CSU Budget Cut Still Provides for Continued Student Access

(May 14, 2002) The Governor today proposed a general fund support budget of $2.758 billion for the California State University, which includes one-time cuts but adds revenue to fund more than 20,000 additional students in 2002/03.

"We appreciate the governor's continued commitment to meet the California State University's escalating enrollment demand by adding another 1 percent for student growth," said CSU Chancellor Charles B. Reed. "The budget still leaves the CSU with unmet needs, but in this harsh budget climate we realize that it is not possible to meet all the system's requests."

The May Revise increases the budget released by the governor in January by $19.5 million for enrollment growth. However, it reduces CSU's base budget support by $43 million in one-time cuts in long-term needs such as technology, libraries, maintenance and equipment.

The CSU will receive $11.7 million in new non-resident tuition fee increases of 15 percent in the governor's budget. The CSU Board of Trustees is expected to approve that increase at its meeting on May 15. This additional money will be used to fund the overall budget plan for 2002/03.

The governor's budget now goes to various legislative committees, which will take action on the proposal over the next two months. The governor is expected to sign a budget bill by July 1, the start of the new fiscal year.

Contact: Colleen Bentley-Adler, (562) 951-4801, cbentley-adler@calstate.edu

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Last Updated: 14 May 2002

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