FOR IMMEDIATE RELEASE
Tuesday, May 14, 2002
University of California Office of the President
Governor releases May budget revision
Gov. Gray Davis today issued the May Revision to his 2002-03
budget proposal, calling for reductions in state spending
to address a shortfall of almost $24 billion in the state
of Californias nearly $80 billion General Fund budget.
The governors revised budget proposes substantial cuts
at the University of California, though it avoids across-the-board
cuts and reductions in the core instructional program. It
also proposes no increase in mandatory systemwide student
fees for the eighth consecutive year, and it maintains the
governors original proposal of funding for an average
merit increase of approximately 1.5 percent for eligible faculty
and staff, subject to applicable collective bargaining requirements.
The revised budget includes the following changes to the
governors January proposal:
- A $5.4 million augmentation allowing UC to enroll 600
more students than assumed in the governors January
budget, resulting in total enrollment growth of 7,700 students
next year. UC requested the additional funding after seeing
high application volumes for fall 2002.
- A $32 million, or 10 percent, cut in state funding for
UC research programs. The governors proposal would
give the university the authority to reduce spending on
individual state-funded research initiatives by between
6 percent and 30 percent.
- A $28.4 million cut in state funding for K-12 outreach.
This reduction, when coupled with a $4.2 million outreach
cut proposed in January, would result in a 40 percent reduction
in state funding for UC outreach programs in 2002-03. The
proposal includes elimination of state funding for the School-University
Partnerships program ($12 million); elimination of state
funding for the UC College Prep Initiative, which offers
online access to Advanced Placement courses ($8.4 million);
a $4.7 million cut to graduate and professional school outreach,
leaving $1 million for the program; elimination of state
funding for the ArtsBridge outreach program ($750,000);
and elimination of state funding for UC ACCORD, an outreach-related
research program ($500,000). Also proposed is elimination
of $1.9 million in special augmentation funding for outreach
efforts specifically targeted at the Central Valley, though
other outreach programs in the region would continue.
- An $11.3 million reduction for the California Subject
Matter Projects, which provide professional development
for K-12 teachers. The reduction is in addition to a $4
million reduction proposed in January and would leave the
program with $20 million in funding. In addition, the governor
proposes to remove $50.9 million in state funding for the
California Professional Development Institutes for K-12
teachers, believing that an equivalent or greater amount
of federal and state funding in the K-12 budget is available
for teacher professional development activities.
- A one-time cut of $29 million from the universitys
$150 million budget for equipment, library materials, deferred
maintenance, and instructional technology. The governors
proposal indicated that this funding would be restored in
the 2003-04 fiscal year.
- A $5.2 million reduction in funding provided to UC to
help expand K-12 schools access to the next-generation
Internet2. The reduction, on top of a $4.8 million reduction
earlier this year, would leave $22 million for the program.
Including some other technical changes, the May Revision
proposes a net reduction of $162 million in the universitys
budget. The universitys state-funded operating budget
would total $3.2 billion in 2002-03.
The proposed reductions are, of course, very disappointing,
said Larry Hershman, UC vice president for budget. The
state is facing an extremely serious budget problem, and we
know that the university must play a role in the solution.
In that context, we do appreciate the governors protection
of funding for core instructional programs, student enrollment
growth, and merit increases for faculty and staff. We will
continue working with the governor and Legislature on the
remaining budget issues, emphasizing the positive long-term
effects the state realizes from a strong investment in the
University of Californias programs.
In addition to the General Fund proposals outlined above,
the governor proposed an augmentation of $16.8 million to
UCs capital improvements budget to add two facilities
projects: fire-protection improvements for the Sinsheimer
Laboratories at UC Santa Cruz and seismic improvements for
Rowland Hall at UC Irvine.
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Web Links to additional Information:
The governors May Revision is available online at -