Tuesday, November 25, 2003
Brad Hayward (510) 987-9200


University of California President Robert C. Dynes issued the following statement today regarding the mid-year budget cuts proposed by the Schwarzenegger Administration.

“California is facing a major budget challenge, and as a result, pain and sacrifice will have to be spread widely across the state. We at the University of California recognize that we need to play a role in the state’s solution to its budget gap.

“At the same time, it is important for all to recognize that every additional budget cut to the University of California is a painful cut. We already have taken deep cuts in previous budgets, leaving us with a 14% decrease in state funding while our enrollments have increased 18%. Our ability to preserve this institution’s world-class quality and continue making a major contribution to California’s economy will be compromised by these growing budget cuts.

“I am particularly concerned by the proposal to eliminate state funding for UC outreach programs to the public schools in California. Improving student achievement throughout the public schools remains a major challenge facing our state, and UC outreach programs are making an important contribution to the effort. Part of our mission as an educational leader in California is to help integrate educational efforts across the K-16 system, and our outreach programs have a proud legacy of doing so. I hope to have further discussions in Sacramento about this issue, and about the overall support we need to maintain quality programs for the people of California.”


The mid-year budget reductions proposed by the Schwarzenegger Administration for the UC system include the following. All would require action by the Legislature before taking effect.

An unallocated reduction of $15.7 million in the current year, growing to a $47.2 million reduction in 2004-05. UC s current state-funded budget is $2.9 billion. [NOTE: These figures were updated on the web as of 12/5/03. The reductions originally were reported as $18.4 million and $55.1 million, respectively. Subsequent conversations with the state Department of Finance have clarified the administration's intentions.]

Elimination of funding for K-12 outreach programs, effective January 1, 2004, representing a $12.2 million current-year and $33.3 million full-year reduction.

Reduction of funding for UC labor institutes, effective January 1, 2004, representing a $2 million reduction in the current year, growing to $4 million in 2004-05.


Below are just a few of the University of California’s impacts on California and its economy:

UC provides an education for the managerial and professional jobs that are the fastest-growing occupations in California. Most of these new jobs require at least a bachelor’s degree, and many require a master’s degree or doctorate.

More than 290 companies have been founded on UC-developed technologies.

If the current pace is maintained, more than 34,000 UC undergraduates over the next 10 years will enter science and engineering industries driving California’s economy.

Between 370,000 and 433,000 jobs in California are directly dependent on UC expenditures – more than 2% of all employment in the state.

UC has the largest health sciences education and training program in the nation, with 13,000 students. UC is the second-largest Medi-Cal provider in California.

UC research and Cooperative Extension are critical to California’s nation-leading, $27 billion agricultural industry.

Source: UC Impact Report

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