The California State University Employee Update
Monday, June 18, 2010

Trustees Vote to Increase Student Fees
The California State University Board of Trustees today voted to raise student fees by 5 percent for undergraduates and graduate and professional programs. The State University Fee will be $4,230 for full-time undergraduate students in fall 2010, a $204 increase over last year.

Including the current average campus fee of $867, full-time undergraduate students will pay an average $5,097 per year, the lowest fee among comparable institutions. 

More than 187,000 CSU students will pay no fee increase due to increases in the State University Grants, federal grants, CSU fee waivers and expanded federal tax credits.  Additionally, the CSU is the largest recipient of federal Pell Awards.  Factoring in financial aid, families who make $70,000 or less will not pay any fees.  Financial aid and federal tax credits will also be available for many other students, including those with family incomes of up to $180,000.

"The board's decision to limit the student fee increase to 5 percent is based on the State Assembly budget committee proposal that provides additional state revenues.  It will allow us to move forward with adding classes and sections for students this fall," said CSU Chancellor Charles B. Reed.  The board may revisit fee levels in November if the state does not fully fund the proposed budget. 

The California State Assembly budget committee proposal maintains the governor's proposed 2010-11 budget-- which restores a $305 million one-time cut to the CSU’s current budget and includes an additional $60.6 million in funding for the CSU’s enrollment growth. The Assembly proposal also would provide additional state revenues as a partial replacement of CSU fee revenues.  Revenue from a 5 percent fee increase ($50 million), coupled with the funding proposed in the Assembly's version of the budget, would provide the CSU with an increase of roughly $466 million over the 2009-10 budget. But the funding still falls short of the $480 million needed to fully restore resources to 2007-08 levels. 

In addition to undergraduate students, fees will increase $234 for credential program participants and $252 for graduate students. 

The trustees also increased fees for the education doctorate program by 10 percent, which will rise to $9,546 from $8,676. The fee is mandated by state legislation to remain at or below the level of state-supported doctoral degree programs offered by the University of California, which are $10,302 for the 2010-11 academic year.

For nonresident CSU students, per unit fees will remain at the same levels, but the cap of $11,160 has been lifted, and the tuition paid per term will be calculated based on the number of units taken.

The CSU has faced unprecedented cuts in state support over the past two years totaling approximately $625 million, and has implemented a number of measures to address the funding shortage including employee furloughs, layoffs, increased student fees, reduced enrollment, and other cost-cutting measures.

If the state support currently proposed for 2010-11 by the governor and the legislative budget committees is approved by the legislature as a whole, the CSU could serve as many as 29,000 more students and restore additional classes and sections.