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The California State
University will face an increasingly challenging fiscal situation over
the next 17 months and beyond as a result of the budget package passed
by the Legislature and signed by Gov. Arnold Schwarzenegger today (Feb.
20). The budget reduces state general fund support to the CSU for the
current fiscal year, 2008-09, by $97.6 million, and calls for an
additional $66.3 million cut for 2009-10. Overall, the reduction places
CSU $283 million below its operational needs, or approximately 10
percent.
Also, the 2009-10 budget includes an additional $50 million cut to the
CSU, depending on the size and scope of the federal stimulus package.
“While we recognize the severity of the state’s fiscal crisis, the
budget does not provide the resources the system needs to meet the needs
of our students and fund our operations,” said CSU Chancellor Charles B.
Reed. “This will impact our ability to maintain quality and services for
our 450,000 current students, and we have already been forced to reduce
incoming student enrollment levels for this fall.”
Fresno State President John D. Welty said the university will be
assessing the budget cut’s impact on the campus.
“We are working diligently, quickly and collaboratively – in
consultation with students, faculty, staff and administrators – on ways
to minimize the impact of budget cuts on our students and on Fresno
State’s long-term educational mission, so vital to our region,” he said.
“I’m confident that our recently adopted campus budgeting principles are
guiding us in the proper direction.”
This is the second year in a row the CSU has received no funding for
enrollment growth or increased operational costs such as energy and
health benefits. CSU is already serving 10,000 students for whom the
state provides no funding. As a result, the system has been forced to
reduce enrollment levels by 10,000 this fall to align with student
funding provided by the state.
As the CSU prepares the majority of California’s workforce in key
industries including nursing, agriculture, business, public
administration and technology, the budget cuts will have a direct impact
on the state’s economy and limit CSU’s ability to provide graduates for
these key areas.
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