CSU budget may grow

The California State University system may be getting a larger budget for the 2000-01 academic year, CSU Chancellor Charles B. Reed said Monday. 

The increase proposed by Gov. Gray Davis and the state Senate will be used to fund a 6 percent raise for teachers, a CSU campus on the Channel Islands and high-cost programs such as nursing, Reed said in a statewide teleconference. 

The governor has proposed $244 million, and the Senate has proposed adding $73 million to that amount for the CSU system, Reed said. 

Cal State Long Beach's current budget exceeds $197 million, said Rodney Riddeau, the associate budget director for the Chancellor's office. 

However, more than $6 million will be deducted from the retirement fund because the fund has grown significantly from its investments. Therefore, the state deducted money from the fund to give back to other programs, such as teacher preparation and Equal Opportunity Program grants. 

But starting July 1, more money will be allocated to the university and the budget will likely increase, he said. Riddeau said this is a normal process for yearly budgets. 

If implemented, the new budget will also cause a significant raise in financial aid, Reed said. The budget is planned to allocate $120 million for CSU grants. 

The budget increase also results from the rising enrollment in the CSU system, Reed said. 

"Tidal Wave II is not on the way -- it's already here," Reed said, referring to the expected enrollment flood. 

Like many other schools, CSULB is pushing its capacity, and the universities' presidents are anticipating more students, Reed said. Therefore, campuses may have to double their housing capacity. 

CSULB is looking to add more housing, said Armando Contreras, executive assistant to CSULB President Robert Maxson. 

The money for more housing will come from housing reserves, or revenue generated especially for housing, Contreras said. 

However, the university has to see if the demand for housing is stable because it would be financially damaging if new dorms were built and nobody is living in them, he added.