{"id":273265,"date":"2024-05-19T23:55:00","date_gmt":"2024-05-20T06:55:00","guid":{"rendered":"https:\/\/timesofsandiego.com\/?p=273265"},"modified":"2024-05-20T06:32:33","modified_gmt":"2024-05-20T13:32:33","slug":"amid-big-deficit-latest-state-budget-cuts-funding-for-uc-and-cal-state-systems","status":"publish","type":"post","link":"https:\/\/timesofsandiego.com\/education\/2024\/05\/19\/amid-big-deficit-latest-state-budget-cuts-funding-for-uc-and-cal-state-systems\/","title":{"rendered":"Amid Big Deficit, Latest State Budget Cuts Funding for UC and Cal State Systems"},"content":{"rendered":"\n
\"SDSU<\/a>
The San Diego State University campus in Imperial County. Courtesy SDSU<\/figcaption><\/figure>\n\n\n\n

Chalk it up to California dreaming: Not even three years ago, Gov. Gavin Newsom promised California\u2019s public universities five years of annual growth in state support totaling more than $2 billion.<\/p>\n\n\n\n

But the governor\u2019s updated budget plan for next year instead aims to cut the University of California and California State University by a combined $200 million in response to the state\u2019s project multi-billion-dollar budget deficit<\/a>.<\/p>\n\n\n

\n
\"CalMatters<\/a><\/figure><\/div>\n\n\n

The five-year compact is at risk of turning into a humbler two-year vow, underscoring the difficulty of projecting multiple years of support for California\u2019s top generators of bachelor\u2019s degree recipients \u2014 a state particularly at the mercy of large revenue swings.

The UC would see a $125 million base funding cut in 2024-25, with plans to restore that dip in 2025-26. For Cal State, the governor\u2019s May budget revision includes a $75 million cut that\u2019ll be restored in 2025-26.<\/p>\n\n\n\n

The numbers were shared with CalMatters after it sought more detail from the California Department of Finance about its higher-education plans that are part of the annual May Revise process. It\u2019s an update to the governor\u2019s initial January proposal and sets the stage for intense budget negotiations with the Legislature to finalize a state budget<\/a> by late June. The 2024-25 budget year begins July 1.<\/p>\n\n\n\n

The fiscal outlook gets modestly rosier later for the two systems, which combined run 33 universities that enroll around 750,000 students.<\/p>\n\n\n\n

Each system would receive a modest bump of 2.05% in 2025-26 \u2014 a far cry from the 10% the governor projected in his January budget proposal. That 10% itself was a compromise. Each system was supposed to see a 5% bump in 2024-25 and the same in 2025-26. But in January, Newsom called for no bump in year one and to double-up in year two as a way to manage the state deficit.<\/p>\n\n\n\n

That 10% for the two systems would have meant $1 billion combined in 2025-26, according to the Legislative Analyst\u2019s Office<\/a>. A mere 2% increase would total roughly $200 million.<\/p>\n\n\n\n

The analyst\u2019s office basically presaged the change of fortune for the universities. When Newsom unveiled his compact plan in 2022, a promise of increased spending in exchange for improvements in student academics, the office wrote<\/a>: \u201cWe caution the Legislature against putting too much stake in the Governor\u2019s outyear commitments to the universities.\u201d Previous governors have rarely \u201cbeen able to sustain their compacts over time,\u201d the office noted.<\/p>\n\n\n\n

One reason? \u201cIn some cases, changing economic and fiscal conditions in the state have led governors to suspend their compacts,\u201d the office wrote then.<\/p>\n\n\n\n

Whether lawmakers fight to restore these cuts is an open question. More money for campuses means they can pay to hire more faculty and offer more classes students need to graduate. The additional state support is also a particular lifeline for Cal State, which agreed to 5% raises for its roughly 60,000 unionized workers, including the nearly 30,000 faculty who went on strike<\/a> late last year and early this year demanding wage and benefits gains.<\/p>\n\n\n\n

But a dollar spent one place means it\u2019s not spent elsewhere, and the governor is also proposing to swing his budgetary scythe at student financial aid. Under his May revision, the Middle Class Scholarship would shrink by more than $500 million to $100 million each of  the next two years<\/a>.<\/p>\n\n\n\n

Around 300,000 students received that award this year, with average amounts between $2,000 and $3,000. If the governor\u2019s plan becomes law, those amounts could shrink by 80%, on average<\/a>.<\/p>\n\n\n\n

One higher-education watchdog worries the cuts and limited growth will affect low-income students most.<\/p>\n\n\n\n

\u201cWith this funding being cut, I think it\u2019s going to require a real concerted effort over multiple years to make sure that those students are brought back into higher education and have the supports that they need over multiple years to actually make it to graduation,\u201d said Joshua Hagen, director of policy and advocacy at the Campaign for College Opportunity, a nonprofit advocacy group.<\/p>\n\n\n\n

CalMatters<\/a>\u00a0is a public interest journalism venture committed to explaining how California\u2019s state Capitol works and why it matters.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

The latest version of the state budget cuts funding by a combined $200 million for California\u2019s two public university systems.<\/p>\n","protected":false},"author":2,"featured_media":194803,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"MSN_Categories":"News","MSN_Publish_Option":true,"MSN_Is_Local_News":true,"MSN_Is_AIAC_Included":"Empty","MSN_Location":"[{\"longitude\":\"-117.164\",\"latitude\":\"32.7158\",\"locality\":\"San Diego\",\"subRegion\":\"San Diego County\",\"region\":\"CA\",\"country\":\"United States\"}]","MSN_Add_Feature_Img_On_Top_Of_Post":false,"MSN_Has_Custom_Author":false,"MSN_Custom_Author":"","MSN_Has_Custom_Canonical_Url":false,"MSN_Custom_Canonical_Url":"","newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","jetpack_post_was_ever_published":false,"apple_news_api_created_at":"2024-05-19T15:20:52Z","apple_news_api_id":"f6fd0cfa-1b14-4bbc-96df-be5498ebf356","apple_news_api_modified_at":"2024-05-20T13:32:37Z","apple_news_api_revision":"AAAAAAAAAAAAAAAAAAAAAA==","apple_news_api_share_url":"https:\/\/apple.news\/A9v0M-hsUS7yW375UmOvzVg","apple_news_coverimage":0,"apple_news_coverimage_caption":"","apple_news_is_hidden":false,"apple_news_is_paid":false,"apple_news_is_preview":false,"apple_news_is_sponsored":false,"apple_news_maturity_rating":"","apple_news_metadata":"\"\"","apple_news_pullquote":"","apple_news_pullquote_position":"","apple_news_slug":"","apple_news_sections":[],"apple_news_suppress_video_url":false,"apple_news_use_image_component":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false}}},"categories":[5],"tags":[4354,1125,34795,5973,3081,3974,729],"newspack_spnsrs_tax":[],"coauthors":[273190],"jetpack_publicize_connections":[],"apple_news_notices":[],"yoast_head":"Amid Big Deficit, Latest State Budget Cuts Funding for UC and Cal State Systems - 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