Housing Allowances of Cal State Chiefs Raised : Education: Some officials will receive up to $18,000 a year. Action by trustees is part of a plan to make campus presidents’ total compensation more competitive.

Cal State University trustees approved a plan Wednesday to raise campus presidents’ housing allowances to as much as $18,000 a year, the first part of a two-step proposal aimed at boosting executive compensation in the 20-campus system.

Chancellor Barry Munitz said the new housing schedule--which for some presidents translates into increases of 230% to 329% over what they have been getting--is necessary to attract and retain the top executives, as well as to compensate them for the growing practice of using their private residences for community outreach and fund raising.

Even with the increase, Munitz told trustees, the housing allowances, which go into effect immediately, are still a third to a half of what comparable institutions are paying their presidents.

But William Moton, chairman of the California State Students Assn., said the new allowances may be “overdoing it” because trustees are expected to also raise campus presidents’ salaries in January.

“Having an allowance on top of salary increases, when you are getting $135,000 a year--plus a free car--(means) you’re really getting paid well,” said Moton, a student at Cal State Bakersfield. “That’s when raises become ridiculous.”

The new housing allowance applies to 14 campus presidents who own their homes. Top administrators at six campuses--Northridge, Fullerton, Long Beach, Pomona, San Luis Obispo and Fresno--have houses provided and will receive no allowance.

Under the plan approved Wednesday, Cal State presidents will receive allowances of $12,000, $15,000 or $18,000, depending on where they live.

The biggest hike goes to Sacramento State President Donald R. Gerth, whose housing pay will jump from $4,200 to $18,000 a year--a 329% increase. Munitz said Gerth deserved the biggest increase because his house, located in the state capital, will be used increasingly for systemwide functions along with campus-related activities.

The next-highest increases go to Bakersfield’s Tomas Arciniega and Humboldt’s Alister McCrone, whose allowances go from $3,600 to $12,000, a 230% jump. Hayward’s Norma Rees receives the smallest increase, from $15,600 to $18,000, or 15%.

Cal State officials said the allowances, which had not been changed since 1984, represent the first semblance of a raise for any top administrator in more than three years, when former Chancellor W. Ann Reynolds was ousted after pushing through 21% to 43% pay raises for herself and other executives in closed session.

Mindful of such history, Munitz first broached the subject of raising overall executive compensation in September, when he distributed a survey showing that Cal State presidents were paid nearly 21% less than their counterparts at comparable public and private systems in Texas, Wisconsin, New York, Colorado, Arizona and other states. The average for the other schools was $145,000 a year, compared to Cal State’s average of $120,075.

At Munitz’s urging, trustees then passed a resolution basing proposals for the presidents’ salaries on compensation at 20 comparable schools, including USC and Arizona State University. They also said California real estate sales reports should be the basis for computing new housing allowances.

The move prompted a round of protests, including a letter from Sen. Tom Hayden (D-Santa Monica) and four legislative colleagues expressing “concern and frustration” about the expected raises during an era of budget cuts, rising student fees and enrollment loss. From a peak of 347,000 in 1990, enrollment is down this year to 327,765.

Originally, Munitz said he would bring a new presidential salary and housing allowance schedule to trustees Wednesday for consideration. But he said Wednesday he decided to hold off on the more controversial presidential salary requests so they could be considered in tandem with potential raises for faculty and staff. Faculty salaries average $54,648.

“There ought to be a relationship between the two,” he said.