The California State University Employee Update
Wednesday, November 10, 2010
CSU Raises Tuition (State University Fee) to Sustain Enrollment, Classes and Services
The CSU Board of Trustees this week approved a two-step tuition (State University Fee) increase needed to sustain enrollment, classes and services for current students.
A mid-year increase of 5 percent, or $105 per semester, for 2010-11 will go into effect January 1, 2011, for the winter/spring terms, and a 10 percent, or $444 annual increase for the 2011-12 academic year will become effective fall 2011.
"While we appreciate the funding that we did receive in this year's budget, the reality is our state support is roughly the same as it was five years ago and we have 25,000 more students," said Dr. Benjamin F. Quillian, CSU executive vice chancellor for business and finance. "In addition, part of the funding we received—$106 million—was one-time federal stimulus money that is being used at the state's direction to admit 30,000 more students. These students will be on our campuses long after this one-time funding has been exhausted, and we have to ensure that we have the ongoing resources to support them."
The mid-year tuition increase of 5 percent will bring the annual tuition increase for 2010-11 to the 10 percent level that was built into the governor’s budget as well as the final state budget adopted by the governor and the legislature on October 8. The $27 million of revenue generated by this mid-year increase will boost the CSU’s ability to significantly restore services across the system, including the addition of approximately 3,000 course offerings for winter/spring 2011.
The second step of the tuition increase—a 10 percent increase for 2011-12—will provide more fiscal certainty for the CSU, ensuring that the CSU can provide adequate courses and sections to students, and allow campuses to make decisions that are needed now to support enrollment, student services and class offerings for next fall. Authorizing the tuition increase now also provides students and parents with ample notice to plan. The 2011-12 CSU Support Budget request approved by the Board of Trustees asks the governor and the legislature to "buy out" the tuition increase with state funds in the 2011-12 state budget, which would allow the university to rescind the tuition increase.
One third of the revenue from the tuition increases will be set aside for financial aid. About half of the CSU’s undergraduate students (180,000) will be fully covered for the tuition increases due to financial aid. Additionally, tens of thousands of students not fully covered by financial aid will benefit from newly expanded federal tax credits available for family incomes of up to $180,000.
Despite the prospective tuition increases, the CSU will continue to rank among the lowest cost of comparable institutions in the country. More information.
CSU 2011-12 Budget Includes Increases for Enrollment, Operations
The CSU Board of Trustees has adopted a budget for 2011-12 calling for an increase of approximately $379 million in state general fund support from the governor and the legislature to meet operational and enrollment needs. Included in the budget proposal is a request for the state to provide $121.5 million to "buy out" a planned 2011-12 tuition increase, which would make it possible for the CSU to rescind the tuition increase.
The CSU’s total budget plan for 2011-12 is $4.73 billion, including almost $3.1 billion from the state general fund. In recent years, the CSU saw its annual state support cut by $625 million, while absorbing $135 million in mandatory cost increases for operating expenses such as health benefits, dental premiums, new space, and energy. Although the 2010-11 budget partially restored funding, the CSU's state support remains at approximately 2005-06 levels. The budget plan will be submitted to the State Department of Finance. More information.
Governor Appoints CSU Student Trustee
Steven Dixon, 44, has been appointed by Gov. Arnold Schwarzenegger to the CSU Board of Trustees. Dixon has a bachelor’s degree in economics from Humboldt State University and is currently a first-year graduate student majoring in economics at CSU Sacramento. He previously served the California State Student Association as president and chief executive officer from 2009 to 2010 and vice chair of external affairs from 2008 to 2009. The board has two trustee positions reserved for current CSU students. Each student trustee serves a two-year term, with the student serving their second year having the single student vote on the board. Dixon will be the non-voting student trustee. More information.
CSU Honors Veterans
Many CSU campuses and student organizations have planned activities this month to honor and remember veterans. The CSU supports student veterans through its Troops to College program which currently has 5,300 veterans and active-duty servicemembers using their GI benefits to attend the CSU. Further, approximately 6,000 dependents of veterans or active-duty servicemembers are using GI benefits to attend the CSU. In recognition of their continuous efforts on behalf of veterans, six CSU campuses (Chico, Humboldt, Long Beach, San Bernardino, San Diego, and San Marcos) are all listed in the Military Times EDGE Best for Vets Top 100 for 2010. More information.