State budget increases funding to CSU
Note: the following e-mail was sent on 10/8/10 to all faculty and staff.
Dear colleague:
The much-anticipated passage of the California state budget today is good
news for SF State. With a combination of recurring and federal stimulus funds,
the budget represents an increase of $365.6 million over last year for the
California State University system, and nearly $90 million in capital outlay
projects that include $3 million to equip the J. Paul Leonard Library.
We can all appreciate this strong show of support for higher education, an
increase that begins to stem the downward spiral in state funding. California's
lawmakers heard loud and clear that investing in the state's students is
an investment in the state's future. CSU graduates will be key to making
California whole again.
This--the first increase in CSU's budget since 2007--is an essential first
step toward making the system whole again, as well. I stress that it is
a first step. As good as this budget is, it does not address systemic underfunding
for the system, which translates into a roughly $18 million shortfall for
our campus alone.
Chancellor Reed led the budget advocacy charge with courage and conviction,
and I am sure you share with me a deep sense of gratitude for the results
he achieved.
I believe our campus played a major leadership role in making the case for
the CSU to the governor and legislature. Our Education Budget Advocacy Committee
(EBAC)—and the many faculty, staff and students who worked with EBAC—carried
highly effective, coordinated messages about higher education to California's
lawmakers. EBAC is a powerful example of how faculty, staff, administration,
students and labor unions can work together to effect positive change.
We owe a debt of gratitude to Academic Senate Chair Shawn Whalen, California
Faculty Association Chapter President Ramon Castellblanch, and Associated
Students, Inc.'s Vice President for External Affairs Travis Northup, for
their leadership roles on EBAC.
In addition to the EBAC efforts, SF State's associate director of government
relations, Derek Aitken, led the CSU system's statewide e-advocacy efforts,
helping tremendously to make the case for support of higher education.
Details on this budget breakthrough are provided in the message below from
the CSU. We will not know the specifics regarding SF State's allocation until
early next week, when the system presidents meet with the chancellor. But
I can assure you of two important facts known at this time: our campus will
be able to manage with this budget and avoid permanent staff or tenure/tenure-track
layoffs; and pension reforms enacted to balance this budget do not apply
to currently employed faculty and staff. As we learn more about the specifics
of SF State's allocation, I will share the information with you.
Robert A. Corrigan, president
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Employee Update from the Chancellor's Office: Legislature Approves Budget
that Restores $199 Million to CSU
After a marathon session, state lawmakers today approved a 2010-2011 budget
that restores $199 million to the California State University and provides
an additional $60.6 million for enrollment growth.
The $87.5 billion state budget, which closes a $17.9 billion gap, now goes
to the governor for his signature.
The $199 million restoration to the CSU serves to back-fill part of a “one-time
cut” of $305 million made to the university’s 2009-10 general fund base.
The additional $60.6 million will fund enrollment growth across the 23-campus
system. The CSU has been forced to reduce enrollment by approximately 40,000
students since 2008 due to severe budget cuts. The CSU recently announced
it would admit up to 30,000 new students for the winter and spring 2011 terms
and this additional support will be used to fund that enrollment growth.
The CSU will also receive $106 million in one-time federal stimulus funding
which will be used to help the CSU meet its payroll. In turn, the CSU will
use monies from state support and student fee revenues previously set aside
for payroll to admit new students and restore courses that were previously
cut due to budget reductions.
The final budget will increase the CSU's General Fund support to $2.62 billion
from $2.35 billion (in 2009-2010), marking the first restoration of state
funding to the CSU since 2007.
The state budget also includes pension reform that will affect state employees,
including CSU employees, who are hired beginning in November 2010, but does
not apply to current employees.
The changes – which roll back pension benefits to levels that existed prior
to the adoption of Senate Bill 400, end pension “spiking” and increase transparency
– would impact future CSU employees, as well as other state employees. Details
of how future employees will be impacted will be communicated once the CSU
receives more information from the state.
"We thank the Governor and the legislature for their commitment to reinvest
in higher education, and appreciate the increase in state funding support
for the CSU," said CSU Chancellor Charles B. Reed. "Like the rest
of California, the last two years have been extremely challenging for us,
but our mission is to educate the future workforce of California, and despite
these ongoing challenges the CSU will continue to provide both access and
service to students."
Last year's level of state support was the lowest for the CSU since 1999-2000 ($2.25 billion), and although the CSU will see an increase in state funding, the level of support is still at approximately 2005-2006 levels ($2.62 billion). Despite receiving an increase over the previous year's level of state support, the CSU still faces fiscal obligations including mandatory cost increases such as health care benefits and energy that the general fund increase will not cover.
