Former Ivy Tech president receives $1M retirement payout

The former president of Indiana’s community college system received a retirement payout worth more than $1 million despite the university's struggle with budget cuts.

Tom Snyder retired as president of Ivy Tech Community College in June 2016 after almost 10 years at the helm, the South Bend Tribune reported .

He reached a separation and general release agreement with the college's board of trustees about two weeks later. The college agreed to pay Snyder the lump sum severance amount, minus what the college contributes toward his retirement plan.

College officials said the payout includes salary for 2016-2018, deferred compensation, vacation and sick pay payout, and taxable vehicle and personal use funds.

The college's payments to Snyder ended in 2016 and he isn't receiving compensation from the college in 2017, college officials added.

Snyder's retirement came at a time when the community college system's enrollment had dropped by 25 percent over three years, to about 91,000 students. The university laid off employees and left positions unfilled in response to the loss of revenue.

Legislators put Ivy Tech construction plans on hold in 2015. They ordered the Indiana Commission for Higher Education to review and restructure the college's programs that had low graduation rates.

The payout wasn't revealed at the time of Snyder's retirement. The newspaper requested the details of the payment through a public records request.

The college has made similar settlement agreements with other employees. In the past year, the college's north central region settled for $30,000 and nearly $40,000 with at least two former administrators. The settlement agreement requires the employees not to sue the college.

The board considered more than 30 candidates and unanimously elected former Lt. Gov. Sue Ellspermann to be the college's next president. She signed an initial three-year contract and earns about $300,000 a year.