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news
Prospective CSU
budget foresees cuts
By Marissa Tschiedel
Special to the On-line Forty-Niner
The state's slowing
economy, among other factors, has raised concerns about the
available funding for the California State University system,
as the CSU 2002/2003 budget proposal heads toward final submission
Oct. 25.
"In the past the standard increase in the budget was
10 to 12 percent because of the good economy," said Colleen
Bentley-Adler, director of public affairs for the CSU Office
of the Chancellor. "Now, the downward economy is bound
to affect the budget and that will affect education."
Another budget concern is the Sept. 11 tragedy and how it
will impinge on the state's available funds. There will be
an increase in the state's security and the cost will impact
education, Bentley-Adler said.
The energy crunch, which has diverted money from education,
the slowing economy and the national tragedy are issues that
must be taken into consideration before the governor can revise
the final CSU budget proposal Oct. 25.
The CSU has received increases in its budget for the past
seven years. Despite those increases, the CSU has a $716 million
cumulative budget gap, which includes money to close the faculty
salary gap, fund libraries and other instructional equipment
and open new space, said Richard West, CSU executive vice
chancellor and chief financial officer.
Due to the enrollment demand the CSU's pressure on services
will continue to increase.
"Enrollment growth has been steady, 3 to 4 percent every
year. It is important to secure funds to provide services
and compensations for faculty and staff," Bentley-Adler
said. "This year there was only be a 2 percent increase
in the budget, we would have liked 4 percent."
One positive aspect is that the CSU has not raised tuition
since 1994.
In the 2001-2002 budget shortages initially drained the employee
compensation pool. The pool supports funding need to give
the faculty and staff appropriate raises that include cost
of living increases and merit.
The majority of CSU funding comes from the state, as much
as 70 percent, said Bentley-Adler.
Currently, the CSU is developing a budget with the governor
that calls for specific increases in General Fund money, which
finances programs and faculty services, to support the needs
of the CSU. Bentley-Adler said it is too early to tell what
programs and services will be affected. The governor will
review all aspects of the state budget and then review the
CSU proposed budget.
The CSU Office of the Chancellor will post the final budget
proposal document online one week before the Oct. 25 conference
call that will finalize the 2002/2003 CSU budget.
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