by an amount equal to tuition increase, in order to address a potential conflict of interest between the SGA and the Activities Tax Council (ATC). The SGA budget has almost tripled since 2008, increasing by more than 25% each year for the past three years.

The resolution would limit budget spikes as well as the potential for a conflict of interest. There are three SGA members on the ATC, one of whom is the SGA treasurer. Even though these three members recuse themselves from debate on the SGA budget, there is a lingering conflict because the SGA has final approval over the budgets of all chartered organizations, including its own.

"The discussion [about the resolution] arose… from what really is a conflict of interest," said Senior Class President Faheem Rathore, '12.

Other SGA members agreed that the resolution would eliminate the appearance—rather than the reality—of a conflict of interest.

"I do think that there is a potential conflict of interest, I do not think that anything is affected by it at all…" said Sophomore Class President Will Reese, '14. "I can't imagine a situation where there would be an actual conflict of interest, where the SGA wouldn't approve the budget because they don't like what they've been allocated."

The amendment recently passed the SGA Charters and Bylaws Committee and the SGA will vote on it as early as this week.

"I hope to present it to the SGA at the end of January," said Cas Peters, '12, SGA senator and Charters and Bylaws Chairman.

The proposed amendment would constitute a single line added to the SGA bylaws, worded as follows: "SGA budget requests cannot exceed increases in student tuition, percentage wise."

"So… if student tuition goes up 10%," Peters explained, "therefore the Activities Tax Fee, the money that is in that pot, also goes up 10% [because] the student tax fee is 1% of tuition. The SGA cannot ask for larger than the student tuition increase. So if the student tuition increase is 10%, [the SGA] can't ask for more than 10%."

"If anyone is supposed to get the ATC relationship correct, it's the SGA," Peters said. "As a leading organization on campus, it's the SGA's duty to responsibly lead by example how to appropriately apply for ATC funds. The best way I can see the SGA doing that is by adopting [the proposal]."

The proposal resembles a Union Board policy, a similar limitation on budget growth. Many of the SGA members presenting the proposal cited the Union Board as an example to follow organization and effective budget spending.  

 "The Union Board operates under the same rules," Rathore said. "We're just mirroring another organization that has a bigger budget and is a lot more well-oiled in terms of dispensing the money."

"The Union Board does a phenomenal job," Reese said. "They spend almost everything… the SGA doesn't do that."

Indeed, the SGA annually leaves roughly $4,000 of their budget unspent, despite requesting more money each year.

"The SGA doesn't do a good job of spending the money allocated," Reese said.

Although this is not a problem unique to the SGA—the majority of chartered organizations fail to spend all of their budget—the proposal would hopefully limit this budget surplus, in addition to eliminating the potential for a conflict of interest.

"My hope in that is for the SGA to gain more legitimacy in the eyes of the Davidson College students," Peters said. "Part of the SGA's job is to govern. You can't govern if you don't have legitimacy. By passing this you're improving the legitimacy and you're proving the legitimacy of the Davidson College SGA. Without legitimacy, you can't govern."