CSU Faces Proposed Budget Impact of $288 Million for 2008/09
Fails to Fund Student Access, Mandatory Costs for Health Services, Compensation Agreements
The California State Legislature's Budget Conference Committee has agreed to fund the CSU at Governor Arnold Schwarzenegger's May Revise proposed level. The State Budget still needs to reach 2/3 vote of the legislature before it becomes final. The conference budget could still be cut further. It now represents a reduction of $288 Million for the California State University in the 2008-09 budget. For CSULB, it would have an $8.6 Million problem and would no longer be in a position to increase enrollment as it has done in recent years. Unfortunately, this enrollment reduction comes at considerable cost as qualified freshman and transfer applicants will be denied admission at a time when applications for fall admission are at an all-time high and among the highest in the nation.
The proposed budget cuts will impact student access to the California State University since not all qualified students will be admitted.
- The CSU has asked for revenue to increase enrollment by 2.5 percent or 10,000 students for 2008/09. This is not included in the proposed budget.
- That means that 10,000 qualified students will not have the opportunity to attend a CSU because we will not be able to offer them a slot at any CSU campus.
As the major supplier of graduates into the state’s workforce, budget cuts to the CSU will have an impact on key industries in California.
- CSU graduates nearly 90,000 students into the state’s workforce each year.
- We supply the majority of the workforce in key industries including nursing, teaching, agriculture, business, public administration and technology.
- For every dollar the state invests in the CSU, $4.41 is generated in economic activity.
- Industries which rely on CSU graduates for their workforce include:
- Nursing – 64%
- Business – 65%
- Agriculture – 52%
- Life sciences – 44%
- Education – 87%
- Public Administration – 82%
- Criminal Justice – 89%
The proposed budget cuts will impact the long term prospects of increasing college-going rates of underserved communities in California.
- The pipeline of students in K-12 is two-third students of color, and it is critical to the state’s future that more students from underserved communities attend college.
- The CSU has experienced an increase in enrollment of first-time freshmen from underserved communities over the past few years as a result of our partnerships with K-12 and community-based organizations.
- The largest growth has been among first-time freshmen Hispanic (9.5 percent) and Native American students (8.2 percent). African American student enrollment is up by 6.5 percent.
