Cal State Seeks Budget Increase of $118 Million

Officials of the 20-campus California State University system on Friday requested a 7% increase in state funds for next year, warning that anything less will lead to enrollment limits or a drop in education quality.

The $118-million increase would raise the amount the system receives from the state to $1.77 billion.

The Cal State Board of Trustees postponed action on student fees and staff pay raises, items that could sharply change spending plans.

Cal State Chancellor Barry Munitz described the funding request as “a survival budget, one that meets only the very basic educational needs” for 370,000 students. The proposal faces tough scrutiny in Sacramento because of the recession’s devastating effect on state revenues.

The Cal State system received $1.64 billion in state general revenue funds this year, $60 million less than in 1990-91. The result was a 20% hike in student fees and cancellation of nearly 4,000 class sections throughout the system. Officials signaled that they would rather freeze or cut enrollment next year instead of slashing course offerings again.

“I think it’s an unethical position for our system to admit more students when we can’t serve them,” said John W. Moore, president of Stanislaus State.

California’s Master Plan on Higher Education requires that the top academic one-third of high school graduates will be accepted to at least one Cal State campus, and the top one-eighth will be accepted at a UC school. Munitz said such a policy is in jeopardy because of funding. “We have hit the wall,” he said.

Under state policy, student fees are supposed to increase by no more than 10% a year except in financial emergencies. So, in theory, Cal State students could see half of last year’s hike, which brought basic fees to $936 for full-timers who are state residents, rolled back. But, given the state’s financial situation, a rollback is considered unlikely. Cal State officials said an increase of 10% or 20% was possible but postponed any vote on that or on staff and faculty pay increases until they sound out the governor and Legislature.

Munitz said he feared increasing student fees now would cause state government to simply cut general revenue funding. “We cannot ask the students to take another fee increase if all it does is relieve a state burden and makes no contribution toward improving the quality of their education,” he stated.