AB 67 (Gorell) and SB 58 (Cannella) Post-Proposition 30
Freeze on Systemwide Student Fees and Tuition Increases

AS-3112-13/FGA (Rev)

ATTACHMENT 1 TO AS-3112-13/FGA (Rev)
ATTACHMENT 2 TO AS-3112-13/FGA (Rev)

RESOLVED: That the Academic Senate of the California State University (ASCSU) recognize the need to bring order to what have been frequent and often unpredictable increases in student fees and commends the authors and co-sponsors of AB 67 and SB 58 for their efforts to address the issue; and be it further

RESOLVED: That the ASCSU nonetheless oppose AB 67 and SB 58 as currently written, for the following reasons:

  • The proposed legislation offers no guarantee that state general fund support for
    the CSU and other higher education segments during this period will be sufficient
    to offset the revenue lost through a lack of systemwide student fee and tuition
    increases;
  • The legislation makes no provision for the implementation of compensating fee or
    tuition increases should the Proposition 30-based support become unavailable,
    due either to a downturn in the state’s fiscal situation or to changing political
    priorities

; and be it further,

RESOLVED: That the ASCSU urge the authors of AB 67 and SB 58 to incorporate changes in the bills’
language that address these concerns by allowing for the possibility of fee/tuition increases under circumstances such as those identified above; and be it further

RESOLVED: That this resolution be distributed to the CSU Board of Trustees; Office of the CSU
Chancellor; the CSU Chancellor; CSU campus Presidents; CSU campus Senate Chairs; Academic Senate for the California Community Colleges; Academic Senate of the University of California; Assembly member Gorell and AB 67 co-sponsors; Senator Cannella and SB 58 co-sponsors; Chair, California State Legislature Assembly Higher Education Committee; Chair, California State Senate Education Committee.

RATIONALE:Proposition 30 (Schools and Local Public Safety Protection Act of 2012),
passed by California voters on November 6, 2012, increases personal income, sales, and
use tax rates to generate revenue for K-14 public education in California. It is expected
that this will also result in increased allocations in the state’s general fund support
budgets for California higher education throughout the period that the Proposition 30 tax
increases are in effect (fiscal years 2013-2014 through 2018-2019). AB 67 (Gorell) and
SB 58 (Cannella) would prohibit any increases in systemwide student fees and tuition
charged by the CSU and other higher education segments during this period. The intent
of the legislation is to limit the burden placed on students and families by the frequent
and often large fee increases such as those adopted by the higher education segments in recent years as a result of cuts in state support.

The ASCSU has long argued for the development of a CSU policy on student fees and
tuition that would mitigate the burden imposed by the unpredictable and frequently large increases that have been common in recent years (AS-2594-03/FGA, Student Fees in the California State University [CSU]- Mitigating Their Effects; AS-2631-03/FGA, Support for Guidelines for the Development of a CSU Student Tuition and Fee Policy; AS-2644-04/FGA, Long-term Undergraduate Student Fee Policy; and AS-2671-04/FGA, Student Fee Policy).

However, while the language of AB 67 and SB 58, as currently written, would prohibit
fee or tuition increases at any time during the six-year period specified above, it offers no guarantee that state general fund support will continue at levels sufficient to offset the lack of fee/tuition increases, nor does it contain provisions to allow such increases should the state support not be forthcoming. Given factors such as the steady increase in mandatory costs, the potential responsibility for capital debt service, and the fiscal
uncertainties plaguing California’s budget in recent years, this leaves California’s
higher education systems – and particularly the CSU, due to its reliance on student
tuition/fees and general fund allocations as principal funding sources – highly vulnerable
to any changes in state budget priorities or downturns in revenue. This is particularly the case at a time when the segments are facing increased enrollment demand while they have yet to recover from major funding cuts of the past several years.

Approved – March 14-15, 2013



 
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